ASSEMBLY, No. 4004

STATE OF NEW JERSEY

222nd LEGISLATURE

 

INTRODUCED FEBRUARY 5, 2026

 


 

Sponsored by:

Assemblyman  ROBERT J. KARABINCHAK

District 18 (Middlesex)

Assemblyman  CODY D. MILLER

District 4 (Atlantic, Camden and Gloucester)

Assemblywoman  HEATHER SIMMONS

District 3 (Cumberland, Gloucester and Salem)

 

 

 

 

SYNOPSIS

     Establishes Division of Energy Resource and Development; transfers certain responsibilities from BPU to the Division of Energy Resource and Development.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act establishing the Division of Energy Resource and Development, supplementing Title 48 of the Revised Statutes, and amending various parts of the statutory law.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    (New section) As used in sections 1 through 10 of P.L.    , c.    (C.         through C.        ) (pending before the Legislature as this bill):  

     “Board” means the New Jersey Board of Public Utilities.

     “Director” means the Director of Energy Resource and Development.

     “Division” means the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

     “President” means the President of the New Jersey Board of Public Utilities.

 

     2.    (New section)  There is established, in but not of, the Department of the Treasury, a division that shall be known as the Division of Energy Resource and Development.

 

     3.    (New section) a.  The administrator and chief executive officer of the division shall be a director, who shall be known as the Director of Energy Resource and Development, and who shall be a person qualified by training and experience to perform the duties of the office.  The director shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor during the Governor’s term of office and until the appointment and qualification of the director’s successor.  The director shall devote the director’s entire tenure to the duties of the office and shall receive a salary as shall be provided by law.  Any vacancy occurring in the office of the director shall be filled in the same manner as the original appointment.

     b.    The director, as administrator and chief executive officer of the division, shall: 

     (1)   administer the work of the division;

     (2)   appoint deputy and assistant directors and other personnel as the director deems appropriate to receive such compensation as may be provided by law;

     (3)   perform, exercise, and discharge the functions, powers, and duties of the division;

     (4)   organize the work of the division in such offices, not inconsistent with the provisions of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), and in such other organizational units as the director may determine to be necessary for efficient and effective operation;

     (5)   adopt, issue, and promulgate, in the name of the division, such rules and regulations as may be authorized by law, consistent with the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.);

     (6)   make reports on the division’s operation as the Governor or the Legislature shall from time-to-time request or as may be required by law; and

     (7)   perform any other functions as may be prescribed in P.L.    , c.    (C.        ) (pending before the Legislature as this bill) or by any other law.

 

     4. (New section)  The functions, powers, and duties of the division shall be those specified in P.L.    , c.    (C.        ) (pending before the Legislature as this bill), and any other statute, and shall include, but not be limited to: 

     a.  providing a unified direction of policies, programs, and personnel in the field of energy efficiency, renewable energy, and emissions reduction;

     b. developing strategies, concepts, and tools to enhance outreach and education programs to increase knowledge and awareness about energy efficiency and sustainable energy among New Jersey residents and businesses;

     c.  supporting the State’s clean energy, electric vehicle, and energy efficiency programs to ensure New Jersey is providing leadership on energy efficiency and sustainable energy generation;

     d. providing support to State agencies in reaching State energy and greenhouse gas emission goals; and

     e.  developing plans for responding to energy crises and securing energy systems in the State.

 

     5. (New section)  All responsibilities in the Board of Public Utilities relating to energy policy and development are transferred to the Division of Energy Resource and Development, including, but not limited to, energy efficiency programs, clean energy programs, energy generation planning, the board’s Office of the Business Ombudsman, and electric vehicle incentive programs.

 

     6. (New section)  The director, in consultation with the President of the board, shall develop a schedule for the orderly transfer of the programs and offices listed pursuant to section 5 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

 

     7. (New section)  A proportionate share of the programmatic, administrative, and support staff of the board supporting the functions, powers, and duties transferred to the division pursuant to P.L.    , c.    (C.        ) (pending before the Legislature as this bill) shall be transferred to the division.  The transfer of specific facilities, resources, and personnel shall be determined by agreement between the director and the president after considering the number and type of positions currently used to support the functions, powers, and duties transferred and the appropriateness of transferring personnel, positions, and funding.

 

     8.    (New section)  The provisions of P.L.    , c.    (C.        ) (pending before the Legislature as this bill) shall not: 

     a.     affect the tenure, compensation, or pension rights, if any, of the lawful holder thereof in any position not specifically abolished herein; or

     b.    alter the term of any member of any board, commission, or public body, not specifically abolished herein, lawfully in office on the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), or require the reappointment thereof.

 

     9.    (New section)  The provisions of P.L.    , c.    (C.        ) (pending before the Legislature as this bill) shall be subject to the provisions of the “State Agency Transfer Act,” P.L.1971, c.375 (C.52:14D-1 et seq.), except as may otherwise be provided pursuant to P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

 

     10.  (New section) a.  Upon the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), all powers, duties, functions, responsibilities, and authority related to the administration, implementation, and regulation of all energy efficiency and clean energy programs established pursuant to chapter 3 of Title 48 of the Revised Statutes, and any other law, rule, regulation, or board order, shall be transferred from the board to the division.

     b.    Any reference in statute, regulation, contract, or other document to the Board of Public Utilities with respect to the administration of energy efficiency programs under chapter 3 of Title 48 of the Revised Statutes shall, upon the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), be deemed to refer to the division.

 

     11.  (New section) Upon the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), all powers, duties, functions, responsibilities, and authority related to the administration, implementation, and regulation of an energy savings improvement program by a board of education under chapter 18A of Title 18A shall be transferred to and continued in the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

     12.  Section 1 of P.L.2007, c.340 (C.26:2C-45) is amended to read as follows: 

     1.    The Legislature finds and declares that New Jersey should implement cost-effective measures to reduce emissions of greenhouse gases, and that emissions trading and the auction of allowances is an effective mechanism to accomplish that objective.

     The Legislature further finds and declares that entering into agreements or arrangements with appropriate representatives of other states furthers the purposes of P.L.2007, c.340 (C.26:2C-45 et al.) and the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et al.).

     The Legislature further finds and declares that any carbon dioxide emissions allowance trading program established in the State to reduce emissions of greenhouse gases must provide both incentives to reduce emissions at their sources and funding or other consumer benefit incentives to reduce the demand for energy, which in turn would reduce the generation and emission of greenhouse gases.

     The Legislature further finds and declares that funding consumer benefit purposes will result in reduced costs to New Jersey consumers, decreased energy use, decreased greenhouse gas emissions, and substantial and tangible benefits to the energy-using business sector.

     The Legislature further finds and declares that efforts to reduce greenhouse gas emissions in New Jersey must include complementary programs to reduce greenhouse gas emissions from electricity generated outside of the State but consumed in New Jersey, and that one measure that may be most effective in doing so is the adoption of a greenhouse gas emissions portfolio standard as authorized pursuant to the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et al.) and section 38 of P.L.1999, c.23 (C.48:3-87).

     The Legislature further finds and declares that energy efficiency and conservation measures and increased use of renewable energy resources must be essential elements of the State's energy future and that greater reliance on energy efficiency, conservation, and renewable energy resources will provide significant benefits to the citizens of this State.

     The Legislature further finds and declares that public utility involvement and competition in the renewable energy, conservation and energy efficiency industries are essential to maximize efficiencies and the use of renewable energy and that the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) must be implemented to further competition.

     The Legislature further finds and declares that any emissions allowance trading program established in the State to reduce emissions of greenhouse gases should transition to any federal program enacted by the federal government that is comparable to the emissions allowance trading program established in New Jersey.

     The Legislature therefore determines that it is in the public interest to establish a program that requires the State to dedicate to consumer benefit purposes up to 100 percent of the revenues derived from the auction or other sale of allowances pursuant to an emissions allowance trading program and to require the Commissioner of Environmental Protection and the [President of the Board of Public Utilities] Director of Energy Resource and Development to further the purposes of P.L.2007, c.340 (C.26:2C-45 et al.) and the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et al.), by participating with other states in the activity of a separate legal entity established for the purpose of administering the Regional Greenhouse Gas Initiative.

(cf:  P.L.2019, c.328, s.1)

 

     13.  Section 2 of P.L.2007, c.340 (C.26:2C-46) is amended to read as follows: 

     2.    As used in sections 1 through 11 and sections 14 and 15 of P.L.2007, c.340 (C.26:2C-45 et [seq] al.):

     "Allowance" means a limited authorization, as defined by the department, to emit up to one ton of carbon dioxide or its equivalent.

     "Board" means the Board of Public Utilities.

     "Compliance entity" means an owner or operator of an electric generating unit, with a nameplate capacity equal to or greater than 25 megawatts of electrical output, in New Jersey that is required to obtain allowances in order to operate an electric generating unit that holds an operating permit from the department issued pursuant to P.L.1954, c.212 (C.26:2C-1 et seq.), whether that unit is in operation or in development.  "Compliance entity" shall not include any cogeneration facility or combined heat and power facility that is an "on-site generation facility" as that term is defined in section 3 of P.L.1999, c.23 (C.48:3-51) and sells less than 10 percent of its annual gross electrical generation.

     "Consumer benefit" means any action or measure to:  promote energy efficiency; directly mitigate electricity ratepayer impacts; develop and deliver renewable or non-carbon-emitting energy technologies; stimulate or reward investment in the development of innovative carbon emissions abatement technologies with significant carbon emissions reduction potential; fund programs that promote measurable electricity end-use energy efficiency in the commercial, institutional, and industrial sectors; or fund the administration of greenhouse gas emissions allowance trading and consumer benefit programs.

     "Department" means the Department of Environmental Protection.

     “Division of Energy Resource and Development” or “division” means the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

     "Dispatch agreement facility" means a facility that is a compliance entity that is a cogeneration facility or has a heat rate below 8,100 BTU per kilowatt-hour, and has entered into a power agreement:  (1) with a duration of more than 15 years from its effective date; (2) that provides that the entity's counterpart to the agreement controls the electric dispatch of the facility; (3) which was executed prior to January 1, 2002; and (4) which does not allow for the entity to pass the cost of allowances on to the counterpart to the agreement.

     "Global Warming Solutions Fund" or "fund" means the "Global Warming Solutions Fund" established pursuant to section 6 of P.L.2007, c.340 (C.26:2C-50).

     "Greenhouse gas" means the same as the term is defined in section 3 of P.L.2007, c.112 (C.26:2C-39).

     "Qualified participant" means a compliance entity or other entity that meets financial assurance and any other requirements to participate in an auction, as determined by the department in consultation with other entities participating in a regional, national or international program.

