Requires electric public utility to reimburse residential or commercial customer for cost of certain spoiled items resulting from service outage more than 48 hours after end of storm.
The bill aims to enhance consumer protection within the electric utility sector by ensuring that customers are not left bearing the financial burden of losses from power outages. By establishing a clear reimbursement policy, A1290 seeks to provide comfort and security for consumers, particularly in the wake of significant weather events that can lead to widespread service disruptions. Utilities are also mandated to implement a reimbursement application system within 90 days of the bill's effective date, ensuring a streamlined process for customers to claim their compensation.
Assembly Bill A1290 introduces a requirement for electric public utilities in New Jersey to reimburse both residential and commercial customers for costs incurred due to spoilage from prolonged power outages. Specifically, if a customer experiences a sustained interruption of electric service lasting more than 48 hours following a storm or major event, they would be entitled to compensation for spoiled food, prescription medicine, and other perishable goods. The reimbursement limit is set at $540 for residential customers and up to $10,700 for commercial customers, reflecting the respective potential for loss incurred by these groups.
One notable point of contention regarding A1290 may arise from how electric public utilities will manage the costs associated with these reimbursements. The bill explicitly states that utilities cannot pass these costs on to ratepayers, which may lead to financial implications for public utilities' operating budgets. Debate is likely to center around the sustainability of these requirements, the accuracy of claim assessments, and the potential impact on utility rates and customer service over time.