Exempts municipal electric utilities from regulation by BPU in certain circumstances.*

S 877 exempts municipal electric utilities from oversight by New Jersey's Board of Public Utilities (BPU) regarding their rates and operations. Currently, if a municipality provides electricity beyond its city limits, it is treated as a public utility subject to BPU rate regulation; this bill removes that requirement. Municipal electric utilities would no longer need BPU approval for rates, charges, or operations, though the BPU would retain authority to resolve disputes over service territories. This directly affects cities operating electric utilities that serve customers outside their corporate boundaries. The bill amends existing laws (R.S.40:62-24 and P.L.1983, c.78) to create this exemption.