Chapter 372
2022 -- H 7971 SUBSTITUTE A
Enacted 06/29/2022

A N   A C T
RELATING TO PUBLIC UTILITIES AND CARRIERS -- AFFORDABLE CLEAN ENERGY SECURITY ACT

Introduced By: Representatives Handy, Williams, Edwards, Potter, McNamara, Alzate, Batista, Carson, Kazarian, and Cassar

Date Introduced: March 11, 2022

It is enacted by the General Assembly as follows:
     SECTION 1. Sections 39-31-2, 39-31-4, 39-31-5, 39-31-6 and 39-31-7 of the General
Laws in Chapter 39-31 entitled "Affordable Clean Energy Security Act" are hereby amended to
read as follows:
     39-31-2. Purpose.
     The purpose of this chapter is to:
     (1) Secure the future of the Rhode Island and New England economies, and their shared
environment, by making state and/or coordinated, cost-effective, strategic investments in energy
resources and infrastructure such that the New England states improve energy system reliability
and security; enhance economic competitiveness by reducing energy costs to attract new
investment and job growth opportunities; and protect the quality of life and environment for all
residents and businesses;
     (2) Utilize state and/or coordinated competitive processes, in collaboration with other New
England states and their instrumentalities, to advance strategic investment in energy infrastructure
and energy resources, provided that the total energy security, reliability, environmental, and
economic benefits to the state of Rhode Island and its ratepayers exceed the costs of the projects,
and ensure that the benefits and costs of the energy infrastructure investments are shared
appropriately among the New England States; and
     (3) Encourage a multistate or regional an approach to energy policy that advances the
objectives of achieving a reliable, clean-energy future that is consistent with meeting regional
greenhouse gas reduction goals as established by chapter 6.2 of title 42 (the "2021 act on climate")
at reasonable cost to ratepayers.
     39-31-4. Regional energy planning.
     (a) Consistent with the purposes of this chapter, and utilizing regional stakeholder
processes where appropriate, the office of energy resources, in consultation and coordination with
the division of public utilities and carriers, and the public utility company that provides electric
distribution as defined in § 39-1-2(a)(12) as well as natural gas as defined in § 39-1-2(a)(17), the
New England States Committee on Electricity (NESCOE), ISO-New England, Inc., and the other
New England states, is authorized to:
     (1) Participate in the development and issuance of state, regional, or multistate competitive
solicitation(s) for the development and construction of regional electric-transmission projects that
would allow for the reliable transmission of large- or small-scale domestic or international
hydroelectric power to New England load centers that will benefit the state of Rhode Island and its
ratepayers, and such solicitations may be issued by the New England States Committee on
Electricity or the electric or natural gas distribution company to further the purposes of this chapter;
     (2) Participate in the development and issuance of state, regional, or multistate competitive
solicitation(s) for the development and construction of regional electric-transmission projects that
would allow for the reliable transmission of eligible renewable energy resources, including offshore
wind, as defined by § 39-26-5(a), to New England load centers that will benefit the state of Rhode
Island and its ratepayers, and the solicitations may be issued by the New England States Committee
on Electricity or the electric or natural gas distribution company to further the purposes of this
chapter; and
     (3) Participate in the development and issuance of regional or multistate competitive
solicitation(s) for the development and construction of regional natural-gas-pipeline infrastructure
and capacity that will benefit the state of Rhode Island and its ratepayers by strengthening energy
system reliability and security and, in doing so, potentially mitigate energy price volatility that
threatens the economic vitality and competitiveness of Rhode Island residents and businesses. The
solicitations may be issued by the New England States Committee on Electricity or the electric or
natural gas distribution company to further the purposes of this chapter; and the solicitations may
request proposals that are priced in increments to allow for the evaluation of project costs and
benefits associated with adding various levels of additional, natural gas pipeline capacity into New
England and assist with the optimization of energy system reliability, economic, and other benefits
consistent with the purposes of this chapter.
