Bill > A1242

Introduced Session

This bill exempts from the State sales and use tax the retail sales of natural gas and electrical services for residential customers from December 1 of each year through April 15 of the succeeding calendar year. Public utilities that provide natural gas and electric services would be required, at the conclusion of each monthly billing cycle, to deduct from each customer's bill the amount that represents the sales and use tax. The State of New Jersey finds itself in the midst of a worsening affordability crisis. Inflation has made it harder to afford basic goods and services while disruptions brought on by the war in Ukraine have sent global energy costs soaring. Locally, this had led to an increase in residential energy costs with the New Jersey Board of Public Utilities recently approving double-digit rate increases for the State's four largest gas providers. These rate hikes ranged from 15 percent to 25 percent and, if implemented fully by gas providers, would represent an increase to the average household's energy bill of approximately $300 annually. With the regular occurrence of harsh winters in our area, it is imperative for the State to find ways to help ease this financial burden. By exempting the purchase of natural gas and electrical services from the sales and use tax for the duration of each winter season, residents will be able to find some measure of relief in the face of rising costs.

AI Summary

Committee Categories

Alex Sauickie (R)*, 

Introduced, Referred to Assembly Telecommunications and Utilities Committee (on 01/09/2024)

Official Document