This bill amends current law to exempt municipal electric utilities from regulation by the Board of Public Utilities (BPU). Under existing regulations, if a municipality supplies any product, including electricity, beyond its corporate limits, it is classified as a public utility and falls under BPU oversight. The bill modifies this by stating that if a municipality provides electricity beyond its boundaries, it will not be considered a public utility, thereby removing it from BPU regulation. This change means that municipal electric utilities will no longer be subject to BPU oversight regarding rates and operations.

Additionally, the bill clarifies that while municipal electric utilities will not be regulated by the BPU, the Board will still maintain jurisdiction to resolve disputes related to the service territories of these utilities, aligning with the current framework for rural electric cooperatives. The amendments include the removal of references to electricity in the context of municipal utilities and the addition of language that specifies the BPU's limited jurisdiction over disputes, ensuring that the regulatory framework is clear and consistent.

Statutes affected:
Introduced: 48:2-13.1