State Codes and Statutes

Statutes > Nebraska > Chapter70 > 70-1001

70-1001. Declaration ofpolicy.In order to provide the citizens of thestate with adequate electric service at as low overall cost as possible, consistentwith sound business practices, it is the policy of this state to avoid andeliminate conflict and competition between public power districts, publicpower and irrigation districts, individual municipalities, registered groupsof municipalities, electric membership associations, and cooperatives in furnishingelectric energy to retail and wholesale customers, to avoid and eliminatethe duplication of facilities and resources which result therefrom, and tofacilitate the settlement of rate disputes between suppliers of electricity.It is also the policy of the state to prepare for an evolvingretail electricity market if certain conditions are met which indicate thatretail competition is in the best interests of the citizens of the state.The determination on the timing and form of competitive markets is a matterproperly left to the states as each state must evaluate the costs and benefitsof a competitive retail market based on its own unique conditions. Consequently,there is a need for the state tomonitor whether the conditions necessary for its citizens to benefit fromretail competition exist.It is alsothe policy of the state to encourage and allow opportunities for private developersto develop, own, and operate renewable energy facilities intended primarilyfor export from the state under a statutory framework which protects the ratepayersof consumer-owned utility systems operating in the state from subsidizingthe costs of such export facilities through their rates. SourceLaws 1963, c. 397, § 1, p. 1259; Laws 1971, LB 349, § 4; Laws 1981, LB 181, § 42; Laws 2000, LB 901, § 6; Laws 2010, LB1048, § 2.Effective Date: July 15, 2010AnnotationsPublic policy underlying encouragement of publicly owned electric utilities is to provide power to consumers at reasonable rates at as low overall cost as possible and to avoid duplication of facilities. Nebraska P. P. Dist. v. City of York, 212 Neb. 747, 326 N.W.2d 22 (1982).Before any electric generation facilities may be constructed, an application must be filed with the board, a hearing held at which any interested party may appear, and approval by the board obtained. Omaha P. P. Dist. v. Nebraska P. P. Project, 196 Neb. 477, 243 N.W.2d 770 (1976).The 1971 amendment extended the policy of the act to wholesale as well as retail sales of electrical energy. City of Lincoln v. Nebraska P. P. Dist., 191 Neb. 556, 216 N.W.2d 722 (1974).Public policy of state with regard to electrical service stated. Cornhusker P. P. Dist. v. Loup River P. P. Dist., 184 Neb. 789, 172 N.W.2d 235 (1969).Legislature authorized board on notice and hearing to establish service areas in the event of nonagreement. City of Gering v. Gering Valley Rural P. P. Dist., 180 Neb. 241, 142 N.W.2d 155 (1966).The article, of which this section is a part, is constitutional. City of Auburn v. Eastern Nebraska Public Power Dist., 179 Neb. 439, 138 N.W.2d 629 (1965).