     "Regional Greenhouse Gas Initiative" means the cooperative effort to reduce carbon dioxide emissions entered into by the governors of seven states through a Memorandum of Understanding signed on December 20, 2005, as amended.

(cf:  P.L.2007, c.340, s.2)

 

     14.  Section 3 of P.L.2007, c.340 (C.26:2C-47) is amended to read as follows: 

     3.    a. (1) The department shall establish a greenhouse gas emissions allowance trading program consistent with the RGGI Model Rule and associated guidance documents, in order to participate in the Regional Greenhouse Gas Initiative for the purposes of reducing or preventing emissions of greenhouse gases.  The department shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement this greenhouse gas emissions allowance trading program, and shall take into consideration the principles and goals of the New Jersey Energy Master Plan in the rule making process.  The department shall cooperate and coordinate with other states or countries that are participating in regional, national, or international carbon dioxide emissions trading programs with the same or similar purpose.  In doing so, the department shall exclude from the requirement to purchase or acquire any allowances under any greenhouse gas emissions trading program any cogeneration facility or combined heat and power facility that is an "on-site generation facility" as that term is defined in section 3 of P.L.1999, c.23 (C.48:3-51) and sells less than 10 percent of its annual gross electrical generation.

     (2)   Approval and notice by the department of specific procedures and requirements for any auction or other sale of allowances which are formulated by a for-profit or non-profit corporation, association or organization which the department and the [board] division participate in pursuant to section 11 of P.L.2007, c.340 (C.26:2C-55) shall not be subject to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), provided that the specific procedures and requirements are consistent with the process and general requirements outlined in rules and regulations adopted by the department, and the public is afforded an opportunity for review and comment on such specific procedures and requirements.

     b.    Any auction to convey allowances:

     (1)   shall be conducted based on the schedule and frequency adopted by the department in consultation with other entities participating in a regional program;

     (2)   shall include auction design elements that minimize allowance price volatility, guard against bidder collusion, and mitigate the potential for market manipulation;

     (3)   shall include provisions to ensure the continued market availability of allowances to entities regulated under a greenhouse gas emissions allowance trading program, taking into account the outcomes of auctions and monitoring of the allowance market, which may include the adoption of a flexible process that allows for ongoing modification of auction design and procedures in response to allowance market conditions and allowance market monitoring data, provided that the process allows for public comment and input; and

     (4)   may be open to all qualified participants, and all qualified participants may sell or otherwise agree to transfer any or all allowances to any eligible entity.

     c.     The department shall review its position with the Regional Greenhouse Gas Initiative, or any subsequent regional auction, on an annual basis, including the amount of allowances that should be included in a regional auction.  This annual review shall include consideration of the environmental and economic impact of the auction, leakage impacts, and the impact on electric generation facilities and ratepayers in the State.  The department shall submit a written report of this review to the Governor and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1).  The report shall also be posted on the department's website.

(cf:  P.L.2019, c.328, s.2)

 

     15.  Section 7 of P.L.2007, c.340 (C.26:2C-51) is amended to read as follows: 

     7.    a.  The agencies administering programs established pursuant to this section shall maximize coordination in the administration of the programs to avoid overlap between the uses of the fund prescribed in this section.

     b.    Moneys in the fund, after appropriation annually for payment of administrative costs authorized pursuant to subsection c. of this section, shall be annually appropriated and used for the following purposes:

     (1)   Sixty percent shall be allocated to the New Jersey Economic Development Authority to provide grants and other forms of financial assistance to commercial, institutional, and industrial entities to support end-use energy efficiency projects and new, efficient electric generation facilities that are state of the art, as determined by the department, including but not limited to energy efficiency and renewable energy applications, to develop combined heat and power production and other high efficiency electric generation facilities, to stimulate or reward investment in the development of innovative carbon emissions abatement technologies with significant carbon emissions reduction or avoidance potential, to develop qualified offshore wind projects pursuant to section 3 of P.L.2010, c.57 (C.48:3-87.1), and to provide financial assistance to manufacturers of equipment associated with qualified offshore wind projects.  The authority, in consultation with the board and the department, shall determine:  (a) the appropriate level of grants or other forms of financial assistance to be awarded to individual commercial, institutional, and industrial sectors and to individual projects within each of these sectors; (b) the evaluation criteria for selecting projects to be awarded grants or other forms of financial assistance, which criteria shall include the ability of the project to result in a measurable reduction of the emission of greenhouse gases or a measurable reduction in energy demand, provided [, however,] that neither the development of a new combined heat and power production facility, nor an increase in the electrical and thermal output of an existing combined heat and power production facility, shall be subject to the requirement to demonstrate such a measurable reduction; and (c) the process by which grants or other forms of financial assistance can be applied for and awarded including, if applicable, the payment terms and conditions for authority investments in certain projects with commercial viability;

     (2)   Twenty percent shall be allocated to the [board] Division of Energy Resource and Development to support programs that are designed to reduce electricity demand or costs to electricity customers in the low-income and moderate-income residential sector with a focus on urban areas, including efforts to address heat island effect and reduce impacts on ratepayers attributable to the implementation of P.L.2007, c.340 (C.26:2C-45 et al.) or to support the light duty plug-in electric vehicle incentive program and the incentive program for in-home electric vehicle service equipment established pursuant to sections 4 and 6 of P.L.2019, c.362 (C.48:25-4 and C.48:25-6).  For the purposes of this paragraph, the [board] Division of Energy Resource and Development, in consultation with the authority and the department, shall determine the types of programs to be supported and the mechanism by which to quantify benefits to ensure that the supported programs result in a measurable reduction in energy demand or accomplishment of the plug-in electric vehicle goals established pursuant to section 3 of P.L.2019, c.362 (C.48:25-3);

     (3)   Ten percent shall be allocated to the department to support programs designed to promote local government efforts to plan, develop and implement measures to reduce greenhouse gas emissions, including but not limited to technical assistance to local governments, and the awarding of grants and other forms of assistance to local governments to conduct and implement energy efficiency, renewable energy, and distributed energy programs and land use planning where the grant or assistance results in a measurable reduction of the emission of greenhouse gases or a measurable reduction in energy demand.  For the purpose of conducting any program pursuant to this paragraph, the department,

in consultation with the authority and the [board] Division of Energy Resource and Development, shall determine:  (a) the appropriate level of grants or other forms of financial assistance to be awarded to local governments; (b) the evaluation criteria for selecting projects to be awarded grants or other forms of financial assistance; (c) the process by which grants or other forms of financial assistance can be applied for and awarded; and (d) a mechanism by which to quantify benefits; and

     (4)   Ten percent shall be allocated to the department to support programs that enhance the stewardship and restoration of the State's forests and tidal marshes that provide important opportunities to sequester or reduce greenhouse gases.

     c.     (1) The department may use up to four percent of the total amount in the fund each year to pay for administrative costs justifiable and approved in the annual budget process, incurred by the department in administering the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) and in administering programs to reduce the emissions of greenhouse gases including any obligations that may arise under subsection a. of section 11 of P.L.2007, c.340 (C.26:2C-55).

     (2)   The [board] Division of Energy Resource and Development may use up to two percent of the total amount in the fund each year to pay for administrative costs justifiable and approved in the annual budget process, incurred by the [board] Division of Energy Resource and Development in administering the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) and in administering programs to reduce the emissions of greenhouse gases including any obligations that may arise under subsection a. of section 11 of P.L.2007, c.340 (C.26:2C-55).

     (3)   The New Jersey Economic Development Authority may use up to two percent of the total amount in the fund each year to pay for administrative costs justifiable and approved in the annual budget process, incurred by the authority in administering the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) and in administering programs to reduce the emissions of greenhouse gases.

     d.    The State Comptroller shall conduct or supervise independent audit and fiscal oversight functions of the fund and its uses.

(cf:  P.L.2019, c.362, s.12)

 

     16.  Section 11 of P.L.2007, c.340 (C.26:2C-55) is amended to read as follows:

     11.  a. Notwithstanding the provisions of any other law, rule or regulation to the contrary, to further the purposes of P.L.2007, c.340 (C.26:2C-45 et al.) and the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et al.), the commissioner and the [board president] Director of Energy Resource and Development, or their respective designees, shall:

     (1)   enter any agreement or arrangement with the appropriate representatives of other states, including the formation of a for-profit or non-profit corporation, any form of association, or any other form of organization, in this or another state; and

     (2)   participate in any such corporation, association, or organization, and in any activity in furtherance of the purposes thereof, in any capacity including, but not limited to, as directors or officers.

     b.    Any actions that are consistent with, and that further the purposes of, P.L.2007, c.340 (C.26:2C-45 et al.) and the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et al.) taken by the commissioner or the [board president] Director of Energy Resource and Development, or any employee of the department or the [board] division authorized to take such actions by the commissioner or the [board president] Director of Energy Resource and Development, to form such corporation, association or organization, to participate in its activities, or to enter an agreement or arrangement prior to the date of enactment of P.L.2007, c.340 (C.26:2C-45 et al.), are hereby validated.

     c.     Nothing in P.L.2007, c.340 (C.26:2C-45 et al.) shall be deemed to constitute a waiver of sovereign immunity.  By entering any agreement or arrangement authorized pursuant to this section, neither the commissioner nor the [board president] Director of Energy Resource and Development, nor their respective designees, nor the State consents to suit outside of New Jersey or consents to the governance of such suit under any law other than that of New Jersey.

(cf:  P.L.2019, c.328, s.4)

 

     17.  Section 14 of P.L.2007, c.340 (C.26:2C-56) is amended to read as follows: 

     14.  a.  If the price of allowances at two consecutive regional auctions in which the State of New Jersey is a participant exceeds $7 per allowance, the department and the [board] Division of Energy Resource and Development shall, within 90 days after the second auction, develop an action plan for immediate ratepayer relief and hold a joint public hearing or hearings regarding the allowance price.

     b.    No later than 90 days after the final hearing is held, the department and the [board] Division of Energy Resource and Development shall jointly issue a report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), with their findings and recommendations.

