Requires BPU to determine and consider lowest reasonable return on equity before approving electric, gas, and water public utility base rate cases.

This bill requires New Jersey's Board of Public Utilities (BPU) to specifically determine and consider the *lowest reasonable return on equity* (ROE) when reviewing requests for rate increases from electric, gas, and water utilities. It directly affects utility companies seeking rate adjustments and their customers, as the BPU must now evaluate whether the proposed ROE is the lowest reasonable amount, not just any reasonable amount. Key provisions mandate the BPU to develop an analytic model reflecting state, federal, and industry standards to calculate this lowest ROE. The change applies to all base rate cases filed with the BPU on or after the bill's effective date.