Energy Business
Molly Glick
Molly Glick
Energy Central Team
·Posted in Energy Business
Mon, Jul 20

NEWS: How much power do states have to lower energy bills? According to New Jersey, not a ton.

  • The context: Gov. Mikie Sherrill ran on a platform to lower New Jerseyans’ energy bills (NJ residential rates have risen 7.4% per year over the past five years). So, shortly after winning her race, she directed the state’s Board of Public Utilities to figure out how to reduce costs. 

  • The reality: The NJ BPU noted that states can only influence about a quarter of a typical bill (which includes the costs of distribution and certain state programs). The bulk of energy bills? Supply and transmission costs…which are controlled at the federal and regional levels. 

  • Zooming out: NJ ratepayers are set to pay even more—PJM’s capacity auction just brought in over $6B in data center-driven costs. 

  • P.S. Want to break down your power bill and see where all your precious cents end up? Check out our handy tool here.

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