New Jersey Dispensary Energy Costs: GLP, BGS-RSCP, and Small-Commercial Supply Choice
A New Jersey dispensary is a small commercial load in a state where more than 270 medicinal and adult-use stores were open across 21 counties by end of 2025, and most sit on fixed BGS-RSCP default supply because they stay under the large-customer CIEP threshold. That fixed benchmark makes supplier shopping straightforward: compare a TPS fixed or hybrid offer against the BGS-RSCP price on your bill, not against the 18.47 cents per kWh statewide commercial average. Security, refrigeration, and summer HVAC still push some stores into demand-metered GLP or JCP&L GP classes where per-kW delivery charges appear.
New Jersey figures last verified 2026-09-11. Full citations in the Sources section.
What a dispensary loads
A Class 5 retailer draws far less power than a cultivator, but the load runs 12 to 16 hours a day with a sharp afternoon peak when HVAC fights summer humidity.
Retail lighting. LED sales floor and display case lighting typically run 1 to 2 W per square foot, plus accent fixtures. A 2,500 square foot store might connect 5 to 8 kW of lighting.
HVAC. Rooftop units or split systems for customer comfort and product storage conditions. New Jersey's 859 cooling degree days and coastal dew points at or above 70 F in summer push condenser load from June through September [noaa-cag-new-jersey]. Budget 15 to 25 kW connected HVAC for a mid-size store, with peak draw on hot afternoons.
Security. Cameras, DVR/NVR, access control, and alarm panels run 24 hours. Dedicated security circuits add 2 to 5 kW continuous.
Refrigeration. Reach-in coolers, walk-in flower storage, and edibles cases. Walk-ins dominate: a single 10x12 walk-in can add 8 to 12 kW when compressors cycle together.
Point of sale and back office. Minimal compared to HVAC, but always on.
The dispensary retail energy costs page has national benchmarks. New Jersey's twist is the BGS-RSCP fixed default for most stores and municipal opt-in that limits where new licenses can open [nj-crc-2025-year-in-review].
Rate classes dispensaries land on
| Utility | Typical dispensary class | Demand charge? | Default supply |
|---|---|---|---|
| PSE&G | GLP (General Light and Power) | Per-kW demand above a low threshold on GLP [pseg-electric-tariffs] | BGS-RSCP if under 500 kW on LPL-Secondary equivalent; GLP accounts stay RSCP [pseg-electric-tariffs] |
| JCP&L | GS (General Service Secondary) | GP and GT bill per-kW; GS small may not [nj-bpu-commercial-shopping] | BGS-RSCP under large-customer threshold |
| Atlantic City Electric | MGS-Secondary | AGS demand-metered with ratchet for larger loads [nj-bpu-commercial-shopping] | BGS-RSCP for small monthly general service |
| Rockland Electric | SC 2 or SC 2-D | SC 2-D and SC 3 bill demand [nj-bpu-commercial-shopping] | BGS-RSCP under threshold |
More than 270 medicinal and adult-use dispensaries were operating across 21 counties by end of 2025, with retailers the largest share of licensed operating businesses [nj-crc-2025-year-in-review]. Most single-store operators never touch BGS-CIEP hourly default. That keeps supplier shopping simple.
Why supply choice still matters on a small load
New Jersey's June 2026 commercial average is 18.47 cents per kWh [eia-epm-5-6-a], but BGS-RSCP supply for 2026 runs 10.938 to 12.057 cents/kWh depending on EDC [nj-bpu-bgs-2026]. Delivery, transmission, and surcharges make up the gap to 18.47. A fixed Third Party Supplier offer should be compared to the BGS-RSCP rate on your bill for your rate class, not to the EIA statewide average [nj-bpu-commercial-shopping].
Even a half-cent improvement on 8,000 kWh is $40 a month, or $480 a year per store. A five-store chain multiplies that without touching delivery. The switching guide walks enrollment. Understanding your commercial utility bill shows where BGS appears on the page.
A worked example: urban dispensary on PSE&G GLP
Assume:
- 2,800 square foot retail in Newark, PSE&G GLP, BGS-RSCP supply.
- 8,200 kWh per month total usage.
- Billed demand 38 kW peak on a July afternoon (HVAC + walk-in + lighting).
- BGS-RSCP supply at 11.5 cents/kWh (midpoint of the 2026 PSE&G band) [nj-bpu-bgs-2026]: 8,200 x $0.115 = $943 supply.
- Remaining delivery, transmission, and surcharges assume $0.065 per kWh all-in residual to reach a plausible total near the state average: 8,200 x $0.065 = $533, total about $1,476 per month, or roughly $17,700 per year.
At the full EIA average of 18.47 cents all-in [eia-epm-5-6-a], the same 8,200 kWh costs $1,515 per month. The few-dollar difference shows why you should use your actual bill lines, not the average.
If the same store added a second walk-in and hit 55 kW peak, GLP demand charges would rise. Per-kW GLP delivery rates were not confirmed for this page; open the PSE&G tariff before modeling demand.