     (4) As part of any such state, regional, or multistate competitive solicitation processes
conducted pursuant to this chapter, the office of energy resources shall work jointly with the
division of public utilities and carriers, and with the electric distribution company as appropriate,
to identify incremental, natural-gas-pipeline infrastructure and capacity and/or electric-
transmission projects that optimize energy reliability, economic, environmental, and ratepayer
impacts for Rhode Island, consistent with the legislative findings and purpose of this chapter. The
office of energy resources and division of public utilities and carriers shall be authorized to utilize
expert consultants, as needed, to assist in any state, regional, multistate, or state-level determination
related to the procurement activities identified in § 39-31-5.
     (b) Prior to any binding commitments being made by any agencies of the state, the electric
distribution company, or any other entity that would result in costs being incurred directly, or
indirectly, by Rhode Island electric and/or gas consumers through distribution or commodity rates,
the office of energy resources and division of public utilities and carriers shall jointly file any
energy infrastructure project recommendation(s) with the public utilities commission and may
make such filing jointly with the electric or natural gas distribution company as appropriate. The
public utilities commission shall consider any such recommendation(s) as specified under § 39-31-
7.
     (c) A copy of the filing made under subsection (b) of this section shall be provided to the
governor, the president of the senate, the speaker of the house, the department of environmental
management, and the commerce corporation.
     (d) The electric distribution company shall be provided with a copy of any filing made
under this section at least ten (10) business days in advance of its filing with the public utilities
commission and the electric or gas distribution utility may file separate comments when the filing
is made.
     (e) As part of any office of energy resources and division of public utilities and carriers
filing made pursuant to this chapter, the agencies shall identify the expected energy reliability,
energy security, and ratepayer impacts that are expected to result from commitments being made
in connection with the proposed project(s).
     (f) The office of energy resources and division of public utilities and carriers reserve the
right to determine that energy infrastructure projects submitted in any state, regional, or multistate
competitive solicitation process are not in Rhode Island's energy reliability, energy security, and/or
ratepayer interests, and shall make such findings available to the governor, the president of the
senate, and the speaker of the house. The electric or gas distribution utility may attach a separate
opinion to those findings, at its election.
     39-31-5. Regional energy procurement State and regional energy procurement.
     (a) Consistent with the purposes of this chapter, the public utility company that provides
electric distribution as defined in § 39-1-2(a)(12), as well as natural gas as defined in § 39-1-
2(a)(17), in consultation with the office of energy resources and the division of public utilities and
carriers is authorized to voluntarily participate in state, multistate, or regional efforts to:
     (1) Procure domestic or international large- or small-scale hydroelectric power and eligible
renewable energy resources, including wind, as defined by § 39-26-5(a), on behalf of electric
ratepayers; provided, however, that large-scale hydroelectric power shall not be eligible under the
renewable energy standard established by chapter 26 of this title;
     (2) Procure incremental, natural-gas-pipeline infrastructure and capacity into New England
to help strengthen energy system reliability and facilitate the economic interests of the state and its
ratepayers;
     (3) Support the development and filing of necessary tariffs and other appropriate cost-
recovery mechanisms, as proposed by the office of energy resources or the division of public
utilities and carriers, that allocate the costs of new, electric-transmission and natural-gas-pipeline
infrastructure and capacity projects selected pursuant to the provisions of this chapter to ratepayers,
such that costs are shared among participating states in an equitable manner; and
     (4) To the extent that the public utility company that provides electric distribution as
defined in § 39-1-2(a)(12), as well as natural gas as defined in § 39-1-2(a)(17), pursues the
objectives identified above, the public utility company shall utilize all appropriate, competitive
processes, and maintain compliance with applicable federal and state siting laws.
     (b) Any procurement authorized under this section shall be commercially reasonable.
     39-31-6. Utility filings with the public utilities commission.
