During an April 22 meeting, members of the OCC discussed House Bill 2747, written by Rep. Trey Caldwell (R-Faxon), and Senate Bill 998, authored by Sen. Todd Gollihare (R-Kellyville). The similar legislation would require the Commission to give special rates to companies building natural gas facilities for recovery funds, instead of other fuel sources. The money would be collected before the project becomes operational.
But the commissioners, who oversee the state's utility and oil and gas industries, said the language of the bill could erode their authority and place project costs on consumers.
"Consumers would be paying for this investment, taking the risk of this investment, years ahead of being able to realize any benefit from it," Commissioner Todd Hiett said.
The language also allows companies to bypass the standards of the OCC, they said.
" I just don't believe that going around us and the interveners not having a voice in the whole process is the best way of doing it," Commissioner Kim David said.
Promoting one fuel source over another is also a contention for the regulators.
"Obviously, in Oklahoma, we are an oil and gas state, and so we want a vibrant oil and gas industry in the state of Oklahoma, but it's not within the Commission's responsibilities and authority to extract dollars from consumers in order to subsidize a single entity or a single industry in our state," Hiett said.
The Senate bill was passed during a House Energy Committee meeting in mid-April. Caldwell defended the legislation, saying it would lead to cost reductions and make natural gas more "competitive."
As of 2023, natural gas accounted for nearly 50% of Oklahoma's electric generation.
During questioning, Caldwell said the OCC already has the authority to carry out what is included in the bill, but they choose not to.
"It is the purview of this legislature that when we see things in bureaucratic governmental agencies that are not working correctly, that it's under our purview to help direct them to the right thing," he said.
During the OCC meeting, David said lobbyists likely guided the lawmaker's answers.
"I really do not appreciate whoever gave the representative his talking points because I am tired of being slandered in the building across the street with our legislature when it's not true," she said.
Caldwell did not respond to a request for comment.
The commissioners, including Brian Bingman, voted to oppose the proposed legislation.
The House legislation was referred to Appropriations and the Senate version is headed to the House floor.
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