This bill establishes a biochar processing permit system in New Jersey, requiring any person or facility engaged in biochar processing to obtain a permit from the Department of Environmental Protection (DEP) within 180 days of the bill's enactment. The DEP, in consultation with the Department of Agriculture, will create rules and regulations for the permit, which will only allow processing of biochar derived from clean cellulosic biomass. Applicants must provide specific information, including their business details and the geographical area they will service, and the DEP is mandated to review and decide on applications within six months. The bill emphasizes compliance with air contaminant and emissions regulations, as well as financial assurance for waste disposal and environmental mitigation.

Additionally, the bill outlines penalties for non-compliance, including potential suspension or revocation of permits for facilities that do not adhere to the established requirements. The DEP will also set application and renewal fees to cover the costs of administering the permit program. The intent of the legislation is to harness the environmental and economic benefits of biochar, which has been shown to improve soil health, increase crop yields, and contribute to a circular energy economy.