The Public Utility Regulatory Reform Act proposes significant changes to the electric and gas public utility industries in New Jersey. It permits 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 choose to own generation facilities must submit updated tariff schedules for approval by the New Jersey Board of Public Utilities (BPU), and customers will lose the option to select retail electric suppliers. Similarly, gas public utilities can opt to discontinue retail choice for residential customers, also requiring updated tariff filings with the BPU.

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, streamline utility operations, and ensure accountability in the public interest.