New Jersey Should Reject The Energy Tax of 2011
New Jersey Governor Chris Christie and the state legislature are considering a proposal that will add a new charge to consumer energy bills and threaten thousands of jobs. The implications of this legislation are simple: higher energy bills for consumers and the very real threat of layoffs by companies that will no longer be able to afford operating costs.
The bill, A-3442, would provide more than a billion dollars in subsidies to build unneeded power plants. The legislation would artificially subsidize plant construction through guaranteed long-term contracts at above-average market rates. These subsidies would be paid via a new surcharge on every New Jersey residential and business customer’s electric bill for years to come.
While the proposal has been touted as a way to increase generation assets and create jobs, it would actually do the exact opposite. A-3442 will drive investment away from the state’s energy market, reduce reliability and cost the state long-term white- and blue-collar jobs to create short-term construction jobs.
COMPETE Coalition members described the negative effects this legislation would have on energy consumers. “A-3442 will increase energy costs and put New Jersey jobs at risk,” said Steve Elsea of Leggett & Platt Inc., a manufacturer with facilities in the state. COMPETE represents more 530 businesses with nearly 2,000 New Jersey facilities.
A-3442 would also harm the state’s growing green economy. “As currently written, this legislation does nothing more than provide an anti-competitive subsidy, paid for by NJ residents and businesses, that will undermine the competitive markets we operate in today,” said Jeff Bladen of demand response provider Comverge, the company that serves the most locations in America, which has substantial operations in the state .
New Jersey’s competitive electricity market is creating clear benefits for the state’s consumers, and should not be undermined. Wholesale electricity prices have dropped by over 30 percent in the past two years. Investment is thriving with billions in new generation, environmental retrofits, and upgrades to existing power plants – all without subsidies paid by customers.
Governor Christie and the state legislature should send a strong signal that they support New Jersey’s businesses and homeowners by rejecting A-3442, the Energy Tax of 2011. COMPETE supports open markets, transparency and a competitive process – all of which this bill would threaten.
Governor Chris Christie:
State Senate Majority Leader Stephen Sweeney:
State Assembly Speaker Sheila Oliver:
Assembly representatives from your district:
- Go to http://www.njleg.state.nj.us/members/legsearch.asp
- On the right click on electronic correspondence
- Find your municipality
- Click on the two Assembly representatives names
- Fill in the information
- Type your message into the provided space, adding the Assembly representative’s name, your name and address
- Hit “Send”
| Attachment | Size |
|---|---|
| NJ legislation fact sheet.pdf | 157.63 KB |
| COMPETE Letter to Speaker Oliver Opposing A-3442.pdf | 146.45 KB |
| EnerNOC_SB2381_Oppose.pdf | 75.92 KB |
| Safeway_SB 2381_Oppose.pdf | 98.37 KB |
| Leggett and Platt__SB2381_Oppose.pdf | 171.64 KB |
| Reject NJ Energy Tax.pdf | 368.83 KB |
| Comverge_SB2381_Oppose.pdf | 64.41 KB |
Joel Malina | January 6, 2011
Tags: Chris Christie | Comverge | Consumer | Demand Response | Electric rates | Electricity prices | Energy tax | Investment | Leggett & Platt | New Jersey
Comments
Post new comment