New Jersey Governor Has Good News For NJ Residents Electrical Bills

While Inflation finally plateaued and started to marginally decline over the couple years in the United States, Residential Electrical rates continue to increase.

According to the US Energy Information Administration, Electricity prices have risen by an average of 13 percent since 2022. The areas of the country that have seen the highest average rate increases are the Pacific Coast (26%), New England (19%), and Mid-Atlantic States (19%).

Just in New Jersey, Residential Electric Rates are increasing up to 20 percent in 2025. While the rate increase varies between Electric Utility companies, there have been many politicians who have called for investigations into these rising utility rates.

In response to utility rate increases that take effect June 1st, three New Jersey Democrats have come together with a solution to combat this electric rate increase.

Relief Coming For New Jersey Residents Starting In July

New Jersey Governor Phil Murphy announced a $430 million Energy cost relief plan that will begin starting next month with the state Board of Public Utilities deducting money from residential electrical bills.

Governor Murphy's plan is for all 3.9 Million ratepayers in New Jersey will have at least $100 deducted from their monthly Electric Bill starting in July. The electric bill savings will be up to $250 a month for New Jersey Eligible Low-to-Moderate Income (LMI) residents.

The New Jersey Governor gave the following statement as part of the announcement about the electric bill savings for NJ Residents:

“Today, we are coming together to provide critical economic relief to the people of New Jersey by directly lowering the cost of their monthly energy bills; But let me be clear: this is a short-term solution for the people of our state being battered by rising energy costs."
"Moving forward, we are going to work alongside BPU President Christine Guhl-Sadovy and our legislative partners to hold PJM accountable for the untenable and unconscionable costs they have forced on our state’s residents. Together, we are going to explore every possible avenue for lowering the cost of energy in the long term to make our state more affordable for more families.”

This "short-term solution" is a collaboration between Governor Murphy, State Senate President Nick Scutari, Assembly Speaker Craig Coughlin, and the New Jersey Board of Public Utilities. But Democratic Opponents are saying this is a ploy during an election year to help sway voters.

Governor Murphy, Senate President Scutari, and Assembly Speaker Coughlin are all Democrats. New Jersey Republicans and other opponents say that current state government office holders should have addressed the issue of Electrical Rate Increases when NJ Residents saw nine percent bill increases in 2024.

Rising electrical rates are especially a problem for owners of Electric Vehicles, many whom charge their EVs at home. These are the areas of New Jersey where the highest number of EV owners live: