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Discover the Potential of Solar Energy in New Jersey!

Welcome to New Jersey, a state known for its bustling cities and beautiful coastline, and now a frontrunner in the solar energy movement. Despite its varied weather patterns, New Jersey enjoys significant sunlight year-round, making it an ideal location for solar power generation. This untapped resource presents an exciting opportunity for residents and businesses to embrace clean, renewable energy solutions. With incentives available to offset initial costs and a growing interest in sustainability, New Jersey is positioned for a solar revolution. Explore how harnessing solar energy can brighten your property, lower energy expenses, and contribute to a cleaner environment right here in the Garden State. Join us in harnessing the power of the sun and take a step towards a brighter, greener future in New Jersey.

Solar State Incentives

New Jersey State Solar Incentives

C-PACE: Garden State Commercial Property Assessed Clean Energy
In 2021, the Garden State Commercial Property Assessed Clean Energy program was established, allowing property owners to secure funding for energy efficiency improvements on eligible properties.
Successor Solar Incentive (SuSI) Program - Competitive Solar Incentive
The New Jersey Board of Public Utilities has established the Competitive Solar Incentive (CSI) Program to replace the SREC Registration Program. The CSI Program offers incentives for solar projects and will begin accepting applications from April 15, 2023.
New Jersey Community Solar Rules - Remote Net Metering
New Jersey's SuSI Program, governed by the Solar Act of 2021, provides incentives for eligible solar facilities, promoting the development of renewable energy sources.
Community Solar Energy Pilot Program
New Jersey's Community Solar Energy Pilot Program was established in 2019 with an annual capacity limit of 75 MW, 40% of which is allocated to LMI projects.
Successor Solar Incentive (SuSI) Program - Administratively Determined Incentive
The New Jersey Board of Public Utilities establishes SuSI Program to boost clean energy, replacing the SREC Registration Program and the Transition Incentive Program.
NJ Clean Energy- Residential New Construction Program
New Jersey's Clean Energy Program offers financial incentives for the construction of energy-efficient homes, with options to participate through various energy standards.
Solar Renewable Energy Certificates (SRECs) Registration Program
Starting October 29, 2018, applications for the SREC Registration program will receive a 10 year SREC qualifying life. The program enables solar projects in New Jersey to generate Solar Renewable Energy Credits (SRECs) which can be traded to meet state's Renewable Portfolio Standard (RPS) requirements.
Edison Innovation Green Growth Fund Loans
The Edison Innovation Green Growth Fund offers loans to companies developing renewable energy and energy efficiency products that conserve electricity or natural gas.
Assessment of Farmland Hosting Renewable Energy Systems
New Jersey's Farmland Assessment Act allows farmland used for biomass, solar, and wind energy generation to be assessed at its productivity value, under certain conditions.
Solar Energy Option Requirement for Residential Developments
New Jersey law mandates residential developers of 25+ units to offer solar energy system installations, with rules being developed by DCA and BPU.
Solar and Wind Permitting Laws
New Jersey has introduced three laws to regulate local permitting practices for solar and wind energy facilities in industrial zones, on piers, and for small wind devices.
Edison Innovation Clean Energy Manufacturing Fund - Grants and Loans
New Jersey's Edison Innovation Clean Energy Manufacturing Fund offers grants and loans to aid in manufacturing energy efficient and renewable energy products.
Property Tax Exemption for Renewable Energy Systems
New Jersey law exempts renewable energy systems from local property taxes. Eligible systems include solar, wind, geothermal, hydroelectric, etc. Property owners must apply for a certificate to claim the exemption.
High Performance Building Standards in New State Construction
New Jersey law mandates high performance green building standards in new state construction larger than 15,000 square feet, with exceptions.
New Jersey Solar Easement and Access Laws
New Jersey's 2007 law prevents homeowners associations from banning solar collectors on certain residential properties, with exceptions for ground-mounted systems and community properties. Solar easements ensure access to sunlight for solar-energy systems.
High Performance Schools Policy
New Jersey's Executive Order No. 24 mandates all new school designs to follow LEED Version 2.0 guidelines for energy efficiency and sustainability.
Interconnection Standards
New Jersey's revised interconnection standards apply to all electric distribution utilities and include various levels of review procedures based on size and certification. They also outline varying fees and rules for installing additional controls.
Renewables Portfolio Standard
New Jersey has updated its Renewable Portfolio Standard to increase the RPS standard to 50% by 2030, increase the offshore wind carveout, and make changes to alternative compliance payments. The requirement also includes a 2.5% annual electricity production from Class II renewable energy sources.
Solar Energy Sales Tax Exemption
New Jersey provides a full tax exemption on all solar energy equipment, including devices for storing solar-generated energy, as per the state's sales tax laws.
Societal Benefits Charge
New Jersey's Clean Energy Program, funded by a societal benefits charge, supports investments in energy efficiency and renewable energy. The program offers technical and financial assistance for energy-efficient projects.
Net Metering
New Jersey's net-metering law, A.B. 3723, allows utilities to offer non-discriminatory rates to all types of customers. It also raises net metered capacity to 5.8% of total annual kWh sold in the state.

