Trenton Electric Company & NJ Electricity Rates Guide

A homeowner on Trenton's Broad Street opens her bill and sees two separate line items under "Electric Supply" and "Electric Delivery." The delivery charge goes to one company; the supply charge can go to a completely different one. That split is the foundation of New Jersey's deregulated electricity market.

PSE&G (Public Service Electric and Gas Company) is the regulated electric utility for Trenton and most of Mercer County. PSE&G owns and maintains the wires, poles, and meters that deliver electricity to homes and businesses. That part of your bill is not negotiable, you pay PSE&G for delivery no matter who generates your electricity.

What you can control is the supply side. New Jersey law allows residential and commercial customers to choose a licensed third-party electric supplier instead of accepting PSE&G's default supply rate, called Basic Generation Service (BGS). The NJ Board of Public Utilities (NJBPU) regulates both the utility and the competitive suppliers who serve the state.

If you have never switched suppliers, you are on PSE&G's Basic Generation Service. As of June 2026, the PSE&G BGS rate is approximately 19.9 cents per kWh. That is the supply-only rate, it does not include delivery, transmission, or other fixed charges that make up the rest of your bill.

BGS is not a bad product. It is set through a competitive auction run under NJBPU oversight, so it tracks wholesale market prices reasonably well. The practical downside is that BGS prices reset periodically, and customers rarely notice when they change. Many Trenton residents stay on BGS for years without ever checking whether a better option exists.

For a household using around 700 kWh per month, the supply portion alone at 19.9 cents amounts to roughly $139. That single line item is where comparison shopping creates real, measurable savings.

New Jersey's deregulated market means licensed third-party suppliers can sell electricity to PSE&G customers, including those in Trenton. The supplier buys power on the wholesale market and sets its own retail price. PSE&G still handles billing (or the supplier may issue a separate bill, depending on the arrangement) and still responds to outages.

As of June 2026, the lowest competitive supplier rate available in PSE&G territory is approximately 17.6 cents per kWh. Compared to the BGS rate of 19.9 cents, that is a difference of about 2.3 cents per kWh, or roughly 11% savings on the supply portion of your bill.

That gap matters more at higher usage. A household using 1,000 kWh per month would save around $23 monthly on supply alone by switching to the lowest available rate. A small business using 3,000 kWh per month could see savings of $69 or more per month on supply.

Supplier rates change frequently. The figures above reflect a point-in-time snapshot. For current offers in Trenton, visit our New Jersey electricity rates page or check the NJBPU's licensed supplier list directly.

Supplier offers in New Jersey come in two main structures, and the difference is significant.

Fixed-rate plans lock your supply rate for a set contract term, typically 6 to 24 months. You know exactly what you will pay per kWh for the life of the contract, which makes budgeting straightforward. If wholesale prices rise, your rate stays put. If they fall sharply, you are stuck above the market until the contract ends.

Variable-rate plans float month to month, usually tied to some index of wholesale prices. They can offer lower introductory rates but have produced some of the largest complaint volumes at the NJBPU when prices spike during peak demand periods. New Jersey regulations require suppliers to disclose rate structures clearly, but consumers should read contract terms before signing.

For most Trenton households, a fixed-rate plan for 12 months offers a manageable way to test the competitive market without long-term exposure to price swings. Always note the contract end date, because many plans revert to a variable rate automatically if you do not act.

Not every New Jersey utility presents the same switching opportunity. Context helps Trenton residents understand whether their situation is favorable.

Atlantic City Electric customers in South Jersey face a BGS of about 18.2 cents per kWh as of June 2026, with the lowest competitive supplier around 16.7 cents, roughly 8% savings available on supply.

JCP&L customers in central and northern parts of the state actually face the opposite situation: JCP&L's BGS sits near 14.6 cents, while the lowest competitive supplier rate is around 16.0 cents. Switching away from BGS in JCP&L territory costs money, not saves it.

Rockland Electric serves a small part of northwestern New Jersey. Its BGS is around 18.8 cents, but very few competitive suppliers currently offer rates in that territory, and the lowest available is approximately 18.9 cents, no meaningful savings.

PSE&G territory, which covers Trenton, currently shows one of the larger gaps between BGS and competitive supply in New Jersey. That makes Trenton a relatively favorable market for shopping around, at least as of mid-2026. Rates shift, so checking current data at ElectricRates.org's New Jersey page before making any decision is worthwhile.

Rate shopping is one tool for managing electricity costs. For households facing genuine affordability challenges, New Jersey offers two key programs worth knowing.

LIHEAP (Low Income Home Energy Assistance Program) provides federally funded assistance with heating and, in some cases, cooling costs. Trenton residents can apply through the Mercer County Board of Social Services. Eligibility is income-based, and funding is limited, so applying early in the benefit season matters.

USF (Universal Service Fund) is a New Jersey-specific program that reduces electric bills for low-income households. PSE&G customers who qualify receive a monthly credit directly on their bill. The NJBPU administers USF, and eligibility details are available through the NJBPU website or by contacting PSE&G's customer service.

Both programs operate independently of supplier choice. A customer enrolled in USF can still switch to a competitive supplier, though they should confirm with their supplier and PSE&G that the credit will continue to apply correctly.

Switching suppliers in New Jersey is straightforward if you approach it methodically.

First, pull a recent PSE&G bill and note your average monthly kWh usage. That number tells you how much any given rate difference actually affects your dollar savings. A 2-cent difference matters far more at 1,200 kWh per month than at 300.

Second, compare licensed supplier offers. The NJBPU maintains a list of licensed retail electric suppliers authorized to serve New Jersey customers. You can also compare current offers at ElectricRates.org, which aggregates rates by zip code so Trenton residents can see what is actually available in their area.

Third, read the contract. Key items to confirm: the rate (fixed or variable), the contract length, early termination fees, and what happens at the end of the term. New Jersey regulations require clear disclosure, but terms vary widely between suppliers.

Fourth, sign up. Most suppliers handle enrollment online or by phone. PSE&G is notified automatically and the switch typically takes effect within one to two billing cycles. You do not need to call PSE&G yourself, and your service will not be interrupted during the transition.

If you want to return to BGS at any point, you can contact your supplier to cancel (check for early termination fees first) or simply let the contract expire and PSE&G will move you back to BGS automatically.

A few factors are worth monitoring for Trenton residents who care about their electric costs beyond today's rates.

New Jersey has ambitious clean energy targets, including goals for offshore wind capacity. As new generation comes online, wholesale electricity prices in the PJM Interconnection (the grid that serves New Jersey) may shift. That would feed through into both BGS auction results and competitive supplier pricing over time.

PSE&G has also proposed infrastructure investments in recent rate cases before the NJBPU. Delivery charges, which are the portion of your bill that does not change regardless of your supplier, can increase as the utility invests in grid modernization. Watching NJBPU proceedings is useful if you want advance notice of delivery rate changes.

For most households, the practical action is simpler: check your supply rate once or twice a year, compare it to what suppliers are offering, and switch when the math works in your favor. The BGS is a reasonable fallback, but leaving 11% on the table without even checking takes about five minutes to avoid.