Louisiana utility customers who are overcharged by certain water, gas or electric providers must receive a full reimbursement under a new state law that took effect Aug. 1, 2026.

Act 553, created through House Bill 478 by Rep. Alonzo Knox, requires utility providers to issue reimbursement within 90 calendar days after an overcharge is discovered or reasonably should have been discovered.

The law applies to utility providers regulated by the Louisiana Public Service Commission or a local governmental subdivision, as well as water, gas and electric providers owned or operated by a local governmental subdivision.

An overcharge is defined as an amount billed to a customer that exceeds a lawful rate, tariff or authorized charge.

Reimbursements must be identified as an “overcharge reimbursement” or with similar wording unless a regulatory authority orders otherwise.

If a customer has ended service with the utility provider, the reimbursement must be sent within 90 days to the former customer’s last known address listed in the account. It must also be labeled as an overcharge reimbursement or similar wording unless otherwise directed by the appropriate regulatory authority.

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