     (a) Pursuant to the procurement activities in § 39-31-5 or § 39-31-10, the public utility
company that provides electric distribution as defined in § 39-1-2(a)(12), as well the public utilities
that distribute natural gas as provided by § 39-1-2(a)(20), are authorized to voluntarily file
proposals with the public utilities commission for approval to implement these policies and achieve
the purposes of this chapter. The company's proposals may include, but are not limited to the,
following authorizations:
     (1) Subject to review and approval of the commission, to enter into long-term contracts
through appropriate competitive processes for large- or small-scale hydroelectric power and/or
renewable energy resources that are eligible under the renewable energy standard established by
chapter 26 of this title; provided, however, that large-scale hydroelectric power shall not be eligible
under the renewable energy standard established by chapter 26 of this title, and provided that:
     (i) The electric distribution company may, subject to review and approval of the
commission, select a reasonable, open, and competitive method of soliciting proposals from
renewable energy developers, including domestic or international large- or small-scale
hydroelectric power, that may include public solicitations and individual negotiations.
     (ii) The solicitation process shall permit a reasonable amount of negotiating discretion for
the parties to engage in arms-length negotiations over final contract terms.
     (iii) Each long-term contract entered into pursuant to this section shall contain a condition
that it shall not be effective without commission review and approval.
     (iv) The electric distribution company shall file the contract(s), or unsigned contract(s)
pursuant to § 39-31-10(c), along with a justification for its decision, within a reasonable time after
it has executed the contract following a solicitation or negotiation.
     (v) Subject to review and approval of the public utilities commission, to enter into long-
term contracts for natural-gas-pipeline infrastructure and capacity that are commercially reasonable
and advance the purposes of this chapter at levels beyond those commitments necessary to serve
local gas distribution customers, and may do so either directly, or in coordination with, other New
England states and instrumentalities; utilities; generators; or other appropriate contracting parties.
     (vi) The commission shall accept public comment on any contracts filed by the distribution
utility, as authorized under this section, for a period no less than thirty (30) days.
     (A) During this public comment period, the contracts shall be reviewed by the following
state agencies, which shall provide advisory opinions to the public utilities commission on the
topics specified, and the public utilities commission shall give due consideration to the advisory
opinions filed:
     (I) The department of environmental management (DEM) shall provide an advisory
opinion on the expected greenhouse gas emissions and statewide environmental impacts resulting
from the proposed contract(s), including a determination as to whether the proposed project(s)
advance the goals of chapter 6.2 of title 42 (the "2021 Act on Climate").
     (II) The commerce corporation shall provide an advisory opinion on the expected statewide
economic impacts resulting from the proposed contract(s).
     (III) The office of energy resources shall provide an advisory opinion on the expected
energy security, reliability, environmental, and economic impacts resulting from the contract(s).
     (B) The commission shall notify the aforementioned agencies upon the filing of any
contract filed by the distribution utility pursuant to this chapter, and notify them of any related
hearings and/or proceedings.
     (C) Advisory opinions issued by agencies designated under subsection (a)(1)(vi)(A) of this
section shall not be considered as final decisions of the agencies making the opinions, and shall not
be subject to judicial review under § 42-35-15, or any other provision of the general laws.
     (vii) The commission may shall approve the contract(s) if it determines that:
     (A) The contract is commercially reasonable;
     (B) The requirements for the solicitation have been met;
     (C) The contract is consistent with achievement of the region's state's, greenhouse gas
reduction targets as specified in chapter 6.2 of title 42 (the "2021 Act on Climate"); and
     (D) The contract is consistent with the purposes of this chapter.
     (viii) Participate in a multistate or regional sharing of costs through the Federal Energy
Regulatory Commission-approved tariffs for the costs of electric transmission and natural-gas-
pipeline infrastructure projects pursued under this chapter.
     (b) The commission shall hold evidentiary hearings and public hearings to review any
contract filing that may be made pursuant to this section and issue a written order approving or
rejecting the contract within one hundred twenty (120) days of the filing; in rejecting a contract,
the commission may advise the parties of the reason for the contract being rejected and provide an
option for the parties to attempt to address the reasons for rejection in a revised contract within a
specified period not to exceed ninety (90) days.
     39-31-7. Duties of the commission.
     (a) The commission may shall approve any proposals made by the electric and gas
distribution company that are commercially reasonable and advance the purposes of this chapter.
