Translator Disclaimers
For Immediate Release: Contact: Peter Peretzman
Date: 03/27/2020 (609) 984-9707

 

Trenton, N.J. – The New Jersey Board of Public Utilities (NJBPU) today initiated an investigation into how the State can best achieve its reliability, clean energy, and environmental objectives, while keeping costs to consumers as low as possible. The investigation will evaluate alternatives to the State participating in the regional capacity market administered by PJM Interconnection (PJM) as the means of ensuring adequate electric generation resources for New Jersey ratepayers.

 

“Today’s action by the Board is an opportunity to help us achieve Governor Murphy’s goal of 100 percent clean energy by 2050, while potentially lowering costs to customers” said NJBPU President Joseph L. Fiordaliso. “Taking control of our own resource mix may be the only way to stop the Trump Administration’s attempts to prop up fossil fuels to the detriment of our clean energy program. We will do everything in our power to prevent that from happening.”

 

The investigation comes in response to a December 2019 decision by the Federal Energy Regulatory Commission (FERC) that expanded the Minimum Offer Price Rule (MOPR) in the regional capacity market that will support fossil fuel generation and make it more expensive for New Jersey to achieve its clean energy goals.

 

The NJBPU initiated this investigation in accordance with the goals and strategies of New Jersey’s Energy Master Plan. The investigation directs NJBPU Staff to conduct the process through written comments, technical conferences, public hearings, and further proceedings as appropriate. The first step in the investigation is to open a public comment period, as Staff seeks feedback on the following broad questions of public interest:

  1. Can New Jersey utilize the Fixed Resource Requirement (FRR) alternative to satisfy the State’s resource adequacy needs?
  2. Can New Jersey utilize the FRR to accelerate achievement of New Jersey clean energy goals?
  3. Can modifications to NJBPU’s Basic Generation Service construct facilitate resource adequacy procurements aligned with the Energy Master Plan clean energy objectives?
  4. Can other mechanisms, such as a Clean Energy Standard or Clean Energy Market, facilitate achievement of New Jersey’s clean energy goals?

 

The Public Notice outlines each of these topics with more detail. Given the inability to schedule in-person public meetings at this time, Staff will only accept written comments electronically. Written comments are due by April 29, 2020.

 

If the investigation determines that the State cannot achieve its goals through the existing paradigm, then NJBPU Staff will recommend how best to meet the State’s energy needs and emissions-reductions goals in the future. The Energy Master Plan acknowledges that, among many options, Staff’s recommendation could include New Jersey leaving the PJM capacity market to ensure that the State can realize a clean energy future at reasonable prices. At the conclusion of the investigation, which is currently anticipated to occur in the third quarter of 2020, the Board will consider Staff’s recommendations and will order the appropriate action consistent with the Energy Master Plan.

 

 

About the New Jersey Board of Public Utilities (NJBPU)

NJBPU is a state agency and regulatory authority mandated to ensure safe, adequate and proper utility services at reasonable rates for New Jersey customers. Critical services regulated by NJBPU include natural gas, electricity, water, wastewater, telecommunications and cable television. The Board has general oversight and responsibility for monitoring utility service, responding to consumer complaints, and investigating utility accidents. To find out more about NJBPU, visit our web site at www.nj.gov/bpu.

 

About New Jersey’s Clean Energy Program (NJCEP)
NJCEP, established on January 22, 2003, in accordance with the Electric Discount and Energy Competition Act (EDECA), provides financial and other incentives to the State's residential customers, businesses and schools that install high-efficiency or renewable energy technologies, thereby reducing energy usage, lowering customers' energy bills and reducing environmental impacts. The program is authorized and overseen by the New Jersey Board of Public Utilities (NJBPU), and its website is
www.NJCleanEnergy.com.

 

 

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