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Grid Operator’s Auction Miss Could Mean Higher Bills, Reliability Risks Ahead

Issue #552

December 22, 2025

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In This Cape May Local Scoop Issue…

 📆 Cape May Events

☀️ Cape May Local Weather

🦁 Grid Operator’s Auction Miss Could Mean Higher Bills, Reliability Risks Ahead

🚋NJ Gas Tax Reaches 38.6 Cents as New Increase Takes Effect

🦆 Stockpiled Sand and Federal Appeals: Ocean City's Plan to Save Its Beaches

Cape May Local Scoop’s Events Are Sponsored By: The Cape May Holiday Guide

👇 Here’s what’s going on in the Cape May Local Area👇  

 December 22

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Grid Operator’s Auction Miss Could Mean Higher Bills, Reliability Risks Ahead

  PJM Interconnection, the power grid operator for New Jersey and parts of 12 other states, failed for the first time to secure enough electricity capacity in its auction for the 2027–2028 delivery year. The shortfall, driven by rising demand and minimal new supply, raises concerns about future reliability and higher energy costs. The auction will result in over $16 billion in annual costs to ratepayers, up from $14.7 billion previously. Despite the growing demand, the supply side saw little improvement. The auction yielded less than a 1% increase in new energy capacity.  Several obstacles continue to hamper expansion, including delays in constructing transmission lines, local opposition to renewable energy project siting, supply chain disruptions, and a clogged interconnection queue that prevents many projects from progressing in PJM’s system. The disappointing auction results add pressure to accelerate infrastructure upgrades and regulatory reform, while also reinforcing concerns about rising electricity prices and future service reliability across one of the nation’s most critical regional grids.

NJ Gas Tax Reaches 38.6 Cents as New Increase Takes Effect

Drivers in New Jersey will soon see higher prices at the pump as the state prepares to raise its gasoline tax by 4.2 cents per gallon starting January 1, 2026. The increase, established under a 2024 law, is part of an ongoing effort to support the state’s Transportation Trust Fund, which finances road, bridge, and transit infrastructure projects.

The hike will push New Jersey’s gas tax from 34.4 cents to 38.6 cents per gallon. Combined with the federal fuel tax, the total cost per gallon will further climb, impacting residents even as winter demand currently keeps overall fuel prices relatively low. The increase follows a required review of fuel consumption and revenue, triggering the adjustment to meet long-term funding targets. New Jersey already ranks among the highest states in the nation for gas taxes, and this upcoming change reinforces its position.

Despite the added cost, state officials view the tax hike as a necessary step to maintain and improve vital transportation systems across the state.

 

Stockpiled Sand and Federal Appeals: Ocean City's Plan to Save Its Beaches

 Ocean City is preparing for the 2026 summer season by stockpiling sand and restoring beaches eroded by storms, while pushing for federal assistance through a state emergency declaration. City leaders want Governor Murphy to unlock federal funds by declaring a state of emergency, which could support a beach replenishment project by the U.S. Army Corps of Engineers. While the governor has yet to act, local efforts—including sand harvesting and potential independent replenishment—are underway to ensure the shoreline is in top shape. Officials stress the importance of beach health for storm protection and tourism, assuring visitors that Ocean City will be ready for summer.

Which historic hotel in Cape May served as the "Summer White House" for President Benjamin Harrison?

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Answer to the December 21 st Trivia Question

What notable historical figure is honored by a museum in Cape May, New Jersey?

A) Harriet Tubman
B) Frederick Douglass
C) Sojourner Truth
D) Martin Luther King Jr.

Answer: A) Harriet Tubman

The Harriet Tubman Museum in Cape May, New Jersey, celebrates the life and work of the famed abolitionist and social activist Harriet Tubman. The museum is located in the Howell House, which was formerly the Macedonia Baptist Church Parsonage, and is part of the Cape May Historic District.

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