PSE&G New Jersey: Understanding Your Electric Bill in the Garden State

PSE&G New Jersey: Understanding Your Electric Bill in the Garden State

Public Service Electric and Gas (PSE&G) is New Jersey's largest utility, serving approximately 2.3 million electric customers. Understanding how your bill works can help you find savings.

PSE&G Rate Structure

New Jersey is a deregulated state, so your bill has separate delivery and supply components:

Delivery Charges (PSE&G)

• Customer Charge: ~$4.95/month
• Distribution Charge: Per-kWh delivery cost
• Transmission Charge: High-voltage grid costs
• Societal Benefits Charge: Clean energy and efficiency programs
• Non-Utility Generation Charge: Legacy power purchase costs

Supply Charges

• Basic Generation Service: If using PSE&G supply
• Third-Party Supplier: If you've chosen an alternative

Average residential rate: approximately 17-19 cents per kWh

Other New Jersey Utilities

JCP&L (Jersey Central Power & Light)

Serves central and northern New Jersey

• Similar rate structure to PSE&G
• Average rate: ~18 cents per kWh

Atlantic City Electric

Serves southern New Jersey

• Average rate: ~16 cents per kWh

Choosing a Supplier

New Jersey's deregulated market allows supplier choice:

Basic Generation Service

• PSE&G procures power through competitive auctions
• Rates change quarterly
• No contract required

Third-Party Suppliers

• Fixed and variable rate options
• Compare offers at NJ.gov/BPU
• Watch for teaser rates that increase

New Jersey Energy Assistance

• Universal Service Fund (USF) for low-income customers
• LIHEAP for heating assistance
• NJ SHARES for emergency help
• Payment Assistance for Gas and Electric (PAGE)

Tips for New Jersey Residents

1. Use NJ.gov/BPU to compare supplier offers
2. Consider community solar if you can't install panels
3. Apply for USF if you qualify - significant savings available
4. Monitor your usage through PSE&G's online tools

Related: Lowering Your PSE&G Bill

• Best Ceiling Fans to Lower Your AC Bill in 2026 — at NJ's $0.18–$0.22/kWh range, ENERGY STAR ceiling fans paired with a smart thermostat cut summer cooling 20–30%.