Competitive Energy Supplier Options Grow in New Jersey

New Jersey’s electricity market has experienced a recent influx of competitive power suppliers, benefiting both consumers and the environment. The state’s market has seen exponential growth in recent months – and consumers are jumping at the opportunity to competitively shop for their electricity supply.
 
Garden State consumers can now choose from 33 alternative electricity suppliers who have been certified by the New Jersey Board of Public Utilities (NJBPU). Shopping has been most robust for Commercial and Industrial customers (C&I), evidenced by nearly eight percent statewide switching rates among that class. Businesses recovering from the economic downturn are able to choose from providers offering rates 5 to 20 percent lower than their incumbent provider, as well as multiple contract length options.
 
Switching rates have been highest among the C&I class, but residential customers also have ample options. Nine power suppliers have been certified by the BPU to offer service to residential customers, and each of New Jersey’s four major electric utility service territories now has at least one power supplier offering residential service. As of May, nearly 7,000 residential customers received their power from a third-party supplier, up from only 12 customers statewide in early 2009.    
 
Competition is also creating clean energy options for New Jersey consumers. The state is already ranked second in the nation in installed solar energy and expects more than 80 megawatts of new installed capacity, largely the result of PSE&G’s innovative Solar4All program. Three power suppliers now offer green power programs across the state, which feature electricity with anywhere from 20- to 100-percent clean energy generation sources.
 
These results out of New Jersey are yet another example of how competitive electricity markets deliver greater economic and environmental benefits to consumers.   

Joel Malina | August 19, 2010