Governor Mikie Sherrill Declares State of Emergency on Utility Costs, Freezes Rate Hikes on Day One

The executive actions were signed during Governor Sherrill’s inaugural address, signaling an urgent response to rising electricity bills affecting families and businesses across the state.

The first executive order provides immediate relief to ratepayers by freezing upcoming utility rate increases and directing state agencies to intervene where costs continue to rise at unsustainable levels. The order authorizes the use of existing funds to offset electricity bill increases expected later this year and empowers the New Jersey Board of Public Utilities (BPU) to pause or modify utility actions that could further burden consumers. It also instructs the BPU to review utility business models to ensure they prioritize cost reductions for customers.

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The second executive order formally declares a State of Emergency under the Disaster Control Act and uses emergency authority to accelerate the development of new power generation within New Jersey. The administration says expanding local energy production is essential to lowering long-term electricity costs and reducing dependence on out-of-state supply.

Governor Sherrill emphasized that New Jersey can no longer accept repeated rate hikes while structural problems remain unresolved.

“I promised the people of New Jersey bold action to lower utility costs, and today I’m delivering,” Governor Sherrill said. “These executive orders will stop rate hikes, deliver relief to consumers, and create the conditions to massively expand power generation in our state so families are no longer trapped by ever-increasing electric bills.”

Under the emergency order, state agencies will fast-track programs to bring thousands of megawatts of new solar energy and battery storage online, while also identifying permitting reforms to speed up stalled energy projects.

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The order addresses utility-level interconnection delays that have slowed development and driven up costs statewide.

The administration is also directing the BPU to examine energy demand tied to artificial-intelligence-driven data centers, sometimes referred to as “ghost loads,” by requiring utilities to report large energy requests that could strain the grid and increase costs for consumers.

In addition, the governor established a Nuclear Power Task Force to position New Jersey as a national leader in next-generation nuclear energy, recognizing its role in long-term, reliable, and affordable power generation.

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State officials say the combined actions mark a shift toward accountability, affordability, and energy independence at a time when federal support for energy projects is declining.

The executive orders take effect immediately.

This article is based on an official statement from the Office of Governor Mikie Sherrill.

Editorial Note — Adam Rizvi, Editor, The India Observer:

Rising utility costs hit working families, seniors, and small businesses the hardest. Decisive action that balances consumer relief with long-term energy planning is essential for affordability, economic stability, and public trust in government.

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Curated by Humra Kidwai