N.J. Admin. Code § 14:4-4.2
"Aggregate investment" means all amounts invested, or committed to be invested, in nonutility associates for which there is recourse, directly or indirectly, to the public utility holding company, excluding:
1. The portion of the public utility holding company's book investment that is attributable to increases in retained earnings or to indebtedness issued by any subsidiary with respect to which there is no recourse directly or indirectly to the public utility holding company; and
2. The amount invested in one nonutility associate by another nonutility associate.
"Board of directors New Jersey qualification" means residency, employment and/or other significant ties with the State of New Jersey, as determined by the Board on a case-by-case basis.
"Board of directors independence qualification" means the New York Stock Exchange listing requirements pertaining to the independence of directors, as set forth in Section 303A.02(b) of the NYSE Listed Company Manual (www.nyse.com/regulation) and related NYSE rules (www.nyse.com/regulation/rules/1098571481177.html), as may be amended and supplemented from time to time, which are incorporated by reference herein.
"Board staff" means the staff of the New Jersey Board of Public Utilities, or successor agency. Except as otherwise provided for, any information required to be provided to the Board staff under this subchapter shall be provided at a time, location, and in a manner as determined by Board staff. In addition, if immediate notification to Board staff is required, electronic mail notification shall be submitted to the Board Secretary, the Division of Audits, the Office of the Chief Economist, and the Division of Energy, or any successors.
"Existing products and/or services," has the meaning assigned to this term at 14:4-3.2.
"Money pool" means an inter-company lending arrangement whereby depository, surplus cash funds are loaned or borrowed by an electric or gas public utility or other utility within the public utility holding company system to meet short-term (under 365 days) operating cash requirements.
"Nonutility associate" means a subsidiary company, in a public utility holding company system, that is not an electric or gas public utility or utility associate. Examples of entities excluded from this definition include, but are not limited to:
1. Entities that are developing facilities that will engage in public utility or utility associate activities; and
2. Entities that are directly related and subordinate to, or that directly support, public utility or utility associate activities, including, but not limited to:
i. Entities that provides fuel to generating plants;
ii. Entities created to facilitate tax advantages;
iii. Entities created to facilitate financing transactions;
iv. Captive insurance and other risk management entities; or
v. Entities that hold or manage emission allowances or other environmental allowances or credits.
"Preexisting director" means a director on the board of directors whose term commenced before April 6, 2009. A preexisting director's reelection to, or extension of term on, the board of directors after April 6, 2009, terminates the preexisting director designation for that director.
"Public utility holding company" has the meaning assigned to this term at N.J.A.C. 14:4-3.2.
"Public utility holding company system" means a public utility holding company, together with its subsidiary companies.
"Service agreement" means a contract or agreement whereby a public utility holding company or a subsidiary undertakes to sell, lease, or furnish any managerial, financial, legal, engineering, purchasing, marketing, auditing, statistical, advertising, publicity, tax, research, or any other service, information or data, or any goods, equipment, materials, supplies, appliances, or similar property, to an electric or gas public utility in the same public utility holding company system. Nothing in this subchapter shall be deemed to expand the Board's jurisdiction over service agreements beyond its existing jurisdiction under 48:3-7.1.
"Shared services" has the meaning assigned to this term at 14:4-3.2.
"Subsidiary" or "subsidiary company" of a public utility holding company means:
1. Any company, for which 10 percent or more of the outstanding voting securities of the company are directly or indirectly owned, controlled, or held with power to vote, by the public utility holding company; and
2. Any person over whose management or policies the public utility holding company has a controlling influence that is sufficient to make it necessary for the rate protection of utility customers that such person be subject to the obligations, duties, and liabilities imposed by this subchapter upon subsidiary companies of public utility holding companies. This shall apply regardless of whether the public utility holding company exercises its influence directly or indirectly, either alone or pursuant to an arrangement or understanding with one or more other persons. The Board shall make this determination after notice and opportunity for hearing.
"Utility associate" means a subsidiary company, in a public utility holding company system, that directly or indirectly derives or will derive substantially all of its revenues (greater than 70 percent) from:
1. Producing, generating, transmitting, delivering, distributing, storing, selling, marketing, and/or furnishing natural gas, heating oil, electricity, propane, thermal energy and/or steam energy to wholesale and/or retail customers;
2. Gas and/or electricity related services, including, but not limited to:
i. Energy management services and demand side management activities;
ii. Development and commercialization of electrotechnologies related to energy conservation, storage and conversion, energy efficiency, waste treatment, greenhouse gas reduction, clean coal technologies, and similar innovations;
iii. Ownership, repair, maintenance, replacement, operation, sale, installation and servicing of refueling, recharging and conversion equipment and facilities relating to electric and compressed natural gas powered vehicles;
iv. Sale of electric and gas appliances including equipment to promote new technologies, or new applications for existing technologies, that use gas or electricity and equipment that enables the use of gas or electricity as an alternate fuel and the installation and servicing thereof;
v. Production, conversion, servicing, sale and distribution of:
(1) Thermal energy products and resources, such as process team, heat, hot water, chilled water, air conditioning, compressed air and similar products;
(2) Alternative fuels, such as coal gasification facilities and other synthetic fuels technologies, hydrogen fuel, landfill gas recovery, refuse derived fuels, biomass derived fuels, ethanol, methanol, and other alternative fuels technologies; and
(3) Renewable energy resources;
vi. Sale of technical, operational, management and other similar kinds of services and expertise relating to distribution, transmission, and generation, including engineering, development, design and rehabilitation, construction, maintenance and operation, fuel procurement, delivery and management and environmental licensing, testing and remediation;
vii. Ownership, operation and servicing of fuel procurement, transportation, handling and storage facilities, scrubbers, and resource recovery and waste water treatment facilities, including activities related to nuclear fuels;
viii. Development and commercialization of technologies or processes that utilize coal waste or by-products as an integral component of such technology or process;
ix. Nuclear decommissioning trust activities;
x. Securitization activities, financing activities and tax advantaged transactions related to electric or gas public utility and utility associate activities;
xi. Development activities relating to other authorized electric or gas related activities or utility associate activities;
xii. Local community development investments relating to other authorized electric or gas related activities;
xiii. Revenues from sales of assets that were related to other authorized electric or gas related activities;
xiv. Captive insurance and other risk management activities;
xv. Holding and managing emission allowances or other environmental allowances or credits; or
xvi. Other utility-related activities, as determined on a case-by-case basis by the Board;
3. Existing products and/or services and similar services provided by a subsidiary that is not a public utility; and/or
4. Shared services.
"Voting security" means any security presently entitling the owner or holder thereof to vote in the direction or management of the affairs of a company.
N.J. Admin. Code § 14:4-4.2
See: 40 N.J.R. 1616(a), 41 N.J.R. 1500(a).
In (a), deleted "used" following "meaning as"; in the introductory paragraph of (b), added the last sentence; and in (b), added definitions "Aggregate investment", "Board of directors New Jersey qualification", "Board of directors independence qualification", "Board staff", "Money pool", "Preexisting director", and "Service agreement".
Recodified from N.J.A.C. 14:4-4A.2 and amended by R.2012 d.091, effective 5/7/2012.
See: 43 N.J.R. 1150(a), 44 N.J.R. 1534(a).
Rewrote (a), and in (b), added definitions "Existing products and/or services," "Public utility holding company" and "Shared services".