Iowa Supreme Court Rules Right of First Refusal Unconstitutional

(Des Moines, IA) -- The Iowa Supreme Court is striking down a law related to energy companies' right of first refusal. That's a statute that allows already established local utility companies to accept or reject a project, like a transmission line, before other companies can bid on it. The defendants in the lawsuit argued it's necessary for reliability purposes while those who brought the lawsuit forward say it limits competition and innovation. The state Supreme Court ruled the provision unconstitutional. That means any approvals from the Iowa Utilities Commission that used the right of first refusal while the provision was held up in court must now be re-evaluated.