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PSC urges removal of outdated renewable objective cited in RTO cost allocations

March 20, 2025 | Energy and Natural Resources, House of Representatives, Legislative, North Dakota


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PSC urges removal of outdated renewable objective cited in RTO cost allocations
Senator Dale Patton introduced Senate Bill 23‑59, described as cleanup language repealing a statutory renewable energy objective that North Dakota set in 2007 and exceeded years ago. Commissioner Randy Christman of the Public Service Commission (PSC) testified in support of the bill, telling the House Energy and Natural Resources Committee that the objective has been used in tariff proceedings and court cases to justify shifting high‑voltage transmission costs to North Dakota ratepayers.

Christman said regional transmission organizations (RTOs) such as MISO and SPP are planning unprecedented transmission buildouts—each tranche of projects can add billions in costs—and North Dakota customers are being allocated portions of those costs. He said removing the outdated state objective from the Century Code would give the PSC stronger footing in arguing against cost allocations that primarily benefit other states’ renewable mandates or corporate decarbonization goals.

“North Dakota values reliable, affordable, and on‑demand energy for our customers,” Christman told the committee, and he urged passage of SB 23‑59 to prevent North Dakota ratepayers from bearing the costs of projects driven primarily by other jurisdictions’ policies. Todd Cranda, representing Missouri River Energy Services, said his group worked with sponsors and the PSC and did not view SB 23‑59 as conflicting with other legislation passed this session.

Why it matters: The item concerns how multi‑state transmission project costs are allocated by RTOs and whether state statutory language is used in arguments to socialize those costs. PSC testimony framed the repeal as a defensive measure to protect local ratepayers from paying for transmission that primarily serves other states’ policy goals.

Committee action: The hearing was held; the transcript does not show a committee vote during the recorded session.

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Scribe from Workplace AI
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