New Jersey Assembly Bill A3072

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Requires electric public utilities to establish interest-free revolving loan program to help residential customers purchase standby emergency power generators.

Impact

The implementation of A3072 is designed to enhance energy resilience for residential customers by ensuring they have access to standby power generators during emergencies, particularly in the context of increasing weather-related power outages. The loan program, funded through an energy resilience fee charged to participating customers, aims to alleviate the financial burden of purchasing such generators. Stakeholders argue that improving access to reliable backup power can significantly enhance safety and comfort in households during crises.

Summary

Bill A3072 mandates electric public utilities in New Jersey to establish an interest-free revolving loan program aimed at making standby emergency power generators more affordable for residential customers. This program is to be administered entirely by the utilities, allowing customers to purchase generators from the private market. The bill specifies that residential customers can obtain loans up to $8,000 for the purchase of a generator, which must repay the loan without interest within a stipulated repayment period as defined by the Board of Public Utilities (BPU).

Contention

While supporters advocate for the potential safety benefits and the affordability of emergency power solutions through this bill, critics express concern over the implications of the energy resilience fee. Critics argue that imposing a fee on utility bills, even if it's aimed at funding the loan program, could inadvertently increase the financial burden on low-income households. Moreover, there are discussions around the administrative aspects of the program, particularly regarding how utilities will manage the loan distribution and ensure loans are accessible to those in greatest need.