Four bills dealing with transmission lines, competitive bidding, and eminent domain won approval Thursday at the urging of Faxon state Rep. Trey Caldwell during a meeting of the Oklahoma House Utilities Committee.
HB2747, a bill Caldwell spent three years creating and one focusing on public utilities in the construction of electrical transmission lines, was approved on a vote of 8-2 with opposition by Reps. Cyndi Munson of Oklahoma City and Arturo Alonso-Sandoval of Oklahoma City.
Approval came after extensive questioning in which Rep. Caldwell made clear to those in attendance, “This is not a ROFR bill—this bill is vastly different from the last year’s bill.”
Caldwell said he spent 500-600 hours working on this form of the bill over the past three years talking with those for and against the issue and contended the measure would increase competition, including out-of-state firms, in the construction of transmission projects and help in a downward movement of costs. The measure was approved without any debate.
HB2747 was considered important enough for the House to issue a press release following its approval. The headline declared that it would “accelerate natural gas generation, reinstate state oversight of critical infrastructure and keep electric rates affordable.”
The legislation promotes affordable and reliable energy generation by championing Oklahoma’s abundant natural gas resources while also restoring state control over high-voltage transmission infrastructure to ensure ratepayer and landowner protections.
“HB 2747 is a crucial step towards ensuring that Oklahoma’s energy future is secure, reliable, and affordable for all Oklahomans,” said House Appropriations and Budget Chairman Trey Caldwell, R-Faxon. “Oklahoma ratepayers and landowners have been disadvantaged by policies of previous federal administrations for way too long. HB 2747 creates a level playing field for reliable natural gas generation to outshine federally subsidized renewable resources and support economic growth. This will help us protect ratepayers and landowners from unregulated transmission developers who have no accountability to Oklahomans while ensuring free market competition on the construction of these projects.”
HB 2747 protects Oklahomans and encourages economic growth by:
- Modernizing state regulations to increase new natural gas generation. HB2747 gives natural gas a fair chance to compete against federally-subsidized renewables by reducing the cost of building natural gas plants and enabling them to be built faster.
- Enhancing existing natural gas power plants and other key critical infrastructure, such as distribution lines and equipment, to boost efficiency and provide more reliable power now and in the future.
- Keeping rates affordable by requiring any changes to critical infrastructure to be reviewed through the traditional rate review process at the Oklahoma Corporation Commission.
- Preventing ratepayers from funding subsidies used to switch from one fuel source appliance to another in furtherance of liberal energy policies.
- Requiring a state-administered competitive bidding process for high-voltage transmission lines constructed in Oklahoma and reinstating the OCC’s right to oversee the costs before a single cent can be passed on to Oklahoma ratepayers.
- Ensuring landowners are protected from out-of-state developers placing high-voltage transmission on their property for 50 years or more with no oversight by or accountability to the State.
“At the end of the day, this bill will increase fair competition in the generation and transmission sector, while promoting economic development and faster market entry for much-needed critical infrastructure. As leaders, we have a duty to protect Oklahomans and establish policies that ensure safe, reliable, and affordable energy,” said Caldwell.
The bill passed out of the House Utilities Committee with a vote of 8-2 and will next be considered by the full House Energy and Natural Resources Oversight Committee.
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HB2751, originally filed regarding competitive bidding on transmission lines, was amended Thursday by Rep. Caldwell as a replacement to a Rep. Tim Turner’s wind farm setback bill which did not get a “do pass” from the House Energy Committee on Wednesday. The amended version would require wind turbines to be one-quarter of a mile from a structure and also create setbacks from wind turbines in counties that meet certain wind speed and population density requirements.
Rep. Cyndi Munson objected to Caldwell’s parliamentary move and felt opponents were “being undermined” which Caldwell denied, saying the construction of wind turbines “affects property rights.”
“It is a property owner’s issue—for those abutting them,” he answered, adding, “it’s common sense and will protect the right of adjacent property owners.”
Rep. Munson countered why Caldwell was creating a new process for counties since the amended bill would allow counties to hold a vote on the setback requirement.
“I don’t know what issue we’re solving—we’re not in a crisis,” she declared during the committee meeting.
Rep. Alfonso Sandoval also questioned the need for the setback amendment, charging “it will hinder energy.” Rep. Caldwell countered, “It allows for local control.”
The committee voted 8-3 in support of the bill with opposition by Reps. Munson, Alonso-Sandoval and Gerrid Kendrix.
Afterward, House Speaker Kyle Hilbert, who attended the committee meeting, praised the committee vote and called the measure the “culmination of work being done by multiple House members who filed wind setback bills this session.”
“I appreciate the work of our Republican House members who came together to find a compromise that, while it doesn’t make everyone happy, addresses this issue in a way that works for all of Oklahoma,” said Hilbert, R-Bristow. “Our two-tiered committee process is intended to ensure work like this is done at the committee level, and this is a great example of the process working.”
“This legislation ensures that wind turbines can be where the wind blows consistently and at certain speeds in our state so they can generate efficient energy,” said Rep. Tim Turner, R-Kinta whose own setback bill was denied a day earlier in another House committee.
“This does not restrict wind projects but makes sure the projects are placed in areas where if subsidies were taken – per President Trump’s America First agenda – they are financially viable on their own.”
“This well thought piece of legislation allows the state to set uniform policy while giving counties local control,” said Rep. Mark Chapman, R-Broken Arrow. “This solution to the setback issue provides some clarity and a framework that all affected parties can work within.”
Caldwell’s third measure, HB2752, introduced earlier this month as an amendment, would prevent the use of eminent domain in the construction of electrical power sources
“The power of eminent domain shall not be used for the siting
or building of wind turbines energy facilities, solar energy
facilities, battery storage facilities, hydrogen gas facilities, or
other renewable energy facilities on private property.”
It quickly received a “do pass’ on a 9-0 vote.
The last measure by Rep. Caldwell was HB2756, described by him was a “be a good neighbor bill” would require certification of wind farms or other energy projects and notification of adjacent landowners. It too won support on a 9-0 vote.