New Jersey Administrative Code
Title 14 - PUBLIC UTILITIES
Chapter 9 - WATER AND WASTEWATER
Subchapter 7 - PURCHASED WATER AND WASTEWATER ADJUSTMENT CLAUSES
Section 14:9-7.1 - Scope, applicability, and general provisions

Universal Citation: NJ Admin Code 14:9-7.1

Current through Register Vol. 55, No. 48, December 18, 2023

(a) This subchapter provides for Board approval of purchased water adjustment clauses (PWACs) and purchased wastewater adjustment clauses (PSTACs), as these terms are defined at 14:9-7.2. A PWAC or PSTAC allows a utility to include in rates the costs of fluctuations in purchased water or purchased wastewater treatment, without the necessity of a full base rate case.

(b) To be eligible for a PWAC or a PSTAC, a utility shall meet the following requirements, as applicable:

1. For a water utility, the utility's purchased water costs, as defined at 14:9-7.2, exceed 10 percent of its total operating and maintenance expenses; and

2. For a wastewater utility, the utility's purchased wastewater treatment costs, as defined at 14:9-7.2, exceed 10 percent of its total operating and maintenance expenses.

(c) The Board approves a PWAC or PSTAC for one year, based on estimates of a utility's cost of purchased water or purchased wastewater treatment, and expected total volume of water or wastewater.

(d) At the end of each year, a utility with an approved PWAC or PSTAC shall:

1. Submit to the Board a year-end true up schedule to reconcile the previous year's actual and estimated costs of purchased water or purchased wastewater treatment; and

2. Submit a petition for an adjusted PWAC or PSTAC for the upcoming year.

Amended by R.1996 d.207, effective 5/6/1996.
See: 28 N.J.R. 1190(a), 27 N.J.R. 2405(b).
Added (b).
Amended by R.2001 d.133, effective 5/7/2001.
See: 33 N.J.R. 367(a), 33 N.J.R. 1392(b).
In (b), deleted "regular" preceding "rate relief".
Repeal and New Rule, R.2006 d.367, effective 10/16/2006.
See: 38 N.J.R. 1538(a), 38 N.J.R. 4490(b).

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