This story originally was published by Real Clear Wire.
By Gabriella Hoffman
Real Clear Wire
New Jerseyans are feeling the pain of higher electricity bills. They should blame Governor Phil Murphy and the New Jersey Board of Public Utilities (BPU) for inviting this energy crisis.
The BPU was slated to approve a 20% rate hike in June, but delayed the rate hike until September 30. On August 14, the BPU announced a $100 Residential Universal Bill Credit to help lower bills in September and October. This is a way to use taxes to disguise the cost of utility bills, but New Jerseyans are still shouldering these costs.
When announcing this relief measure, Governor Murphy didn’t accept responsibility for higher prices. Instead, he blamed PJM Interconnection, a grid operator servicing New Jersey and 12 other states, for creating a “cost crisis.” Earlier this summer, he urged residents to set their air conditioners to 76-78 degrees Fahrenheit and delay appliance usage until 8 p.m. But Garden Staters aren’t buying what Murphy is selling.
Earlier this month, a Farleigh Dickenson University poll found a plurality of New Jersey residents blame utility companies (26%) and the Murphy administration (19%) for higher electricity costs. Utility companies that deliver electricity, however, don’t set prices. But the BPU—officials appointed by Governor Murphy to carry out his climate agenda—does. It’s Governor Murphy and his radical plan to force New Jersey to change how the state gets its power that have caused this crisis and driven prices up.
The governor’s Energy Master Plan mandated a transition to 100% wind, solar, battery energy, and electric vehicles by 2035. Murphy’s green transition plan, if fully implemented, will result in $1.4 trillion in lost income, or $140,000 per average New Jerseyan over the next 25 years, while yielding no meaningful environmental benefits. It’s understandable New Jersey families feel pain. Some family energy bills have exceeded $500 per month.
Since Governor Murphy entered office in 2017, six power plants—including five coal plants and Oyster Creek nuclear reactor—were shut down. This represents a loss of 2,500 megawatts (MW) of net capacity. As a result, the state consumes more energy than it produces. It imported 20% of its electricity from out-of-state power generators—namely, Pennsylvania. Imported electricity is more expensive due to higher fuel and transmission costs. One analysis found NJ’s green “transition” “has outpaced its replacement infrastructure, raising concerns about grid stability, cost volatility, and energy independence.” Yet, there is no transition occurring. Natural gas and nuclear have cumulatively supplied over 90% of the state’s net electricity generation since 2011. Renewables, including solar, barely supply 8%.
But don’t take my word for it. States with clean energy mandates—including renewable standard portfolios (RPS) that mandate electric utilities set renewable energy targets—generally have higher electricity costs compared to states without them. As of this writing, New Jersey electricity rates are the 12th most expensive in the nation, averaging 20.49¢ per kilowatt-hour (kWh). That’s 17.3% higher than the national average (17.47¢ per kWh). For context, the average American household uses about 10,800 kWh annually.
PJM warned against prematurely retiring power plants and replacing them with solar and wind. The North American Electric Reliability Corporation (NERC) equally stressed in its 2025 Summer Reliability Assessment that solar and battery additions will “introduce more complexity and energy limitations into the resource mix.” Nevertheless, the Murphy administration continues to scapegoat PJM and energy producers, instead of looking inward.
Even net-zero proponents concede the Garden State’s green policies have increased electricity prices. The Regional Plan Association (RPA), a pro-renewable civic organization covering the New York City Metropolitan area, said New Jersey’s green agenda could raise electricity prices when not enough power from renewables is generated and renewable energy goals can “increase prices if the states do not meet those goals when they are supposed to….”
The Murphy administration could fix its self-imposed energy crisis in two ways: exploring the feasibility of small modular reactors (SMRs) and reforming the Energy Master Plan to deemphasize unreliable solar and wind energy. With New Jersey already boasting two nuclear power plants, smaller reactors that are portable and easier to construct will supplement existing projects, produce more reliable energy, and help the state reduce its reliance on imported electricity. Instead of learning from its mistakes, the Murphy administration wants to codify its costly Energy Master Plan into law by year’s end.
Our organization, Independent Women’s Voice, recently polled swing voters about energy issues in the state. The poll revealed 80% of swing voters expressed concern about energy reliability. When respondents learned that the Murphy administration’s climate policies, including Energy Master Plan, invited the 20% electricity rate hike, 53% of women were less inclined to support phaseouts of oil, natural gas, and coal.
Governor Murphy’s Green New Deal is exacerbating the Garden State’s energy crisis. Decline is a choice, and New Jersey voters plan to choose energy reliability at the ballot box.
Gabriella Hoffman is the director of the Center for Energy and Conservation at Independent Women. Follow her on X at @Gabby_Hoffman
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