Rockland Electric Appeals For Rate Increase

NORTHERN VALLEY AREA, N.J.—The Rockland Electric Co. is appealing to the New Jersey Board of Public Utilities to increase revenues by $19.9 million or 9.6 percent, money it says is needed to continue to provide safe, reliable and secure operation of its electric delivery system, the utility told Northern Valley Press.

“Under the proposed rates, the bill for a typical residential customer would increase by $19.20 per month from the current bill of $165.66, or $5.66 more than the 2017 rate plan typical residential bill,” Rockland Electric said in a statement. 

The utility—a subsidiary of Orange and Rockland Utilities Inc.—serves some northern New Jersey communities in Bergen and Passaic counties, including the local communities of Alpine, Closter, Cresskill, Demarest, Harrington Park, Haworth, Norwood, Northvale, Old Tappan, and Rockleigh.

“The key initiative in [the] proposal to further improve the customer experience and increase customer engagement is Rockland Electric’s successful completion of installation of approximately 73,000 electric smart meters throughout its service area in Bergen, Sussex and Passaic counties,” the utility said. “Smart meters, which already serve about 70 million customers nationwide, are safe, secure and reliable encrypted devices that provide two-way, wireless communication between the company and its customers.”

Rockland Electric says smart meters give consumers more control over their energy use and facilitate quicker restoration of service after storms by communicating the precise location of service interruptions. 

The American Academy of Environmental Medicine, an international association of physicians and other professionals interested in the clinical aspects of humans and their environment, has called for more research on smart meters, due to potential radiofrequency exposure, concerns that mirror those releated to cell phone towers and Wi-Fi technologies commonly in use in modern society. 

Other mounting costs Rockland Electric is looking to offset include $14.5 million to storm-harden the electric system.

“Approximately $7.1 million of those storm-hardening funds were invested in smart grid system automation,” the utility said. “The smart grid integrates state-of-the-art equipment and technology with advances in computer analysis, communications, monitoring and control to significantly enhance system reliability, efficiency and overall quality of service.” 

Rockland Electric also seeks to undertake additional storm-hardening reliability improvement projects, which “include significant equipment upgrades in the Closter, Ringwood and Allendale substations totaling $2.5 million.”

“Further, a number of overhead electric system upgrades are underway, featuring the installation of stronger cable and more robust poles in Harrington Park, Old Tappan, Franklin Lakes, Montvale, Oakland and Wyckoff, totaling $2.4 million,” the utility said. “And, underground construction of select overhead circuits will improve system reliability in Norwood, Allendale, Ringwood and Old Tappan totaling more than $4 million.”

One state legislator—Republican Assemblyman Christopher DePhillips of District 40, called on the BPU to reject the rate increase.

“Rockland Electric’s initial reason for the increase is higher customer satisfaction. I believe customers would be more satisfied by simply receiving higher quality service without a rate increase,” wrote DePhillips (R-Bergen). “The citizens served by Rockland Electric deserve affordable energy, and I urge the Board of Public Utilities to consider Rockland’s poor service before making a decision.” 

DePhillips has sponsored a bill—along with Democrat Assembleyman Gordon Johnson of Englewood—that seeks to “inject competition by allowing municipalities to eliminate a failed utility franchise and rival utilities to seek BPU approval,” DePhillips said. The bill has not advanced out of legislative committees. 

The BPU will now review Rockland Electric’s rate adjustment request before ruling. 

“[This] rate review request is designed to meet the demands of a dynamic energy marketplace where customers desire more control over their energy usage and expect a more reliable and resilient system. This request achieves those goals,” said Rockland Electric Co. President and CEO Robert Sanchez. 

“At the same time, Rockland Electric will continue to champion its core values: public and employee safety, operational excellence and enhanced customer experience,” Sanchez said.