New Jersey electric customers have more rate options than ever before. The four local utilities – PSE&G, JCP&L, Atlantic City Electric, Rockland Electric – all have default electric rates that are higher than competitive market rates for power.
Despite this opportunity for savings, only 3.3% (as of September 2010) of all New Jersey customers have switched away from default service on to lower rate structures. Larger businesses have been quicker to switch as the Board of Public Utilities in New Jersey reports about 72% of the states largest customers (those using above 10o0 KW demand) have contracted out with alternative suppliers.
The consumers who can really benefit from electricity deregulation in NJ are the small business and residential customers. The switch rate with these classes are extremely low. Though New Jersey has had a deregulated electricity market for several years now, there has only been real savings opportunities available over the last 20 months or so. NJ Electricity choice is still a new idea for many NJ residents.
What people in New Jersey should understand is that their local utility company is no longer responsible for their supply charges. The utility companies, such as PSE&G and JCP&L, want their customers to shop for lower electric rates. They do not profit off of the default service that they offer to customers who do not shop. The utility companies are now soley in the business of delivering power.
We have found that most small businesses in New Jersey can expect to see savings between 10-20% if they take the time to shop the electricity market and compare prices. Residential customers, depending on their utility, can see savings between 5-15%.
ElectricityWatch recommends customers look for electric prices that are fixed.
Atlantic City Electric Rates