The commission's authority shall include, without limitation, the authority to:
     (1) Approve long-term contracts entered into pursuant to the goals and provisions of this
chapter for large- or small-scale hydroelectric power and renewable energy resources that are
eligible under the renewable energy standard established by chapter 26 of this title; provided,
however, that large-scale hydroelectric power shall not be eligible under the renewable energy
standard established by chapter 26 of this title;
     (2) Approve long-term contracts for natural-gas-pipeline infrastructure and capacity
consistent with the purposes of this chapter;
     (3) Approve rate-recovery mechanisms proposed by the electric and gas distribution
companies relating to costs incurred under this chapter by the electric and gas distribution company
that facilitate the multistate or regional sharing of costs necessary to implement electric
transmission and natural-gas-pipeline infrastructure projects pursued under this chapter, including
any costs incurred through the Federal Energy Regulatory Commission approved tariffs related to
such multistate or regional energy infrastructure procurements;
     (4) Address any proposed changes to standard-offer procurements, standard-offer pricing,
and retail-choice rules;
     (5) Provide for the recovery of reasonable net costs from all distribution customers incurred
by the electric and gas distribution company in furtherance of the purposes of this chapter that may
include, but are not limited to, costs to solicit, evaluate, and seek approval of such contracts as well
as net costs incurred under any contracts approved by the commission under this section and costs
associated with the management of incremental capacity resulting from interstate gas-pipeline-
expansion projects pursued pursuant to this chapter and costs associated with investments in local
gas-distribution-network assets necessary to implement such interstate gas-pipeline-expansion
projects;
     (6) Nothing herein is intended to prohibit the commission from allowing the electric
distribution company to use the energy, capacity, and other attributes purchased for resale to
customers and approve tariffs that charge those customers for the energy, capacity, and other
attributes from the resale to those customers; and/or to use the NE-GIS certificates for purposes of
meeting the obligations set forth in chapter 26 of this title 39 ("renewable energy standard").;
     (6)(7) Approve cost allocation proposals filed by the gas distribution company and/or the
electric distribution company that appropriately allocate offshore wind costs incurred under § 39-
31-10, natural gas infrastructure and capacity costs incurred under § 39-31-6 between electric and
gas distribution customers of the electric and gas distribution company in a manner proportional to
the energy benefits accrued by Rhode Island's gas and electric customers from making such
investments. In making its determination, the commission shall consider projected reductions in
regional, wholesale electric prices as a benefit that accrues to electric ratepayers. The allocation of
costs shall include all distribution customers, regardless from whom they are purchasing their
commodity service; and
     (7)(8) Approve any other proposed regulatory or ratemaking changes that reasonably
advance the goals set forth herein.
     (b) The grant of authorizations under this chapter shall not be construed as creating a
mandate or obligation on the part of the electric and gas distribution company to enter into any
contracts or file any proposals pursuant to this chapter.
     (c) The public utilities commission shall docket any proposals made by the office of energy
resources and division of public utilities and carriers pursuant to § 39-31-4. Docket materials shall
be posted and maintained on the commission's website. The commission shall conduct proceedings,
as provided below, solely for the purpose of determining whether the proposed infrastructure
projects, if implemented, are in the public interest and no commitments shall be valid or authorized
without such finding being made by the commission. The validity and approval of any
commitments made by the electric or gas distribution company in furtherance of the purposes of
this chapter shall be separate and subject to § 39-31-5. The docket opened pursuant to this
subsection shall proceed as follows:
     (1) The following state agencies shall provide advisory opinions to the commission on the
topics specified below within sixty (60) days from the docketing date:
     (i) The department of environmental management (DEM) shall provide an advisory
opinion on the expected greenhouse gas emissions and statewide environmental impacts resulting
from the proposed project(s), including a determination as to whether the proposed project(s)
advance the goals of chapter 6.2 of title 42 (the "2021 Act on Climate").
     (ii) The commerce corporation shall provide an advisory opinion on the expected statewide
economic impacts resulting from the proposed project(s).
