This bill aims to streamline the permitting process for small-scale renewable energy projects in New Jersey by allowing applicants to seek approval solely from local government units, thereby exempting them from various State land-use permit requirements. Specifically, the bill defines a small-scale renewable energy project as one with a generation capacity of less than 20 megawatts and includes a broad range of renewable energy sources such as solar, wind, and biomass. To qualify for this exemption, projects must be inspected and approved by local government representatives and the utility holding the interconnection agreement.

Additionally, the bill stipulates that if an applicant chooses to file a permit application with a State agency, they will forfeit their right to seek only local approval. All projects must still comply with the "State Uniform Construction Code Act." This legislative change is intended to facilitate the development of renewable energy projects while ensuring that local environmental standards are upheld. The bill is set to take effect immediately upon passage.