Gov. Kim Reynolds introduced new legislation last week to strengthen Iowa’s energy leadership, support growing energy demands, and maintain low electricity costs while ensuring grid reliability. The bill builds on Iowa’s status as the top state for renewable electricity generation, with nearly 65 percent of its power from renewable sources, and among the top 10 nationally for grid reliability. Key provisions include establishing flexible rate tools to attract large energy-consuming businesses, modernizing the Energy Infrastructure Revolving Loan Program for critical energy and water projects, and mandating integrated resource plans from rate-regulated utilities every five years. The legislation also seeks to expand eligibility for advanced ratemaking proceedings to promote diverse energy technologies, create a partnership with Iowa State University for independent energy assessments, and clarify permitting authority for anaerobic digesters to bolster Iowa’s bioeconomy. The proposed bill also factors economic development into Iowa Utilities Commission contract reviews and grants incumbent utilities the right of first refusal on new transmission projects, with protections for landowners during construction. The framework now heads to the Iowa Legislature for debate.
