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NJ LegislatureProposedAdvances

Make Fossil Fuel Companies Pay for Climate Adaptation in New Jersey

Official: S2338 — "Polluters Pay to Make New Jersey More Affordable Act"; imposes cost recovery payments on certain fossil fuel companies for funds needed for climate change adaptation; establishes program in DEP to collect and oversee distribution of funds.

Reading: The bill creates a new cost-recovery funding mechanism for climate adaptation by imposing mandatory payments on fossil fuel companies, directly expanding dedicated climate resilience resources.

What this means for you

The goal is to make climate adaptation more affordable for New Jersey residents by having polluters contribute to the cost.

In clear language

This bill requires fossil fuel companies operating in New Jersey to pay money to help the state adapt to climate change impacts. The Department of Environmental Protection would collect these payments and distribute the funds to support climate resilience projects and programs. The goal is to make climate adaptation more affordable for New Jersey residents by having polluters contribute to the cost.

How does this affect you?

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Who does this affect?

  • Fossil fuel companies doing business in New Jersey (oil, gas, and coal operations)
  • New Jersey residents who will benefit from climate adaptation projects funded by these payments
  • Local governments and communities affected by climate impacts like flooding and extreme weather
  • Businesses and property owners in areas vulnerable to climate hazards

What can you do?

  1. Contact your state senator to express support for or concerns about the bill as it moves through the legislature
  2. Learn about climate adaptation projects in your community and how they may be funded by this program
  3. Participate in public hearings or comment periods if the bill advances and the DEP seeks input on fund distribution

Timeline

  • 2026-01-13: Bill introduced in New Jersey Senate
  • 2026-06-08: Approved by Senate Environment and Energy Committee; referred to Senate Budget and Appropriations Committee

In the press

Multiple opinion pieces and news coverage debate whether fossil fuel companies or taxpayers should bear the costs of climate damages and adaptation in New Jersey, with some arguing that polluters should pay for climate resilience measures and others warning of potential costs to residents. The Guardian reports that several U.S. states, including New Jersey, are pursuing policies requiring polluters to finance climate disaster costs.

Coverage retrieved automatically from major and NJ outlets. Links go to the original reporting; the summary above draws only on these headlines.

Tied to people

3 people have acted on this policy

Verified promises, sponsorships, votes, or other actions where the politician's record references this policy. Each entry links to that person's accountability page.

  • John McKeonDNew Jersey
    • Bill sponsoredIn progressPrime sponsor of S2338: "Polluters Pay to Make New Jersey More Affordable Act"; imposes cost recovery payments on certain fossil fuel companies for funds needed for climate change adaptation; establishes program in DEP to co
  • Bob SmithDNew Jersey
    • Bill sponsoredIn progressPrime sponsor of S2338: "Polluters Pay to Make New Jersey More Affordable Act"; imposes cost recovery payments on certain fossil fuel companies for funds needed for climate change adaptation; establishes program in DEP to co
  • Sen. Raj MukherjiDNew Jersey
    • Bill sponsoredIn progressPrime sponsor of S2338: "Polluters Pay to Make New Jersey More Affordable Act"; imposes cost recovery payments on certain fossil fuel companies for funds needed for climate change adaptation; establishes program in DEP to co

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