Bill > S4480

Introduced Session

This bill requires the Division of the Rate Counsel (division) to engage a third party to conduct a feasibility and cost savings study on the de-privatization of electric public utilities and gas public utilities in the State. The third party is authorized to request information and reasonable assistance from any electric public utility, gas public utility, or public entity in order to conduct the study, which is to examine the feasibility of and cost savings associated with de-privatization options, including, but not limited to: (1) acquisition or operation of existing electric public utilities and gas public utilities, in part or in whole, by a public entity; and (2) joint ownership or operation of existing electric public utilities and gas public utilities, in part or in whole, between a public entity and existing electric public utilities and gas public utilities. The study is to include: (1) the short- and long-term challenges and benefits of each option examined, including, but not limited to, any anticipated environmental effect, impact on service, and cost to ratepayers; (2) the strengths and weaknesses of selecting each public entity considered for potential acquisition, ownership, or operation, in whole or in part, of electric public utilities and gas public utilities, as well as potential organizational structures; (3) an estimation of costs, including, but not limited to, financial costs, as well as the long-term financial impact on the State and any public entity involved in each option; (4) an estimation of the cost savings associated with each option examined; (5) an estimation of the amount of revenue generated by clean energy programs; and (6) any other analysis as the division directs. Any electric public utility, gas public utility, or public entity is required to promptly respond to, cooperate fully with, and provide any requested information to the third party. Within a year of the bill's effective date, the division is required to submit a report to the Governor and the Legislature summarizing the findings from the study and providing recommendations as to the feasibility of, need for, cost savings associated with, and plan for the de-privatization of electric public utilities and gas public utilities in this State. The report is to include recommendations for legislative, executive, and other actions. The bill appropriates $100,000 from the General Fund to the division to implement the provisions of the bill. The board approved an increase in electricity rates, which will become effective in June 2025. According to the board, this increase will raise electricity bills by approximately 17 to 20 percent, depending on a ratepayer's electric public utility. Electricity and gas are not luxuries; they are essential services powering homes, schools, medical devices, and transportation. As the cost of living continues to rise and many wages stagnate, New Jersey residents need protection from utility rate increases, which exacerbate the effects of inflation on consumers. With this bill, the sponsor intends to encourage the State to explore opportunities to provide electric public utility and gas public utility services as a public good for electric public utility and gas public utility customers across New Jersey. This measure is a crucial step in addressing economic hardships and promoting fair electric public utility and gas public utility pricing. New Jersey families, individuals, and businesses deserve reliable, affordable energy without facing undue financial strain.

Committee Categories

Brian Stack (D)*,  Britnee Timberlake (D)*,  Renee Burgess (D),  Joe Cryan (D), 

Introduced in the Senate, Referred to Senate Economic Growth Committee (on 05/19/2025)

Official Document