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State bills spur debate over who should build transmission: incumbent utilities or independent companies

February 23, 2023

Lawmakers in at least five states are considering bills to give incumbent utilities a right-of-first-refusal to build transmission lines that grid operators put out to bid, excluding independent transmission companies from the business.

The legislation comes ahead of an expected transmission buildout that is viewed as needed to improve grid reliability and provide access to areas rich in wind and solar resources. The bills could determine who builds and profits on parts of that buildout: incumbent utilities or independent transmission companies.

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