(cf:  P.L.2007, c.340, s.14)

 

     18.  Section 1 of P.L.2019, c.319 (C.26:2C-59) is amended to read as follows: 

     1.    a.  Whenever the Department of Environmental Protection, the [Board of Public Utilities] Division of Energy Resource and Development, or any other State agency calculates a global warming potential for the purposes of assessing the global warming impact of a greenhouse gas, the Department of Environmental Protection, the [Board of Public Utilities] Division of Energy Resource and Development, or other State agency shall use a 20-year time horizon.

     b.    Whenever relevant to assessing global warming impacts, the Department of Environmental Protection, the [Board of Public Utilities] Division of Energy Resource and Development, or any other State agency shall use the most recent version of the Intergovernmental Panel on Climate Change's Assessment Report, or a substantially similar, more recent report that addresses global warming impacts at a comparably rigorous level. 

     c.     Whenever the Department of Environmental Protection, the [Board of Public Utilities] Division of Energy Resource and Development, or any other State agency performs a socio-economic impact analysis pursuant to section 4 of P.L.1968, c.410 (C.52:14B-4), and that analysis involves the socio-economic impact of global warming, the agency shall use the lowest discount rates that are consistent with federal guidelines, including the federal Office of Management and Budget Circular A-94, or successor guidance.

(cf:  P.L.2019, c.319, s.1)

     19.  Section 1 of P.L.2020, c.38 (C.26:2C-68) is amended to read as follows: 

     1.    a.  There is established in the [Board of Public Utilities] Division of Energy Resource and Development the New Jersey Fuel Cell Task Force.  The purpose of the task force shall be to develop a plan to increase the use of fuel cells in the State and to provide information, education, and resources for that purpose.  The task force shall:

     (1)   serve as a resource to State departments and local governments on fuel cell issues;

     (2)   assist in the growth of fuel cell businesses in the State;

     (3)   increase the use of fuel cells throughout State government departments and agencies;

     (4)   develop a strategy for the development of infrastructure to support the use of fuel cells; and

     (5)   provide information and educational materials to the public, government, and industry about the use and benefits of fuel cells.

     In conducting its duties, the task force shall consult with the United States Department of Energy and any fuel cell organizations that may exist in other states.

     b.    The task force shall consist of 15 members as follows:

     (1)   The Commissioner of Environmental Protection, the [President] Director of [the Board of Public Utilities] Energy Resource and Development, the Commissioner of Transportation, the Commissioner of Community Affairs, the Chief Executive Officer of the New Jersey Economic Development Authority, who shall serve ex officio, or their respective designees; and

     (2)   the following public members, appointed by the Governor:

     (a)   one member representing a fuel cell advocacy group in the State;

     (b)   one member representing fuel cell manufacturers;

     (c)   one member representing suppliers of hydrogen for fuel cells;

     (d)   one member representing fuel cell vehicle manufacturers;

     (e)   two members of the academic community with expertise in fuel cells;

     (f)   one member representing a manufacturer of stationary fuel cells;

     (g)   one member with expertise in fuel cell powered material handling equipment;

     (h)   one member representing local government with expertise in municipal land use matters; and

     (i)    one member with expertise in retail fuel sales and distribution.

     c.     All appointments to the task force shall be made no later than 90 days after the effective date of this act.  Each public member shall serve for four years or until a successor is appointed, and vacancies shall be filled in the same manner as the original appointments.  The members of the task force shall serve without compensation, but shall be eligible for reimbursement for necessary and reasonable expenses incurred in the performance of their official duties within the limits of funds appropriated or otherwise made available to the task force for its purposes.

     d.    The task force shall organize as soon as practicable following the appointment of all its public members and shall select a chairperson and a vice-chairperson from among its members, as well as a secretary who need not be a member of the task force.  A majority of the full membership of the task force shall constitute a quorum for the transaction of task force business.  The task force may meet and hold hearings at the place or places the task force designates.

     The [Board of Public Utilities] Division of Energy Resource and Development shall provide staff support to the task force.  The task force shall be entitled to call to its assistance and avail itself of the services of the employees of any State, county, or municipal department, board, bureau, commission, or agency as the task force may require and as may be available to the task force for its purposes.

     e.     No later than one year after its organization, and annually thereafter, the task force shall prepare and submit to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, a report detailing the task force's plan to increase the use of fuel cells in the State, including any recommendations for legislative or regulatory action that are necessary to effectuate the plan. 

(cf:  P.L.2020, c.38, s.1)

 

     20.  Section 3 of P.L.2023, c.312 (C.46:3C-15) is amended to read as follows: 

     3.    The New Jersey Real Estate Commission in the New Jersey Department of Banking and Insurance shall, in conjunction with the Clean Energy Program in the [New Jersey Board of Public Utilities] Division of Energy Resource and Development, inform consumers of P.L.2023, c.312 (C.46:3C-13 et seq.) by posting, on the Internet websites of the commission and the program, information about the requirements of P.L.2023, c.312 (C.46:3C-13 et seq.) and related penalties for noncompliance.

(cf:  P.L.2023, c.312, s.3)

 

     21.  Section 1 of P.L.2005, c.215 (C.48:2-92) is amended to read as follows: 

     1.    This act shall be known and may be cited as the "[BPU] Energy Business Ombudsman Act."

(cf:  P.L.2005, c.215, s.1)

     22.  Section 2 of P.L.2005, c.215 (C.48:2-93) is amended to read as follows: 

     2.    The Legislature finds and determines that:

     a.     The attraction and retention of new and existing businesses is vital to the continued economic development of the State.

     b.    The increasing complexity of energy issues and the creation of a competitive energy marketplace, has resulted in obstacles to the attraction and retention of new and existing businesses in this State, especially since other states have developed marketing and promotional materials and programs designed to offer businesses the means to quickly determine energy savings from relocating to another area of the country.

     c.     An effective strategy to counter such efforts, attract new businesses, and retain existing businesses in this State [,] is to [provide for the appointment of a BPU] appoint an Energy Business Ombudsman within the [Board of Public Utilities] Division of Energy Resource and Development who shall be responsible for providing information to businesses concerning energy costs in the State and to assist businesses with the application for and processing of State energy programs, subsidies, and grants to reduce their energy costs.

     d.    It is in the public interest to remain competitive with other states by authorizing the [President] Director of [the Board of Public Utilities] Energy Resource and Development to appoint [a BPU] an Energy Business Ombudsman to act as a centralized resource for businesses to obtain information and assistance concerning State energy costs, potential benefits resulting from switching to or utilizing third-party energy suppliers, State energy programs, subsidies, and grants to reduce energy costs and to promote energy efficiencies.

     e.     The appointment of [a BPU] an Energy Business Ombudsman to oversee and coordinate the dissemination of energy information needed by businesses is intended to encourage businesses to remain and expand in this State, to attract businesses from other states to relocate to this State and to stimulate business investment.

(cf:  P.L.2005, c.215, s.2)

 

     23.  Section 3 of P.L.2005, c.215 (C.48:2-94) is amended to read as follows: 

     3.    As used in [this act] P.L.2005, c.215 (C.48:2-92 et seq.):

     "Act" means the "[BPU] Energy Business Ombudsman Act."

     ["Board" means the Board of Public Utilities.]

     "Business project or activity" means a new commercial or industrial business or enterprise or the expansion or improvement of an existing commercial or industrial business or enterprise in this State.

     “Director” means the Director of Energy Resource and Development.

     “Division” means the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

     "[BPU] Energy Business Ombudsman" means the person appointed by the [President of the Board] Director of Energy Resource and Development pursuant to section 4 of [this act] P.L.2005, c.214 (C.48:2-92 et seq.).

(cf:  P.L.2005, c.215, s.3)

 

     24.  Section 4 of P.L.2005, c.215 (C.48:2-95) is amended to read as follows: 

     4.    a.  There is hereby created [a BPU] an Energy Business Ombudsman in the [board] division to provide information and assistance to any business, located in this State or seeking to relocate in this State, with regard to energy costs, potential benefits from switching to or utilizing third-party energy suppliers, State energy programs, subsidies, or grants available to businesses to reduce their energy costs and promotion of energy efficiencies.

     b.    The ombudsman office shall be headed by [a BPU] an Energy Business Ombudsman who shall be appointed by the [President of the Board] Director of Energy Resource and Development and shall serve at the pleasure of the [President of the Board] director.  The [BPU] Energy Business Ombudsman shall be a person qualified by training, experience, or both, to direct the work of the office.  In appointing an Ombudsman, the [President of the Board] director may select from, but shall not be restricted to, candidates from within the [board] division as presently constructed.

     c.     The Ombudsman, under the supervision of the [board] division, shall organize the work of that office and employ such professional, technical, research, and clerical staff as may be necessary, proper, and expedient to carry out the purposes of P.L.2005, c.215 (C.48:2-92 et seq.).  The [board] department, in consultation with the Ombudsman, may formulate and adopt rules and regulations and prescribe duties for the efficient conduct of the business, work, and general administration in connection with P.L.2005, c.215 (C.48:2-92 et seq.).  The Ombudsman may delegate to subordinate employees such of the Ombudsman's powers as the Ombudsman may deem desirable, to be exercised under the Ombudsman's supervision and direction.

     d.    The [BPU] Energy Business Ombudsman and staff shall be funded through use of a portion of the monies received by the board as a result of the board's inclusion of a retail margin on certain hourly-priced and larger non-residential customers pursuant to the board's continuing regulation of Basic Generation Service pursuant to sections 3 and 9 of P.L.1999, c.23 (C.48:3-51 and 48:3-57).  Nothing in P.L.2005, c.215 (C.48:2-92 et seq.) should be interpreted to restrict the board's discretion to set the level of the retail margin.  Should the board determine to reduce or eliminate the retail margin or take any action that might implicate the funding of the activities or position, or both, of the [BPU] Energy Business Ombudsman, [the board] in consultation with the division, shall assess the continuing need for the Ombudsman and upon a determination that the position remains necessary and useful shall consider alternative funding options.

(cf:  P.L.2005, c.215, s.4)

 

     25.  Section 5 of P.L.2005, c.215 (C.48:2-96) is amended to read as follows: 

     5.    It shall be the function of the office to:

     a.     Assist businesses with obtaining information concerning energy costs in response to requests from businesses;

     b.    Monitor the impact of State energy costs on business projects and activities and on business decisions to relocate to this State, and identify and recommend energy cost reduction strategies, including State programs, subsidies, and grants that may be available for businesses to reduce their energy costs;

     c.     Participate in the application process for State energy programs, subsidies, and grants on behalf of a business, if in the [BPU] Energy Business Ombudsman's judgment, such participation may be necessary to assist a business in order for a project or activity to proceed;

     d.    Work with [board] division staff to assist in creating public information programs designed to acquaint and educate businesses and the public about the duties and responsibilities of the office; and

     e.     Interface with energy marketers seeking to provide service in this State and, where appropriate, work to bring them together with businesses concerned about energy costs.

