The "End Data Center Tax Credits Act" empowers the Board of Public Utilities (BPU) to issue tax credits for energy storage projects and introduces a temporary gross income tax credit for qualifying residential ratepayers. The bill reallocates $250 million in uncommitted tax credits from the Next New Jersey Program, with a maximum of $125 million specifically for energy storage initiatives. It also modifies existing tax credit allocations by removing the previous $500 million cap on the Next New Jersey Program, thereby enhancing the overall cap for tax credits across various programs to $11.5 billion over nine years, including $2.5 billion for transformative projects under the Aspire Program.

Additionally, the legislation establishes a framework for tax credits for studio partners and film-lease production companies, with specific allocations for fiscal years 2023, 2024, and 2025. It sets a goal for the approval of at least 1,000 MW AC in installed capacity for energy storage projects by June 30, 2026, and allows for tax credits to be included in incentive awards. A one-time gross income tax credit of $100 is also introduced for low-income residential electric customers. If the total claimed tax credits do not reach the designated $125 million, the remaining funds will be redirected to the BPU for further energy storage incentives. The BPU and State Treasurer are tasked with adopting regulations to implement the bill's provisions effectively.

Statutes affected:
Introduced: 34:1B-362, 48:3-121.2, 48:3-121.3