County and territory notes
Dispensaries cluster in opted-in municipalities along the PSE&G corridor from Bergen to Camden, in Monmouth and Ocean on JCP&L, and in Atlantic City on Atlantic City Electric [nj-crc-2025-year-in-review]. Shore stores on JCP&L and Atlantic City Electric see higher summer humidity than northwestern locations [noaa-cag-new-jersey]. Urban PSE&G stores pay higher delivery density but benefit from Direct Install if peak demand stays under 300 kW [pseg-mybizenergy].
Consumption areas licensed in Atlantic City, Merchantville, and Newark add on-site lounge load for some locations [nj-crc-2025-year-in-review]. Those sites draw more HVAC and ventilation than a standard retail-only floor plan.
Rebates for stores
PSE&G Direct Install covers lighting, HVAC, and refrigeration for accounts under 300 kW peak demand with interest-free on-bill repayment [pseg-mybizenergy]. JCP&L Direct Install and Energy Solutions offer assessments and incentives through June 30, 2027 [jcpl-ee-news]. LED case lighting and high-efficiency RTUs are the usual prescriptive wins.
See New York dispensary energy for a market with a higher EIA average and ESCO Reset Order rules, and Pennsylvania dispensary energy for another PJM neighbor.
Chain operators and landlord meters
Multi-store operators often inherit landlord-held accounts or shared-meter strip centers. The BPU choice rules attach to the account holder and meter [nj-bpu-commercial-shopping]. Before enrolling with a Third Party Supplier, confirm the lease allows supplier choice and that the account name matches the CRC licensee entity. A store paying through a landlord's GLP account may need a meter split before supply shopping produces clean savings data.
For two stores on different EDCs, BGS-RSCP prices differ by tranche even when usage is similar [nj-bpu-bgs-2026]. Run separate benchmarks per bill rather than one blended cents-per-kWh target across the chain.
When a store outgrows small-commercial service
Adding a commercial kitchen for edibles, a large walk-in, or a consumption lounge increases peak kW. PSE&G GLP already bills demand above a low threshold [pseg-electric-tariffs]. A store that doubles cooler capacity without upgrading HVAC may cross from a comfortable GS profile into GP demand billing on JCP&L [nj-bpu-commercial-shopping]. Re-read the rate schedule line after any buildout; class changes are often automatic once demand persists for several billing months.
Fixed BGS-RSCP supply stays available only while the account remains below the large-customer CIEP boundary at that EDC [nj-bpu-bgs-2026]. Plan supply contracts with that threshold in mind if expansion is on the calendar.
Municipal opt-in and storefront load
Only 211 of New Jersey's 564 municipalities allowed cannabis by end of 2025 [nj-crc-2025-year-in-review]. More than 270 medicinal and adult-use dispensaries were open across 21 counties [nj-crc-2025-year-in-review]. GLP and small LPL accounts under 500 kW stay on fixed BGS-RSCP [pseg-electric-tariffs]. PSE&G Direct Install serves facilities under 300 kW peak demand [pseg-mybizenergy].
Quarterly bill review cadence
Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [nj-crc-2025-year-in-review]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [nj-bpu-bgs-2026]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [nj-bpu-commercial-shopping]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [pseg-electric-tariffs]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].
Documentation for audits and lenders
Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [nj-crc-2025-year-in-review]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [nj-bpu-bgs-2026]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [nj-bpu-commercial-shopping]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [pseg-electric-tariffs]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].
Board reporting on utility COGS
Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [nj-crc-2025-year-in-review]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [nj-bpu-bgs-2026]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [nj-bpu-commercial-shopping]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [pseg-electric-tariffs]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].
Tariff verification before budgeting
Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [nj-crc-2025-year-in-review]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [nj-bpu-bgs-2026]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [nj-bpu-commercial-shopping]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [pseg-electric-tariffs]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].
Compare with other states
Frequently asked questions
Can a New Jersey dispensary switch electricity suppliers?
Yes, if it is served by PSE&G, JCP&L, Atlantic City Electric, or Rockland Electric. All commercial customers of those utilities may buy from a BPU-licensed Third Party Supplier. Vineland Municipal Utilities and other municipal systems are outside the BPU choice framework.
What BGS product does a typical dispensary get?
Most dispensaries stay under the large-customer threshold and receive fixed BGS-RSCP supply from the annual auction. For June 2026 through May 2027, RSCP closing prices run 10.938 to 12.057 cents/kWh depending on which EDC serves the store. That line on your bill is the benchmark for a TPS quote.
What is a typical New Jersey dispensary electric bill?
Assume a 2,500 square foot store using 8,000 kWh a month. At the June 2026 statewide commercial average of 18.47 cents per kWh, all-in cost is roughly $1,480 a month, but supply on BGS-RSCP is closer to 11 to 12 cents while delivery adds the rest. Replace the average with your own bill before budgeting.
Will security cameras and coolers push me into demand billing?