(cf: P.L.2005, c.215, s.5)

 

     26.  Section 6 of P.L.2005, c.215 (C.48:2-97) is amended to read as follows: 

     6.    The Ombudsman shall make an annual report to the [board] division of the office's operations [,] and render [such] any other reports as the [board] division shall from time to time request or as may be required by law.

(cf:  P.L.2005, c.215, s.6)

 

     27.  Section 7 of P.L.2005, c.215 (C.48:2-98) is amended to read as follows: 

     7.    The [board] division may, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt [such] rules and regulations [, as shall be] necessary to implement the provisions of [this act] P.L.2005, c.215 (C.48:2-92 et seq.).

(cf:  P.L.2005, c.215, s.7)

 

     28.  Section 12 of P.L.1999, c.23 (C.48:3-60) is amended to read as follows: 

     12.  a.  Simultaneously with the starting date for the implementation of retail choice, as determined by the board pursuant to subsection a. of section 5 of P.L.1999, c.23 (C.48:3-53), the board shall permit each electric public utility and gas public utility to recover some or all of the following costs through a societal benefits charge that shall be collected as a non-bypassable charge imposed on all electric public utility customers and gas public utility customers, as appropriate: 

     (1)   the costs for the social programs for which rate recovery was approved by the board prior to April 30, 1997.  For the purpose of establishing initial unbundled rates pursuant to section 4 of P.L.1999, c.23 (C.48:3-52), the societal benefits charge shall be set to recover the same level of social program costs as is being collected in the bundled rates of the electric public utility on the effective date of P.L.1999, c.23 (C.48:3-49 et al.).  The board may subsequently order, pursuant to its rules and regulations, an increase or decrease in the societal benefits charge to reflect changes in the costs to the utility of administering existing social programs.  Nothing in P.L.1999, c.23 (C.48:3-49 et al.) shall be construed to abolish or change any social program required by statute or board order or rule or regulation to be provided by an electric public utility.  Any such social program shall continue to be provided by the utility until otherwise provided by law, unless the board determines that it is no longer appropriate for the electric public utility to provide the program, or the board chooses to modify the program;

     (2)   nuclear plant decommissioning costs;

     (3)   the costs of demand side management programs that were approved by the board pursuant to its demand side management regulations prior to April 30, 1997.  For the purpose of establishing initial unbundled rates pursuant to section 4 of P.L.1999, c.23 (C.48:3-52), the societal benefits charge shall be set to recover the same level of demand side management program costs as is being collected in the bundled rates of the electric public utility on the effective date of P.L.1999, c.23 (C.48:3-49 et al.).  Within four months of the effective date of P.L.1999, c.23 (C.48:3-49 et al.), and every four years thereafter, the board shall initiate a proceeding and cause to be undertaken a comprehensive resource analysis of energy programs, and within eight months of initiating such proceeding and after notice, provision of the opportunity for public comment, and public hearing, the board, in consultation with the Department of Environmental Protection, shall determine the appropriate level of funding for energy efficiency, light, medium, and heavy-duty plug-in electric vehicles, including school buses, and associated plug-in electric vehicle charging infrastructure, energy storage, and Class I renewable energy programs that provide environmental benefits above and beyond those provided by standard offer or similar programs in effect as of the effective date of P.L.1999, c.23 (C.48:3-49 et al.) [; provided that] .  However, the funding for such programs shall be no less than 50 percent of the total Statewide amount being collected in electric and gas public utility rates for demand side management programs on the effective date of P.L.1999, c.23 (C.48:3-49 et al.) for an initial period of four years from the issuance of the first comprehensive resource analysis following the effective date of P.L.1999, c.23 (C.48:3-49 et al.), and [provided that] 25 percent of this amount shall be used to provide funding for Class I renewable energy projects in the State.  In each of the following fifth through eighth years, the Statewide funding for such programs shall be no less than 50 percent of the total Statewide amount being collected in electric and gas public utility rates for demand side management programs on the effective date of P.L.1999, c.23 (C.48:3-49 et al.), except that as additional funds are made available as a result of the expiration of past standard offer or similar commitments, the minimum amount of funding for such programs shall increase by an additional amount equal to 50 percent of the additional funds made available, until the minimum amount of funding dedicated to such programs reaches $140,000,000 total.  After the eighth year, the board shall make a determination as to the appropriate level of funding for these programs.  Such programs shall include a program to provide financial incentives for the installation of Class I renewable energy projects in the State, and the board, in consultation with the Department of Environmental Protection, shall determine the level and total amount of such incentives as well as the renewable technologies eligible for such incentives which shall include, at a minimum, photovoltaic, wind, and fuel cells.  The board shall simultaneously determine, as a result of the comprehensive resource analysis, the programs to be funded by the societal benefits charge, the level of cost recovery and performance incentives for old and new programs, and whether the recovery of demand side management programs' costs currently approved by the board may be reduced or extended over a longer period of time.  The board shall make these determinations taking into consideration existing market barriers and environmental benefits, with the objective of transforming markets, capturing lost opportunities, making energy services more affordable for [low income] low-income customers and eliminating subsidies for programs that can be delivered in the marketplace without electric public utility and gas public utility customer funding.  In addition to the determinations above, the board shall allocate sufficient funding from the societal benefits charge to cover the remaining cost of fully funding incentive awards issued for transmission-scale energy storage systems that are eligible projects pursuant to P.L.2025, c.136 (C.48:3-121.2 et al.), after accounting for funding allocated to this purpose from other sources.  After the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the responsibilities of the board, as prescribed in this paragraph, shall be transferred to the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill);

     (4)   manufactured gas plant remediation costs, which shall be determined initially in a manner consistent with mechanisms in the remediation adjustment clauses for the electric public utility and gas public utility adopted by the board; and

     (5)   the cost, of consumer education, as determined by the board, which shall be in an amount that, together with the consumer education surcharge imposed on electric power supplier license fees pursuant to subsection h. of section 29 of P.L.1999, c.23 (C.48:3-78) and the consumer education surcharge imposed on gas supplier license fees pursuant to subsection g. of section 30 of P.L.1999, c.23 (C.48:3-79), shall be sufficient to fund the consumer education program established pursuant to section 36 of P.L.1999, c.23 (C.48:3-85).

     b.    There is established in the Board of Public Utilities a nonlapsing fund to be known as the "Universal Service Fund."  The board shall determine:  the level of funding and the appropriate administration of the fund; the purposes and programs to be funded with monies from the fund; which social programs shall be provided by an electric public utility as part of the provision of its regulated services which provide a public benefit; whether the funds appropriated to fund the "Lifeline Credit Program," established pursuant to P.L.1979, c.197 (C.48:2-29.15 et seq.), the "Tenants' Lifeline Assistance Program," established pursuant to P.L.1981, c.210 (C.48:2-29.30 et seq.), the funds received pursuant to the Low Income Home Energy Assistance Program established pursuant to 42 U.S.C. s.8621 et seq., and funds collected by electric and gas public utilities, as authorized by the board, to offset uncollectible electricity and natural gas bills should be deposited in the fund; and whether new charges should be imposed to fund new or expanded social programs.

(cf:  P.L.2025, c.136, s.7)

 

     29.  Section 2 of P.L.2019, c.362 (C.48:25-2) is amended to read as follows: 

     2.    As used in sections 1 through 11 of P.L.2019, c.362 (C.48:25-1 et seq.) and section 2 of P.L.2023, c.278 (C.48:25-12):

     "Board" means the Board of Public Utilities.

     "Charger ready" means the pre-wiring of electrical infrastructure at a parking space, or set of parking spaces, to facilitate easy and cost-efficient future installation of electric vehicle service equipment, including, but not limited to, Level Two EVSE and DC Fast Chargers. 

     "Charging location" means a publicly accessible parking space or set of parking spaces, with visible signage designating that the parking space or parking spaces are available for use by the public for charging plug-in electric vehicles.

     "Community location" means a charging location that is not a corridor location, and that is established in a town center, commercial area, retail center, or near concentrations of multi-family dwellings, to provide vehicle charging services to local plug-in electric vehicle drivers near where they live and work. 

     "Corridor location" means a charging location located along a travel corridor roadway, or within one mile of that roadway, which is intended to provide access to vehicle charging services for long distance drivers and en route vehicle charging services for local drivers. 

     "DC Fast Charger" means EVSE that provides at least 50 kilowatts of direct current electrical power for charging a plug-in electric vehicle through a connector based on fast charging equipment standards, and which is approved for installation for that purpose under the National Electric Code through an Underwriters Laboratories Certification or an equivalent certifying organization.

     "Department" means the Department of Environmental Protection.

     “Division” means the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

     "Downtime" means any period of time during which the hardware or software used to facilitate the functional operation of EVSE, or both, are offline and not available for use, and during which the EVSE is, consequently, unable to successfully dispense electricity, as expected.

     "Electric vehicle service equipment" or "EVSE" means the equipment, including the cables, cords, conductors, connectors, couplers, enclosures, attachment plugs, power outlets, switches and controls, network interfaces, and point of sale equipment and associated apparatus designed and used for the purpose of transferring energy from the electric supply system to a plug-in electric vehicle.  "EVSE" may deliver either alternating current or direct current electricity consistent with fast charging equipment standards. 

     "Fast charging equipment standards" means standards for high power direct current charging, based on the CHAdeMO standard and the Society of Automotive Engineers Combined Charging Standard (CCS), or other non-proprietary standards as may be approved by the board in the future.

     "Eligible vehicle" means a new light duty plug-in electric vehicle, with an MSRP of below $55,000, purchased or leased after the effective date of P.L.2019, c.362 (C.48:25-1 et al.) and registered in New Jersey.

     "Exempted downtime" means any period of EVSE downtime that results from factors outside the EVSE operator's control, including, but not limited to, any period of EVSE downtime resulting from an electricity utility service interruption, from an Internet or cellular provider service interruption, or from a service outage or interruption caused by a vehicle, provided that the EVSE operator can demonstrate that the EVSE would otherwise be operational.

     "In-home electric vehicle service equipment" means electric vehicle service equipment used in a person's home to charge a plug-in electric vehicle. 

     "Incentivized EVSE" means electric vehicle service equipment that is installed, on or after the effective date of P.L.2023, c.278 (C.48:25-12 et al.), using any State or federal funding, or pursuant to an EVSE installation incentive authorized under P.L.2019, c.362 (C.48:25-1 et seq.) or any other State law.

     "Level One EVSE" means EVSE that provides single phase 120V AC electricity, presented as either a standard wall plug into which the charging cord provided with a plug-in electric vehicle can be connected, or an EVSE with a standard vehicle plug connector that complies with SAE J1772, or an equivalent standard for 120V AC charging as may be adopted in the future and accepted by the board, and which is approved for installation for this purpose under the National Electric Code through an Underwriters Laboratories Certification or an equivalent certifying organization.

