Newsroom & Public Notices

TRENTON, N.J. – The New Jersey Board of Public Utilities (NJBPU) will convene a public stakeholder meeting on May 7 to formally launch a statewide examination of how electric utilities operate and earn revenue – one of the most sweeping regulatory reviews the state has undertaken in decades. The effort follows the Board’s approval at its April 22 meeting of an independent consultant to lead a comprehensive study on modernizing New Jersey’s electric distribution company (EDC) utility business model, fulfilling a top directive of Governor Mikie Sherrill’s Executive Order No. 1.

 “This proceeding is one of the most consequential regulatory reviews New Jersey has taken on in a generation,” said NJBPU President Christine Guhl Sadovy. “It goes to the core question of how utilities should earn revenue in a modern energy system. As we examine new approaches, our priority is ensuring we balance reliability with affordability, and tie utility profits with performance for the benefit of New Jersey ratepayers.”

New Jersey residents, like utility customers across the country, have faced rising energy costs in recent years – making strong, consumer-focused regulatory leadership more important than ever. 

The consultant’s study will take a data‐driven approach to evaluating regulatory and ratemaking reforms — including performance‐based ratemaking, multi‐year rate plans, and alternative approaches to utility earnings and cost recovery — to determine whether updates to the current framework could better support cost stability, system reliability, and long‐term customer value. If adopted, these changes could disrupt long‐standing practices, curb the cycle of capital‐driven rate increases, and establish a durable strategy to stabilize and reduce customer bills as the energy system modernizes.

The May 7 session will open with remarks from NJBPU President Guhl‐Sadovy and an overview of Executive Order No. 1 from the Office of Governor Mikie Sherrill, followed by a presentation on the scope and next steps for the Board’s new docket, EO26040117. Organized in coordination with the Regulatory Assistance Project (RAP), the session is designed to outline the key issues under review and gather early stakeholder input ahead of the independent consultant’s full onboarding. Board Staff will also walk through New Jersey’s existing cost recovery mechanisms and ratemaking principles, and RAP will present an introduction to performance‐based regulation (PBR) — the mechanism at the center of the reform discussion.

A featured centerpiece of the morning will be a moderated roundtable with four former state public utility commissioners who have led PBR proceedings in their respective states: Jay Griffin, former Chair of the Hawaii Public Utilities Commission; Sarah Freeman, former Commissioner of the Indiana Utility Regulatory Commission; Jamie VanNostrand, former Chair of the Massachusetts Department of Public Utilities; and Carrie Zalewski, former Chair of the Illinois Commerce Commission. The session is designed to draw on their firsthand experience navigating reform — from designing new incentive structures to managing stakeholder opposition — and to surface practical lessons for New Jersey.

The afternoon portion of the session will shift to facilitated discussions led by RAP and NJBPU Staff, where participants will be asked to weigh in on regulatory goals, priority customer outcomes, and the specific PBR mechanisms most relevant to New Jersey’s energy landscape.

While the study will not result in immediate rate changes, it represents a critical step toward actionable policy recommendations on behalf of New Jersey ratepayers. The Board encourages broad participation from stakeholders and members of the public.

STAKEHOLDER MEETING DETAILS

WHEN:

Thursday, May 7, 2026 | 9 a.m. EST

 WHERE:

In Person:

The Conference Center Auditorium

Mercer County Community College

1200 Old Trenton Road, West Windsor Township, NJ

Virtual:

Virtual participation available via Zoom. Livestream and registration available via this link. This meeting will also be livestreamed on the NJBPU YouTube Channel.

PUBLIC COMMENT

Written comments are encouraged and must be submitted by 5 p.m. on May 29, 2026 via the NJBPU Public Document Search tool, referencing Docket No. EO26040117.

About the New Jersey Board of Public Utilities

The New Jersey Board of Public Utilities (NJBPU) is a state agency with regulatory authority over utilities, including natural gas, electricity, water, telecommunications, and cable television. The Board ensures safe, adequate, and proper utility services at reasonable rates for New Jersey customers. Additionally, the Board is responsible for monitoring utility service, responding to consumer complaints, and investigating utility accidents. To find out more about NJBPU, visit www.nj.gov/bpu.