Maine Voters Set to Decide on Replacing Corporate Electric Utilities with Nonprofit Pine Tree Power in Landmark Referendum
Landmark Maine vote may lead to first statewide takeover of private utilities in US, amidst rising electricity costs and dissatisfaction with existing service.
- Maine voters are set to decide whether to replace the state’s two largest electric utilities, Central Maine Power and Versant Power, with a nonprofit utility named Pine Tree Power. If successful, this would mark the first time a U.S. state's utilities were forcibly removed simultaneously.
- The takeover aims to address dissatisfaction with existing utilities, which rank near the bottom in customer satisfaction due to high electricity rates and slow response to power outages. Pine Tree Power promises improved performance and greater investments in the grid for the benefit of ratepayers, not shareholders.
- The proposed new utility would be managed by mostly elected members and a few appointed ones, focussing on lower costs and improved services. It is also expected to offer reduced interest rates for long-term borrowing for capital improvements.
- Opponents, including Governor Janet Mills, express concerns over the risk of the power grid becoming politicized and the potential high costs of buying out the utilities, which could lead to protracted litigation. Maine's Public Advocate warns that legal disputes could delay the new utility's implementation by a considerable period.
- The proposed takeover has sparked interest and similar considerations in other communities across the country. However, doubts persist over whether changing ownership can address the core challenges faced by the industry. It is also underlined that Pine Tree Power will face the same constraints as the current utilities in maintaining infrastructure and controlling electricity costs.
Washington Post 
Associated Press 
