[{"_1":2,"_124":-5,"_125":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100,112],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6100495,"mediaKeyId","2813360-9d84b5a8241dd7a01a34101b68f4b364","parentId",2813360,"title","Rate Counsel urges immediate bill relief and oversight; proposes policy fixes to protect households","audioSeconds",3327,"startMs",893000,"endMs",4220000,"viewUrl","/Search/View?dp=1&key=2813360-9d84b5a8241dd7a01a34101b68f4b364&start=893&end=4220","thumbnailUrl","https://assets.pipeline.soar.com/2813360-9d84b5a8241dd7a01a34101b68f4b364/thumbnail_893000.jpg","articleUrl","/articles/6100495/New-Jersey/Rate-Counsel-urges-immediate-bill-relief-and-oversight-proposes-policy-fixes-to-protect-households","mediaUrl","https://secure.pipeline.soar.com/6100495-7d744d67187333c0441594139ad07d73/orig.mp4?Expires=1770934112&Signature=CY1D5p6~9mCaPLZW4oRTWtaCmgXx-fGH~Hf-GbK6BRczhJmQuMPbqjir56cybAKcYj4KWfTn4u9RQlfNaBnHX-RChlDSQfxfcKoA-lvwdQ1l74FUGswY7T9c1quRRj~sUgBWKUHfxVcwlj3DrmuawbBAxxZ6LQ~MJwBFFqpzvb9degVlUZ94Vh44oTL1POXhnORTXQzpDG6eFvBoNjo-N9D70XUtltyr9Ky5mJraM1a8z6HkNyyaIAEextRU1~oQZfHVA3CQpnr-tEuPYuWn41JocXWbhMP~wJS9NZkNLN5~F6pE3XO~vPOOnb0urk3VRUe-2Y5XnzOm5rmnYaHNww__&Key-Pair-Id=KUT5TJCACFTXG","author","New Jersey Legislature","date","2025-03-28T00:00:00Z","article","The Division of Rate Counsel urged state lawmakers on March 28 to take near‑term and structural steps to prevent a summer affordability crisis after wholesale capacity prices rose sharply.

Immediate needs

Brian Lipman, director of the Division of Rate Counsel, told the committee that many households are in “energy poverty” and cannot absorb steep bill increases. Lipman recommended targeted, near‑term bill credits for low‑ and moderate‑income households and a focused effort to increase enrollment in the Universal Service Fund (currently reaching only a fraction of eligible households, per testimony).

Medium‑ and long‑term recommendations

- Lower or reallocate the Societal Benefits Charge (SBC) and review unspent balances for near‑term relief; use SBC reductions to soften immediate bill impacts.
- Strengthen oversight of utility capital programs and returns: review infrastructure‑investment programs and consider reducing utilities’ return on equity where appropriate. Rate Counsel said New Jersey’s ROE has fallen from historical highs but that settlements and IIPs (infrastructure investment programs) can accelerate recovery and raise costs for customers.
- Expand enrollment and outreach for the Universal Service Fund and other assistance programs; require utilities to meet enrollment targets, as Sidovi described the BPU’s straw proposal.