They can. PSE&G GLP bills a per-kW demand charge above a low threshold even on small commercial accounts. A store with multiple walk-in coolers, rooftop HVAC, and security load that peaks above neighboring small businesses may see demand charges on GLP or move toward JCP&L GP if demand grows.
Do dispensaries qualify for Direct Install rebates?
PSE&G Direct Install serves facilities under 300 kW peak demand with prescriptive lighting, HVAC, and refrigeration measures. JCP&L Direct Install covers small business upgrades with assessments and incentives through June 30, 2027. A single-store dispensary often fits the Direct Install size cap.
Related reading
- New Jersey Cannabis Energy: TPS Choice, BGS Rates, PJM Capacity, and Four Utility Territories
How New Jersey cannabis licensees buy power: BPU third-party supplier choice, BGS-RSCP vs BGS-CIEP, PJM capacity, and PSE&G vs JCP&L delivery classes.
- New Jersey Commercial Electricity Rates for Cannabis Facilities: EIA Averages, BGS, and Utility Classes
NJ commercial power averaged 18.47 cents/kWh in June 2026 vs 14.19 nationally. BGS-RSCP and BGS-CIEP benchmarks and EDC demand-class tables.
- How to Switch Electricity Suppliers in New Jersey: TPS Enrollment for Cannabis Businesses
TPS switching for NJ cannabis: BPU licensing, BGS-RSCP vs BGS-CIEP benchmarks, NJ Power Switch, enrollment timing, and contract-end rules.
- PSE&G for Cannabis Facilities: GLP, LPL, BGS-RSCP vs BGS-CIEP, and TPS Billing
PSE&G cannabis billing: GLP vs LPL-Secondary at 500 kW, HTS primary service, BGS products, demand charges, and mybizenergy rebates.
- New York Dispensary Energy Costs: Small-Commercial Classes, the Reset Order, and ESCO Choice
What a New York dispensary pays for power: Con Edison SC 2 vs SC 9, National Grid SC-2, the 2019 Reset Order's small-customer rules, and a worked bill example.
- Pennsylvania Dispensary Energy Costs: Small-Commercial Classes, PTC Benchmarks, and EGS Choice
What a Pennsylvania dispensary pays for power: PECO GS, PPL GS-1, Duquesne GM classes, Price to Compare benchmarks, and a worked bill example.
- Dispensary Retail Energy Costs: Lighting, Security, POS, HVAC
What a dispensary's electric bill is made of, CBECS retail kWh per square foot benchmarks, the 24/7 security and refrigeration baseline, and rate-class errors.
- Understanding Your Commercial Utility Bill (Line-Item Breakdown)
Supply vs delivery, customer charge, distribution demand, transmission, capacity, riders, power factor, and taxes, with an annotated sample bill for a grow.
- Utility Rate Classes Explained: Small Commercial, Large Commercial, C&I
How utilities assign small, large, and C&I rate classes by peak kW, why the wrong class costs money, real tariff examples, and how to request a class review.
- What Is a Typical Dispensary Electric Bill?
Monthly kWh ranges, cost drivers, and rate-class mistakes for cannabis retail stores, benchmarked to federal CBECS retail data and state commercial rates.
Jason Taken founded Jaken Energy, the commercial energy procurement practice behind this site. He works with licensed cannabis operators in deregulated electricity markets to lower supply rates, manage demand charges, and evaluate efficiency upgrades.
Sources
Inline citations in this article, such as [eia-epm-5-6-a], refer to the entries below. Links open the primary source in a new tab.
- [eia-epm-5-6-a]Electric Power Monthly, Table 5.6.A: Average Price of Electricity to Ultimate Customers by End-Use Sector, by State, June 2026 and June 2025 — U.S. Energy Information Administration. Accessed 2026-09-11.
- [nj-crc-2025-year-in-review]CRC High Points: 2025 Year in Review (February 6, 2026) — New Jersey Cannabis Regulatory Commission. Accessed 2026-09-11.
- [nj-bpu-bgs-2026]New Jersey Board of Public Utilities Certifies 2026 Electricity Auction Results (February 12, 2026) — New Jersey Board of Public Utilities. Accessed 2026-09-11.
- [nj-bpu-commercial-shopping]Energy Shopping for Commercial Customers — New Jersey Board of Public Utilities. Accessed 2026-09-11.
- [pseg-electric-tariffs]PSE&G Electric Tariffs (B.P.U.N.J. No. 17, effective July 15, 2026) — PSE&G. Accessed 2026-09-11.
- [pseg-mybizenergy]PSE&G Business Energy Efficiency Programs — PSE&G. Accessed 2026-09-11.
- [jcpl-ee-news]JCP&L Expanding Energy Efficiency Offerings — FirstEnergy Corp.. Accessed 2026-09-11.
- [noaa-cag-new-jersey]Climate at a Glance: New Jersey statewide heating and cooling degree days, 1991-2020 base period averages — NOAA National Centers for Environmental Information. Accessed 2026-09-11.