     (2) The commission shall notify the aforementioned agencies upon the filing of any
proposal made under this section, and notify them of any related hearings and/or proceedings.
     (3) Advisory opinions issued by agencies designated under subsection (c)(1) of this section
shall not be considered as final decisions of the agencies making the opinions and shall not be
subject to judicial review under § 42-35-15 or any other provision of the general laws.
     (4) Upon completion of the sixty-day (60) advisory-opinion period, the commission shall
provide for a thirty-day (30) public comment period on any energy infrastructure project(s) selected
pursuant to this chapter and hold evidentiary hearings. In addition to evidentiary hearings, the
commission shall also hold at least one public hearing to accept public comment on the proposal(s)
prior to an open meeting held pursuant to this section.
     (5) The commission shall hold an open meeting no later than one hundred twenty (120)
days from the date of filing by the office of energy resources and division of public utilities and
carriers and shall certify that the proposed project(s) are in the public interest if, in the commission's
determination, and in consideration of filed advisory opinions and the opinion of the electric or gas
distribution utility, the proposed infrastructure project(s):
     (i) Are consistent with the findings and purposes of this chapter;
     (ii) Will benefit Rhode Island by improving local and regional energy system reliability
and security;
     (iii) Will benefit Rhode Island ratepayers by offering the potential for reduced energy price
volatility and reduction of energy supply costs in the context of an integrated regional energy
system;
     (iv) Will not cause unacceptable harm to the environment and are consistent with the
region's greenhouse gas reduction goals established in chapter 6.2 of title 42 (the "2021 Act on
Climate"); and
     (v) Will enhance the economic fabric of the state.
     (6) The commission shall issue a written determination of its findings within ten (10)
business days of its open-meeting decision and provide copies of that determination, along with
copies of all advisory opinions, public comment, and any other materials deemed relevant to the
commission determination, to the governor, the president of the senate, the speaker of the house,
the commissioner of the office of energy resources, and the administrator of the division of public
utilities and carriers.
     (d) A determination issued by the commission shall constitute the sole, final, binding, and
determinative regulatory decision within the state for the purpose of authorizing the state to support
a proposed, regional energy-infrastructure project(s) that is funded through the Federal Energy
Regulatory Commission approved tariffs on a regional and/or multistate basis pursuant to this
chapter. Appeals shall be governed by § 39-5-1.
     (e) Upon issuance of a written determination by the commission finding that the proposed
project(s) is in the public interest, the office of energy resources and division of public utilities and
carriers shall, on behalf of the state, be authorized to support any state, regional, and/or multistate
process necessary to implement the project(s), including, without limitation, supporting any
necessary and related Federal Energy Regulatory Commission filings; provided, however, that any
commitments made by the electric or gas distribution company to implement the proposals remain
voluntary and subject to § 39-31-5.
     (f) Nothing in this section shall be construed to preclude the electric or gas distribution
company from making a filing under § 39-31-6, simultaneous with a filing under this section by
the office of energy resources and the division of public utilities and carriers, in which case the
filings made under §§ 39-31-6 and 39-31-7 shall be consolidated.
     SECTION 2. Section 39-26.1-4 of the General Laws in Chapter 39-26.1 entitled "Long-
Term Contracting Standard for Renewable Energy" is hereby amended to read as follows:
     39-26.1-4. Financial remuneration and incentives.
     In order to achieve the purposes of this chapter, electric distribution companies shall be
entitled to financial remuneration and incentives for long-term contracts for newly developed
renewable energy resources, which are over and above the base rate revenue requirement
established in its cost of service for distribution ratemaking. Such remuneration and incentives shall
compensate the electric distribution company for accepting the financial obligation of the long-
term contracts. The financial remuneration and incentives described in this section shall apply only
to long-term contracts for newly developed renewable energy resources. For long-term contracts
approved pursuant to this chapter before January 1, 2022, the The financial remuneration and
incentives shall be in the form of annual compensation, equal to two and three quarters percent
(2.75%) of the actual annual payments made under the contracts for those projects that are
commercially operating, unless determined otherwise by the commission at the time of approval.
