In a recent op-ed published in the Bergen Record and USA Today Network, the head of the state’s largest utility said PSEG is ready to work with Governor-elect Mikie Sherrill, to find lasting solutions that secure energy affordability and prioritize additional in-state power generation.
“It’s time to get to the root of what’s driving (rising) costs and find practical solutions that work for everyone,” said PSEG Chair, President & CEO Ralph LaRossa in an op-ed written as an open letter to New Jersey’s 57th governor, who will take the oath of office on Jan. 20.
“We know you’re ready to take on this challenge, and PSEG — which serves 2.4 million electric and 1.9 million gas customers across the state — is ready to roll up our sleeves and partner with you to deliver smart, reliable and affordable utility solutions for New Jersey families and businesses,” he said.
LaRossa noted that New Jersey now imports between 40–50% of its power, and that percentage is expected to grow.
“PJM Interconnection — the 13-state grid operator our state relies on — is signaling that as soon as 2030 we might not be able to meet electric demand,” LaRossa said. “That means less reliability during high-demand periods, like summer heatwaves and winter freezes. Together this means customers may pay more for less reliable service.”
LaRossa pledged to work together with the Sherrill administration to tackle the root cause of New Jersey’s supply-and-demand imbalance that has led to increases in electric rates. He recommended the incoming Sherrill administration these first steps:
- Develop a New Jersey Power Plan — an integrated resource plan — that is forward-looking, and grounded not only in end-use demand, but also in how much supply and capacity the state will need by 2030 and beyond. LaRossa noted the state has not had this type of integrated resource plan in more than 25 years.
- Open a process to procure more in-state generation including solar, energy storage, modernizing gas-fired generation sites, and new nuclear power sources. “PJM hasn’t responded to the crisis, but PSEG is ready to deliver new generation quickly and affordably,” he said.
- Support customers by expanding energy efficiency, demand response, and bill-management assistance tools for those who need help.
- Advance nuclear energy. “As the operator of three nuclear plants in South Jersey, we at PSEG are strong believers in the value of reliable, 24/7, emission-free nuclear power,” he said. "The state needs to start charting a path to new nuclear now, knowing it will take 10 or more years to come online.”
Go here to read the entire op-ed.
