New Jersey Utility Restructuring Legislation

Legislation Cite and Date
A 16 (1/99)

Low-Income Provisions
Universal service is defined as “any service approved by the board with the purpose of assisting low-income residential customers in obtaining or retaining electric generation or delivery service. The law created a societal benefits charge (SBC) to fund various programs including universal service programs.

Low-Income Rate Assistance
Beginning August 1, 2003, the SBC funds a fixed credit percentage of income payment plan under which participants will be required to pay no more than six percent of their annual income toward electric and gas bills; it also includes a one-time arrearage forgiveness.

Low-Income Conservation
In March 2001, the Board ordered a three-year program to develop energy efficiency and renewable energy sources, including a low-income energy efficiency program. Called New Jersey Comfort Partners, it replaced the low-income energy efficiency programs previously operated by New Jersey utilities.

Annual Funding (2007)
Rate Assistance: $118 million for over 187,000 households

Arrearage Forgiveness: $12.1 million to over 50,000 households

Conservation: $21 million for about 8,000 households

Funding Mechanism
Rate Assistance: Societal benefits charge, all electric and gas utility customers contribute.

Conservation: Societal benefits charge, all electric and gas utility customers contribute.

Administration
Rate assistance: Department of Human Services, the LIHEAP grantee

Conservation: Utilities

Pre-Restructuring Funding
Rate Assistance: None

Conservation: $10 million

Reports / Evaluations
New Jersey Universal Service Fund Evaluation, April 2006

Several evaluations of New Jersey Comfort Partners are on the APPRISE website at:
www.appriseinc.org/reports_usage.htm

New Jersey Clean Energy Program 2006 Annual Report

Page Last Updated: April 21, 2008