NJ A3393

Municipal electric utilities providing service beyond their corporate limits are exempt from Board of Public Utilities (BPU) rate regulation if they charge the same rates to customers inside and outside municipal boundaries

Rate increases for exempt municipal utilities must be authorized by municipal ordinance and preceded by a public hearing where customers from both inside and outside the municipality can comment

At least 20 days before any rate increase hearing, the municipality must notify the clerk of every municipality and county where it provides electric service

BPU retains jurisdiction over electric service quality and reliability for municipal utilities, regardless of the rate exemption

Gas utilities may still offer energy efficiency programs related to electricity usage to customers within a municipal electric utility's service area, and such incentives do not affect the rate uniformity requirement for exemption purposes