"Public Utility Rate Stabilization Act"; permits gas and electric public utilities to employ alternative ratemaking mechanisms.

This bill allows gas and electric public utilities in New Jersey to use alternative methods for setting customer rates instead of relying solely on traditional annual rate cases. Under the legislation, utilities could adopt tools like multi-year rate plans, performance-based pricing, or earnings-sharing mechanisms that adjust rates based on specific metrics rather than just reviewing financial statements each year. The New Jersey Board of Public Utilities would oversee these new approaches and approve plans that may include features like decoupling, which separates utility profits from the amount of energy sold. Residential, commercial, and industrial customers would be directly affected as these changes could alter how their utility bills are calculated and adjusted over time.