Why it matters

Lipman emphasized that unaffordable bills have public‑health and economic consequences and that a mix of immediate credits and structural procurement and rate reforms is needed. He recommended legislative authority for specific program oversight and urged BPU to publish transparent spending and program outcomes.","mediaType","Video","parentTitle","Senate Select Committee Friday, March 28, 2025 - 10:00 AM","oneSentenceSummary","The Division of Rate Counsel told the legislature March 28 that millions of New Jersey residents face unaffordable electric bills and urged short‑term targeted credits, stronger oversight of utility investments and changes to rate design and procurement to protect consumers.","taxTitle","2025 Legislative Sessions, New Jersey","taxId",77696,"location","New Jersey","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6100500,"Lawmakers question ‘supplemental’ transmission projects after testimony showing high New Jersey costs",5119,7510000,12629000,"/Search/View?dp=1&key=2813360-9d84b5a8241dd7a01a34101b68f4b364&start=7510&end=12629","https://assets.pipeline.soar.com/2813360-9d84b5a8241dd7a01a34101b68f4b364/thumbnail_7510000.jpg","/articles/6100500/New-Jersey/Lawmakers-question-supplemental-transmission-projects-after-testimony-showing-high-New-Jersey-costs","https://secure.pipeline.soar.com/6100500-2df3b229eef4c5fc9251b94639332f64/orig.mp4?Expires=1770934112&Signature=MXwBS-mso~o09GdwKpzfijzBCpPpjDK8QBBp6N0zeugc49Kt54IFB2IPVjY3NupUOcTrtWt25CquSqP-6lf547bwR7cOxtlul~5ttHG59BjJUfWKV~SwURHuH5Y6j0-scujuq~xLBWo89TSo0eFdv6XwvpmucVlb3puGzGDV0Rl801RSXYm2r3bs3JQxESHmDMHyUQklVKwhnbQnor~WeXNf~lNBDOsii78wf8WLFFZnd-zi00G0o82NZJl67Y~q67VQbkMGTzlK1bhb8fAaA2zdug6Nz2UNS8rTqIunonSwjBEVaab0DLbD1gkULfmJcpXRK6dDPjy1rBKzGZmKSA__&Key-Pair-Id=KUT5TJCACFTXG","At the March 28 joint hearing, the Division of Rate Counsel raised concerns about supplemental transmission projects—utility‑proposed builds that proceed without competitive procurement and with limited external oversight.

Rate Counsel’s point: Brian Lipman, director of the Division of Rate Counsel, told lawmakers that PJM transmission owners can propose supplemental projects to address local needs and typically build them directly. Lipman said that process can raise costs because it bypasses competitive bids and regional cost‑benefit comparisons. He provided a chart showing New Jersey’s supplemental project spending was among the highest in the PJM footprint.

Why it matters

Supplemental projects are often necessary to address reliability issues on distribution and transmission systems. But without competitive oversight and a regional planning lens, Lipman said, states risk paying more than necessary. He urged the committee to consider giving BPU authority to review the need and cost‑effectiveness of supplemental projects and to require competitive bidding or regional alternatives where feasible.

Committee reaction

Lawmakers from both houses asked for immediate steps: require BPU review for large supplemental builds, require competitive procurement when private alternatives exist, and explore regional transmission planning to avoid piecemeal, higher‑cost work. Several members argued such oversight could cut the utility bill component tied to transmission in the medium term.

Next steps

The committee asked Rate Counsel and BPU staff to provide a detailed accounting of supplemental projects and to recommend statutory or regulatory changes that would allow state review of major transmission upgrades and encourage regional solutions.","Rate counsel told a March 28 joint hearing that New Jersey ratepayers pay more for so‑called supplemental transmission projects than other PJM states, and committee members asked the BPU and legislature to require review and competitive procurement for such builds.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6100505,"Lawmakers press for tighter rules on data‑center load forecasts after PJM testimony",4818,1752000,6570000,"/Search/View?dp=1&key=2813360-9d84b5a8241dd7a01a34101b68f4b364&start=1752&end=6570","https://assets.pipeline.soar.com/2813360-9d84b5a8241dd7a01a34101b68f4b364/thumbnail_1752000.jpg","/articles/6100505/New-Jersey/Lawmakers-press-for-tighter-rules-on-datacenter-load-forecasts-after-PJM-testimony","https://secure.pipeline.soar.com/6100505-6bde7785e2b42d7bc0815349b914c588/orig.mp4?Expires=1770934112&Signature=I-Sar7HNCyHHfZTxfDcqanZbpl463C37PAVJ2JaEfzsL0jKZVNQ389HZwmpsrveUxnyBtl398n48lmABNjA5hLdOqz9oWVGO-xm7mofdzggPKo2~NdxvTCdC8a93vDbsAF2FhlQFOXaGm1gAavpNiaJfHQFqxsq91Utjd8VX4KkBkY1Fk~G0C9Pkld8fJT~nF4Qu70gB1S6avFQbMLfdPUIOmIgQQ5-9ua9iM7l4enAH-isTbqcbiXK9Lr4RrSUdbu1QRmTl-yzs0wfXDbbXYJKVJSYunv8qxOwj5S6wK7jCrbI01kA58JQ5zBiwdVBf-kgH~XjnMwHdICwxXMfDfg__&Key-Pair-Id=KUT5TJCACFTXG","Lawmakers at the March 28 joint hearing pressed regulators and PJM for tools to prevent speculative large‑load projects from inflating demand forecasts and contributing to higher capacity prices.

