New Jersey residents will get a slight break on their summer power bills after state regulators approved a universal $25 electricity credit.
For households already struggling with persistently high energy costs, though, the announcement has prompted almost as much frustration as relief.
What happened?
Among the executive orders Gov. Mikie Sherrill signed during her January inaugural address were a rate freeze and instructions for the New Jersey Board of Public Utilities to provide bill credits meant to ease electricity costs.
As a result, electric utility customers across the state are set to receive a $25 credit.
State regulators approved that credit on June 30, the Cape May County Herald reported. New Jersey offered a much larger universal benefit last year, when then-Gov. Phil Murphy provided a $100 bill credit to more than 3.9 million residential electric customers.
Low-income customers will also get a separate $150 credit, which the board said will be spread across monthly payments in August, September, and October. That amount comes in addition to the universal $25 credit.
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According to Atlantic City Electric, customers should see the universal credit on their August bills.
In a statement, the company said, "We understand that rising energy costs continue to challenge many of our customers, and we appreciate the New Jersey Board of Public Utilities' efforts to provide relief."
Why does it matter?
The credit arrives during peak air-conditioning season, when monthly electricity costs can rise sharply. Lower-income households could receive up to $175 in combined credits.
Even so, the statewide credit has been criticized as too small given how costly electricity remains in New Jersey. Data from the U.S. Energy Information Administration showed the average residential rate in the state reached 23.53 cents per kilowatt-hour in April 2026, a 17% increase from April 2025 and one of the highest prices in the continental U.S. outside New England, trailing only New York and California.
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Supply rates on electricity bills avoided a major jump this year because bids in the regional grid operator's capacity auction were capped. However, summer temperatures are still expected to push usage higher.
Republicans have blamed state energy policy and plant closures, while Democrats have argued that PJM Interconnection has moved too slowly to connect renewable power sources that could expand supply and help lower prices.
Both sides have also pointed to growing electricity demand tied to AI-focused data centers.
What's being done?
At the state level, the response so far has centered on direct bill relief: the universal $25 credit, the additional $150 for low-income households, and Sherrill's earlier rate-freeze order.
The larger policy fight over grid supply, energy sources, and utility charges is far from settled.
BPU President Christine Guhl-Sadovy said returning money to ratepayers "is critically important, particularly the low- and moderate-income ratepayers who will have the most significant challenges paying their bills."
Rep. Jeff Van Drew, who represents New Jersey's 2nd Congressional District, mocked the bill credit, saying, "Twenty-five dollars? Are you serious?"
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