Federal Solar Incentives

USDA - Rural Energy for America Program (REAP) Grants
REAP, administered by USDA, provides financial aid to small rural businesses and agricultural producers for sustainable energy projects. Grants cover 25% of the project cost, up to $25 million.
Interconnection Standards for Small Generators
New FERC order mandates small generators under 20 MW to maintain operation during abnormal frequency and voltage events, enhancing interconnection efficiency.
USDA - Rural Energy for America Program (REAP) Loan Guarantees
The Rural Energy for America Program (REAP) supports agricultural producers and rural businesses in the US by providing financial aid for renewable energy projects and energy efficiency improvements.
Clean Renewable Energy Bonds (CREBs)
Clean Renewable Energy Bonds (CREBs) were used by public entities to fund renewable energy projects. They were repealed in 2017.
Qualified Energy Conservation Bonds (QECBs)
Qualified Energy Conservation Bonds (QECBs) financed energy projects by local governments. Discontinued in 2018, they offered tax credits as interest to bondholders.
Office of Indian Energy Policy and Programs - Funding Opportunities
The DOE's Office of Indian Energy Policy and Programs aids tribes in attaining energy self-sufficiency and economic growth through renewable energy and energy efficiency technologies.
Fannie Mae Green Financing – Loan Program
Fannie Mae's Green Financing offers loans for multifamily properties aiming for energy and water efficiency improvements. Eligible properties can access favorable rates and additional loan proceeds.
Energy-Efficient Mortgages
Energy efficient mortgages (EEM) allow homeowners to finance energy-saving renovations or purchase new energy-efficient homes. These loans, insured by the U.S. government, aim to promote energy efficiency.
Green Power Purchasing Goal for Federal Government
The Energy Policy Act of 2005 set a goal for federal buildings to use 7.5% renewable energy by 2013. This target was increased to 30% by 2025 but later rescinded in 2018.
USDA - High Energy Cost Grant Program
USDA's grant program, enhancing energy generation in rural areas, concluded its latest application period on July 6, 2021. Updates can be found on the program website.
Residential Energy Conservation Subsidy Exclusion (Personal)
US law exempts energy conservation subsidies provided by utilities from taxation but requires adjustments for federal tax credits. IRS guidance on solar rebates is unclear.
Residential Renewable Energy Tax Credit
H.R. 5376 extends tax credit for energy storage systems and excludes biomass heaters, with credit amounts varying by technology type and installation date.
U.S. Department of Energy - Loan Guarantee Program
The Inflation Reduction Act has allocated $11.7 billion to the LPO for new loans, boosting loan authority by $100 billion, and setting up the Energy Infrastructure Reinvestment Program.
Business Energy Investment Tax Credit (ITC)
The Inflation Reduction Act of 2022 updates the federal Business Energy Investment Tax Credit, introducing new eligibility criteria, bonus credits, and transitions the tax credit to a new section.
Renewable Electricity Production Tax Credit (PTC)
The Inflation Reduction Act of 2022 introduces changes to the federal renewable electricity production tax credit, introducing new bonus credits and eligibility criteria.
Residential Energy Conservation Subsidy Exclusion (Corporate)
U.S. energy conservation subsidies provided by public utilities are tax-exempt, but this does not extend to certain electricity-generating systems. Tax credits can't be claimed for unsubsidized expenses.
Modified Accelerated Cost-Recovery System (MACRS)
The Tax Cuts and Jobs Act of 2017 allows 100% depreciation for qualified assets, impacting renewable energy technologies. MACRS classifies these technologies for depreciation purposes.
Energy and Emissions Goals and Standards for Federal Government
President Biden's Executive Order 14057 sets ambitious sustainability goals for the US, including 100% carbon-free electricity by 2030 and a fully zero-emission federal fleet by 2035.