ME LD1412

Increases the maximum contingency reserve fund for consumer-owned electric transmission and distribution utilities from 25% to 35% of yearly operating revenues (excluding purchased power supply costs)

Authorizes the Public Utilities Commission to approve reserve fund percentages greater than 35% for individual utilities upon request

Requires half of the contingency reserve fund to remain available for capital purposes

Mandates that any surplus exceeding the authorized percentage be used to offset future revenue requirements when setting rates

Interest generated on reserve funds must be deposited into the contingency reserve fund