The problem described: PJM and New Jersey officials said a surge of large‑load entries in interconnection and distribution queues—many tied to proposed data centers and AI facilities—has materially changed load projections for the region. Committee members asked for more public transparency and suggested state gating mechanisms so only projects with demonstrated financial commitment and firm buying contracts feed into statewide and PJM forecasts.

Options discussed

- Financial gating and proof of commercial commitment: Asim Haq (PJM) and several state witnesses identified examples in Ohio and Indiana where states require deposits or firm off‑take agreements for large new loads before those projects appear in official forecasts.
- Colocation and transmission treatment: Witnesses noted that data centers collocated behind generator meters may avoid transmission charges and remove generation capacity from the market; the hearing asked FERC, PJM and BPU to clarify treatment of behind‑the‑meter large loads.
- Demand‑response and hedging: PJM and experts stressed demand‑response programs and procurement hedges as near‑term tools to blunt price volatility while longer‑term supply is developed.

Why legislators pressed the point

Several members said they need stronger rules to avoid “phantom demand” that can produce auction price signals and lead to preemptive rate increases. They asked the state to consider legislative gating rules or require larger developers to post deposits or demonstrate long‑term customer contracts before their load is treated as firm in forecasting models.

Bottom line

Multiple experts at the hearing urged cross‑state cooperation: because PJM is a multi‑state grid, forecasting and gating policies will be more effective if adopted regionally rather than by a single state. Lawmakers said they would examine state‑level gating measures and ask BPU and Rate Counsel to model potential benefits.","Multiple legislators urged stricter state gating rules—financial commitments, deposits or firm contracts—so speculative data‑center proposals can’t skew PJM load forecasts and raise auction prices. PJM and experts said better transparency and state coordination can reduce forecasting error.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6100510,"PJM officials defend queue reforms, warn demand growth outpaced forecasts",502,5648000,6150000,"/Search/View?dp=1&key=2813360-9d84b5a8241dd7a01a34101b68f4b364&start=5648&end=6150","https://assets.pipeline.soar.com/2813360-9d84b5a8241dd7a01a34101b68f4b364/thumbnail_5648000.jpg","/articles/6100510/New-Jersey/PJM-officials-defend-queue-reforms-warn-demand-growth-outpaced-forecasts","https://secure.pipeline.soar.com/6100510-2c414b8e8428d21cd717cd7d2dbee083/orig.mp4?Expires=1770934112&Signature=oK1WWSe5t-i1K55IG3zJisfD9ewTlyucWhN4UYCfpMnvLmlxlibABX5LoHfY48tXKg7tlmQAYwJqBdGxEL9SdeVqo4h5SFzkHIcqpipnklcQG4AGQyQocevXFIa2vZ4tlTj6T7YxwLG05oUHY-AIMFi6Krrsot5eYhJxwwwZIb3S2VQV036DHLwbeVN9q3InvQ7taMd0CR9HO~zLySGh0F4bncUjzyoIh3UxhyfGo5-Tgh2whvMRpJROCnKN2xM4QlUa70MESvl93UaCh-vFZy7XERqBzlXecK~34A~KSNGMJAwYkNj9YUrMMFX-Kz5Rh8TMr9rdtSlOCgzKemE8AA__&Key-Pair-Id=KUT5TJCACFTXG","PJM Interconnection executives told a joint state hearing that the regional grid operator has advanced a set of market and queue reforms but warned those changes take time to lower prices.