     "Level Two EVSE" means EVSE that provides a plug-in electric vehicle with single phase alternating current electrical power at 208-240V AC, through a standardized plug connector that complies with SAE J1772 standards, or an equivalent wireless power transfer interface, or equivalent standards for 08-240V AC charging as may be adopted in the future and accepted by the board, and which is approved for installation for this purpose under the National Electric Code through Underwriters Laboratories Certification or an equivalent certifying organization.

     "Light duty vehicle" means any two-axle, four-wheel vehicle, designed primarily for passenger travel or light duty commercial use, and approved for travel on public roads.  "Light duty vehicle" includes, but is not limited to, any vehicle commonly referred to as a car, minivan, sport utility vehicle, cross-over, or pick-up truck.

     "Low-income, urban, or environmental justice community" means a community:  (1) in which at least one half of the households are at or below twice the poverty threshold as determined annually by the United States Census Bureau; (2) that is urban, as determined by the Department of Community Affairs, due to the population and development density in the community; or (3) that has been burdened with environmental justice issues, as determined by the department, including, but not limited to, exposure to high levels of air pollution, close proximity to major industrial facilities or hazardous waste sites, or other environmental hazards.

     "MSRP" means the published manufacturer's suggested retail price, as set by a vehicle's manufacturer, at the time of sale or lease.

     "National Electric Vehicle Infrastructure Formula Program" or "NEVI Formula Program" means the federal program, established pursuant to the "Infrastructure Investment and Jobs Act" (IIJA), Pub.L.117-58, and pursuant to which the Federal Highway Administration is authorized to provide funding to the states to facilitate the strategic, nationwide deployment of electric vehicle infrastructure and the related establishment of an interconnected, interstate network that is designed to facilitate data collection, access, and reliability in association with the increased use of electric vehicles and electric vehicle infrastructure across the nation.

     "Plug-in electric vehicle" means a vehicle that has a battery or equivalent energy storage device that can be charged from an electricity supply external to the vehicle with an electric plug.  "Plug-in electric vehicle" includes a plug-in hybrid vehicle. 

     "Plug-in hybrid vehicle" means a vehicle that can be charged from a source of electricity external to the vehicle through an electric plug, but is not exclusively powered by electricity. 

     "Routine charging" means vehicle charging that takes place where a vehicle is parked for a long period of time, such as at the owner's residence overnight, a hotel, or a workplace during work hours, and which provides the primary and most common form of vehicle charging.

     "Seller or lessor of an eligible vehicle" means an entity that is licensed to sell or lease an eligible vehicle to a consumer or fleet owner in the State. 

     "Site-wide basis" means the average site-wide uptime status of all incentivized EVSE that has been installed, at the same site of operations, on or after the effective date of P.L.2023, c.278 (C.48:25-12 et al.).

     "State agency" means any of the principal departments in the Executive Branch of State Government, any division, board, bureau, office, commission, or other instrumentality thereof, and any independent State authority, commission, instrumentality, or agency.

     "Travel corridor" means heavily used public roads in the State, as designated by the department, which shall include, but need not be limited to, the Garden State Parkway, the New Jersey Turnpike, the Atlantic City Expressway, federal interstate highways, and the subset of federal or State roads which collectively support the majority of long distance travel through and within the State as well as the majority of daily travel by local drivers.

     "Uptime" means the period of time during which the hardware and software used to facilitate the functional operation of EVSE are both online and are both in use or available for use, and during which period of time the EVSE is capable of successfully dispensing electricity, as expected.

(cf:  P.L.2023, c.278, s.1)

 

     30.  Section 3 of P.L.2019, c.362 (C.48:25-3) is amended to read as follows: 

     3.    a.  There are established the following State goals for the use of plug-in electric vehicles and the development of plug-in electric vehicle charging infrastructure in the State to support that use: 

     (1)   at least 330,000 of the total number of registered light duty vehicles in the State shall be plug-in electric vehicles by December 31, 2025;

     (2)   at least 2 million of the total number of registered light duty vehicles in the State shall be plug-in electric vehicles by December 31, 2035;

     (3)   at least 85 percent of all new light duty vehicles sold or leased in the State shall be plug-in electric vehicles by December 31, 2040;

     (4)   (a) By December 31, 2025, at least 400 DC Fast Chargers shall be available for public use at no fewer than 200 charging locations in the State, (b) at least 75 of the 200 or more charging locations shall be at travel corridor locations, equipped with at least two DC Fast Chargers per location, each capable of providing at least 150 kilowatts of charging power, and no more than 25 miles between the charging locations, and (c) at least 100 of the 200 or more charging locations shall be community locations, equipped with at least two DC Fast Chargers per location, each capable of providing 50 kilowatts of charging power or more, and 150 kilowatts or more where feasible.  The department may, in its discretion, increase the goals set forth in this paragraph pursuant to any strategic mapping of plug-in electric vehicle charging infrastructure the department conducts;

     (5)   By December 31, 2025, at least 1,000 Level Two chargers shall be available for public use across the State, and after initial installation, those EVSE may be upgraded to higher power or DC Fast Chargers as appropriate by the owner or operator of the EVSE; and

     (6)   (a) By December 31, 2025, at least 15 percent of all multi-family residential properties in the State shall be equipped with EVSE for the routine charging of plug-in electric vehicles by residents through a combination of Level One EVSE, Level Two EVSE, or charger ready parking spaces, which collectively shall serve a percentage of resident parking spaces equal to the percentage of light duty vehicles registered in the State that are plug-in electric vehicles at the end of the preceding calendar year, or the percentage of vehicles owned by residents that are plug-in electric vehicles, whichever is higher, and (b) by December 31, 2030, 30 percent of all multi-family properties shall be equipped for electric vehicle charging as described in subparagraph (a) of this paragraph;

     (7)   (a) By December 31, 2025, 20 percent of all franchised overnight lodging establishments shall be equipped with EVSE for routine electric vehicle charging by guests of the establishment by providing Level Two EVSE, which collectively shall serve a percentage of the guest parking spaces equal to the percentage of light duty vehicles registered in the State that are plug-in electric vehicles at the end of the preceding calendar year, and (b) by December 31, 2030, 50 percent of all franchised overnight lodging establishments shall be equipped with EVSE as described in subparagraph (a) of this paragraph;

     (8)   (a) By December 31, 2025, at least 25 percent of State-owned non-emergency light duty vehicles shall be plug-in electric vehicles, and (b) by December 31, 2035 and thereafter, 100 percent of State-owned non-emergency light duty vehicles shall be plug-in electric vehicles;

     (9)   (a) By December 31, 2024, at least 10 percent of the new bus purchases made by the New Jersey Transit Corporation shall be zero emission buses, and (b) the percentage of zero emission bus purchases shall increase to 50 percent by December 31, 2026, and 100 percent by December 31, 2032 and thereafter.  Zero emission buses shall not produce any emissions at the tailpipe, and shall be prioritized for low-income, urban, or environmental justice communities; and

     (10)  By December 31, 2020, the department, in consultation with the board, shall establish other goals for vehicle electrification and infrastructure development that address medium-duty and heavy-duty on-road diesel vehicles and associated charging infrastructure, similar to the State goals for light duty vehicles and consistent with the technology and plug-in electric vehicle markets for those vehicle types.

     b.    The board and the department may, pursuant to P.L.2019, c.362 (C.48:25-1 et al.) and any other existing statutory authority, adopt policies and programs to accomplish the goals established pursuant to this section.

     c.     No later than December 31, 2020, and every five years thereafter, until December 31, 2040, the department, in consultation with the board, shall prepare and submit to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, a report that: 

     (1)   assesses the current state of the plug-in electric vehicle market in New Jersey;

     (2)   measures the State's progress towards achieving the goals established in subsection a. of this section;

     (3)   identifies barriers to the achievement of the goals; and

     (4)   makes recommendations for legislative or regulatory action to address barriers to the achievement of the goals.

     d.    After the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the responsibilities and powers of the board prescribed in this section shall be transferred to and continued in the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

(cf:  P.L.2019, c.362, s.3)

 

     31.  Section 4 of P.L.2019, c.362 (C.48:25-4) is amended to read as follows: 

4.    a.  No later than 180 days after the effective date of P.L.2019, c.362 (C.48:25-1 et al.), the Board of Public Utilities shall establish and implement a light duty plug-in electric vehicle incentive program for the purpose of encouraging the purchase or lease of new light duty plug-in electric vehicles in the State.  After the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Division of Energy Resource and Development shall administer the incentive program established by the board pursuant to this subsection.

     b.    The [board] division shall implement the light duty plug-in electric vehicle incentive program until June 30th of the 10th year after establishment of the incentive program, as established by the board prior to the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill) pursuant to subsection a. of this section.

     c.     (1) Any incentive offered pursuant to this section shall take the form of a one-time payment to the purchaser or lessee of an eligible vehicle.

     (2)   For the first year an incentive is offered, the amount of the incentive shall be equal to $25 per mile of EPA-rated electric-only range up to a maximum of $5,000 per eligible vehicle.  For each subsequent year an incentive is offered, the [board] division may, after consideration of stakeholder input, change the amount of the incentive and the manner in which an incentive is calculated, provided that no incentive shall exceed $5,000 per eligible vehicle.  The [board] division shall publish the amount of any incentives on its Internet website.

     (3)   The [board] division may limit the number of plug-in electric vehicle incentives that it issues to a single person.

     (4)   The [board] division may establish other requirements and parameters for the incentive program as it deems necessary and reasonable to further the goals of P.L.2019, c.362 (C.48:25-1 et al.).

     d.    The [board] division shall monitor the disbursement of incentives under the incentive program, and annually reassess the design and implementation of the incentive program.  Provided the [board's] division’s action is consistent with the provisions of subsection c. of this section, the [board] division may: 

     (1)   revise the incentive program, any aspect of the incentives, or the related implementation procedures or processes; and

     (2)   develop additional incentives consistent with the goals of P.L.2019, c.362 (C.48:25-1 et al.) in order to ensure efficient and equitable electrification of transportation in the State.

     e.     Notwithstanding any other provision of law to the contrary, a light duty plug-in hybrid vehicle shall not qualify for an incentive under the light duty plug-in electric vehicle incentive program after December 31, 2022.

