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

Additionally, the bill amends existing legislation to allocate 60 percent of the funds in the Global Warming Solutions Fund to the EDA for various purposes, including support for fusion energy facilities, energy efficiency projects, and innovative carbon emissions reduction technologies. The EDA will administer the incentive program, determine the application process, and approve applications on a rolling basis while adhering to the annual tax credit limits. The bill also defines key terms such as "fusion energy or fusion technology company" and "power plant," ensuring clarity in eligibility and operational scope, ultimately aiming to foster innovation in the energy sector while contributing to the state's environmental goals.

Statutes affected:
Introduced: 26:2C-51