The proposed bill establishes the Fusion Energy and Technology Incentive Program within the New Jersey Economic Development Authority (EDA) to encourage the development and utilization of fusion energy and technology. It introduces tax credits for eligible property owners who lease space on power plant sites to fusion companies, as well as for the companies themselves for capital investments related to their facilities. Property owners can receive tax credits of 15% of the rent paid by fusion companies and 35% of necessary capital investments made prior to application. The EDA is authorized to issue up to $5 million in tax credits annually for property owners and up to $10 million for fusion companies, contingent upon the companies actively operating their facilities.

Furthermore, the bill amends existing legislation regarding the allocation of funds from the Global Warming Solutions Fund, specifying that 60% of the fund will be allocated to the EDA for grants and financial assistance aimed at supporting energy efficiency projects, including those related to fusion energy and technology facilities. This change is designed to enhance coordination among agencies and ensure effective utilization of funds to stimulate investment in innovative energy solutions. The EDA will manage the application process for tax credits and define eligibility criteria for property owners and fusion companies, emphasizing local operations and proprietary intellectual property, ultimately contributing to the state's greenhouse gas reduction goals.

Statutes affected:
Introduced: 26:2C-51