(cf:  P.L.2019, C.362, s.4)

 

     32.  Section 5 of P.L.2019, c.362 (C.48:25-5) is amended to read as follows: 

     5.    a.  The seller or lessor of an eligible vehicle shall offer the light duty plug-in electric vehicle incentive established pursuant to section 4 of P.L.2019, c.362 (C.48:25-4) in conjunction with, and in addition to, any other incentive offered by the seller or lessor of an eligible vehicle.

     b.    A seller or lessor of an eligible vehicle shall provide a purchaser or lessee the option to have the amount of the light duty plug-in electric vehicle incentive deducted from the final negotiated and agreed upon sale or lease price of the eligible vehicle, in which case the full amount of the incentive shall be passed through to the purchaser or lessee in full and payment thereof shall be effective immediately at the time of the final sale or lease and transfer of the eligible vehicle to the purchaser or lessee.  The [board] division shall establish a process for reimbursing a seller or lessor of an eligible vehicle the cost of an incentive provided by the seller or lessor pursuant to this subsection.

     c.     The [board] division shall require each seller or lessor of an eligible vehicle to provide to the [board] division, upon the final sale or lease and transfer of an eligible vehicle to a purchaser or lessee, the eligible vehicle's make, model, and battery size, and any other information as the [board] division determines relevant.

(cf:  P.L.2019, c.362, s.5)

 

     33.  Section 6 of P.L.2019, c.362 (C.48:25-6) is amended to read as follows: 

     6.    a.  [The] (1) Prior to the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Board of Public Utilities may establish and implement a program to provide incentives for the purchase and installation of in-home electric vehicle service equipment.

     (2)   After the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Division of Energy Resource and Development shall administer any incentive program established by the board pursuant to paragraph (1) of this subsection.

     b.    Any incentive program established pursuant to this section may be implemented only until June 30th of the 10th year after establishment of the program. 

     c.     (1) Any incentive offered pursuant to this section shall take the form of a one-time payment to the person purchasing the in-home electric vehicle service equipment. 

     (2)   The amount of the incentive offered pursuant to this section shall be determined by the [board] division, but shall not exceed $500 per person.  Any incentive a person receives pursuant to this section shall be in addition to any incentive the person receives for the purchase or lease of a new light duty plug-in electric vehicle pursuant to sections 4 and 5 of P.L.2019, c.362 (C.48:25-4 and C.48:25-5).

     (3)   The [board] division may establish other requirements and parameters for the program as it deems necessary and reasonable to further the goals of P.L.2019, c.362 (C.48:25-1 et al.).

     d.    The [board] division shall monitor the disbursement of incentives under the incentive program, and annually reassess the design and implementation of the incentive program.  Provided the [board's] division’s action is consistent with the provisions of subsection c. of this section, the [board] division may: 

     (1)   revise the incentive program, any aspect of the incentives, or the related implementation procedures or processes; and

     (2)   in consultation with the department, develop additional incentives for electric vehicle service equipment consistent with the goals of [P.L] P.L.2019, c.362 (C.48:25-1 et al.) in order to ensure efficient and equitable electrification of transportation in the State.

     e.     The [board] division shall determine the form and manner of the application for, and the disbursement of, incentives pursuant to this section.

(cf:  P.L.2019, c.362, s.6)

 

     34.  Section 7 of P.L.2019, c.362 (C.48:25-7) is amended to read as follows: 

     7.    a.  There is established in the [Board of Public Utilities] Division of Energy Resource and Development a special, nonlapsing fund to be known as the Plug-in Electric Vehicle Incentive Fund.  The fund shall be administered by the [board] division and shall be credited with: 

     (1)   [moneys] monies deposited into the fund by the [board] division pursuant to subsection b. of this section;

     (2)   [moneys] monies that are appropriated by the Legislature; and

     (3)   any return on investment of [moneys] monies deposited in the fund.

     b.    (1) The [board] division shall deposit into the fund, each year, $30 million of [moneys] monies received by the board or the division from the societal benefits charge established pursuant to section 12 of P.L.1999, c.23 (C.48:3-60), [moneys] monies made available to the [board] division pursuant to the implementation of the Regional Greenhouse Gas Initiative and P.L.2007, c.340 (C.26:2C-45 et seq.), and [moneys] monies available from other funding sources, as determined by the [board] division, to make disbursements under the light duty plug-in electric vehicle incentive program established pursuant to section 4 of P.L.2019, c.362 (C.48:25-4).

     (2)   The [board] division may deposit into the fund, each year, such additional amounts received by the board or the division from the societal benefits charge, as the [board] division deems necessary, to make disbursement under an incentive program for in-home electric vehicle service equipment established pursuant to section 6 of P.L.2019, c.362 (C.48:25-6).

     c.     [Moneys] Monies in the fund shall be used by the [board] division solely for the purpose of disbursing the incentives established pursuant to sections 4 and 6 of P.L.2019, c.362 (C.48:25-4 and C.48:25-6).  The [board] division shall recover any administrative costs incurred in connection with P.L.2019, c.362 (C.48:25-1 et al.) separately from [moneys] monies received by the board or the division from the societal benefits charge.

     d.    The [board] division shall provide no less than $30 million in disbursements under the light duty plug-in electric vehicle incentive program established pursuant to section 4 of P.L.2019, c.362 (C.48:25-4) each year for 10 years.

(cf:  P.L.2019, c.362, s.7)

 

     35.  Section 8 of P.L.2019, c.362 (C.48:25-8) is amended to read as follows: 

     8.    [The] Prior to the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Board of Public Utilities shall develop a website, accessible by the public, that provides up-to-date information about the availability of the incentives established pursuant to sections 4 and 6 of P.L.2019, c.362 (C.48:25-4 and C.48:25-6).  After the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Division of Energy Resource and Development shall operate and maintain the website developed by the board prior to the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill) pursuant to this section.

(cf:  P.L.2019, c.362, s.8)

 

     36.  Section 11 of P.L.2019, c.362 (C.48:25-11) is amended to read as follows: 

     11.  The [board] division may, in consultation with the department, adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary for the implementation of P.L.2019, c.362 (C.48:25-1 et al.).

(cf:  P.L.2019, c.362, s.11)

 

     37.  Section 2 of P.L.2023, c.278 (C.48:25-12) is amended to read as follows: 

     2.    a.  The [Board of Public Utilities] Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), the Department of Environmental Protection, the Department of Transportation, and any other State agency that offers an incentive for the installation of electric vehicle service equipment, pursuant to P.L.2019, c.362 (C.48:25-1 et seq.) or any other State law, shall: 

     (1)   require, as a condition of providing any such incentive, that the electric vehicle service equipment subject to such incentive, together with all other incentivized EVSE installed at the same site, remains operational at least 97 percent of the time, not including any period of exempted downtime, and except as otherwise provided by paragraph (2) of this subsection, as calculated on an annual and site-wide basis; and

     (2)   regularly review the site-wide uptime requirement established pursuant to paragraph (1) of this subsection, on at least a biennial basis, in order to ensure that it is consistent with the minimum uptime requirement applicable to federal funding recipients under the NEVI Formula Program.  Whenever a State agency determines that the minimum uptime requirement established for recipients of State agency incentive funding, pursuant to paragraph (1) of this subsection, is inconsistent with the minimum uptime requirement being applied to recipients of federal funding under the NEVI Formula Program, the State agency shall take appropriate action to revise the site-wide State-level uptime requirement, established pursuant to this subsection, as necessary to ensure that it comports with the comparable federal NEVI Formula Program requirement. 

     b.    Each State agency subject to this section shall develop and implement a system to monitor compliance with, and enforce, the site-wide uptime requirement established, for incentivized EVSE, pursuant to subsection a. of this section.

     c.     When reviewing or modifying the site-wide uptime requirement established pursuant to subsection a. of this section, and when developing and implementing the compliance monitoring and enforcement system required by subsection b. of this section, each State agency shall engage in a comprehensive and public stakeholder engagement process and shall review and consider the most recent standards, guidelines, and requirements related to EVSE uptime, downtime, and exempted downtime, which are applicable to federal funding recipients under the NEVI Formula Program.

     d.    The site-wide uptime requirement established pursuant to subsection a. of this section shall apply to any EVSE that is the subject of an EVSE incentive provided by a State agency, pursuant to P.L.2019, c.362 (C.48:25-1 et seq.) or any other State law, and which is installed at the site of operations either on or after the effective date of P.L.2023, c.278 (C.48:25-12 et al.).  Nothing in this section shall be deemed to require the site-wide uptime calculation performed pursuant to subsection a. of this section to include the uptime status of any EVSE installed prior to the effective date of P.L.2023, c.278 (C.48:25-12 et al.).

     e.     State agencies shall ensure Statewide consistency for any standards, guidelines, and requirements established pursuant to P.L.2023, c.278 (C.48:25-12 et al.).

(cf:  P.L.2023, c.278, s.2)

 

     38.  Section 4 of P.L.2009, c.33 (C.52:27D-141.4) is amended to read as follows: 

     4.    a.  Where technically feasible, as determined by the commissioner in consultation with the [Board of Public Utilities] Division of Energy Resource and Development, a developer shall offer to install, or to provide for the installation of, a solar energy system into a dwelling unit when a prospective owner enters into negotiations with the developer to purchase a dwelling unit.

     b.    A developer shall disclose in any advertising, in a manner and form determined by the commissioner pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.): 

     (1)   that a prospective owner may have a solar energy system installed in any dwelling unit;

     (2)   the total cost of installing a solar energy system into a dwelling unit that will be charged to the owner by the developer;

     (3)   general information on the environmental benefits of, and potential energy cost savings associated with, solar energy systems; and

     (4)   information concerning any applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems, as provided to the developer by the commissioner and the [Board of Public Utilities] Division of Energy Resource and Development pursuant to subsection b. of section 7 of [this act] P.L.2009, c.33 (C.52:27D-141.1 et seq.).

