Ocean Spray is closing its cranberry processing plant in Bordentown NJ this year and building a new one in the Allentown PA area. They cited high utility costs as a major factor in the move.
New Jersey, like Delaware, participates in the cap and trade scheme called the “Regional Greenhouse Gas Initiative” or RGGI where states make power companies (and others who produce supposed greenhouse gases) buy “indulgences” in the form of carbon credits from them in exchange for being allowed to burn fossil fuels. This additional cost is passed on in the form of higher electricity prices. Pennsylvania wisely did not sign up for RGGI.
According to the US Energy Information Administration, the average price of electricity paid by industrial users in New Jersey is almost 50% higher than PA! It is kind of hard for New Jersey to compete with that although they did offer to offset some of the high energy costs with money extracted from other taxpayers. Delaware electricity is nearly 25% higher than PA. Don’t you think the cost of utilities is taken into consideration when a business is looking for a location in this area? I wonder if we have lost any companies yet.
DE Republican house member Jack Peterman and 19 other legislators sponsored a bill to withdraw Delaware from the RGGI, but it was voted down in committee. I guess this slush fund is more important than jobs and what we have to pay for electricity.