New Jersey may hike electricity fees for wealthy customers

New Jersey is considering a new approach to electric billing. The state's Board of Public Utilities (NJBPU) is looking at a proposal that would charge wealthier customers more for their electricity. This idea aims to help lower-income families manage their energy costs better. If the plan moves forward, it would introduce higher fixed charges for those with higher incomes. This is similar to a proposal in California, where some utility companies plan to start fixed charges in 2025 and 2026. Lower-income households that qualify for discounts would pay lower fixed charges. The NJBPU recently reviewed a report on energy affordability in New Jersey. This report analyzed energy assistance programs and included data from over 200,000 households. It highlighted opportunities for the state to improve aid for those in need. A key finding was the potential benefit of applying income-based fixed charges to energy bills. However, some lawmakers are concerned. New Jersey Senate Republicans warned that the proposed charges could raise energy costs for middle-class families. GOP Senator Anthony Bucco criticized the idea, suggesting it would make New Jersey similar to California in terms of energy costs. NJBPU President Christine Guhl-Sadovy acknowledged that no one wants to see rising bills. She emphasized the board's commitment to managing any increases while improving assistance programs for those who need help. No final decision has been made yet. A virtual meeting will be held on April 1 to gather public opinions on the proposal.