PA Chamber President Gene Barr said his organization applauds the passage of HB 1947 Wednesday, which preserves the right of an individual or business to be served by the utility and energy source of their choosing.
The legislation passed 118-83.
“Pennsylvania has a myriad of energy options available, so businesses must have an option to access every energy choice to be competitive in the global market,” Barr said. “Government should not decide who gets a share of the market and what that share should be. House Bill 1947 ensures energy affordability and reliability for both businesses and consumers.”
The bill, authored by state Rep. Tim O’Neal (R-Washington), would limit local governments in the state from restricting a utility based on the type of energy source – a continuation and extension of long-standing public policy that energy policy is the prerogative of state government. Nineteen states have passed similar legislation preempting local governments from passing such laws.
“Some major U.S. cities have enacted or have proposed laws to ban or curb the use of fossil fuels in new homes and buildings,” O’Neal said. “It is important that people have the opportunity to choose their energy source and that a wide variety of options are available. By enacting this law, Pennsylvania would join states such as Arizona, Texas, Oklahoma, Tennessee, Kansas, and Louisiana in preserving choice.”
Specifically, the bill would prohibit municipalities from banning the use of natural gas through the adoption of a policy that restricts or prohibits connection of a utility service based on the type of energy source delivered to a consumer within the municipality; and would prohibit the discrimination against a utility service provider based on the nature of the source of the utility service provided to the consumer.
However, the bill does not restrict the municipality from managing or operating a publicly owned utility or taking steps to reduce greenhouse gas emissions from municipal facilities and operations, including purchasing renewable energy.
The Chamber said that energy choice yields a reduction in both costs and emissions. As more businesses execute sustainability strategies, state policy must give them continued assurance that municipal governments will not interfere with their ability to choose the energy source that best serves their needs.
The bill now goes before the state Senate.