Get the Best New Jersey Electricity Rates
Here are the current 2020 New Jersey electricity rates for each utility along with the retail energy provider rates NJ residents can switch to. Start by locating your utility below and selecting the rate you would like to switch to.
New Jersey Average Bill
The average electricity price in New Jersey is 15.41¢ per kWh which ranks 12th in the United States. New Jersey residents tend to be more energy efficient with the 12th lowest energy usage in the country averaging 690 kWh per month. Because New Jersey residents tend to be more energy-efficient, they rank in the bottom half for average electricity bill at $106.28 per month.
Last Updated on March 15th, 2020
New Jersey Energy Deregulation or “Electric Choice”
In 1999, New Jersey passed the Electric Discount and Energy Competition Act (EDECA). This law enables all New Jersey residents to shop around for their electric supply by separating the supply portion of their electric bill from the delivery and transmission portion. Customers are able to shop around for the supply portion by comparing prices and plans from various “retail electricity providers” in their service area.
Retail electricity providers in NJ compete with each other for customers, and it is this competition that results in lower electricity pricing, more customized and flexible plans, and more innovative products and services.
The delivery and transmission portions of a New Jersey electric bill are separate from the supply charge. No matter where the electricity comes from, customers’ utilities will continue to deliver the electricity, maintain wires and poles, respond to emergencies, and bill customers.
Public Utilities in New Jersey
The utilities in NJ are all regulated by the New Jersey Board of Public Utilities (BPU) and include:
Municipal Aggregation in New Jersey
A growing trend in New Jersey is municipal aggregation, whereby a municipal participates in deregulation by shopping around for electricity supply on behalf of its residents that have not already switched to a retail electricity provider. In municipal aggregation supply agreements, non-shopping municipal residents are automatically switched to the retail electricity provider of the choice of the municipal and guaranteed to receive lower rates than what the utility charges.
What many customers don’t know is that they are likely to find even lower rates by shopping around for NJ electric suppliers on their own. Customers participating in municipal aggregation are able to switch to an energy provider of their choice, at any time with no penalty.
New Jersey Electricity Providers
Retail electricity providers are the companies that homes and businesses can purchase electricity supply from. They are often able to offer lower rates than the default utilities because of the competition that stems from electric choice.
Some examples of electricity providers in NJ are as follows:
How to Compare New Jersey Electricity Rates
In New Jersey, there are dozens of retail electricity providers to choose from. Here at ElectricityRates.com, we work to minimize the time-consuming research that is needed to choose the best NJ electric rate, provider, and plan for your particular needs.
On the top of this page, you’ll find a FREE tool that does the work for you by presenting you with the best available options in your area. Type in your zip code, select your utility, and view your best local options.
To compare NJ electric rates near you, find the “Price-to-Compare” on your electric bill and compare it with the rates of the available options. This number is expressed in cents per kilowatt-hour (kWh) and will look something like this: 8.319 cents/kWh. Don’t just look for rate pricing. Look for:
- The duration of the plan
- Early termination fees
- Extra charges for using significantly more electricity than usual
- Incentives to switch
- Multiple bill pay options
- Special rates for first-time customers
- Green/Renewable electricity
Once you’ve selected the New Jersey electricity provider that’s best for you and your energy needs, simply enroll on our site. There’s no need to call your utility – the new provider will do all of the switching for you. And the new rate charges will be on your electric bill in just one to two cycles.