The bill establishes a comprehensive framework for the development and incentive awards for transmission-scale energy storage systems in New Jersey, as detailed in P.L.2025, c.136. It defines essential terms such as "accredited capacity," "eligible project," and "energy storage program," and mandates the Board of Public Utilities (BPU) to create a program to procure and provide incentive awards for eligible projects. The BPU is required to approve incentive awards totaling at least 1,000 MW AC in installed capacity by June 30, 2026, with specific targets for different project tranches. The bill also sets eligibility criteria for projects, including participation restrictions and anticipated commercial operation dates, while outlining the BPU's responsibilities in evaluating applications and ensuring compliance with performance metrics.

Additionally, the bill establishes the Energy Storage Fund within the BPU, which will support energy storage initiatives through various revenue sources, including legislative appropriations and investment returns. The board is mandated to deposit a minimum of $60 million annually into the fund from the societal benefits charge until all incentive awards are fulfilled. The bill also amends existing regulations regarding the societal benefits charge to allow for the recovery of costs associated with energy storage systems and outlines the board's responsibilities in adopting rules for implementation. The act is set to take effect immediately upon approval, which occurred on August 22, 2025.

Statutes affected:
Introduced: 48:3-60
Advance Law: 48:3-60
Pamphlet Law: 48:3-60