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Bill 867

                    Current Status

Bill Number:                      867
Type of Legislation:              Joint Resolution JR
Introducing Body:                 Senate
Introduced Date:                  20020115
Primary Sponsor:                  Verdin
All Sponsors:                     Verdin, Grooms and Fair
Drafted Document Number:          l:\council\bills\swb\5044djc02.doc
Residing Body:                    Senate
Current Committee:                Judiciary Committee 11 SJ
Subject:                          Moratorium on certification of certain 
                                  utility facilities, exemptions and exceptions


                        History

Body    Date      Action Description                     Com     Leg Involved
______  ________  ______________________________________ _______ ____________
Senate  20020115  Introduced, read first time,           11 SJ
                  referred to Committee


              Versions of This Bill

TO PROVIDE A MORATORIUM UNTIL JUNE 30, 2003, ON THE CERTIFICATION OF ANY MAJOR UTILITY FACILITY NOT CONSTRUCTED BY A UTILITY CURRENTLY SERVING RETAIL CUSTOMERS IN SOUTH CAROLINA AND THAT DOES NOT HAVE AT LEAST SEVENTY-FIVE PERCENT OF ITS GENERATION CAPACITY UNDER A CONTRACT WITH A DURATION OF AT LEAST TEN YEARS WITH UTILITIES WHICH PROVIDE RETAIL ELECTRIC SERVICE TO CUSTOMERS IN SOUTH CAROLINA, TO PROVIDE EXCEPTIONS TO THE ABOVE MORATORIUM, AND TO PROVIDE THAT THE PUBLIC SERVICE COMMISSION SHALL CONDUCT A STUDY OF THE NEEDS FOR THE SITTING AND CONSTRUCTION OF THESE MERCHANT PLANTS.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. As a result of the concern over the proliferation of merchant plants in South Carolina, the Public Service Commission shall conduct a study of the needs for the sitting and construction of these plants. The study shall be submitted to the General Assembly not later than June 30, 2002. The study will focus on issues affecting merchant plants sitting in South Carolina including, but not limited to, the following:

(1) the original intent of the provisions of law relating to such plants versus its present interpretation relative to merchant plants;

(2) the existence of contractual obligations by merchant plants prior to construction;

(3) the impact on the transmission system;

(4) the impact on the supply and demands of prices of natural gas; and

(5) the potential impact on future sitting of generation facilities by utility companies currently providing retail electric service in South Carolina.

SECTION 2. Notwithstanding the provisions of Article 3, Chapter 33, Title 58 of the 1976 Code, a moratorium is imposed on the certification of any major utility facility, as defined in Article 3, Chapter 33, Title 58, not constructed by a utility currently serving retail customers in South Carolina and that does not have at least seventy-five percent of its generation capacity under a contract with a duration of at least ten years with utilities which provide retail electric service to customers in South Carolina. Utilities which have received certification by the Public Service Commission before the effective date of this joint resolution are exempt from this moratorium. This moratorium is in effect until June 30, 2003. The General Assembly has determined to enact the provisions of this section because of a concern over the proliferation of these merchant plants in South Carolina.

SECTION 3. This joint resolution takes effect upon approval by the Governor.

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