New Jersey Senate Bill S211

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Requires Division of Rate Counsel to consider environmental impacts of proposed rate or service measure when representing public interest in certain proceedings and appeals.

Impact

The bill seeks to amend existing regulations outlined in P.L.2005, c.155, expanding the scope of factors that the Division of Rate Counsel must consider during proceedings concerning utility rates and services. By focusing on environmental consequences, it aims to foster accountability in the decision-making process that affects not just economic but also ecological health. This is particularly critical in the context of New Jersey's ongoing efforts to combat climate change and enhance sustainability practices across the state.

Summary

Bill S211, introduced in the New Jersey Legislature, mandates that the Division of Rate Counsel assess environmental impacts when representing the public interest in proceedings related to utilities and service rate settings. Specifically, the bill requires the Director to consider not only the affordability of proposed rates but also the actual and potential effects on climate and environment. This includes evaluating the social cost of carbon, aiding the state's de-carbonization goals, and addressing cumulative environmental stressors in overburdened communities. The intention is to ensure that public feedback is taken into account in regulatory processes affecting environmental well-being.

Contention

While proponents advocate that S211 will lead to more environmentally responsible utility regulations, critics may argue that the added requirements could complicate and prolong the rate-setting process. There is concern regarding the potential challenges of assessing 'climate impacts' or the 'social cost of carbon,' which could make it harder for utilities to secure timely rate adjustments necessary for their financial sustainability. Stakeholders may also debate the definition of 'overburdened communities,' as this determination will influence the prioritization of cases undertaken by the Division of Rate Counsel.