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Minutes for SB133 - Committee on Utilities

Short Title

Exempting the retail sale of electricity by public utilities for electric vehicle charging stations from the jurisdiction of the state corporation commission.

Minutes Content for Wed, Feb 10, 2021

Matt Sterling, Office of the Revisor of Statutes, gave an overview of the bill, explaining that SB133 would amend K.S.A. 66-104 concerning the definition of public utilities that are subject to the jurisdiction of the Kansas Corporation Commission. SB 133 would exempt from public utility regulation any activity of an otherwise jurisdictional entity as to the marketing or sale of electricity that is purchased through a retail electric supplier in the certified territory of that retail electric supplier for the sole purpose of the provision of electric vehicle charging service to end users. Under SB 133, such vehicle charging services would not be regulated as a public utility.

The Chairman called for proponent testimony on the bill.

Proponents, Oral

Justin Wilson, Director, Public Policy, ChargePoint, Inc., spoke as a proponent of the bill, stating that 35 states have come to the conclusion that electric vehicle charging stations are providing a service, not power, and therefore should not be considered a public utility.  (Attachment 1)  He further said that passing this bill would be a critical step in setting up a robust, competitive marketplace for electric vehicle charging stations. (Attachment 2)

Mark Augustine, President, Triplett, Inc., spoke as a proponent of the bill, stating that his company, which owns ten 24-7 Travel Stores in Kansas, is one of many petroleum marketers evolving their business models to include alternative fuels. He said they have stopped short of installing charging stations due to not being able to price the electricity on a Kilo Watt Hour.  He then explained that 24-7 Travel Stores has received a grant from the Department of Energy to roll out biofuels and electric vehicle charging stations across their Kansas stores, and that full utilization of this grant hinges on the passage of SB133(Attachment 3)

Jeff McClanahan, Director, Utilities Division, Kansas Corporation Commission (KCC), spoke as a proponent of the bill.  He stated Staff of the Commission (Staff) supports SB133 because it allows a competitive market to develop by allowing private individuals or entities an exemption from public utility status and an exemption from the Retail Electric Supplier Act.  He said with SB133 in place, Staff can protect a developing competitive market by ensuring a public utility under their jurisdiction does not leverage its monopoly power to create an unfair advantage. (Attachment 4)

Chuck Caisley, Senior Vice President, Marketing and Public Affairs, Evergy, Inc. spoke as a proponent of the bill, stating that Evergy supports the expansion of electric vehicles and the associated charging infrastructure.  He said that increased electric vehicle use is one option for growing a utility's load factor and allowing fixed costs to be spread over a greater number of kilowatt hours. (Attachment 5)

Stanley Rasmusson, Department of Defense, Regional Environmental Coordinator,  spoke as a proponent of the bill, stating the Army plans on more of its fleet vehicles becoming electric vehicles because of cost savings, lower maintenance, and the greater silence when operated.  He said SB133 would enhance the infrastructure for electric vehicles, and accordingly, the U.S. Department of Defense supports the bill.  (Attachment 6)

Written proponent testimony was provided by the following:

Doug Shepherd, Vice President of Management Consulting Services, Kansas Electric Cooperatives, Inc. (Attachment 7)

Kelly Gilbert, Executive Director & KC Reg. Clean Cities Coordinator, and Tami Alexander, Program Coordinator, Central Kansas Clean Cities, Metropolitan Energy Center (Attachment 8 )

Jim Frank, CEO, EV BUILD (Attachment 9)

Following the proponent oral testimony, the conferees stood for a period of questions and answers.  Discussion ensued.

Seeing no more questions, the Chairman adjourned the meeting at 2:30 pm.