In 1999, New Jersey passed the Electric Discount and Energy Competition Act, ending the monopoly era of electricity service. Deregulation separated power generation from delivery, giving residents the ability to shop for electricity suppliers while the utility continues to maintain the grid and deliver power to your home.
Today the average residential electricity rate in New Jersey is around 20.16 cents per kilowatt-hour, which is higher than the national average of about 17.45 cents. High population density, transmission congestion and aggressive renewable energy targets all contribute to these costs. By comparing offers from licensed suppliers, you can often lock in rates that beat your utility’s default supply rate.
When shopping for electricity, consider whether you prefer a fixed or variable rate. Fixed-rate plans provide price stability for the duration of your contract, while variable plans may fluctuate with market conditions. Look closely at contract length, early termination fees and any monthly base charges before you sign up.
Ready to start saving? Enter your ZIP code on Watt Rates to see a curated list of current plans from trusted suppliers. Whether you’re looking for the lowest price or a 100% renewable option, deregulation empowers you to make an informed choice and potentially lower your monthly bill.