New Jersey Senate Bill S2508

New Jersey 2022-2023 Regular Session

• Introduced: 5/12/22
• Refer: 5/12/22

Caption

Prohibits electric and gas public utilities from collecting payment from residential budget billing plan customers whose service was interrupted as a result of major emergency event.

Impact

If enacted, S2508 would compel the New Jersey Board of Public Utilities (BPU) to establish regulations prohibiting electric and gas public utilities from collecting payments during interruptions caused by designated emergencies. This could lead to significant changes in billing practices for utilities and is aimed at ensuring that those affected by major emergencies are treated fairly and are not penalized for situations beyond their control. The intention is to create a safety net for residential customers, promoting resilience in the face of natural disasters.

Summary

Senate Bill S2508 aims to protect residential customers participating in budget billing plans from being charged by public utilities during periods of service interruption caused by major emergency events. Such events can include a range of natural disasters like hurricanes, floods, or snowstorms, and the bill stipulates that if a customer's service is interrupted due to damage from such an event, they should not be required to pay for services until power is restored. The legislation seeks to alleviate the financial burden on these customers in times of crisis.

Contention

While the bill is expected to have a positive impact on consumers during difficult times, it could face opposition from utility companies concerned about their revenue stability during widespread emergencies. Critics may argue that such a measure could create financial challenges for public utilities, which rely on consistent billing and payments to maintain service infrastructure. The balance between consumer protection and the operational viability of utility companies will likely emerge as a central point of contention in discussions surrounding the bill.