This bill mandates the New Jersey Board of Public Utilities (BPU) to require electric and gas public utilities to offer equal payment plans for residential customers, prohibiting them from charging lump-sum payments when actual usage exceeds forecasted usage. Additionally, the bill stipulates that any increase in a residential customer's monthly bill under these plans can only occur annually and must be based solely on the customer's actual utility usage data. The BPU is also restricted from approving any requests from utilities to recover costs associated with these equal payment plans through rates charged to ratepayers after the bill's effective date.

Furthermore, the bill prohibits electric and gas public utilities from underbilling residential customers, which occurs when customers are charged based on estimated meter readings rather than actual usage. It also prevents utilities from incorporating any outstanding balances due from underbilling into future utility bills. The intent of the bill is to protect New Jersey residents from financial strain caused by utility rate increases, ensuring fair and transparent pricing for essential services amidst rising living costs.