Plan to Pause New Jersey's Climate Program and Add a Fee on Power Plants
Official: A 5434 — Suspends New Jersey participation in Regional Greenhouse Gas Initiative; establishes temporary carbon dioxide mitigation fee on energy generation units in New Jersey.
Reading: Suspending RGGI participation removes New Jersey from an established multi-state carbon pricing program, replacing it with an unspecified temporary fee that is likely to provide less stringent emissions control.
The bill was introduced in the Assembly in September 2026 but has not yet been voted on.
In clear language
This bill would pause New Jersey's participation in the Regional Greenhouse Gas Initiative (RGGI), a multi-state program that puts a price on carbon emissions from power plants to reduce pollution. In its place, the bill creates a temporary fee on energy generation units in New Jersey. The bill was introduced in the Assembly in September 2026 but has not yet been voted on.
How does this affect you?
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Who does this affect?
- Power plant operators and energy generation companies in New Jersey, who would face a new fee instead of RGGI rules
- Electricity consumers, who may see changes in energy costs if power plants pass fees to utilities
- New Jersey's climate goals, since RGGI is a key tool for reducing greenhouse gas emissions in the state
- Other Northeast states in RGGI, which would lose New Jersey's emissions reductions and auction revenue
What can you do?
- Contact your Assembly representative to express your position on whether New Jersey should stay in RGGI or support this alternative fee approach
- Learn more about RGGI at njclimateaction.org or the RGGI program website to understand how emissions pricing works
- Monitor the bill's progress at njleg.state.nj.us to see if it advances to a vote in committee or the full Assembly
Timeline
- 2026-09-10: Bill introduced and referred to Assembly Telecommunications and Utilities Committee
No New Jersey official has a verified action on this policy yet.
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