New Jersey Assembly Bill A777

New Jersey 2022-2023 Regular Session

• Introduced: 1/11/22
• Refer: 1/11/22

Caption

Requires electric public utility to reimburse cost of certain customer-owned electric service equipment if damage to equipment is due to weather event affecting electric public utility service.

Impact

The implementation of A777 is expected to influence the relationship between electric utilities and their customers significantly. By placing the financial burden of equipment damage caused by weather events on the utilities rather than the customers, the bill promotes accountability among electric service providers. The proposed legislation anticipates that electric utilities will invest more in infrastructure resiliency and maintenance to minimize potential damage during severe weather, leading to better service reliability and customer satisfaction.

Summary

Assembly Bill A777 requires electric public utilities to reimburse customers for the full cost of certain customer-owned electric service equipment that is damaged due to weather events affecting utility service. The bill mandates the Board of Public Utilities (BPU) to adopt regulations that will establish processes for this reimbursement when the failure of the service equipment is determined to not be the customer's fault. This legislative measure is a response to concerns regarding the responsibility of utilities during adverse weather conditions that can lead to significant damage for utility customers.

Contention

Notable contention around A777 might arise regarding the implications for utility companies' operational costs. Opponents may argue that imposing such financial responsibilities could lead to increased utility rates for consumers, as companies might offset these costs through higher service charges. Supporters, on the other hand, highlight the bill's potential to encourage utilities to enhance their service reliability and infrastructure investment to prevent damage from severe weather events, ultimately benefiting consumers through improved service delivery.