The average residential electricity rate in New Jersey (NJ) is $0.1830 per kWh as of April 2026, according to the US Energy Information Administration (EIA). This is slightly above the national average of $0.1805/kWh, ranking New Jersey #35 out of 51 (all 50 states plus Washington DC), where #1 is the cheapest and #51 is the most expensive. The average New Jersey household consumes 705 kWh per month, resulting in a monthly electric bill of approximately $129 and annual electricity costs of about $1,548.
New Jersey generates over 40% of electricity from nuclear power and has one of the most aggressive offshore wind programs.
This comprehensive guide covers New Jersey electricity rates, historical trends, utility providers, bill calculation, solar savings potential, and actionable tips to reduce your electric bill. All rate data is sourced from the US EIA and updated monthly. Use our electricity cost calculator for personalized estimates.
New Jersey residential electricity rates have increased 12% over the past six years. The table below shows the trajectory compared against the national average.
| Year | New Jersey ($/kWh) | National Avg | Difference |
|---|---|---|---|
| 2020 | $0.1641 | $0.1322 | +24% |
| 2022 | $0.1720 | $0.1492 | +15% |
| 2024 | $0.1790 | $0.1680 | +7% |
| Apr 2026 | $0.1830 | $0.1805 | +1% |
New Jersey has a deregulated electricity market. The primary delivery utilities are: PSE&G, Jersey Central Power & Light (JCP&L), Atlantic City Electric (ACE).
New Jersey generates electricity from: Nuclear 42%, Natural gas 40%, Solar 8%, Wind 4%, Other 6%.
Your monthly electric bill = kWh Used × Rate per kWh. The average New Jersey household uses 705 kWh/month.
New Jersey is fully deregulated. The state has strong solar incentives including TRECs. New Jersey is investing billions in offshore wind.
Universal strategies: adjust thermostat 2-3 degrees (saves 5-10% on HVAC), switch to LEDs (see our LED savings calculator), unplug phantom loads (saves $100-200/year), and run major appliances during off-peak hours if your utility offers time-of-use pricing. For larger investments, consider a heat pump, better insulation, or a smart thermostat.
New Jersey receives 4.2 peak sun hours/day. A 6 kW system produces ~7,542 kWh/year, saving ~$1,380/year. With the 30% federal ITC, payback is typically 6-9 years. Use our solar panel calculator and solar ROI calculator for personalized estimates.
| State | Rate ($/kWh) | Avg Bill | Market |
|---|---|---|---|
| New Jersey (NJ) | $0.1830 | $129 | Deregulated |
| Delaware (DE) | $0.1398 | $130 | Deregulated |
| New York (NY) | $0.2120 | $138 | Deregulated |
| Pennsylvania (PA) | $0.1698 | $137 | Deregulated |
Data source: US Energy Information Administration (EIA), Electric Power Monthly, April 2026. Rates shown are average residential rates and may differ from your specific utility tariff. Solar estimates assume a 6 kW system with 82% efficiency factor. Always verify current rates with your utility provider.