NJ Democrats to siphon off state funds for electric rate hike relief

Ratepayers would get $100 minimum — though details remain murky

On June 5, 2025, Gov. Phil Murphy was joined by other state officials – including Assembly Speaker Craig Coughlin, Senate President Nick Scutari, and New Jersey Board of Public Utilities President Christine Guhl-Sadovy – to announce energy bill relief at the New Jersey Economic Development Authority’s headquarters in Newark. – PROVIDED BY RICH HUNDLEY III/NJ GOVERNOR’S OFFICE

By Nikita Biryukov, NJ Monitor

New Jersey will send ratepayers at least $100 to defray the impact of a steep rise in electricity prices that took effect this month, top Democrats announced Thursday.

The $430 million program, which is not yet approved by state energy regulators, would provide each of the state’s 3.9 million ratepayers with $100, with an additional $150 for low- and moderate-income residents.

“We’re taking this step today because the fact is the people of New Jersey are being battered by the rising cost of energy, and by the way, this is not unique to New Jersey,” Gov. Phil Murphy said at a press conference in Newark. “You can look all around the country right now, and certainly all around this region to see that we are not alone. Wholesale electricity prices are up multiples of what they were even a year ago today.”

Christine Guhl Sadovy, president of the state Board of Public Utilities, suggested residents enrolled in the state’s winter termination program would be eligible for the $150 payment. That program bars utility shutoffs between Nov. 15 and March 15.

Officials were deliberating a second $100 payment but had not reached a decision as of Thursday afternoon, Murphy said.

It was not immediately clear when or how the benefits would be paid. Murphy suggested they could come in September or October but cautioned that the timeline is hazy as the aid still needs approval from the Board of Public Utilities, whose next meeting is set for June 18.

Lawmakers’ announcement comes just days after electricity prices rose by roughly 20% at the start of June, pushed upward by the results of price-setting auctions held in July and February, and as hot weather pushed temperatures to roughly 90 degrees in much of the state Thursday.

It also comes as all 80 seats in the state Assembly — which Democrats control by a 52-28 majority — are on the ballot in the fall (the primaries are on Tuesday).

Funding for the payments would come from the state’s Clean Energy Fund, the state’s share of Regional Greenhouse Gas Initiative money, and the Solar Alternative Compliance Payment, which is paid by electricity suppliers that are unable to meet the state’s renewables standard.

Read the full story here


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South Jersey confronts deep dig for gas storage along the Delaware

By Right: How the existing cavern in Gibbstown looked in 1967 when it was used by its previous owner, DuPont, to store ammonia. If two new caverns are approved by state officials, the three will form the largest underground fuel-storage complex in New Jersey. Left: Workers descending to the cavern in 1967 Credit: (NJDEP)


By Jon Hurdle, Inside Climate News

A controversial plan to build two giant caverns to store propane and butane beneath the community of Gibbstown on the Delaware River is going through its final public scrutiny. And it is hearing plenty from those hoping to stop it.

The state Department of Environmental Protection issued a draft permit for the Gloucester County project in April, and is now seeking public comment until June 16 before issuing a final decision on what would be New Jersey’s biggest complex of caverns for storing petroleum products.

But since first proposed three years ago, the project has faced opposition from environmental groups that say it would expose local people to explosive and toxic materials and should never be built in a densely populated area. They have said it would also only worsen the climate crisis by stimulating the production of fossil fuels.

“This is the wrong project in the wrong place at the wrong time,” said Tracy Carluccio, deputy director of Delaware Riverkeeper Network, at a public hearing held by the DEP in mid-May.

The new caverns would hold 26.8 million gallons of liquefied petroleum gases (LPG), about five times as much as an existing cavern on the site that was used by its former owner, the chemical giant DuPont, to store ammonia. That cavern is now used by the developer, Delaware River Partners, to store butane. In future, the complex could be even larger if the company goes ahead with possible plans to build another two caverns.

Read the full story here


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Republicans say their plans to cut high NJ energy rates are ignored

From the NJ Senate Republican News

On Monday, Trenton Democrats struck down amendments proposed by multiple Senate Republicans designed to help reduce energy bills as New Jersey families brace for the 20% hike in electricity prices that are now in effect.

Senate Republican Leader Anthony M. Bucco (R-25), along with Senators Michael Testa (R-1), Holly Schepisi (R-39), Robert Singer (R-30), and Joe Pennacchio (R-26), offered a series of what they called ‘thoughtful amendments designed to provide immediate financial relief for Garden State residents and ensure greater transparency from PJM, the New Jersey Board of Public Utilities (BPU), energy providers, and the Democrat’s failed energy agenda.”

Senator Bucco, a member of the Select Committee on rising energy rates, proposed an amendment to SJR154 to expand the scope of proposed investigations into rising energy rates to include the BPU, rather than leaving the investigation in the BPU’s hands—which he identified as a major source of the problem.

“During the Select Committee hearing on rising energy costs, we heard numerous stakeholders and experts who clearly said the policies coming out of Trenton are contributing to our energy shortage and subsequent skyrocketing energy bills,” said Sen. Bucco. “I am asking that we entrust the Select Committee on rising energy costs—the body that was created to get to the bottom of our energy crisis—to be the institution to investigate and expand the proposed investigation to include PJM, the BPU, and any other institution that could have contributed to this crisis.”

Senator Testa, who also served on the Select Committee on rising energy rates, highlighted the BPU’s failure to live up to their mission statement and explained why the agency should not oversee any investigation into rising energy costs.

“Their mission statement is to ensure the safe, adequate and proper utility services are provided at reasonable nondiscriminatory rates to all members of the public who desire such services; to develop and regulate a competitive economically cost-effective energy policy that promotes responsible growth and clean renewable energy sources while maintaining a high quality of life to New Jersey. It begs the question, which of those goals have they achieved?” said Sen. Testa. “Allowing the BPU to be the investigative body is akin to allowing the fox to watch the hen house.”

Senator Schepisi quoted a member of the BPU, who shed doubt on the agency’s internal approval process as it relates to New Jersey energy production and programs.

“Outside opinions, including mine or others are dismissed and marginalized. This flawed internal process worries me deeply many times I’ve seen that expected results drive the analysis reinforcing expected conclusions and garnering support from senior staff. He also said that dissenting opinions are not common and quite often and unfortunately discouraged,” said Sen. Schepisi. “That in of itself should make every person in these chambers question whether or not the BPU is the appropriate one to actually do an analysis on how to get our residents and our constituents out of this mess.”

Senator Singer spoke about the importance of energy supplies impacting New Jersey’s job market, using his district as an example of limited energy stifling job creation.

“This concern has been virtually ignored to a great extent by the BPU,” said Sen. Singer. “You’ve got to put the problem at the foot of those who created it, you’ve got to investigate those who created it, and you have to replace them if necessary.”

Senator Pennacchio later offered an amendment to A5466/S4318 to include a proposal from legislation he sponsored with Senator Latham Tiver (R-8) that would eliminate the Societal Benefits Charge and Sales Tax fees on electricity bills, directly lowering costs for consumers. Trenton Democrats, again, voted against this cost-saving proposal.

“This bill reinforces this narrative that we’ve been hearing this afternoon that energy demands are growing exponentially forever. At the same time, the state’s energy master has made the creation of that energy harder and harder,” said Sen. Pennacchio. “Consumers are hurting. To alleviate some of that pain, I would like to introduce an amendment that would place a summer moratorium on the sales tax and societal benefits charges on our utility bills.”

Senate Republicans have offered several pieces of legislation that they claim would have a significant and immediate impact on lowering costs for consumers.

In March 2024, Senator Bucco and Senator Tiver introduced the “Energy Security and Affordability Act” to improve energy costs and safeguard consumers from future NJBPU-approved rate hikes.

In April 2025, Senator Tiver and Senator Pennacchio introduced S4398 to suspend the sales and use tax and societal benefits charges on electric and gas utility bills to directly lower costs.

In March 2025, Senator Testa introduced legislation, S4285, to abolish the BPU, arguing that the agency abandoned its duty to protect New Jersey consumers.


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Political finger pointing follows big surge in NJ electric rates

By Frank Brill, EnviroPolitics Editor

With elections looming in November for New Jersey’s Governor and Assembly, both parties are striving to duck voter backlash as electricity prices surged this week due to a nearly tenfold increase in PJM Interconnection’s capacity market auction.

