ASSEMBLY, No. 2149

STATE OF NEW JERSEY

INTRODUCED JUNE 17, 1996

By Assemblyman GUSCIORA

An Act concerning the regulation of certain district heating and cooling systems, and supplementing Title 48 of the Revised Statutes.

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

    1. a. The provisions of R.S.48:2-13 to the contrary notwithstanding, the Board of Public Utilities shall not exercise any jurisdiction or regulatory authority over the provision of steam, heat, cooling, or other thermal output, or any combination thereof, by any district heating and cooling system that is located within, and providing such steam, heat, cooling, or other thermal output, or any combination thereof, to customers located within: (1) an area designated an enterprise zone by the New Jersey Urban Enterprise Zone Authority pursuant to section 7 of P.L.1983, c.303 (C.52:27H-66) on or after the effective date of this act; (2) a municipality designated as a URI Index Municipality by the New Jersey Economic Development Authority pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.) on or after the effective date of this act; (3) a site remediated pursuant to P.L.1983, c.330 (C.13:1K-6 et seq.),section 23 through 43 of P.L.1993, c.139 (C.58:10B-1 et seq.), P.L.1976, c.141 (C.58:10-23.11 et seq.), P.L.1981, c.306 (C.13:1E-100 et seq.) or the "Comprehensive Environmental Response, Compensation, and liability Act of 1980," 42 U.S.C. 9601; or (4) a historic district designated pursuant to section 5 of P.L.1991, c.199 (C.40:55D-65.1).

    b. As used in this section, "district heating and cooling system" means a system for the production and distribution of electricity, steam, heat, cooling, or other thermal output, or any combination thereof, which is generated by a small power producer or a "qualifying facility," as designated pursuant to the provisions of the "Public Utility Regulatory Policies Act of 1978," 16 U.S.C. §2601 et seq.

    2. This act shall take effect immediately, and shall expire ten years after the effective date, except that any contract entered into between customers and a district heating and cooling system pursuant to this act shall not be affected by this expiration and any district heating and cooling system exempted from regulation by the Board of Public Utilities pursuant to this act shall remain exempt from such regulation for the term of the contract.

STATEMENT

    This bill provides that the Board of Public Utilities would not have any regulatory authority over the provision of steam, heat, cooling, or other thermal output, by any district heating and cooling system that is both located within, and providing such service to, customers located within:(1) an area of a municipality which has been designated as an "enterprise zone" by the New Jersey Urban Enterprise Zone Authority pursuant to section 7 of P.L.1983, c.303 (C.52:27H-66); (2) any municipality designated as a URI Index Municipality by the New Jersey Economic Development Authority pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.); (3) a formerly contaminated area which has been environmentally remediated; or (4) a historic district..

Prohibits BPU regulation of certain district heating and cooling systems.