Officials look to change utility laws

Would fine companies $500K per customer

Updated: Thursday, 02 Apr 2009, 6:11 AM EDT
Published : Thursday, 02 Apr 2009, 6:11 AM EDT

BOSTON (AP) - State officials are pushing for legislation that would fine utility companies up to $500,000 per customer for each day they fail to restore service to consumers.

The Telecommunications Committee held a Wednesday hearing on a series of bills filed by Sen. Jennifer Flanagan, D-Leominster. The bills would also require public hearings before any rate increase, mandate that utilities have enough workers to repair damaged equipment and establish an annual review process for performance.

Secretary of State William Galvin said the current civil penalty if the state finds a company did not act properly to restore service is capped at $1 million. He said that is a "sweetheart deal" for electric utilities.

Officials say the measures are a response to a December ice storm, which left some Massachusetts residents without power for almost two weeks.
 

Copyright Associated Press, Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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