The "Small Modular Nuclear Energy Incentive Act" aims to establish a program in New Jersey to promote the construction of small modular nuclear reactors (SMRs) by directing the Board of Public Utilities (BPU) to solicit bids for financial incentives, known as SMR incentives, for each megawatt hour of electricity produced by these reactors. The BPU will develop a competitive solicitation program within one year of the bill's enactment, with the first solicitation round occurring no later than two years after. The bill emphasizes the importance of SMRs in providing reliable electricity, replacing jobs lost from retiring fossil fuel plants, and helping the state meet its clean energy goals. It also allows the BPU to use funds from the "Global Warming Solutions Fund" to finance these incentives.

Additionally, the bill includes provisions that restrict SMR owners from profiting from the environmental attributes of the energy produced while receiving incentives and mandates that selected SMRs pay an annual administrative fee to the BPU. The BPU is also tasked with developing eligibility criteria for participation in the solicitation process and ensuring that projects are located on sites of former power plants or include retraining for former employees. The legislation aims to create a structured approach to integrating SMRs into New Jersey's energy landscape while ensuring fiscal responsibility and environmental considerations.

Statutes affected:
Introduced: 26:2C-51