Prohibits public utilities from discontinuing residential electric, gas, water, and sewer service after expiration of coronavirus public health emergency; requires public utilities to implement deferred payment agreements for services.
Summary
Senate Bill 394 aims to provide robust consumer protections for residential customers of public utilities in New Jersey by prohibiting the discontinuation of electric, gas, water, and sewer services after the end of the COVID-19 public health emergency. The bill mandates that public utilities must enter into deferred payment agreements with customers who are unable to pay their utility bills. This is intended to ease the financial burden on families and individuals who may have fallen behind during the pandemic, thereby preventing service interruptions during a critical recovery period.
Upon the expiration of the public health emergency, the bill allows customers a grace period of 180 days during which their services cannot be legally disconnected for nonpayment. Instead of discontinuing service, utilities are required to negotiate a deferred payment plan with the customer, enabling them to repay outstanding bills through manageable monthly installments over a minimum period of 48 months. This approach aims to reduce the financial strain on households and ensure that essential services remain accessible to all residents.
The legislation addresses a significant concern that arose during the pandemic: the heightened vulnerability of certain populations, including those reliant on life-sustaining medical equipment. The bill stipulates that for 'medical customers,' who require electricity for essential medical equipment, the prohibition against service discontinuation according to their payment history is even more stringent. For these customers, utilities must provide a similar 180-day protection period against discontinuation of service if they comply with the terms set forth by the Board of Public Utilities.
While the bill enjoys widespread support as a necessary measure to safeguard public health and welfare during ongoing economic challenges, it is not without its dissidents. Critics argue that the economic implications of extending payment agreements could burden utilities, especially if payment defaults rise. However, supporters counter that maintaining service continuity is crucial to preventing public health crises that could arise from residents going without essential utilities,
indicating a complex balancing act that the legislation intends to navigate.
Carry Over
Prohibits public utilities from discontinuing residential electric, gas, water, and sewer service after expiration of coronavirus public health emergency; requires those utilities to implement deferred payment agreements for those services.
Requires advance notice of water supply discontinuations for non-payment of local government water bills; requires offer of payment plan in certain circumstances.
Prohibits public utilities from discontinuing residential electric, gas, water, and sewer service during coronavirus 2019 state of emergency; requires those utilities to implement deferred payment agreements for those services.
Requires certain telecommunications, cable television, and public utility service providers to notify BPU of service discontinuance to public entities 14 business days prior to shutoff.