This bill mandates the Board of Public Utilities (BPU) to create a program aimed at promoting the procurement of renewable natural gas and investment in related infrastructure by gas public utilities in New Jersey. The legislation recognizes the benefits of renewable natural gas in reducing greenhouse gas emissions and supporting a transition to a low carbon energy economy. It establishes regulatory guidelines for the procurement process and emphasizes the need for a ratemaking mechanism that allows utilities to recover costs associated with their investments and operations under this program.

Under the proposed framework, gas public utilities can recover costs from ratepayers for qualified investments in renewable natural gas infrastructure, operating costs, and procurement costs from third parties, including affiliates. The BPU is tasked with ensuring that these costs are prudently incurred and that the prices for renewable natural gas are consistent with market conditions. Additionally, the BPU must adopt rules and regulations to implement the program within 180 days of the bill's enactment, ensuring a structured approach to integrating renewable natural gas into the state's energy landscape.