Democratic senators blame PJM for delaying renewable energy projects, which has led to supply shortages and higher prices. Republicans argue that Governor Phil Murphy’s renewable-heavy energy agenda is responsible for the price hikes.

Meanwhile, in new legislation, the Board of Public Utilities (BPU) has been tasked with investigating PJM’s role in the price surge.

New Jersey Advances Legislation to Study Data Centers’ Impact on the Grid:

On Monday, the state Senate passed a bill requiring the BPU to study how data centers affect electricity rates. The study will determine if ratepayers are unfairly burdened by costs associated with new transmission and generation facilities for data centers.

AI-focused data centers are expanding rapidly in New Jersey, increasing electricity demand. The legislation also directs the BPU to investigate PJM’s reliability pricing model and work with neighboring states on energy reforms.

“The problem begins and ends with a grid that doesn’t work. We are not investing enough money in this grid. The grid is held together by chewing gum, toothpicks, and bobby pins,” said Sen. Bob Smith (D-Middlesex), who chairs the chamber’s energy panel. “So now anyone who wants to enter the grid has to get an approval for a connection, and in the case of New Jersey, for the last two-and-a-half years, we’ve had 79 projects in the queue that PJM would not approve.”

Republicans argue that the investigation should also include the BPU itself, questioning its transparency and effectiveness.

New Jersey isn’t the only state grappling with energy challenges, particularly as demand surges due to AI-driven data centers and the transition to renewable energy. Here are a few notable examples:

  • Texas: The state has faced grid reliability issues, especially during extreme weather events. The rapid expansion of AI data centers and cryptocurrency mining has significantly increased electricity demand, putting strain on the grid.
  • California: High electricity costs and grid reliability concerns persist, particularly as the state transitions away from fossil fuels. Efforts to integrate more renewable energy sources have led to challenges in balancing supply and demand.
  • New York: Rising energy costs have prompted state regulators to explore affordability measures, including low-income discount rates. The state is also working on grid modernization to accommodate growing electricity demand.
  • Illinois: The state is investing heavily in clean energy but faces challenges in ensuring affordability and reliability as coal plants retire and renewable infrastructure scales up.

Related:
NJ wants to be an artificial intelligence leader. Does it have the energy?
Wall St. Is All In on A.I. Data Centers. But Are They the Next Bubble?
A 20 Percent Electric Bill Surge Tests New Jersey’s Climate Goals


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DOGE closed campgrounds at Pa.’s biggest lake. Now, the locals are suffering

What’s the big deal? Can’t the grumblers just jet down to Mar-a-Lago?

At Backwoods Smoke Shack on Raystown Lake, owner Brian Paterson, said business at the family’s seasonal BBQ restaurant is down up to 45% percent from this time last year. “That’s hundreds of families not coming through here every weekend. This will put a hurting on us. If they don’t do anything soon, this summer is ruined.”

By Jason Nark, Philadelphia Inquirer

At Raystown Lake, the largest in Pennsylvania, hundreds of campsites sat vacant during what should have been a busy start to the summer season.

But it’s not because would-be visitors skipped out on their reservations. The U.S. Army Corps of Engineers, which manages the campgrounds, announced in March that the sites would be closed indefinitely due to “executive-order-driven staffing shortages.”

The news came as the Department of Government Efficiency began slashing staff at federal agencies. The closures have had a devastating impact on business owners near the Huntington County attraction, with foot traffic down as much as 50% compared to a usual Memorial Day weekend.

Read the full story here


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Energy and Environment bills up for votes in the NJ Senate June 2

The New Jersey Senate will convene on Monday, June 2, to consider the following legislation:

SJR154 – Directs BPU to investigate PJM Interconnection, L.L.C.’s Reliability Pricing Model; directs State to promote affordable energy practices and to urge PJM Interconnection, L.L.C. to implement certain reforms.

S4134 – Prohibits certain vehicles from parking in electric vehicle charging spaces under certain circumstances.

A5466 – Requires BPU to study the effects of data centers on electricity costs.

S4318 – Requires BPU to study the effects of data centers on electricity costs.

S3418 (Governor’s ‘conditional veto message’)- Authorizes certain types of permanent structures, recently constructed or erected on preserved farmland, to be used, in certain cases, for purposes of holding special occasion events thereon.


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