N.J. Stat. § 58:12A-4.1
Notwithstanding the provisions of the "Safe Drinking Water Act," P.L. 1977, c.224 (C.58:12A-1 et seq.), or any rule or regulation adopted pursuant thereto, to the contrary, the Department of Environmental Protection, pursuant to section 34 of P.L. 2004, c. 120(C.13:20-32), within the Highlands preservation area as defined in section 3 of P.L. 2004, c. 120(C.13:20-3), shall limit or prohibit the construction of new public water systems or the extension of existing public water systems to serve development in the Highlands preservation area as defined in section 3 of P.L. 2004, c. 120(C.13:20-3), except in the case of a demonstrated need to protect public health and safety, and except to serve development in the Highlands preservation area that is exempt from the provisions of P.L. 2004, c. 120(C.13:20-1 et al.) pursuant to subsection a. of section 30 of P.L. 2004, c. 120(C.13:20-28).
N.J.S. § 58:12A-4.1