As summer approached, New Jersey residents were bracing for an increase in their electricity bills. This surge in costs was a result of the state’s annual energy auction, managed by the New Jersey Board of Public Utilities. This auction determines the wholesale electricity prices that major utilities will charge, affecting both residential customers and small businesses that haven’t opted for third-party electric suppliers. These new rates have come into play starting June 1.
For 2023, the monthly electric bills are projected to rise between 3.3% for Public Service Electric and Gas (PSE&G) customers and a staggering 6.9% for Rockland Electric customers. This auction only covers a third of the electric supply required for the state, with the rest being influenced by the rates set in the 2021 and 2022 auctions. The Board of Public Utilities attributes this year’s price hike to increased energy costs and the inherent risks of setting a fixed price. “In 2023, Basic Generation Service ratepayers will experience an increase in energy costs that is generally at or below the current rate of inflation,” remarked Joseph L. Fiordaliso, the president of the New Jersey Board of Public Utilities.
To break it down, over the course of 2023, the average increase will be:
Atlantic City Electric customers will see an average monthly increase of $5.49 (4.1%), totaling $141.
Jersey Central Power & Light bills will rise by 4.8%, an addition of $4.49, amounting to $97.14 per month.
PSE&G customers will experience a 3.3% hike, or $4.09, bringing their monthly bills to $126.48.
Rockland Electric, catering to the northernmost parts of the state, will witness a 6.9% surge, adding $8.24 to their bills, which will now be $128.50.
These averages are based on a usage of 650 kilowatts per month.
Both JCP&L and PSE&G have clarified that the funds collected for electric supply are directly transferred to the supplier, with PSE&G emphasizing that they don’t profit from the basic generation service auction. Why Solar is the Answer With these ever-increasing rate hikes, it’s clear that New Jersey residents need a more sustainable and cost-effective solution. This is where SunPower by Sea Bright Solar steps in. By transitioning to solar energy, homeowners can not only reduce their monthly electricity bills but also contribute to a greener environment. As the rates for traditional electricity continue to climb, the savings from solar become even more evident.
If you’re a New Jersey resident concerned about these rate increases, now is the perfect time to consider solar energy. Contact Sea Bright Solar today to learn how you can make the switch and start saving. Greener environment.
As the rates for traditional electricity continue to climb, the savings from solar become even more evident. If you’re a New Jersey resident concerned about these rate increases, now is the perfect time to consider solar energy. Contact Sea Bright.
