Supervisory Power of Department of Energy and Public Utilities Commission
Section 374:3-a
374:3-a Alternative Forms of Regulation; Incentive Regulation. –
Upon petition of a regulated utility or upon its own initiative and after notice and hearing, the public utilities commission may approve alternative forms of regulation other than the traditional methods which are based upon cost of service, rate base and rate of return, provided that any such alternative results in just and reasonable rates and provides the utility the opportunity to realize a reasonable return on its investment.