The Murphy administration has taken new steps to help New Jerseyans weather steeper electric bills, with a double-digit rate hike set to take effect next month.
Gov. Phil Murphy signed a raft of executive orders on Wednesday aimed at protecting the most vulnerable state residents from sticker shock. One order asks utility companies to voluntarily expand programs that prevent service disconnections during the winter months to July through September. One utility — JCP&L — has already indicated that it plans to do so.
Another order asks utilities to suspend all reconnection fees beyond the period of peak summer usage.
“New Jersey ratepayers are preparing for an unprecedented increase in utility costs,” Murphy said in a statement. “While the utilities are not responsible for the rate increases, they have a responsibility to protect ratepayers. It’s clear that New Jersey’s four hometown electric utilities need to deliver more reasonable options.”
Another newly signed executive order directs the state Board of Public Utilities to look at available funding to stabilize utility bills, and Murphy also signed an order to expedite solicitations for new solar power development. In addition, the administration is asking the BPU to move quickly to review proposals for bringing more energy generation online.
The executive orders come after Murphy signed a law last month requiring utility companies to notify customers if their daily average electricity or gas use is rising.
“The sudden spike in energy bills inflicted on New Jersey residents can cause sticker shock for consumers,” said state Sen. John Burzichelli (D-Burlington), a primary sponsor of that legislation. “This is a crisis in utility costs that makes it difficult for residents to manage household finances. This program will alert homeowners and renters so they aren’t caught by surprise with exorbitant bills and are provided with real-time information so they can manage their energy consumption and better control costs.”
The looming rate hikes stem from a recent capacity auction held by the regional grid operator PJM Interconnection, which serves New Jersey and a dozen other states.
New Jersey Republicans have seized on the rate hikes as a weapon against Murphy’s efforts to boost clean energy in the state. Senate Minority Leader Anthony Bucco said Wednesday’s actions fail to address larger problems.
“Senate Republicans are always ready to consider serious proposals that would actually lower energy costs for New Jersey families and businesses, but the Governor’s latest plan misses the mark,” said Bucco (R-Morris). “It doubles down on the same failed renewable energy mandates that have driven up costs and weakened grid reliability, offers assistance programs that leave out middle-class families, and conveniently delays higher electric bills until after the election—a pure political gimmick, plain and simple.”
