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In a decision that will reshape the way 2 million customers buy electricity in New Jersey, the state yesterday adopted a deregulation plan that will eventually slice nearly 20 percent off the bills paid by customers of Public Service Electric & Gas Co.
The rate cut represents the 13.9 percent rate discount PSE&G will provide all its customers by 2002, as well as a 6 percent discount consumers will eventually receive due to the state's recent revision of its energy tax.
Translated, that's the equivalent of getting about 2 months worth of energy for free, Herbert Tate, the president of the state's Board of Public Utilities, said in defense of a plan critics say does not go far enough for New Jersey's consumers.
The BPU's decision also sets major ground rules for how PSE&G's customers -- 60 percent of the electricity consumers in the state -- will be able to shop for power come Aug. 1, the expected start date for competition. …