For long-term contracts approved pursuant to this chapter on or after January 1, 2022, including
contracts above the minimum long-term contract capacity, the financial remuneration and
incentives shall be in the form of annual compensation up to one percent (1.0%) of the actual annual
payments made under the contracts through December 31, 2026, for those projects that are
commercially operating. For all long-term contracts approved pursuant to this chapter on or after
January 1, 2027, financial remuneration and incentives shall not be applied, unless otherwise
granted by the commission. For any calendar year in which the electric distribution company’s
actual return on equity exceeds the return on equity allowed by the commission in the electric
distribution company’s last general rate case, the commission shall have the authority to adjust any
or all remuneration paid to the electric distribution company pursuant to this section in order to
assure that such remuneration does not result in or contribute toward the electric distribution
company earning above its allowed return for such calendar year.
     SECTION 3. Chapter 39-31 of the General Laws entitled "Affordable Clean Energy
Security Act" is hereby amended by adding thereto the following sections:
     39-31-10. Offshore Wind Procurement wind procurement.
     (a) The electric distribution company is hereby authorized and required to issue a request
for proposals for at least six hundred megawatts (600 MW) but no greater than on one thousand
megawatts (1,000 MW) of newly-developed offshore wind capacity no later than October 15, 2022.
The electric distribution company shall develop the request for proposals (RFP) in consultation
with the Rhode Island office of energy resources and the Rhode Island division of public utilities
and carriers. Review of any proposed contract(s) resulting from this procurement shall be
conducted by the commission consistent with the requirements of this chapter. The request for
proposals shall require all bidders to provide, at a minimum, information on potential
environmental impacts through the submittal of an environmental and fisheries mitigation plan,
which shall include site and environmental data transparency requirements; a site layout plan and
maps that illustrate the location of all on-shore and offshore equipment and facilities and clearly
delineates the perimeter of the area in which offshore wind turbines will be placed; annualized
estimates for all economic benefits, including the specific in-state expenditures and employment
proposed during the development, construction, and operation and maintenance phases of the
project; a diversity, equity, and inclusion plan that, at a minimum, provides the bidder’s proposed
strategy to enable access to employment and vendor opportunities for historically marginalized
communities; identification of Rhode Island vendors and other domestic offshore wind supply
chain opportunities associated with the project; and a plan outlining the bidder’s intentions with
respect to the negotiation of a project labor agreement(s) to cover construction activities on a
proposed project. This information shall be incorporated in the procurement’s evaluation and
scoring criteria.
     (b) The electric distribution company, prior to its issuance, shall file the RFP as described
in § 39-31-10(a) subsection (a) of this section with the commission solely for the purpose of
soliciting public comment. The RFP shall be available for thirty (30) days and the commission shall
accept written comment throughout that period, and it shall hold one public hearing to accept oral
comments. Following the public comment period, the electric distribution company shall issue the
RFP with no further action of the commission. Should the electric distribution company
subsequently file a contract resulting from the RFP under subsection (c) of this section, or an
alternative filing under subsection (d) of this section, it shall provide testimony responding to the
public comments either indicating how it was incorporated into the final filing or was not germane
to the procurement.
     (c) Unless the electric distribution company determines that the bids are unlikely to lead to
contracts that comply with all of the requirements of this section and § 39-31-6, it shall select a
project or projects for negotiating a contract that shall be conditioned upon approval by the
commission. Negotiations shall proceed in good faith to achieve a commercially reasonable
contract that meets the standards set forth in this chapter. Should the distribution company and the
selected party agree to a contract, the contract shall be filed with the commission no later than
March 15, 2024, for commission approval. The commission shall review the contract and issue an
order approving or disapproving the contract within one hundred twenty (120) days of the filing. If
the parties are unable to reach agreement on a contract prior to March 15, 2024, an unsigned copy
noting which items have mutual agreement and providing each parties’ preferred terms that remain
in dispute shall be filed with the commission by the electric distribution company prior to that same
date. The commission shall have the authority to evaluate the unsigned contract consistent with the
terms of this chapter, rule on any outstanding terms in dispute, and order the electric distribution
company to execute the approved contract. In such case of a disputed contract, the commission has
the discretion to extend the deadline for approval as needed to complete its review.
