- NJBPU has announced a new solar incentive program called CSI to support the growth of solar in New Jersey
- A minimum of 300 MW grid scale solar PV capacity of over 5 MW capacity will be selected annually till 2026 with 160 MWh storage paired
- Projects will be selected across various categories to enable participation of all types of PV facilities
- Initial solicitation round will be launched early next year and all winning projects will need to come online within 3 years
The State of New Jersey is going to incentivize a minimum of 300 MW large scale grid solar PV capacity annually till 2026 under a new Competitive Solar Incentive (CSI) Program launched by the New Jersey Board of Public Utilities (NJBPU).
It plans to cover all kinds of grid supply projects and net-metered, non-residential facilities of over 5 MW capacity, along with 160 MWh storage paired with grid supply solar. Selections will be made from a range of categories all kinds of projects are able to participate.
For basic grid supply, 140 MW capacity will be selected under tranche 1, for grid supply on the built environment 80 MW under tranche 2, 40 MW each for projects on contaminated sites and landfills, and net metered non-residential installations of over 5 MW under tranches 3 and 4, respectively. All CSI awarded projects will be expected to come online in 3 years.
NJBPU said the program is aimed at supporting solar market’s growth in the state, aligned with the commitment to score 100% clean energy by 2050.
“The CSI program is designed to provide maximum benefit to ratepayers at the lowest cost; support the continued growth of the solar industry; meet Governor Murphy’s commitment to 50% class I RECs by 2030 and 100% clean energy by 2050; provide insight and information to stakeholders through a transparent process for developing New Jersey’s long-term solar incentive program; and fully comply with the Solar Act of 2021,” stated NJBPU.
Projects will need to clear the solicitation process, 1st of which will be announced in early 2023, with bids due on March 31, 2023.
NJBPU added that the CSI program will contribute significantly to the success of its Successor Solar Incentive Initiative (SuSI) program under which the state aims to install an additional 3.75 GW new solar PV capacity by 2026 (see New Jersey To Support 3.75 GW New Solar By 2026).
Lauding the new program, the Solar Energy Industries Association (SEIA) Vice President of State and Regulatory Affairs, Sean Gallagher said, “The structuring of the CSI program will ensure that a range of competitive solar project types can participate, despite potentially different project cost profiles.”
Gallagher added that the SEIA and its members are evaluating the program’s construction and siting requirements, including new standards for pollinator-friendly ground-mounted projects and various land development restrictions.
In 2021, New Jersey installed 338 MW new solar PV capacity and in 2022 YTD installations were a total of 357 MW on nameplate capacity basis. As of November 2022, there were over 1.5 GW solar projects active in the PJM queue and another 300 MW in pre-construction engineering and procurement phase, according to the NJBPU.