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S3313 • 2026

Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.

Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.

Energy
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Amato, Carmen F., Jr.
Last action
2026-02-05
Official status
Introduced in the Senate, Referred to Senate Economic Growth Committee
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.

Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.

What This Bill Does

  • Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.
  • Topic: Economic Growth Fiscal note: This bill has been certified by OLS for a fiscal note.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-02-05 New Jersey Legislature

    Introduced in the Senate, Referred to Senate Economic Growth Committee

Official Summary Text

Prohibits BPU from authorizing rate increases for electric and gas public utilities that charge inclining block rates for residential customers.
Topic:
Economic Growth
Fiscal note:
This bill has been certified by OLS for a fiscal note.

Current Bill Text

Read the full stored bill text 
S3313

SENATE, No. 3313

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED FEBRUARY 5, 2026

Sponsored by:

Senator� CARMEN F. AMATO, JR.

District 9 (Ocean)

SYNOPSIS

���� Prohibits BPU from authorizing rate increases for
electric and gas public utilities that charge inclining block rates for
residential customers.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act

concerning inclining block rates and
supplementing Title 48 of the Revised Statutes.

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

���� 1.��� a.� As used in this
section:�

���� �Board� means the Board of
Public Utilities or any successor agency.

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

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

���� �Inclining block rate� means a
rate structure that imposes higher rates once usage exceeds certain thresholds,
regardless of when the electricity or gas is consumed.

���� b.��� Notwithstanding any law,
rule, regulation, or order to the contrary, the board shall not authorize any
rate increase by an electric public utility or a gas public utility where the
utility assesses a charge that includes an inclining block rate for residential
customers.

���� c.���� The board 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 to implement the provisions of
this section.

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

STATEMENT

���� This bill prohibits the Board
of Public Utilities (board) from authorizing any rate increase by an electric
public utility or a gas public utility where the utility assesses a charge that
includes an inclining block rate for residential customers.

���� Utilities have historically
utilized inclining block rates to encourage energy conservation by charging
higher rates once a customer�s usage exceeds a certain threshold.� However,
according to the December 9, 2024 report prepared for the board titled, �An
Assessment of Energy Affordability in New Jersey and Alternative Policy and
Rate Options,� inclining block rates are outdated and are not cost-reflective,
meaning that the rates do not reflect the actual cost of generating that
power.� It is the sponsor�s intent to eliminate this rate structure, which is
expected to reduce electricity rates for residential customers during the
summer months.