House Bill 1381
By: Representatives Park of the 107th, Jones of the 25th, Gisler of the 121st, Herring of the
145th, Camp of the 135th, and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 3A of Title 46 of the Official Code of Georgia Annotated, relating to
integrated resource planning, so as to require grid modernization assessments to be filed with
integrated resources plans; to require justification for new transmission construction instead
of utilizing certain new technologies; to provide for the recovery of costs; to provide for the
recovery of certain savings related to new technologies; to provide for definitions; to provide
for related matters; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Chapter 3A of Title 46 of the Official Code of Georgia Annotated, relating to integrated
resource planning, is amended in Code Section 46-3A-1, relating to definitions, as follows:
"46-3A-1.
As used in this chapter, the term:
(1) 'Advanced reconductoring' means the replacement of traditional transmission
conductors with high-performance conductors that provide higher capacity and lower line
losses, specifically designed for installation on existing towers and rights of way.
(1)(2) 'Capacity resource' means an electric plant, a long-term power purchase, or a
demand-side capacity option.
(2)(3) 'Construction' means clearing of land, excavation, or other substantial activity
leading to the operation of an electric plant other than planning, land surveying, land
acquisition, subsurface exploration, design work, licensing or other regulatory activity,
contracting for construction, or environmental protection measures and activities
associated therewith.
(3)(4) 'Demand-side capacity option' means a program proposed by a utility or the
commission for the reduction of future electricity requirements the utility's Georgia retail
customers would otherwise impose, including, but not limited to, conservation, load
management, cogeneration, and renewable energy technologies.
(4)(5) 'Electric plant' means any facility, or the portion of a facility, that produces
electricity or that, at the time application for certification is made pursuant to this chapter,
is intended to produce electricity for a utility's Georgia retail customers. 'Electric plant'
includes the realty and ancillary facilities for the construction of the plant.
(6) 'Grid-enhancing technologies' or 'GETs' means a suite of hardware and software
solutions that increase the capacity, efficiency, or reliability of existing transmission
lines, including, but not limited to, dynamic line ratings, advanced power flow control,
and topology optimization.
(5)(7) 'Long-term power purchase' means a purchase of electric capacity and energy for
a period exceeding one year, the principal purpose of which is to supply the requirements
of the Georgia retail customers of a utility.
(6)(8) 'Plan' means an integrated resource plan which contains the utility's electric
demand and energy forecast for at least a 20 year period, contains the utility's program
for meeting the requirements shown in its forecast in an economical and reliable manner,
contains the utility's analysis of all capacity resource options, including both demand-side
and supply-side options, and sets forth the utility's assumptions and conclusions with
respect to the effect of each capacity resource option on the future cost and reliability of
electric service. The plan shall also:
(A) Contain the size and type of facilities which are expected to be owned or operated
in whole or in part by such utility and the construction of which is expected to
commence during the ensuing ten years or such longer period as the commission deems
necessary and shall identify all existing facilities intended to be removed from service
during such period or upon completion of such construction;
(B) Contain practical alternatives to the fuel type and method of generation of the
proposed electric generating facilities and set forth in detail the reasons for selecting the
fuel type and method of generation;
(C) Contain a statement of the estimated impact of proposed and alternative generating
plants on the environment and the means by which potential adverse impacts will be
avoided or minimized;
(D) Indicate in detail the projected demand for electric energy for a 20 year period and
the basis for determining the projected demand;
(E) Describe the utility's relationship to other utilities in regional associations, power
pools, and networks;
(F) Identify and describe all major research projects and programs which will continue
or commence in the succeeding three years and set forth the reasons for selecting
specific areas of research;
(G) Identify and describe existing and planned programs and policies to discourage
inefficient and excessive power use; and
(H) Provide any other information as may be required by the commission.
(7)(9) 'Supply-side capacity option' means an electric plant, a long-term power purchase,
or any other source of additional energy.
(8)(10) 'Utility' means any electric supplier whose rates are fixed by the commission."
SECTION 2.
Said chapter is further amended by revising Code Section 46-3A-2, relating to filing and
approval of an integrated resource plan, by adding a new subsection to read as follows:
"(d)(1) Each integrated resource plan filed after July 1, 2026, shall include a dedicated
grid modernization assessment that identifies all transmission corridors currently
experiencing, or forecast to experience, congestion within the succeeding ten years.
(2) For each proposed construction of new a transmission line or significant expansion
of an existing line identified in the grid modernization assessment, the utility must file
a technical and economic comparison demonstrating that grid-enhancing technologies or
advanced reconductoring were evaluated as alternatives, and justify the need for such
construction."
SECTION 3.
Said chapter is further amended by revising Code Section 46-3A-4, relating to issuance of
a certificate of public convenience and necessity, and application to include plan and
cost-benefit analysis, by adding a new subsection to read as follows:
"(d) The commission shall not issue a certificate pursuant to this Code section for the
construction of a new high voltage transmission line unless the applicant demonstrates that
the immediate capacity need cannot be met by the deployment of grid-enhancing
technologies or advanced reconductoring on existing rights of way."
SECTION 4.
Said chapter is further amended by revising Code Section 46-3A-7, relating to construction
costs as part of rate base, review of construction work in progress, verification of
expenditures, and recovery of costs of canceled construction, by adding a new subsection to
read as follows:
"(e)(1) All capital expenditures for grid-enhancing technologies and advanced
reconductoring for which a certificate was obtained shall be eligible for full cost recovery
through the utility's base rate.
(2) The commission is authorized to allow a utility to retain 25 percent of the verified
annual congestion cost savings achieved through the deployment of GETs, with the
remaining 75 percent passed through to ratepayers as a direct credit on the fuel cost
adjustment or similar mechanism."
SECTION 5.
All laws and parts of laws in conflict with this Act are repealed.