CHAPTER 269

(SB 182)

Public utility rate setting revised.

         ENTITLED, An Act to  revise and establish certain provisions regarding the setting of rates for public utilities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:

     Section 1. That § 49-34A-8 be amended to read as follows:

     49-34A-8.   The Public Utilities Commission commission , in the exercise of its power under this chapter to determine just and reasonable rates for public utilities, shall give due consideration to the public need for adequate, efficient , economical, and reasonable service and to the need of the public utility for revenues sufficient to enable it to meet its total current cost of furnishing such service, including taxes and interest, and including adequate provision for depreciation of its utility property used and necessary in rendering service to the public, and to earn a fair and reasonable return upon the value of its property.

     Section 2. That chapter 49-34A be amended by adding thereto a NEW SECTION to read as follows:

     The burden is on the public utility to establish that the underlying costs of any rates, charges, or automatic adjustment charges filed under this chapter are prudent, efficient, and economical and are reasonable and necessary to provide service to the public utility's customers in this state.

     Signed March 7, 2007

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