Bill > AJR216

Introduced Session

This joint resolution respectfully: (1) directs the Board of Public Utilities (BPU) to investigate PJM Interconnection, L.L.C.'s (PJM) Reliability Pricing Model; and (2) directs the State of New Jersey to collaborate with neighboring states to promote affordable energy practices and to urge PJM to implement market reforms and expeditiously review new electricity generation applications. PJM is the regional transmission organization responsible for coordinating the movement of electricity and ensuring reliable and cost-effective energy distribution in New Jersey, several other states, and the District of Columbia. One of PJM's responsibilities is to administer a capacity market to ensure adequate resources exist on the grid to maintain reliability at the lowest possible cost through a competitive auction. The rising cost of capacity in PJM's capacity market auctions, which contributes to the overall increase in electricity bills for ratepayers, raises concerns about the alignment of capacity prices with the principles of affordability and transparency outlined in New Jersey's "Electric Discount and Energy Competition Act". In addition, delays in PJM's interconnection queue have prevented new electric generation resources from becoming operational in a timely manner. As a result, these new resources, which are needed to maintain reliability at low costs, will be unable to compete in PJM's capacity market auctions in the near future. The BPU has been working to incentivize the development of new generation resources to help meet growing energy demand and thereby prevent increases in energy and capacity prices. The BPU has also been actively working to protect ratepayers from price increases and coordinating with other PJM states to push for capacity market reforms. The BPU's initiatives, led by Governor Murphy, are accompanied by the actions of consumer advocates, who have furthered the region's efforts to reduce prices through additional complaints at the Federal Energy Regulatory Commission, which the BPU has pledged to support.

Committee Categories

David Bailey (D)*,  Joe Danielsen (D)*,  Eliana Pintor Marin (D)*,  Heather Simmons (D)*,  Margie Donlon (D),  Mitchelle Drulis (D),  Roy Freiman (D),  Robert Karabinchak (D),  Tennille McCoy (D),  Bill Moen (D),  Carmen Morales (D),  Carol Murphy (D),  Annette Quijano (D),  Jessica Ramirez (D),  Lisa Swain (D),  Chris Tully (D),  Michael Venezia (D), 

Substituted by SJR154 (on 06/30/2025)

Official Document