     (d) If the electric distribution company determines that the bids are unlikely to lead to
contracts that meet all of the requirements of this section and § 39-31-6, it shall submit a filing to
the commission together with testimony to explain why it should not be required to negotiate a
contract. The commission shall review and rule on the filing within ninety (90) days, which review
shall include soliciting input from the agencies required to provide advisory opinions to the
commission, and public comment. If the electric distribution company fails to show that the bids
are unlikely to lead to a contract that meets all the requirements of this section and § 39-3-6 39-31-
6 the commission may order the utility to proceed with negotiations as set forth in subsection (c)
of this section.
     (e) Long-term contracts shall require that developers of newly developed renewable energy
resources will enter into a labor peace agreement with at least one bona fide labor organization
either where such bona fide labor organization is actively representing employees providing
necessary construction, operations and maintenance services for the newly developed renewable
energy resource at the time of such agreement or upon notice by a bona fide labor organization that
is attempting to represent employees who will provide necessary operations and maintenance
services for the renewable energy system employed in the state. The maintenance of such a labor
peace agreement shall be an ongoing material condition of any continuation of payments under the
contract.
     (f) Developers of newly developed renewable energy resources shall pay each construction,
operations and maintenance employees wages and benefits that are not less than the prevailing
wage and fringe benefit rates at the journeyman level that are prescribed by the department of labor
and training pursuant to chapter 13 of title 37, for the corresponding classification in which the
employee is employed, and not less than the prevailing wage rates for employees for which there
is no classification prescribed by the department of labor and training; provided that, a worker may
be paid wages and benefits not less than the rate applicable to apprentices for the pertinent
classification if:
     (1) The worker is a participant in an approved apprenticeship program; and
     (2) The approved apprenticeship program from which the apprentice is hired maintains a
direct entry agreement with a certified pre-apprenticeship training program.
     (g) Solicitations by the electric distribution company shall reflect the requirements of this
section.
     39-31-11. Financial remuneration and incentives.
     In order to achieve the purposes of this chapter, electric distribution companies shall be
entitled to financial remuneration and incentives for long-term contracts for newly developed
renewable energy resources, which are over and above the base rate revenue requirement
established in its cost of service for distribution ratemaking. Such remuneration and incentives shall
compensate the electric distribution company for accepting the financial obligation of the long-
term contracts. For long-term contracts approved pursuant to this chapter on or after January 1,
2022, the financial remuneration and incentives shall be in the form of annual compensation up to
one percent (1.0%) of the actual annual payments made under the contracts through December 31,
2026, for those projects that are commercially operating. For long-term contracts approved
pursuant to this chapter on or after January 1, 2027, financial remuneration and incentives shall not
be applied, unless otherwise granted by the commission. For any calendar year in which the electric
distribution company’s actual return on equity exceeds the return on equity allowed by the
commission in the electric distribution company’s last general rate case, the commission shall have
the authority to adjust any or all remuneration paid to the electric distribution company pursuant to
this section in order to assure that such remuneration does not result in or contribute toward the
electric distribution company earning above its allowed return for such calendar year.
     39-31-12. Bid fees.
     Bidders submitting project proposals responsive to any competitive procurements issued
pursuant to this chapter may be charged bid fees by the electric distribution company to pay for all
reasonable costs of consultants and counsel that may be hired by the Rhode Island office of energy
resources, the division of public utilities and carriers, the commerce corporation, and/or the
department of environmental management to meet the requirements of this chapter, up to a cap of
two hundred thousand dollars ($200,000) per agency. Any bid fees collected by the electric
distribution company for purposes of implementing this subsection section must be specified in
procurement documents. The electric distribution company shall be required to transfer to each
agency any invoiced funds within thirty (30) days of invoice receipt.
     SECTION 4. This act shall take effect upon passage, except as otherwise provided within
the statute.
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LC004951/SUB A/4
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