PJM’s message: the system faces a changed demand picture and a backlog of interconnection applications. Asim Haq, senior vice president for governmental member services, said PJM’s footprint historically had flat demand and abundant supply, which allowed policies to be implemented without tight short‑term consequences. In the last two to three years, Haq said, demand has surged in certain zones because of large data center projects and electrification trends. That faster‑than‑expected growth, together with retirements of some thermal units and recent PJM market‑rule adjustments, contributed to the higher capacity clearing price.

Actions PJM described

- Queue reforms: PJM reported that 50 gigawatts of projects have cleared under its updated process, with additional tranches (18 GW this year, 50 GW next year) planned. Haq said reforms move toward a “first ready, first out” model and offer a separate reliability lane to accelerate shovel‑ready projects.
- Reliability Resource Initiative: PJM opened a window to receive applications for high‑reliability resources; the window attracted 94 applications totaling roughly 27 GW, Haq said. PJM has sought FERC approval to process and incent the most reliability‑value resources.
- Market‑rule filings: PJM said it has filed and will file market‑rule changes with the Federal Energy Regulatory Commission intended to count renewables/storage appropriately in the capacity construct and to include reliability‑must‑run units.

Limits and timelines

PJM staff acknowledged the reforms will not immediately reverse retail price effects. Haq told members that solar and storage with completed interconnection approvals can come online fastest (2–3 years), while new natural‑gas plants typically require 5–7 years. He urged states to consider clearer data and gating rules for major new loads—such as data centers—so that load forecasts better reflect firm commitments rather than speculative projects.

Why the committee pressed

Lawmakers repeatedly asked how PJM and states can prevent speculative projects from skewing planning and pricing, and whether states can require large loads to secure firm generation or financial commitments before they enter the queue. PJM staff pointed to examples in Ohio and Indiana where states have used gating criteria for large load requests and said such policies can improve forecasting.

Outlook

PJM framed its role as a grid operator regulated by FERC; its officials said they can propose market‑rule changes but ultimate authority rests with FERC. PJM representatives urged continued multi‑state coordination and faster state‑level action to accelerate permitted projects and demand‑response programs while market and queue reforms are implemented.","PJM told New Jersey lawmakers March 28 that a rapid uptick in demand—driven by data centers and electrification—combined with market‑rule changes and interconnection backlogs produced the recent capacity‑market price spike. PJM described queue reforms, a reliability resource initiative and filings to FERC as steps to restore stability.",{"_33":113,"_35":36,"_37":38,"_39":114,"_41":115,"_43":116,"_45":117,"_47":118,"_49":119,"_51":120,"_53":121,"_55":56,"_57":58,"_59":122,"_61":62,"_63":64,"_65":123,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6100515,"New Jersey faces steep electricity bill increases after PJM capacity auction; BPU, state officials seek fixes",95,477000,572000,"/Search/View?dp=1&key=2813360-9d84b5a8241dd7a01a34101b68f4b364&start=477&end=572","https://assets.pipeline.soar.com/2813360-9d84b5a8241dd7a01a34101b68f4b364/thumbnail_477000.jpg","/articles/6100515/New-Jersey/New-Jersey-faces-steep-electricity-bill-increases-after-PJM-capacity-auction-BPU-state-officials-seek-fixes","https://secure.pipeline.soar.com/6100515-62c6ae060db4d9b47c5990f1ee23cd36/orig.mp4?Expires=1770934112&Signature=NTgIfJCuhPlnwK0RRlp8-6Th6YZZcfFFRkJr9-yTH4dedWNKTv7t5esZYuXb8cviuBJc4vatyXxfXgCFb3cZCawtiODFFPyr0JFauxSfwWbXCh1z4PRvaYrES4iJBS7j2nP3W3w65C5eEtV-hw0-T4aM34~lLUTsjXdpAUZQwEwkmkLE4lTP3gvuAT3Ujgd9SPlnwpyVgu7H~nj0svjOMK7c51fbqxtLR1TXGZtYv8Ex5LLakebiqufv~jUG5hvm-OnyjJ96x6aoLcLWs4F1LZ7JPhnTcWE825~VQO2Tfj74BV~WUjQMlNY9-3feJhOvkoQ86LX2hITRgZAuIhS9Hw__&Key-Pair-Id=KUT5TJCACFTXG","Members of a joint Senate and Assembly committee on March 28 pressed state regulators and PJM Interconnection about wholesale electricity price increases that will translate into higher residential and business bills this summer.

