New Jersey Administrative Code › Title 14 - PUBLIC UTILITIES › Chapter 4 - ENERGY COMPETITION › Subchapter 3 - AFFILIATE RELATIONS › Section 14:4-3.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this subchapter,
				  shall have the following meanings, unless the context clearly indicates
				  otherwise. Additional definitions that apply to this subchapter can be found at
				  14:3-1.1 and
				  14:4-1.2.
"Affiliate" means a "related competitive business segment of
				  an electric public utility or a related competitive business segment of a gas
				  public utility" or a "related competitive business segment of a public utility
				  holding company" as defined in this section and in the Act.
"Affiliated" means related to an electric or gas public
				  utility as an affiliate thereof.
"Category" means a group of products and/or services that use
				  the same type of electric and/or gas public utility assets or capacity. For
				  example, "leases of land under utility transmission lines" or "use of a utility
				  repair shop for third party equipment repair" would each constitute a separate
				  product and/or service category.
"Competitive service" means any services, goods, or products
				  offered by an electric public utility or a gas public utility that the Board
				  has already determined or that the Board shall in the future determine to be
				  competitive pursuant to section 8 or section 10 of the Act or that is not
				  regulated by the Board.
"Cross-subsidization" means the offering of a competitive
				  product and/or service by an electric and/or gas public utility, or the
				  offering of a product and/or service by an affiliate, which relies in whole or
				  in part on the utilization of utility employees, equipment or other assets, and
				  for which full compensation (via cost allocations or direct payment), as
				  determined by the Board, has not been provided for the use of such electric
				  and/or gas public utility assets, resulting in the inappropriate transfer of
				  benefits from the utility ratepayers to the competitive product and/or service
				  or affiliate.
"Dth" means decatherms or ten therms.
"EBB" means an electric and/or gas public utility's
				  electronic bulletin board.
"Existing products and/or services" means those products
				  and/or services, which an electric and/or gas public utility was offering prior
				  to January 1, 1993, or that have been approved by the Board prior to February
				  9, 1999.
"Fully allocated cost" means an allocation of the direct,
				  indirect and other economic costs of all equipment, vehicles, labor, related
				  fringe benefits and overheads, real estate, furniture, fixtures and other
				  personality and administration utilized, and other assets utilized and costs
				  incurred, directly or indirectly in providing competitive services.
"Functional separation" means the formation of a separate
				  business unit by an electric or gas public utility for purposes of offering
				  competitive services permitted by
				  48:3-55(f)  or
				  58(b), which separate business unit shall be a related competitive business
				  segment of an electric public utility or gas public utility as defined in this
				  section and in the Act.
"Individual proprietary information" means a customer's name,
				  address, telephone number, energy usage and payment history and such other
				  information as the Board, by order, may determine.
"Joint purchases" means purchases made by a parent or holding
				  company or affiliate thereof for use by one or more affiliates, the fully
				  allocated costs of which are allocated to be paid proportionally by the
				  affiliates, based upon utilization.
"Joint purchases allowed" means purchases not associated with
				  merchant functions, examples of which would be joint purchases of office
				  supplies and telephone services.
"Joint purchases not allowed" means purchases associated with
				  merchant functions, examples of which would be gas and electric purchasing for
				  resale, purchasing of gas transportation and storage capacity, purchasing of
				  electric transmission, systems operations, and marketing.
"Merchant functions" means the marketing and/or the provision
				  of electric generation service and/or gas supply service to wholesale or retail
				  customers, as opposed to the marketing and/or provision of transmission and
				  distribution services, by an electric and/or gas public utility.
"Public posting" means a posting on an electric and/or gas
				  public utility's EBB, website or other industry recognized and publicly
				  accessible electronic or print medium.
"Public utility holding company" or "PUHC" means:
1. Any company that, directly or indirectly, owns, controls,
				  or holds with power to vote, 10 percent or more of the outstanding voting
				  securities of an electric public utility or a gas public utility or of a
				  company that is a public utility holding company by virtue of this definition,
				  unless the Federal Energy Regulatory Commission (FERC), or its successor, by
				  order, declares such company not to be a public utility holding company under
				  Title XII, Subtitle F of the Energy Policy Act of 2005 (known as the Public
				  Utility Holding Company Act of 2005),
				  Pub. L. No.
				  109-58,
				  §§
										1261 -77,
				  42
				  U.S.C. §§
										15801 et seq. (2005), or
				  its successor; or
2. Any person that the FERC, or its successor, determines,
				  after notice and opportunity for hearing, directly or indirectly, to exercise,
				  either alone or pursuant to an arrangement or understanding with one or more
				  other persons, such a controlling influence over the management or policies of
				  an electric public utility or a gas public utility or public utility holding
				  company as to make it necessary or appropriate in the public interest or for
				  the protection of investors or consumers that such person be subject to the
				  obligations, duties, and liabilities imposed in the Public Utility Holding
				  Company Act of 2005 or its successor.
"Related competitive business segment of an electric public
				  utility or gas public utility" means any business venture of an electric public
				  utility or gas public utility including, but not limited to, functionally
				  separate business units, joint ventures, and partnerships, that offers to
				  provide or provides competitive services.
"Related competitive business segment of a public utility
				  holding company" means any business venture of a public utility holding
				  company, including, but not limited to, functionally separate business units,
				  joint ventures, and partnerships and subsidiaries, that offers to provide or
				  provides competitive services, but does not include any related competitive
				  business segments of an electric public utility or gas public utility.
"Services that may not be shared" means those services that
				  involve merchant functions, including, by way of example: hedging and financial
				  derivatives and arbitrage services, gas and/or electric purchasing for resale,
				  purchasing of gas transportation and storage capacity, purchasing of electric
				  transmission, system operations, and marketing.
"Shared services" means administrative and support services
				  that do not involve merchant functions, including by way of example: payroll,
				  taxes, shareholder services, insurance, financial reporting, financial planning
				  and analysis, corporate accounting, corporate security, human resources
				  (compensation, benefits, employment policies), employee records, regulatory
				  affairs, lobbying, legal, and pension management.
"Short term" means a transaction of 31 days or less.
"Structural separation" means the formation of a related
				  competitive business segment of a public utility holding company.