Costs are rising. Here’s why, and what we’re doing about it.
South Jersey households and businesses are feeling it. Energy costs are increasing, and the reasons go far beyond anything happening in your neighborhood. Demand is soaring from data centers, AI and economic growth, while power plants retire faster than new ones are being built and renewable energy projects face delays.
And with nearly half of our power coming from out of state, we have limited control over our energy supply. The result is record-high capacity prices, rising bills, and concerns about long-term reliability.
The energy market isn’t working the way it should.
The companies that profit most from today’s high prices have no obligation to fix it. The current short-term pricing structure doesn’t incentivize long-term generation investments, and without coordinated action, customers will face persistent price increases and potential rotating outages during peak demand periods.
This is bigger than New Jersey. It’s a challenge playing out across the Mid-Atlantic and beyond, and Atlantic City Electric is fighting to make sure our customers don’t bear the burden alone. Instead of waiting for the market to figure it out, we’re taking a diversified, collaborative approach guided by one priority: delivering safe, reliable, and affordable energy for the communities that depend on us.
Here’s what we’re doing right now and for the long term.
- Deploying backup power systems: Building battery storage frameworks that store excess renewable energy, balance supply and demand, and keep the grid stable when it matters most.
- Expanding renewable energy: Investing in our people and systems to connect solar and distributed energy resources faster and more affordably.
- Advancing energy efficiency & demand management: Modernizing New Jersey’s energy efficiency framework and helping customers shift energy use to off-peak hours to reduce strain and lower costs.
- Integrating resource planning: Supporting development of a plan that will guide our state’s long-term energy strategy and align on policies around community solar, in-state generation, and battery storage.
- Pushing for market reform: Advocating for structural changes to PJM’s capacity markets that provide better long-term price signals and ensuring data centers and large energy users pay their fair share of grid costs.
- Standing ready as a backstop: If competitive markets fail to deliver, we’re prepared to invest in building and owning generation through partnerships with top developers to guarantee the reliable, affordable energy South Jersey needs.
These solutions are in addition to our ongoing grid modernization work — upgrading substations, reinforcing lines, and installing smart devices — and the financial relief and savings programs already available to customers.
This isn’t just about electricity. It’s about keeping our region thriving.
From the Shore to the small businesses that keep our communities going, South Jersey’s economy runs on reliable, affordable power. Policymakers, businesses, and community leaders are making decisions right now that will shape energy costs and reliability for decades. Our Atlantic City Electric teams are at the table, advocating for New Jerseyans every step of the way.
Learn more about our efforts to build an energy future that works for everyone: