Prohibits public utilities, serving greater 100,000 customers from recovering through rates any direct or indirect cost associated with, amongst other costs, advertising, marketing, communications.

What This Bill Does

This bill would prevent large public utilities in Rhode Island — those serving more than 100,000 customers — from passing certain business expenses on to their customers through their utility rates. Specifically, it would ban these companies from charging customers for costs related to advertising, marketing, and communications, among other similar expenses. In other words, if a utility company spends money promoting its services or running marketing campaigns, it would have to cover those costs itself rather than building them into the rates that customers pay on their bills.

Who It Affects

This bill primarily affects large utility companies operating in Rhode Island, such as electric or gas providers with sizable customer bases. It also directly affects everyday Rhode Islanders who pay utility bills. Currently, utility rates are set by regulators and can include a variety of company operating costs — meaning customers may already be indirectly paying for a utility's advertising and marketing activities without realizing it. If this bill becomes law, those particular costs would no longer be allowed to factor into what customers are charged, which could potentially lower or slow the growth of utility bills for residents and businesses.

Where It Stands

The bill has been introduced in the Rhode Island Senate and referred to the Senate Commerce Committee, with a hearing scheduled for April 7, 2026. It has not yet been voted on or signed into law.