# Presentation: 166087

## New Jersey’s Solar Program

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

- An Integrated Approach
- Plugging into the Sun for Clean Emission-free Energy

##    New Jersey has Good Solar  

**   ****Relatively High Rates **
**  ****Persian Gulf of Flat Roofs**
**  ****Integrated Program to Support and  ****	****Advance Solar**

**Why -  Solar **

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

##    Societal Benefit Charges

**Incentives and Financing**** **
**   ****Net Metering and Interconnection      ****	****Standards**
**  ****Renewable Portfolio Standards**
**  ****Renewable Energy Certificates**

**New Jersey’s Integrated Approach **

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s 

**Societal Benefits Charge **

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

**Non-By-passable charge on all electric use **
**Average Funding Level - $ 124 Million per year - 4****th**** year**
**	****	****	****	****75% for EE and 25% for RE**
**	****	****	****	****$ 14/HH/yr**
** ****Rebate for Capital Cost**
**< 10kW system up to 70 % rebate**
**Grants and long term financing for EE/RE projects**
**Grants and long term financing for RE Power Plants  **

## New Jersey’s Net Metering 

**   ****Small Commercial Business**
**     ****Up to 10 MW peak**
**   **_**< **_**10 kW Inverter-based - No fee**
**   ****Reduce barriers **
**  ****Limit timeframe for review**

**New Jersey’s Net Metering **
**and Interconnections Standards**

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

- Renewable Portfolio Standard – Requirement that all suppliers
- 				        provide a certain percentage of
- 				        their electricity generated by
- 				        renewable energy
- Renewable Energy Certificate – Represents the attributes of
- 				        the renewable energy separate
- 				         from the electrons
- Alternate Compliance Payment – Safety value

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

-    **Doubled the Current RPS from **
**     ****2% Class 1 in 2008 to 4% in 2008**
-    **Established a Solar Set Aside of**
**     ****the Class 1 at 120,000 MWh (90 MW)**
**    ****Class 2 remains at 2.5%**** **
**   ****Established a 20% by 2020 **
**     ****Class 1 target**

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

**Technology**

-      **Class I**
**       ****Solar (PV), Wind, Landfill Gas,**
**       ****Sustainbly Grown and Harvested**
**       ****Biomass, Wave, Tidal.**
**    ****Class II**
**      ****Resource Recovery (MSWI)**
**      ****Small Hydro (< 30 MW) **

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

**Pricing and Liquidity**

-      Class I REC
-       Proxy $15/MWh - ACP  $50/MWh
-      Solar REC
-       Proxy $150/MWh – SACP $300/MWh
-      Lifetime
-        1 year - June 1 – May 31
-         3 month true up period

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

| Year | Class 1 |  | Solar |  |  | Class 2 |  | Total |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  | % | MWh
X 1000 | % | MWh
X 1000 |  | % | MWh
X 1000 | % | MWh
X 1000
 |
|  |  |  |  |  |  |  |  |  |  |
| 2004 | 0.74 | 535 | 0.01 | 7.2 |  | 2.5 | 1810 | 3.25 | 2,352 |
| 2008 | 3.84 | 2,895 | 0.16 | 120 |  | 2.5 | 1,885 | 6.5 | 4,900 |
| Best Engineering Estimate |  |  |  |  |  |  |  |  |  |
| 2020 | 19.41 | 16,480 | 0.59 | 500 | 2.5 |  | 2,123 | 22.5 | 19,103 |

**2003 Total Energy Usage 72,000,000 MWh increases at approx 1% per year**

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## New Jersey’s RPS

- Value of RECs

| 
Year | Class 1 – Class 2 and Solar RECs | 
Solar RECS |
| --- | --- | --- |
| 2004 | $   14,009,400 | $  1,448,000 |
| 2008 | $   48,746,600 | $ 15,080,000 |
| 2020 | $ 131,275,800 | $ 35,000,000 |

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

- GHG Credits		$25 - $10		$250 - $100

## RPS Bill Cost to 

- the NJ Customers

| Year | Household | Commercial |  | Industrial | Rate |
| --- | --- | --- | --- | --- | --- |
|  | $ per year |  |  |  | $/kWh |
| 2004 | $ 1 |  | $ 10 | $ 125 | $ 0.00019 |
| 2008 | $ 5 |  | $ 50 | $ 550 | $ 0.00065 |
| 2020 | $ 10 |  | $ 120 | $ 1400 | $ 0.00155 |

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

##    3 MW Installed

**   ****Over 30 MW Committed Funding**
**   ****Payments with SREC 5-7 years**
**  ****100 – 250 MW by 2008 (REC price)**
**  ****$ 5.50 / HH / Yr -  $20/ HH/ Yr**

**Results **

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## Information on New Jersey’s Clean Energy Program: www.njcleanenergy.com

**Evaluation Reports Rutgers’ Center for Energy, Economics and Environmental Policy (CEEEP)**
**http://policy.rutgers.edu/ceeep/images/NJ_REMA_Final_8-04.pdf**

**New Jersey’s Integrated Approach **
**For Promoting and Advancing Clean **
**Emission-free Solar Electric**

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## NEXT STEPS

**Generate Renewable Hydrogen**
**From Solar On-Site – Distributively Generated and Stored**
**Less Wires    -  More Reliability**
**Less Pipes    -  More Security **
**Less Mess     -  More Jobs**

**New Jersey’s Integrated Approach **
**For Promoting and Advancing Clean **
**Emission-free Solar Electric**

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

## MAKE POWERFUL CHOICES

- Air Innovations - Chicago August 10,2004 NJBPU - OCE

***James E. McGreevey, Governor ******NJ Board of Public Utilities******Office of Clean Energy***

***MAKE POWERFUL CHOICES***