The New Jersey Motor Truck Association has voiced strong opposition to the electric truck mandate included in the state's climate change regulations, known as NJ PACT.
"Make no mistake, the requirement to electrify trucks will result in a truckload of cost increases on New Jersey consumers, since everything gets to the store or our front door via a truck," said Eric DeGesero, lobbyist for the NJ Motor Truck Association, in a statement issued Thursday.
According to DeGesero, NJ PACT regulations will require truck manufacturers to sell one electric heavy-duty truck for every ten regular heavy-duty trucks starting in just over four months. He noted that heavy-duty electric trucks are three times more expensive than regular trucks and highlighted the lack of charging infrastructure and prohibitive costs associated with building it.
"While the State of New Jersey and NJ TRANSIT don’t need to worry about the cost to build out a small amount of heavy vehicle charging infrastructure – since they are receiving funding from the federal government, taxes on fuel, and a 15% fare increase – the cost is certainly a huge concern for businesses who must pay for their own charging infrastructure, assuming the electric utility can even provide the power," DeGesero said.
DeGesero further pointed out that New Jersey residents already face high electricity rates. "New Jerseyans also pay dramatically higher electric rates. The bottom line is that these costs will most certainly be passed along to consumers in the form of higher prices on everything they buy — in the local grocery store or online," he said.
He cited data from the U.S. Energy Information Administration indicating that as of May 2024, New Jerseyans pay 27% more for electricity than the national average. Additionally, effective June 1, 2024, electric rates increased by 6%. The regulation impacts all medium- and heavy-duty trucks down to super duty pickups and contractor vans.
"In effect, this new regulation will be another tax on consumers, small businesses, and farmers, all of whom are paying higher electric rates, and even property taxpayers since municipal and county governments are covered by this regulation," DeGesero stated. He added that "the New Jersey Legislature has never authorized an NJDEP regulation that penalizes the sale of medium- and heavy-duty trucks that aren’t electric."