Requires electric public utilities to submit transmission project proposal to BPU for approval.

A4518

ASSEMBLY, No. 4518

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED MARCH 9, 2026

Sponsored by:

Assemblyman� ALEX SAUICKIE

District 12 (Burlington, Middlesex, Monmouth and Ocean)

SYNOPSIS

���� Requires electric public utilities to submit
transmission project proposal to BPU for approval.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act

concerning electric transmission projects in the
State and supplementing Title 48 of the Revised Statutes.

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1.��� As used in
P.L. , c.
(C. ) (pending before the
Legislature as this bill):�

���� �Board� means the Board of
Public Utilities.

���� �Electric public utility�
means a public utility, as that term is defined in R.S.48:2-13, that transmits
and distributes electricity to end users within the State.

���� �Transmission project� means a
project undertaken by an electric public utility to construct a new
transmission line or modify an existing transmission line.

���� 2.��� a.� Prior to undertaking
a transmission project in this State, an electric public utility shall develop
and submit to the board, for approval by the board, a transmission project
proposal, which shall, at a minimum:�

���� (1)�� identify the project�s
potential impact on the environment, scenic sights, historic sites, and public
safety;

���� (2)�� document all costs
associated with undertaking the project;

���� (3)�� indicate whether the
project meets a demonstrated need, which need may be established by the
project�s provision of public benefits, which benefits shall include, but not
be limited to, improved reliability, increased economic development, reduced
consumer costs, and increased energy supply to meet an increased energy demand;
and

���� (4)�� identify alternative
project ideas, if any, that would meet the same demonstrated need but for a
lower total project cost.

���� b.��� No later than 90 days
after receiving an electric public utility�s transmission project proposal, the
board shall review the proposal and, after providing notice and an opportunity
to be heard, the board shall:�

���� (1)�� determine whether the
proposal is reasonable, within the public interest, and cost effective; and

���� (2)�� approve the proposal if
the board determines that the proposal is reasonable, within the public
interest, and cost effective.

���� 3.��� The Board of Public
Utilities shall adopt, pursuant to the �Administrative Procedure Act,�
P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary
for the implementation of P.L. , c.
(C. ) (pending before the
Legislature as this bill), including, but not limited to, the establishment of
criteria to guide the board�s review of transmission project proposals
submitted pursuant to section 2 of P.L. ,
c. (C. )
(pending before the Legislature as this bill).

���� 4.��� This act shall take
effect immediately.

STATEMENT

���� This bill requires an electric
public utility to submit a transmission project proposal (proposal) to the
Board of Public Utilities (board) for approval prior to undertaking a
transmission project.� The proposal is required to, at a minimum: �(1) identify
the project�s potential impact on the environment, scenic sights, historic
sites, and public safety; (2) document all costs associated with undertaking
the project; (3) indicate whether the project meets a demonstrated need, which
need may be established by the project�s provision of certain public benefits;
and (4) identify alternative project ideas, if any, that meet the same
demonstrated need but for a lower total project cost.� Within 90 days of the
board�s receipt of a proposal, the board is required to determine if the
proposal is reasonable, within the public interest, and cost effective. �In
addition, the board is required to approve the proposal if the board determines
that the proposal is reasonable, within the public interest, and cost
effective.

���� Under the bill, a
�transmission project� is defined to mean a project undertaken by an electric
public utility to construct a new transmission line or modify an existing
transmission line.

���� It is the sponsor�s intent to
require an electric public utility to receive approval from the board prior to
undertaking a transmission project in response to the testimony provided by the
Director of the Division of Rate Counsel (director) during the October 2, 2024
Assembly Telecommunications and Utilities Committee meeting.� The director
indicated in his testimony that requiring board review of transmission projects
prior to their start could reduce transmission costs by ensuring that each
transmission project is needed and is the lowest cost solution.