New Jersey BPU Announces Opening of Second Round of Applications
October 2, 2013
On October 1, 2013, the New Jersey Board of Public Utilities (“BPU”) released the details of “Round 2” of the Subsection (q) application process for qualifying grid supply solar projects to generate solar renewable energy credits (“SRECs”) under the Solar Act of 2012 (the “Solar Act”). As a result of tight restrictions placed on the development of “Greenfield Solar Projects” in New Jersey (grid supply projects that are not located on a properly closed landfill, a brownfield or an area of historic fill), Round 2 is likely to be the last opportunity for Greenfield Solar Project developers to qualify their projects for the generation of SRECs. Therefore, all developers undertaking or considering undertaking a Greenfield Solar Project in New Jersey that wish to have their project generate SRECs must file an application under Subsection (q) of the Solar Act between October 15, 2013 and October 31, 2013.
By way of background, Subsection q of the Solar Act authorizes the BPU to approve a total of 240 MW of grid supply projects for the generation of SRECs – 80 MW in each of Energy Years 2014, 2015 and 2016. On August 21, 2013, the BPU approved: 11 applications for Energy Year 2014, totaling 68.092 MW; seven applications for Energy Year 2015, totaling 31.242 MW; and three applications for Energy Year 2016, totaling 20.65 MW.
The projects approved in the first round on August 21 fell well short of the total capacity authorized by the Solar Act. As such, the BPU will accept applications for the remaining capacity beginning at 4:00 p.m. on October 15, 2013. The total capacity allocated for Round 2 is: 11.908 MW for Energy Year 2014, 48.758 MW for Energy Year 2015 and 59.35 MW for Energy Year 2016.
The application process is essentially the same as the first round, which requires an advance deposit equal to $40,000 for each MW contained in the proposed project. Applications must be submitted electronically and will be accepted on a first-come, first-served basis, with the time stamp of the BPU server controlling.
If you would like more information, or would like us to assist you in your decision to pursue a Subsection (q) application, please contact: