Florida Senate - 2010 SB 1104 By Senator Fasano 11-01012B-10 20101104__ 1 A bill to be entitled 2 An act relating to standards of electric service for 3 investor-owned utilities; creating s. 366.042, F.S.; 4 requiring the Florida Public Service Commission to 5 adopt rules establishing standards that an investor 6 owned utility must follow in delivering reasonable and 7 reliable electric service to its retail customers; 8 requiring the commission to analyze each investor 9 owned utility’s annual distribution reliability report 10 and other sources of information; requiring that the 11 commission investigate claims of inadequate or 12 unreliable electric service; authorizing the 13 commission to impose a penalty on an investor-owned 14 utility if the commission determines that the 15 investor-owned utility does not meet the electric 16 service standards adopted by the commission; providing 17 for the penalty to apply each day that the violation 18 continues; requiring that collected penalties be 19 deposited into the General Revenue Fund and 20 appropriated to the commission for distribution to 21 affected customers as compensation for the electric 22 utility’s unreliability and for compensable loss 23 incurred due to the absence of electrical service for 24 extended and repeated periods of time; providing an 25 effective date. 26 27 Be It Enacted by the Legislature of the State of Florida: 28 29 Section 1. Section 366.042, Florida Statutes, is created to 30 read: 31 366.042 Standards of electric service and reliability.— 32 (1) The commission shall adopt rules establishing standards 33 that an investor-owned utility must follow if the investor-owned 34 utility is to deliver reasonable and reliable electric service 35 to its retail customers. 36 (2) In developing these rules, the commission shall 37 analyze, along with other sources of information, each investor 38 owned utility’s annual distribution reliability report for 39 information that: 40 (a) Summarizes the number of electric outage events; 41 (b) Calculates the average duration of the electric outage 42 events; 43 (c) Describes the cause of each electric outage event; and 44 (d) Calculates the utility’s average service-restoration 45 time for each electric outage event. 46 (3) The commission shall investigate all claims of 47 inadequate or unreliable electric service filed by retail 48 customers to determine if the investor-owned electric utility 49 failed to meet the adopted standards. 50 (4)(a) If the commission determines that an investor-owned 51 utility does not meet the electric service and reliability 52 standards adopted by the commission, the commission may impose a 53 penalty of not more than $5,000 for each day the violation 54 continues. The collected penalties shall be deposited into the 55 General Revenue Fund. 56 (b) The commission shall order the investor-owned electric 57 utility to compensate affected customers as compensation for the 58 electric utility’s unreliability and for compensable loss 59 incurred by the affected customers due to the absence of 60 electrical service for extended and repeated periods of time. 61 (c) Any compensation or penalties paid under this 62 subsection may not be recovered from the electric utility’s 63 ratepayers. 64 Section 2. This act shall take effect July 1, 2010.