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The U.S. Department of Energy and the North Carolina Clean Energy Technology Center are excited to announce that a new, modernized DSIRE is under construction. The new version of DSIRE will offer significant improvements over the current version, including expanded data accessibility and an array of new tools for site users. The new DSIRE site will be available in December 2014. Staff are currently working hard on the new version of DSIRE but are also maintaining the content of the current version of DSIRE. Thank you for your continued support and patience during this transition. We hope you are as excited for December as we are!

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New Jersey

New Jersey

Incentives/Policies for Renewables & Efficiency

Printable Version
Grid-Connected Renewables Program   

Last DSIRE Review: 07/16/2013
Program Overview:
State: New Jersey
Incentive Type: Performance-Based Incentive
Eligible Renewable/Other Technologies: Landfill Gas, Wind, Biomass, Energy Storage, Anaerobic Digestion
Applicable Sectors: Commercial, Industrial, Nonprofit, Schools, Local Government, State Government, Institutional
Amount:Varies by project; solicitation lists recommended incentive levels
10-20% may be requested as an up-front grant
Maximum Incentive:Not specified
Funding Source:New Jersey Societal Benefits Charge (public benefits fund)
Web Site:

Note: The deadline for the most recent solicitation has passed and the information in this summary is specific to this closed program solicitation. The New Jersey Office of Clean Energy 2013-2014 Budget indicates additional solicitations are planned for 2013. This summary will be updated if and when a new solicitation is issued.

The New Jersey Grid-Connected Renewables Program offers competitive incentives for onshore wind and biomass electricity generation projects larger than 1 Megawatt (MW) connected to the electric distribution system serving New Jersey. Offshore wind, solar, and hydrokinetic projects are not eligible for the current solicitation, nor are landfill gas projects that inject gas into a natural gas pipeline (as opposed to generating electricity). Both publicly- and privately-owned projects are eligible for assistance under this solicitation. The application deadline for the most recent solicitation was January 8, 2010, although the program is expected to continue, so additional Requests for Proposals (RFPs) may be forthcoming.

Facilities that use emerging, commercially available technologies that maximize power production during peak demand periods, address load pocket of congestion problems with the distribution grid serving New Jersey, and are expected to begin generating electricity during 2010 will be given preference for grants. However, projects that propose new or innovative onshore wind or biomass technologies, energy storage in conjunction with currently operating Class I renewable energy facilities, or the development of bio-power feed-stocks may also apply for support. There is no minimum cost-sharing required as part of the grant as the incentive is only designed to cover a portion of the total project cost, but higher levels of cost sharing will be given preference in the evaluation process.

The bulk of the incentive offered under this program will take the form of a payment for energy production ($/Megawatt-hour) once the project is operating. The actual amount of the payment will vary by project as applicants must propose an appropriate incentive payment as part of the proposal. The program solicitation contains a schedule of recommended incentive payments based on the technology being employed and whether the project will be undertaken by a public or private entity. The recommended incentives range from $3.74/MWh for privately-owned landfill gas combustion projects to $58.49/MWh for publicly-owned wastewater biogas projects. Incentives for other eligible projects (e.g., bio-power feedstocks without associated Class I electric generation equipment, energy storage technology, or innovative technologies) will be considered on a competitive basis. The suggested incentives for public projects are 20% higher based on the inability of public entities to take advantage of tax incentives.

Generally, up to 10% of total incentive may be requested in the form of a lump grant to cover up-front costs such as financing fees, interconnection fees, project design, permitting, and construction costs. For innovative, less mature, technologies, this up-front payment may be increased to up to 20% of the total incentive. A total of roughly $6 million was available for incentives under the initial solicitation. Please see the program solicitation for additional information on program requirements, application details, and proposal evaluation criteria.

  Ronald Jackson
State of New Jersey Board of Public Utilities
Office of Clean Energy
Via 8th Floor Receptionist
Two Gateway Center
Trenton, NJ 07102
Web Site:
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2013 - 2014 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.