New Jersey Assembly Democrats recently introduced legislation that would direct the New Jersey Board of Public Utilities to work with neighboring states to explore alternatives to the PJM Interconnection’s capacity and transmission market.
Bill A5902 is Sponsored by Assembly members Robert Karabinchak, Dave Bailey, Jr., and Lisa Swain.
A news release about the bill said the measure was proposed “in response to mounting frustrations over rising electricity costs and regulatory misalignment.”
Under the bill, the BPU would be tasked with working collaboratively with neighboring states to research and recommend collective action to:
- Require any load serving entity in New Jersey to demonstrate that it has contracted for at least 80 percent of the capacity needed to serve customers for at least five years into the future;
- Withdraw from PJM’s capacity market and develop a multi-state compact to replace the capacity market with a fixed resource requirement model; and
- Explore the feasibility of withdrawing from PJM’s high-voltage electric transmission grid entirely either by joining a different regional system or establishing a New Jersey-led grid.
