Does New Jersey charge a demand charge on EV charging?

Under PSE&G's filed fast-charging rate, almost none — the delivery rate for DCFC premises has no demand charge, the supply program converts capacity and transmission to per-kWh prices, and the only per-kilowatt line left is a rider at about $1.91 per kilowatt-month. The trade is higher energy: about 21 to 23¢ per kWh all-in.

What is the 500-kilowatt peak-load-share threshold?

It decides which default supply program applies. Peak load share is the site's average draw during PJM's summer coincident peaks — snapshotted each November 1 and governing supply type from the following June 1 — not the billed peak. A typical site clears the threshold with about 2× headroom; crossing it raises the supply component roughly 2.4¢/kWh while the delivery rate is unchanged.

Is charging equipment taxed as property in New Jersey?

No — New Jersey assesses no general business personal property; the only taxable classes are telephone-exchange and petroleum-refinery equipment. The model's business-personal-property line is $0 for New Jersey sites. The entity stack is also light: a $75 annual report is the only fixed state cost for a single-member LLC.

ForgeAsset / Supercharger ROI / New Jersey

Tesla Supercharger ROI in New Jersey

New Jersey files the most charging-friendly rate structure in the covered set: PSE&G's LPL-Secondary carries a dedicated fast-charging delivery rate with no demand charge at all, and an elective supply program that converts the capacity and transmission kilowatt charges into per-kWh prices. The whole stack — delivery, default supply, riders — bills volumetrically, leaving a demand line under $2 per kilowatt-month from a single rider. Energy is expensive at about 21–23¢ all-in, but the bill scales with usage rather than the site's peak, which is exactly what a ramping site wants. Business personal property is untaxed, and the state's 6.625% sales tax sits inside the filed rates by law.

Model a New Jersey site

What makes New Jersey economics distinct

A demand line under $2 — by filed design

The filed DCFC delivery rate has no demand charge; the elective DCFC supply program replaces the capacity and transmission kilowatt charges with per-kWh prices; the only per-kilowatt component left is a conservation rider at about $1.91 per kilowatt-month. In year one, when utilization is a fraction of steady state, an all-volumetric stack is the difference between a bill that scales with usage and one dominated by a fixed peak.

The 500-kilowatt question is about coincident load, not the hardware

Default fixed-price supply requires the site's PJM peak-load share — its average draw during the prior summer's system peaks, snapshotted each November — to stay under 500 kilowatts. That statistic is a fraction of the hardware peak: a typical site measures around 240 kilowatts coincident even at conservative assumptions, roughly 2× headroom. Crossing it moves default supply to the fast-charging hourly program at about 2.4¢/kWh more, while delivery and riders are unchanged — stated in the model rather than modeled.

The sales tax is already in the price

New Jersey law requires the 6.625% sales and use tax inside filed electric rates — every tariff sheet prints each charge with and without it, and the model carries the including-tax figures directly with no separate multiplier. Charging sessions themselves are also taxable at 6.625%, a tax that rides the posted driver price rather than the modeled cost lines.

An annual auction sets the supply price

New Jersey procures default supply in a statewide auction each February, with rates effective June 1 — the modeled row carries the June 2026 compliance strips and re-derives each year at the reset. The 2027 auction filing carries the DCFC volumetric structure forward verbatim, with no sunset or step-down in the filed stack.

Utilities and tariffs modeled in New Jersey

Utility & tariff	Energy	Demand
PSE&G LPL DCFC	21.3¢/kWh–23.3¢/kWh by time of day	$1.91/kW of monthly peak

Rates are digit-verified against each utility's own filed sheets and update within two weeks of any revision. Full derivations are on the methodology page.

New Jersey tax profile

Sales tax on hardware: 6.63%
Business personal property tax: none
Clean-fuels credit: no program
Per-kWh charging excise: none

New Jersey tax defaults applied: no clean-fuels credit program exists in New Jersey (the LCFS revenue line is $0; a clean-fuel-standard bill sits in committee), and business personal property is not taxed — a structural zero. LLC costs use the $75 annual report. Sales tax is the statewide 6.625% on hardware, with a permanently affixed charger install treated as an exempt capital improvement whose labor is untaxed; the electricity sales tax is already inside the filed utility rates, and the 6.625% tax on charging sessions rides the posted driver price rather than the modeled cost lines. The modeled default supply assumes the site's PJM peak-load share stays under 500 kilowatts at the November snapshot — a coincident-peak statistic, not the billed peak; crossing it moves default supply to the fast-charging hourly program at about 2.4¢/kWh more while delivery is unchanged.

New Jersey programs and incentives

PSE&G Clean Energy Future — EV make-ready

Board-approved public DCFC make-ready support — customer-side on-bill credits up to $25,000 per charger and up to $100,000 per site, with utility-side support on top; program capacity varies by cycle, and a specific award enters the model through the grant inputs.

NJDEP It Pay$ to Plug In

State grant program with corridor and community DC fast-charging categories; applications queue on a waitlist as funding allows.

NEVI (federal, NJDOT-administered)

Federal corridor DC fast-charging funding along the Turnpike, I-95, I-78, and I-80, administered in award rounds.

New Jersey charging market

New Jersey carries roughly 107 Supercharger stations — the densest coverage per square mile in the covered set — along the Turnpike, Parkway, and I-78/I-80 corridors. PSE&G serves the Newark–Jersey City–New Brunswick–Trenton spine where most of them sit. The Jersey Shore and the northwest are JCP&L territory and the south is Atlantic City Electric — both stated as uncovered banners; a JCP&L row is a candidate after its 2026 EV-rate order.

New Jersey Supercharger ROI — questions

Does New Jersey charge a demand charge on EV charging?: Under PSE&G's filed fast-charging rate, almost none — the delivery rate for DCFC premises has no demand charge, the supply program converts capacity and transmission to per-kWh prices, and the only per-kilowatt line left is a rider at about $1.91 per kilowatt-month. The trade is higher energy: about 21 to 23¢ per kWh all-in.
What is the 500-kilowatt peak-load-share threshold?: It decides which default supply program applies. Peak load share is the site's average draw during PJM's summer coincident peaks — snapshotted each November 1 and governing supply type from the following June 1 — not the billed peak. A typical site clears the threshold with about 2× headroom; crossing it raises the supply component roughly 2.4¢/kWh while the delivery rate is unchanged.
Is charging equipment taxed as property in New Jersey?: No — New Jersey assesses no general business personal property; the only taxable classes are telephone-exchange and petroleum-refinery equipment. The model's business-personal-property line is $0 for New Jersey sites. The entity stack is also light: a $75 annual report is the only fixed state cost for a single-member LLC.

Sources

Model a Tesla V4 Supercharger site in New Jersey — payback, NPV, IRR, and a 15-year cash flow from your own inputs.

Run a New Jersey scenario

Other states: California, North Carolina, Georgia, Oregon, Pennsylvania, Florida, Arizona, Texas, Virginia, Illinois, Michigan, Tennessee, Montana, Idaho, Kansas, Nebraska, North Dakota, South Dakota, Wyoming, New Mexico, Oklahoma, Alabama, Missouri, Wisconsin, Iowa, Indiana, Louisiana, Nevada, Washington, Ohio, Utah, New Hampshire, Kentucky, South Carolina, Massachusetts, Minnesota, Colorado, Maryland. Coverage spans thirty-nine states in total — see the full list.

ForgeAsset is software, not investment, tax, or legal advice — outputs are model estimates from your inputs, not guarantees. Rates and programs current as of research; verify current terms with each source before committing capital.