Rising electricity bills are emerging as a central issue in New Jersey’s governor’s race, with voters sharply divided on both the cause and the best path forward.
Rates jumped about 20% in June, adding pressure to households already facing high property taxes, insurance costs, and inflation. The increases stem from higher wholesale energy prices, growing demand from data centers and electrification, and reduced generation capacity after the closure of coal and nuclear plants. And it’s only the beginning. Supply chain delays have slowed new projects, while the state remains tied to PJM Interconnection, the multi-state grid that oversees much of the region’s power supply.
Some lawmakers have proposed rolling back the competitive energy market created in 1999, which allows many customers to choose their electricity and gas suppliers. Bills under consideration would permit utilities to own generation again, limit retail choice, and explore leaving PJM in favor of a state or alternative regional grid.
A recent poll found no clear consensus on blame for higher costs. Utilities, state leaders, federal policymakers, and energy producers each drew support from different political camps. Many voters assume utilities set rates, though they pass through generation costs without profit.
Sherrill’s Plan Mixes Short-Term Relief with Long-Term Energy Shift
The political stakes are high. Democrat Mikie Sherrill proposes immediate bill relief through expanded ratepayer protection funds and longer-term cost reductions via clean energy expansion. Her plan includes solar on commercial rooftops and landfills, more energy storage, efficiency measures, repowering existing generation, and advancing nuclear power with regional partners. She also calls for greater state control over energy policy and stronger oversight of PJM.
Ciattarelli’s Plan Targets Overall Cost of Living
Republican Jack Ciattarelli frames the affordability crisis in broader fiscal terms. While not offering a detailed energy policy, he pledges to cut state spending by 30%, reduce corporate and income taxes, cap property taxes as a percentage of home value, and limit budget growth to the rate of inflation. His approach centers on lowering overall costs for residents, which he says will ease the burden of utility bills, though likely not lower them.
The race is heating up. With affordability and taxes polling as top voter concerns, energy costs may play an outsized role in November’s outcome. Whether voters favor direct intervention in the energy market or broader fiscal reforms could determine the next governor.
The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.