(cf:  P.L.2009, c.33, s.4)

 

     39.  Section 7 of P.L.2009, c.33 (C.52:27D-141.7) is amended to read as follows: 

     7.    a.  The commissioner, in consultation with the [Board of Public Utilities] Division of Energy Resource and Development, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), standards with respect to the technical sufficiency of solar energy systems to be installed pursuant to [this act] P.L.2009, c.33 (C.52:27D-141.1 et seq.).  These standards, at a minimum, shall provide: 

     (1)   that the solar energy system is to be installed in conformance with the manufacturer's specifications and in compliance with all applicable electrical and building code standards;

     (2)   that the solar energy system is intended primarily to offset part or all of the consumer's own electricity demand;

     (3)   that all components in the solar energy system are to be new and unused, and shall not have previously been placed in service in any other location or for any other application;

     (4)   that the solar energy system shall have a warranty of not less than 10 years provided by the solar energy system manufacturer, and shall be subject to coverage afforded under "The New Home Warranty and Builders' Registration Act," P.L.1977, c.467 (C.46:3B-1 et seq.) to protect the integrity of the roof of the home and to protect against defects and undue degradation of electrical generation output;

     (5)   that the solar energy system shall have meters or other devices in place to monitor and measure the system's performance and the quantity of electricity generated by the system;

     (6)   that the solar energy system shall comply with adopted energy codes for the dwelling unit where the solar energy system is installed;

     (7)   for rating criteria for equipment, components, and systems to assure reasonable performance and criteria for complying with these minimum ratings;

     (8)   that the solar energy system shall be consistent with the net metering standards and safety and power quality interconnection standards adopted by the Board of Public Utilities pursuant to subsection e. of section 38 of P.L.1999, c.23 (C.48:3-87); and

     (9)   for the criteria by which the technical feasibility of the installation of a solar energy system is determined in section 4 of [this act] P.L.2009, c.33 (C.52:27D-141.4).

     b.    The commissioner, in consultation with the [Board of Public Utilities] Division of Energy Resource and Development, shall: 

     (1)   publish educational materials designed to demonstrate how developers may incorporate solar energy systems during construction as well as energy efficiency measures that best complement solar energy systems; and

     (2)   provide developers with information concerning any applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems.

(cf:  P.L.2009, c.33, s.7)

 

     40.  Section 9 of P.L.2009, c.33 (C.52:27D-141.9) is amended to read as follows: 

     9.    The [Board of Public Utilities] Division of Energy Resource and Development shall adopt orders, rules, or regulations that provide for solar energy systems installed in accordance with the provisions of P.L.2009, c.33 (C.52:27D-141.1 et seq.) to be eligible for all applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems.

(cf:  P.L.2009, c.33, s.9)

 

     41.  Section 2 of P.L.2020, c.80 (C.52:27D-141.11) is amended to read as follows:

     2.    a.  A developer shall offer to install, or to provide for the installation of, an electric vehicle charging station into a dwelling unit when a prospective owner enters into negotiations with the developer to purchase a dwelling unit.

     b.    Prior to entering into a contract of sale for a dwelling unit, a developer shall: 

     (1)   disclose that a prospective owner may have an electric vehicle charging station installed at any dwelling unit, and upon request by the prospective owner, disclose the total cost of installing an electric vehicle charging station at a dwelling unit that will be charged to the owner by the developer; and

     (2)   unless the installation of an electric vehicle charging station is included in the sale of the dwelling unit at no cost to the prospective owner, inform the prospective owner of the availability on the Internet website of the Department of Community Affairs of general information on the environmental benefits of, and potential energy cost savings associated with, electric vehicle usage and any applicable credits, rebates, or other incentives that may be available to the prospective owner for the installation of an electric vehicle charging station.

     c.     Every contract of sale for a dwelling unit shall include a notification by the developer to the prospective owner of the offer to install, or to provide for the installation of, an electric vehicle charging station at the dwelling unit pursuant to this section.

     d.    The commissioner, in consultation with the Department of Environmental Protection and the [Board of Public Utilities] Division of Energy Resource and Development, shall compile, and make available on the Internet website of the Department of Community Affairs, information for prospective owners and developers concerning the environmental benefits of, and potential energy cost savings associated with, electric vehicle usage and any applicable credits, rebates, or other incentives that may be available to the prospective owner for the installation of an electric vehicle charging station.  The information required pursuant to this subsection shall inform prospective owners and developers of the availability of various types of electric vehicle charging stations.

(cf:  P.L.2020, c.80, s.2)

 

     42.  Section 9 of P.L.1977, c.146 (C.52:27F-11) is amended to read as follows: 

     9.    The [Board of Public Utilities] Division of Energy Resource and Development shall [through the Division of Energy Planning and Conservation]: 

     a.     [Be] be the central repository within the State Government for the collection of energy information;

     b.    [Collect] collect and analyze data relating to present and future demands and resources for all forms of energy;

     c.     [Have] have authority to require all persons, firms, corporations or other entities engaged in the production, processing, distribution, transmission, or storage of energy in any form, or in the use of steam in quantities greater than 50,000 pounds per hour, to submit reports setting forth such information as shall be required to carry out the provisions of this act;

     d.    [Have] have authority to require any person to submit information necessary for determining the impact of any construction or development project on the energy and fuel resources of this State;

     e.     [Charge] charge other State Government departments and agencies involved in energy-related activities with specific information gathering goals and require that said goals be fulfilled;

     f.     [Establish] establish an energy information system which will provide all data necessary to insure a fair and equitable distribution of available energy, to permit a more efficient and effective use of available energy, and to provide the basis for long-term planning related to energy needs;

     g.    [Design] design, implement, and enforce a program for the conservation of energy in commercial, industrial, and residential facilities, which program shall provide for the evaluation of energy systems as they relate to lighting, heating, refrigeration, air-conditioning, building design and operation, elective cogeneration and process steam production associated with cogeneration facilities, and appliance manufacturing and operation; and may include, but shall not be limited to, the requiring of an annual inspection and adjustment, if necessary, of oil-fired heating systems in residential, commercial and industrial buildings so as to bring such systems into conformity with efficiency standards therefor prescribed by law; the setting of lighting efficiency standards for public buildings; the establishment of mandatory thermostat settings and the use of seven-day, day-night thermostats in public buildings; the development of standards for efficient boiler operation; consider the establishment of cogeneration facilities to simultaneously produce electricity and steam to conserve fuel; and, the preparation of a plan to insure the phased retrofitting of existing gas furnaces with electric ignition systems and to require that new gas ranges and dryers be equipped with electric ignition systems, and new gas furnaces with electric ignition systems and automatic vent-dampers.  The program for the conservation of energy in new home construction shall include a provision for down payment assistance to purchasers of new homes meeting the enhanced energy subcode requirements adopted pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123).  The down payment assistance portion of the program shall be designed in consultation with the Department of Community Affairs and the New Jersey Housing and Mortgage Finance Agency.  The assistance shall be limited to those purchasers whose household income does not exceed 110 percent of county median income, as adjusted for household size.  The total down payment to be made by the purchaser, including the amount of the down payment assistance, shall not exceed 20 percent of the purchase price of the new home.  The down payment assistance shall not exceed the lesser of (1) the additional cost of construction required in order to make a building, which otherwise would conform to the edition of the International Energy Conservation Code in effect at the time of the offering of down payment assistance, also conform to the enhanced energy conservation construction requirements established by the Commissioner of Community Affairs pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123) or (2) the additional down payment required in order to qualify the purchaser or purchasers for mortgage financing without the requirement of private mortgage insurance;

     h.    [Conduct] conduct and supervise a [State-wide] Statewide program of education including the preparation and distribution of information relating to energy conservation;

     i.     [Monitor] monitor prices charged for energy within the State, evaluate policies governing the establishment of rates and prices for energy, and make recommendations for necessary changes in such policies to other concerned Federal and State agencies, including, but not limited to, the Board of Public Utilities, and to the Legislature;

     j      [Have] have authority to conduct and supervise research projects and programs for the purpose of increasing the efficiency of energy use, developing new sources of energy, evaluating energy conservation measures, and meeting other goals consistent with the intent of this act;

     k     [Have] have authority to distribute and expend funds made available for the purpose of research projects and programs;

     l.     [Have] have authority to enter into interstate compacts in order to carry out energy research and planning with other states or the Federal [Government] government where appropriate;

     m.   [Have] have authority to apply for, accept, and expand grants-in-aid and assistance from private and public sources for energy programs; notwithstanding any other law to the contrary, the [President of the Board of Public Utilities] Director of Energy Resource and Development is designated as the State official to apply for, receive, and expend Federal and other funding made available to the State for the purposes of this act;

     n.    [Require] require the annual submission of energy utilization reports and conservation plans by State [Government] government departments and agencies, evaluate said plans and the progress of the departments and agencies in meeting these plans, and order changes in the plans or improvement in meeting the goals of the plans;

     o.    [Carry] carry out all duties given to the [Board of Public Utilities] Division of Energy Resource and Development under other sections of this act or any other acts;

     p.    [Have] have authority to conduct hearings and investigations in order to carry out the purposes of this act and to issue subpoenas in furtherance of such power.  Such power to conduct investigations shall include, but not be limited to, the authority to enter without delay and at reasonable times the premises of any energy industry in order to obtain or verify any information necessary for carrying out the purposes of this act;

     q.    [Have] have authority to adopt, amend, or repeal, pursuant to the "Administrative Procedure Act" (C.52:14B-1 et seq.), such rules and regulations necessary and proper to carry out the purposes of this act;

     r.     [Administer] administer such Federal energy regulations as are applicable to the states, including, but not limited to, the mandatory petroleum allocation regulations and State energy conservation plans;

     s.     [Have] have authority to sue and be sued;

     t.     [Have] have authority to acquire by purchase, grant, contract, or eminent domain title to real property for the purpose of demonstrating facilities which improve the efficiency of energy use, conserve energy or generate energy in new and efficient ways;

     u.    [Have] have authority to construct and operate, on an experimental or demonstration basis, facilities which improve the efficiency of energy use, conserve energy or generate power in new and efficient ways;

     v.    [Have] have authority to contract with any other public agency or corporation incorporated under the laws of this or any other state for the performance of any function under this act;

     w.   [Determine] determine the effect of energy and fuel shortages upon consumers, and formulate proposals designed to encourage the lowest possible cost of energy and fuels consumed in the State consistent with the conservation and efficient use of energy;

     x.    [Keep] keep complete and accurate minutes of all hearings held before the [Board of Public Utilities or any member of the Division of Energy Planning and Conservation] Division of Energy Resource and Development pursuant to the provisions of this act.  All such minutes shall be retained in a permanent record and shall be available for public inspection at all times during the office hours of the [board] division; and

     y.    [Provide] provide consultation to an institution of higher education as pursuant to subsection b. of section 5 of P.L.1975, c.217 (C.52:27D-123), in order to assist the institution with the preparation of a report to the Department of Community Affairs on the projected cost of energy, to be used by that department when analyzing the cost and payback of energy conservation measures and requirements being considered for inclusion in the energy subcode of the State Uniform Construction Code.

