This bill mandates that electric transmission owners in New Jersey must join and transfer control of their electric transmission facilities to one or more approved transmission entities. Specifically, no transmission owner can own or control an electric transmission facility in the state unless they are a member of a transmission entity that meets several criteria, including approval by the Federal Energy Regulatory Commission, separation of control between transmission and generation facilities, and policies aimed at minimizing rate pancaking. The bill outlines nine specifications that these transmission entities must fulfill to ensure compliance, such as improving service reliability, promoting a competitive electric generation marketplace, and maintaining real-time reliability of the electric transmission system.

Additionally, the bill empowers the Board of Public Utilities to adopt necessary rules and regulations for its implementation. The act is set to take effect immediately upon passage. Overall, the legislation aims to enhance the efficiency and reliability of electric transmission in New Jersey while fostering a more competitive market for electricity.