I thank the House for allowing me to discuss the Fair RATES Act, H.R. 2984, and for bringing it to the floor for a vote.
I also thank Chairman Whitfield, Chairman Upton, Ranking Members Rush and Pallone, as well as the committee staffs on both sides, for their work with our office to help this bill move forward. In particular, to echo Chairman Whitfield's comments, he has been an incredible partner with us as we have tried to move this bill forward, and I am truly grateful for his assistance in doing so.
Mr. Speaker, every year regulators in New England hold energy capacity auctions to ensure that we have sufficient energy that is generated to meet consumer demand. Two years ago, during an auction, there was a shortfall that triggered administrative pricing at triple the current capacity payments, skyrocketing from about $1 billion to $3 billion.
That rate increase hasn't even reached our constituents yet, and our region already pays the highest energy rates in the continental United States. Next June, a significant portion of their bills will triple due to that auction.
When the Federal Energy Regulatory Commission reviewed the rate increase, it was down to four commissioners and it deadlocked 2-2. One Democratic Commissioner and one Republican Commissioner raised concerns about whether those rates were just and reasonable for consumers. However, the rates took effect by operation of law without any action from FERC; and because there was no official decision by FERC, there was no decision to appeal, holding our constituents voiceless.
Another annual auction just took place last month with rates, again, that were three times higher than they are today. Those rates are, again, being reviewed by a shorthanded FERC, which sets up the potential for the exact same outcome of consumers, once again, being shut out of the process.
With bipartisan support and endorsements from the American Public Power Association, the New England Public Power Association, the National Rural Electric Cooperative Association, my bill, the Fair RATES Act, would simply ensure that avenues of good governance remain open. It provides that if at any time rate changes take effect by operation of law without Commission action, deadlocked or otherwise, aggrieved parties retain the right to protest those rates through the process that is outlined by the Federal Power Act.
I am the first to admit that this is a complex issue, but my bill is a simple fix to a complex problem. When we as lawmakers identify a flaw in one of our laws, especially one that unduly harms our constituents, it is our obligation to act to amend the law.
The unpredictability of my region's energy rates means families can't save for the future and local businesses can't grow. The least we can do is to ensure that they will never be held voiceless when their electric bills arrive at the end of each month; so I urge my colleagues to support this bill.
Mr. Speaker, I also want to give particular thanks to the committee staffs on both the majority and minority sides, including Patrick Currier, Allison Trexler, Rick Kessler, Caitlin Haberman, and Alexander Ratner.
Finally, I have to acknowledge somebody on my own team, Eric Fins, who knows more about energy rates and capacity markets than he ever thought he would, and I am grateful for that. He is now writing a law school essay on the topic.
I yield back the balance of my time.
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