The hearing followed results from PJM’s most recent capacity auction, which produced much higher clearing prices than earlier auctions and—according to the New Jersey Board of Public Utilities (BPU) and the Division of Rate Counsel—will raise retail costs for customers statewide.

Why it matters: wholesale capacity prices are one component of the retail bill. When the auction clears at a higher level, utilities and suppliers pay more for capacity that is then recovered in customer rates. The committee focused on near‑term relief for vulnerable households and on market, transmission and permitting reforms to bring new supply online faster.

What officials said

Christine Gould Sidovi, president of the New Jersey Board of Public Utilities, told the committee New Jersey is part of the 13‑state PJM regional grid and that BPU staff has pushed for PJM and FERC changes to address “artificial scarcity” in market rules. Sidovi said the board is planning near‑term bill credits and convening rule and program changes to increase solar and storage and to expand the Universal Service Fund enrollment to lower bills for low‑ and moderate‑income customers.

Asim Haq, senior vice president, governmental member services for PJM Interconnection, and other PJM staff described the technical market and planning steps PJM has taken and said demand growth—driven by data centers, electrification and manufacturing—has sharply changed forecasts. Haq said PJM has pushed queue reforms, opened a reliability‑resource lane and filed market‑rule changes with the Federal Energy Regulatory Commission (FERC), but said those reforms take time to affect prices.

Division of Rate Counsel director Brian Lipman urged the committee to use short‑term funds to shield the most vulnerable, to require stronger oversight of transmission project costs, and to press for market‑rule changes at FERC to prevent future auction spikes.

Short‑term relief and uncertain timing

BPU said it is proposing a repeat of a summer bill credit targeted to low‑ and moderate‑income customers who qualify for winter protections (a $175 payment in the prior year, shown in committee discussion as costing roughly $48 million). The board also is proposing an expanded Universal Service Fund (USF) enrollment push and is exploring bill credits funded from the Clean Energy Fund and solar alternative compliance payments.

Lawmakers repeatedly asked how quickly new generation can come online. Regulators and PJM staff said solar and battery projects already progressed through interconnection can be fastest—often two to three years—while new natural‑gas plants typically require five to seven years to permit and build. Committee members pressed whether the state should pursue faster siting, stronger regional coordination, or require large energy users to secure their own supply.

What the committee pressed for next

Members requested clearer, public PJM data on auction bidders and on the interconnection queue, stronger oversight of “supplemental” transmission projects, and emergency steps to raise enrollment in low‑income bill programs. Several members said the state should consider whether policy choices—like the pace of electrification and the current calls for a large increase in renewables—were made without adequate planning for grid needs and consumer costs.

Ending note

Committee leaders said they would press PJM, FERC and state agencies for faster transparency, and explore legislative options to accelerate projects that can quickly add capacity or lower customer bills. Multiple witnesses warned that without quick, practical steps to increase capacity or hedge wholesale purchases, the summer will put substantial upward pressure on household and business electricity costs.","Lawmakers pressed the New Jersey Board of Public Utilities and PJM Interconnection on March 28 after a capacity-market auction produced sharply higher wholesale prices that will raise retail bills this summer. Officials outlined short‑term bill credits and long‑term grid, market and supply measures to blunt the impact.","actionData","errors"]

Article not found

Rate Counsel urges immediate bill relief and oversight; proposes policy fixes to protect households

Lawmakers question ‘supplemental’ transmission projects after testimony showing high New Jersey costs

Lawmakers press for tighter rules on data‑center load forecasts after PJM testimony

PJM officials defend queue reforms, warn demand growth outpaced forecasts

New Jersey faces steep electricity bill increases after PJM capacity auction; BPU, state officials seek fixes