Energy Plan Proposed to Alter Rhode Island Utility Bills
A new proposal aims to lower electricity costs by adjusting state renewable energy requirements and taxes.
Updated on Oct. 1, 2026 in Electric Vehicles
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Independent gubernatorial candidate Ken Block has proposed an energy plan designed to reduce monthly electricity bills for Rhode Island households. The plan seeks to slow the current transition to renewable energy and remove specific taxes from utility charges.
Why it matters
The proposal addresses concerns that aggressive renewable energy transition timelines and infrastructure taxes currently threaten the economic health of local households. High compliance costs and taxes are currently passed directly to ratepayers in their base delivery charges.
Rhode Island currently mandates 100% renewable energy by 2033, with 41% required for 2026. Only 44.5% of renewable energy credits are currently purchased from within the state.
The players
Ken Block
An independent gubernatorial candidate who has proposed legislative changes to energy taxation and renewable transition timelines.
Rhode Island Energy
The primary utility provider in the state, which currently pays municipal property taxes that are passed on to consumer bills.
The details
Electricity suppliers meet state requirements by purchasing renewable energy credits or making alternative compliance payments. Municipal property taxes on utility infrastructure are bundled into base delivery charges, which appear on monthly consumer bills. The proposed plan aims to remove these municipal and state gross receipts taxes, which are currently set at 4% of total electricity bills, to provide immediate relief to residents.
Timeline
2024: Compliance costs for renewable energy reached $70 to $75 million.
2025: Municipalities levied $99.8 million in property taxes on utilities.
2026: The state renewable energy requirement stands at 41%.
2029: The state renewable energy requirement will reach 63.5%.
2033: Current deadline to reach 100% renewable energy.
The Home Front
The proposal challenges the state's existing 100% renewable energy mandate by extending the compliance deadline. It reflects a broader effort to mitigate rising household electricity costs by restructuring how utility infrastructure taxes are recovered from ratepayers.
Review your monthly utility statement to see the breakdown of base delivery charges and gross receipts taxes. Monitor upcoming legislative sessions for potential changes to how municipal infrastructure taxes are applied to your energy account.
The takeaway
The proposed plan suggests that adjusting energy transition timelines and removing utility-specific taxes could provide financial relief for households. Residents should track energy policy updates that may change how delivery charges and state taxes are calculated on their monthly bills.
Further reading
Learn more about local power dynamics in the Electric Vehicles section.
Source note: This article includes information reported by USA TODAY.
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Is slowing the renewable energy transition the right way to manage energy costs in your area?
