NJ Electric Bills Set To Skyrocket As Hikes Begin

Update: See the latest developments in this follow-up story on what lawmakers are doing about the increase.

NEW JERSEY - This summer, it will cost a little more to keep the lights on.

The new electricity rate costs are here in New Jersey, taking effect June 1 after last year’s months-long stretch of ballooning summer bills.

Customers of Atlantic City Electric, PSE&G, Jersey Central Power & Light and Rockland Energy all can expect to see between a 17.2 and 20.2 percent increase on their monthly bills. The average customer will see their bill increase by more than $20 every month, according to Brian Lipman, director of the New Jersey Rate Council.

The hikes are due to the results of last year’s annual New Jersey Basic Generation Service auction, which determines the cost companies pay for power generated outside of the state. The New Jersey Board of Public Utilities said the rise in demand and a stressed power grid can also be blamed for the prices rising.

Earlier this month, New Jersey Governor Phil Murphy released a host of executive actions meant to combat residents managing these higher costs. These included adding to the state’s Winter Termination Program and another solar development program that encourages new projects.

State Republicans previously criticized Murphy's administration after the BPU said it would require electric companies to come up with plans to mitigate overall bill impacts to residential customers. The state asked these companies to push these hikes off until later in the year, a move GOP lawmakers see as a “smokescreen” to delay voter aggravation until after voting in November.

Click here to view resources offered by the BPU to assist with the rising utility costs