Louisiana Law Forces Utilities To Repay Overcharges Within 90 Days

Louisiana utility customers who get overcharged now have a hard deadline working in their favor. A new state law, Act 553, requires water, gas and electric providers across Louisiana to reimburse overcharged customers in full within 90 days of when the error is discovered or reasonably should have been discovered.

The law took effect in August 2026 and was authored by Representative Alonzo Knox, a New Orleans Democrat, according to WVUE. Knox said Louisianans should not accept being overcharged for a service not rendered, framing the measure as a basic fairness fix for household budgets already stretched thin by rising utility costs. The measure became law before taking effect in August 2026.

The law goes beyond a simple refund mandate. Per the Louisiana State Legislature, regulated utilities must explicitly label reimbursements as an “overcharge reimbursement” or similar phrasing directly on customer bills, and companies must mail refunds to a former customer’s last known address if that person’s service has already ended.

New Orleans Residents Are Divided

Reaction on the ground in New Orleans has been mixed. Alvin Branch expressed skepticism about whether the new law will actually change anything for customers dealing with utility disputes. Richard Gatlin, by contrast, supported the 90-day reimbursement requirement, saying the fixed timeline lets customers plan around receiving their money instead of waiting indefinitely on a company’s own schedule…

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