Alternate Energy Supply In New Jersey
With the advent of energy deregulation, all New Jersey residents have greater options than ever before when it comes to their energy supplier.
Whether you have solar or not, you have the power to turn on greater potential savings, better customer service, and the use of renewable energy.
In the past, your local distribution company (JCPL, PSEG, ACE, etc.), provided every aspect of your electric service.
This included generating the electricity and delivering it to your home or business. Through the New Jersey Energy Choice program you
are able to choose an electric generation supplier, to generate the electricity. Your current distribution company will continue to deliver the electricity and maintain
the same poles and wires.
You have the opportunity to choose a third-party supplier based on the pricing or because of other services or programs it offers.
The choice is yours and it may result in cost savings.
In New Jersey, about 14 percent of residential customers, or 479,145 accounts, have switched to new electricity suppliers, according to data compiled by the BPU as of August 2012.
The switching rate is much higher for larger commercial and industrial facilities, largely because they pay for electricity based on actual current market conditions. That is different from residential customers who are guaranteed a fixed price established in annual power supplier auctions run by the BPU.
According to the BPU data, 27 percent of commercial and industrial accounts have switched to alternative suppliers, accounting for 68 percent of the total electricity load in New Jersey. Of the state’s 3.9 million electricity accounts, 615,990 have switched, reflecting 44 percent of the electricity load.
What is my Price to Compare?
Your Price to Compare is the price per kilowatt-hour (kWh) your local distribution company will charge for the generation part of your electric service.
It is an estimate based on an average kWh (kilowatt hour) for your rate class. If a competing supplier’s price per kWh is less than your listed Price to
Compare, you can save the difference on every kWh you use by choosing that supplier.
Contact your current distribution company to determine your Price to Compare.
Use your figure to compare the prices offered by different third-party suppliers.
You will save money if you buy electricity from a third-party supplier for less than your Price to Compare.
What Happens if I change suppliers?
Your local utility will continue to deliver your power from the same grid directly to your home, as well as service your electricity needs.
You will still receive only one bill at the same time each month and make payments as you always have.