JCP&L to Fight Judge’s Recommendation on a Base-Rate Case

JCP&L will submit arguments to the New Jersey Board of Public Utilities (BPU) as to why it disagrees with an Administrative Law Judge's recommendation that the Utility return more than $107 million dollars in revenue to customers, according to JCP&L spokesman Ron Morano.  

The judge said ratepayers were  overcharged for maintenance to the power grid between 2008 and 2011.

"The ALJ [Administrative Law Judge] decision does not include 2012 BPU-approved storm restoration costs of approximately $85 million," said Morano. "To put that into perspective, the decision doesn't reflect the cost incurred by the company since 2011, that's including JCP&L's investment of more than $400 million to improve system reliability across its service territory, and the $580 million that was spent to rebuild the system following Hurricane Sandy," he said.

Morano said once JCP&L files a response to the judge's decision with the BPU, the Board will have 45 days to accept, reject or amend the ruling.

It's unclear what it would mean for JCP&L ratepayers if the BPU accepts the judge's recommendation.

"I'm not going to speculate on any potential actions," said Morano.

The judge's ruling recognizes JCP&L is spending adequately to maintain its system,  improve reliability and operate effectively, and an improvement in communication with customers, according to Morano.

Morano also noted JCP&L has the lowest residential electric rates among the four New Jersey electric distribution companies that are regulated by the BPU, based on a statewide average of 650 Kilowatt hours of monthly usage.