The Public Utility Regulatory Reform Act proposes significant changes to the electric and gas public utility industries in New Jersey. It allows electric public utilities to own and operate electric generation facilities, a shift from previous restrictions under the Electric Discount and Energy Competition Act (EDECA). Utilities that opt to own generation facilities must submit updated tariff schedules for approval by the New Jersey Board of Public Utilities (BPU), which will eliminate the option for customers to choose retail electric suppliers. Similarly, gas public utilities may also discontinue retail choice for residential customers, requiring them to file updated tariffs with the BPU as well.

Additionally, the bill establishes a structured process for electric public utilities to obtain certificates for constructing new facilities, which includes public hearings and assessments by the BPU to ensure necessity and the absence of better alternatives. It also sets forth procedures for addressing rate increases due to accidents at electric facilities, ensuring that utilities found at fault cannot recover certain costs from ratepayers. Overall, the legislation aims to enhance regulatory oversight, promote accountability, and ensure that public utilities operate in a manner that prioritizes the public interest while balancing the needs of consumers and utility companies.