Assemblyman Schnall Introduces Legislation to Combat Rising Utility Rates in New Jersey

With New Jersey residents facing a massive spike in electricity rates set to take effect on June 1, Assemblyman Avi Schnall (D-30) has introduced two pieces of legislation aimed at reining in excessive utility costs and protecting consumers from unfair rate hikes.

“Families across New Jersey are already struggling with rising costs, and utility bills should not be another burden that forces them to make impossible financial choices,” Assemblyman Schnall said in unveiling the bills.

The bills are part of a broader package introduced by the Assembly Majority Caucus, which is working to counter rising electricity rates and bring relief to households and businesses across the state.

The first piece of legislation, A5460, introduced alongside Assemblywoman Rosy Bagolie (D-27), addresses how electric utility providers recover costs for infrastructure improvements. Under current law, utilities make investments into their infrastructure and then recoup those costs by raising customer rates—while making a profit on top of it. These rate hikes must be approved by the New Jersey Board of Public Utilities (BPU), but there is currently no appropriate mechanism to cap excessive profits that directly impact consumers.

This legislation would require the BPU to determine the lowest reasonable amount of profit that utility companies should be able to make and cap rate hikes accordingly.

“Right now, utility companies can charge customers not just to cover their investments, but to rake in excessive profits in the process,” said Schnall. “Families have no choice but to pay these rates. There has to be a cap on what profit makes sense when it affects the lives of every single New Jerseyan. This bill ensures that rate hikes are based on what is fair—not what is most profitable for utility companies.”

The second bill, A5461, sponsored alongside Assemblyman Al Abdelaziz (D-35) and Assemblywoman Tennille McCoy (D-14), would reduce the amount of money utility companies are required to pay for solar energy.

Under existing law, utility companies must purchase a certain amount of solar energy at a mandated price, which contributes to higher costs for consumers. This legislation would lower the required cost of purchasing solar energy—but critically, it ensures that the savings from these lower costs go directly to lowering consumers’ utility bills rather than into the pockets of utility companies.

“This is about fairness. Right now, utility companies are paying top dollar for solar energy, and those costs are passed directly to customers,” said Schnall. “Lowering these costs should mean lower bills for New Jersey residents—not bigger profits for utility companies. This bill ensures that the savings go where they belong: back to the people paying the bills.”

This content, and any other content on TLS, may not be republished or reproduced without prior permission from TLS. Copying or reproducing our content is both against the law and against Halacha. To inquire about using our content, including videos or photos, email us at general@thelakewoodscoop.com.

Stay up to date with our news alerts by following us on Twitter, Instagram and Facebook.

**Click here to join over 20,000 receiving our Whatsapp Status updates!**

**Click here to join the official TLS WhatsApp Community!**

Got a news tip? Email us at newstips@thelakewoodscoop.com, Text 415-857-2667, or WhatsApp 609-661-8668.

13 COMMENTS

  1. Very important. Start using fire wood to cook and heat your home. Use candlelight for light. It’s the cost of living in NJ. If you don’t want to pay for utilities, go old school. Welcome to 1825.

    • well guess what I have had a wood stove in my home since he late 1970’s ,yes its a lot of work but definitely reduces my electric bill and solar for me has worked out well , adding mini split ( heat pump) another way to help as they use less electric than baseboard heaters

      • Baseboard heaters shouldn’t be using any electricity, as it’s supposed to run off your boiler. Most boilers are gas boilers. As to your usage of wood burning stove, you might be from the less then hundredth of a percent in the civilized world doing that today.

  2. The bill is dumb. Instead the goverment approves the hike just don’t approve it. Goverment creates a problem>>goverment creates a solution>>goverment touts itself as smart

  3. How about instead of reducing the amount they must pay for solar, eliminate the mandate. Why should utility companies be forced to subsidize solar power companies at customer expense.

  4. How about doing something about the high delivery charge on the NJ Natural Gas company bill. The delivery charge for natural gas is approximately 3 times the cost of the gas. The delivery charge for electricity is approximately 1/3 the cost of the electricity.

    • NJ American water is disaster,
      It makes no sense why they’re 4X the Lakewood MUA bill.

      This needs to be investigated and regulated. ASAP

Comments are closed.