Maine House rebuffs plan to use performance as guide for utility rates [Video]

The state House of Representatives rejected legislation Wednesday that would take a first step toward authorizing regulators to gauge a utility’s performance when setting rates.

The measure, criticized by a Democrat as “permissive,” and a Republican as redundant, was defeated 67-75 as 11 Democrats joined unanimous Republican opposition. It now heads to the Senate.

The legislation, L.D. 2172, amended a previous version proposing a framework to improve performance-based metrics already in state law.

The original bill said the Public Utilities Commission may establish performance-based metrics and rate adjustment mechanisms as part of rate-setting. It was meant to address complaints by customers of Central Maine Power and Versant Power over rising rates and storm-related outages after voters defeated an effort to create a publicly owned utility in November.

The amended legislation would still authorize performance-based metrics, but also require the PUC to schedule a proceeding every three years to “examine regulatory tools based on …