The proposed bill aims to eliminate New Jersey's solar renewable energy portfolio standard by June 1, 2025, and replace it with a new system of solar renewable energy certificate (SREC) incentive payments. These payments will be fixed at $95 per megawatt hour for solar energy produced, providing a more predictable and stable incentive structure for solar energy producers. The bill mandates that the Board of Public Utilities (BPU) establish this new incentive payment system, which will be available to owners of solar electric power generation facilities registered in the SREC program prior to the bill's enactment. Additionally, the BPU is tasked with adopting necessary rules and regulations to implement these changes, which will take effect immediately upon filing with the Office of Administrative Law.

Furthermore, the bill introduces a new designation for SREC incentive payments related to projects connected to the distribution system with a capacity of one megawatt or greater, labeling them as "Board of Public Utilities financial assistance." This legislative change is intended to enhance the economic competitiveness of solar energy projects while ensuring transparency and accountability in the development of solar facilities across the state. Overall, the bill seeks to streamline the solar energy incentive process, promote sustainable growth in the sector, and facilitate a transition to a more competitive energy market.

Statutes affected:
Introduced: 48:3-51, 48:3-87