(cf:  P.L.2009, c.106, s.3)

 

     43.  Section 12 of P.L.1977, c.146 (C.52:27F-14) is amended to read as follows: 

     12.  a.  There is established an Energy Master Plan Committee (hereinafter "Committee") which shall be composed of the Director of the Division of Energy Resource and Development and the heads of the following principal departments or their designees:  Commerce, Energy and Economic Development; Community Affairs; Environmental Protection; Health; Human Services; Transportation; and Treasury.  The Commissioner of Commerce, Energy and Economic Development or [his] the commissioner’s designee shall be the chairperson of the committee.  The committee shall be responsible for the preparation, adoption, and revision of master plans regarding the production, distribution, and conservation of energy in this State.

     b.    The committee within one year of the effective date of this act shall prepare or cause to be prepared, and, after public hearings as hereinafter provided, adopt a master plan for a period of 10 years on the production, distribution, consumption, and conservation of energy in this State.  [Such] The plan shall be revised and updated at least once every three years.  The plan shall include long-term objectives but shall provide for the interim implementation of measures consistent with said objectives.  The committee may from time to time and after public hearings amend the master plan.  In preparing the master plan or any portion thereof or amendment thereto the department shall give due consideration to the energy needs and supplies in the several geographic areas of the State, and shall consult and cooperate with any federal or State agency having an interest in the production, distribution, consumption, or conservation of energy.

     c.     Upon preparation of [such] the master plan, and each revision thereof, the committee shall cause copies thereof to be printed, shall transmit sufficient copies thereof to the Governor and the Legislature, for the use of the members thereof, and shall advertise, in such newspapers as the commissioner determines appropriate to reach the greatest possible number of citizens of New Jersey, the existence and availability of such draft plan from the offices of the committee for the use of such citizens as may request same.  In addition, the department shall: 

     (1)   [Fix] fix dates for the commencement of a series of public hearings, at least one of which shall be held in each geographical area delineated in the master plan.  Each such public hearing shall concern the overall content of the plan and those aspects thereof that have relevance to the specific geographical area in which each such public hearing is being held;

     (2)   [At] at least 60 days prior to each public hearing held pursuant to this section, notify each energy industry and each State department, commission, authority, council, agency, or board charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission, or storage of energy in any form of the time and place for the hearing and shall publish such notice in a newspaper of general circulation in the region where the hearing is to be held, and in such newspapers of general circulation in the State as the commissioner determines appropriate to reach the greatest possible number of citizens of New Jersey.

     d.    Upon the completion of the requirements of subsection c. of this section, the committee shall consider the testimony presented at all such public hearings and adopt the energy master plan, together with any additions, deletions, or revisions it shall deem appropriate.

     e.     Upon the adoption of the energy master plan, and upon each revision thereof, the committee shall cause copies thereof to be printed and shall transmit sufficient copies thereof to the Governor and the Legislature, for the use of the members thereof, and to each State department, commission, authority, council, agency, or board charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission, or storage of energy in any form.  In addition, the committee shall advertise in the manner provided in subsection c. of this section the existence and availability of the energy master plan from the offices of the committee for the use of such citizens of New Jersey as may request same; provided, however, that the committee may charge a fee for such copies of the energy master plan sufficient to cover the costs of printing and distributing same.

(cf:  P.L.1987, c.365, s.14)

 

     44.  Section 1 of P.L.2022, c.86 (C.26:2C-8.58) is amended to read as follows: 

     1.    a.  No later than six months after the effective date of P.L.2022, c.86 (C.26:2C-8.58 et al.), the Department of Environmental Protection shall implement a three-year "Electric School Bus Program" to determine the operational reliability and cost effectiveness of replacing diesel-powered school buses with electric school buses for the daily transportation of students.

     b.    On or after the date of implementation of the program developed pursuant to subsection a. of this section, and once each year for the next two years thereafter, the Department of Environmental Protection shall, subject to available funding, select for participation in the program no less than six school districts and school bus contractors that operate school buses, as described in section 1 of P.L.1996, c.96 (C.39:3B-1.1), so that during the third year of the program, no less than a total of 18 school districts or school bus contractors shall have been selected for participation in the program amongst the northern, central, and southern regions of the State.  The department shall choose school districts and school bus contractors to participate in the program based on a competitive grant solicitation.

     In each year, the department shall use its best efforts to select a mix of school districts that operate their own bus fleets and school districts that contract for school bus services; provided that, in each year, the department shall award no more than half of the grants to school bus contractors.  Any school bus contractor applying to participate in the program shall apply in conjunction with a specific school district.  In each year, at least half of the school districts or school bus contractors selected by the department, and at least half of the grant funding awarded by the department in each year shall be located in a "low-income, urban, or environmental justice community" as defined in section 2 of P.L.2019, c.362 (C.48:25-2) and from those selected, the department shall use its best efforts, in each year, to select, an equal number of grantees from the northern, central, and southern regions of the State respectively, subject to deviation based on the applicant pool.  Grants shall be awarded in a manner that both prioritizes equity and tests a variety of technological and funding approaches, including but not limited to outright purchase, leased buses, leveraging of other funding sources, and vehicle-to-grid or vehicle-to-building technologies.

     For purposes of this subsection: "northern," when referring to regions of the State, means the counties of Bergen, Essex, Hudson, Morris, Passaic, Union, Sussex, and Warren; "central," when referring to regions of the State, means the counties of Hunterdon, Mercer, Middlesex, Monmouth, and Somerset; and "southern," when referring to regions of the State, means the counties of Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, and Salem.

     c.     (1) Under the program, the department shall award grants to school districts or school bus contractors selected to participate in the program to purchase or lease electric school buses and to purchase or lease and install electric school bus charging infrastructure in coordination with any State department, board, bureau, commission, agency, public utility as defined pursuant to R.S.48:2-13 that provides electric service to end users in the State, municipal public utility as defined in N.J.S.40A:1-1 that provides electric service to end users in the State, authority as defined in section 3 of P.L.1983, c.313 (C.40A:5A-3) that provides electric service to end users in the State, or rural electric cooperative organized under the general corporation laws of this State as necessary.  Pursuant to any outright purchase or lease arrangement entered into by a school district or school bus contractor participating in the program, an electric school bus and charging infrastructure vendor purchase or lease arrangement shall include, at a minimum, the following:

     (a)   an electric school bus having a minimum range of 90 miles per full charge, or 30 percent more range per full charge than the daily maximum miles used by the school district or school bus contractor, whichever is greater, and having telematics system capabilities.  The department shall collect data from on-board telematics monitoring systems in order to evaluate parameters such as idle time, driving time, energy consumption, and frequency of charging;

     (b)   an electric school bus and charging infrastructure, as appropriate;

     (c)   appropriate training for bus maintenance personnel and bus drivers, and other relevant personnel, which shall be provided at no cost to a bus driver, bus maintenance personnel, or other relevant personnel; and

     (d)   electric school bus and charging infrastructure shop manuals and wiring schematics for troubleshooting and a complete list of component parts.

     (2)   Monies for the "Electric School Bus Program" shall be used by the Department of Environmental Protection to provide grants, pursuant to this subsection, over the three-year period.  In the first
year, grants shall be provided in accordance with P.L.2022, c.86 (C.26:2C-8.58 et al.) in the amount of $15,000,000 for electrification.  Subject to the availability of funds, grants shall continue to be provided in accordance with P.L.2022, c.86 (C.26:2C-8.58 et al.) in the amount of $15,000,000 per year for a total of $45,000,000 over the three-year period.  The department may use available monies to provide grants, pursuant to this subsection, singly or in combination, from the following sources: societal benefits charge revenues received pursuant to section 12 of P.L.1999, c.23 (C.48:3-60); the "Global Warming Solutions Fund" established pursuant to section 6 of P.L.2007, c.340 (C.26:2C-50); any available monies from utility programs to upgrade electrical infrastructure for purposes of electric vehicle charging; any appropriations made by the Legislature for the program established pursuant to P.L.2022, c.86 (C.26:2C-8.58 et al.); or any other sources of available funding.  Up to five percent of the monies made available to the program may be used to administer the program.

     The department shall determine the amount of each grant provided pursuant to this subsection and shall award grants in a manner that provides for the most efficient and highest efficacy use of the grant.

     d.    At least once every six months, the school districts or school bus contractors selected to participate in the program shall submit a report to the department detailing the cost to operate the electric school buses, the electric school bus maintenance records and transponder data, and any reliability issues related to the operation or delivery and procurement of the electric school buses.  The first report shall be submitted six months after the school district or school bus contractor first completes its initial procurement of electric school buses.

     e.     (1) The department shall, no less than twice per calendar year, convene a working group which includes a representative of the Board of Public Utilities, the New Jersey Economic Development Authority, the Department of Transportation, the Department of Education, and the New Jersey Motor Vehicle Commission.  The working group shall review the reports and, as appropriate, troubleshoot and recommend solutions to any issue raised in a report submitted by a program participant.  The working group shall consider issues raised in the reports submitted by program participants and make recommendations regarding program implementation.  The department may convene the working group on a more frequent basis as may be required for the effective administration of the program.  The department shall collect any additional information and data necessary to complete any report required to be submitted to the Governor and Legislature pursuant to subsection f. of this section.

     (2)   The department shall permit a recipient of any grant under any State agency-administered program for the provision of an electric school bus and electric school bus charging infrastructure prior to the effective date of P.L.2022, c.86 (C.26:2C-8.58 et al.) to submit any additional information and data to the department to complement any data received by the department from program participants pursuant to this subsection.

     f.     The department, in collaboration with the Board of Public Utilities and the New Jersey Economic Development Authority shall submit an "Electric School Bus Program" report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature.  The report shall be submitted within six months after the conclusion of the program.

     The department may use available monies, singly or in combination from the following sources, to procure professional services to assist with the development of the report: societal benefits charge revenues received pursuant to section 12 of P.L.1999, c.23 (C.48:3-60); the "Global Warming Solutions Fund" established pursuant to section 6 of P.L.2007, c.340 (C.26:2C-50); any available monies from utility programs to upgrade electrical infrastructure for purposes of electric vehicle charging; any appropriations made by the Legislature for the program established pursuant to P.L.2022, c.86 (C.26:2C-8.58 et al.); or any other sources of available funding.

     The submitted report shall include:

     (1)   a description and comprehensive review of the program, including but not limited to, an evaluation of the program's effectiveness;

     (2)   a summary description of all grants provided under the program, including the names of the recipients, the amount of funding each recipient received, the current status of the funds provided to each recipient, and an itemization of the total project budget, including vehicle costs, hardware costs, installation costs, training costs, and administrative costs;

     (3)   an analysis of the operational reliability and cost effectiveness of the use of electric school buses and charging infrastructure by each grantee and steps taken by the grantee to fix any operational problems;

     (4)   an estimate of the emission benefits of the electric school buses and charging infrastructure funded under this program;

     (5)   any preliminary findings from grant recipients pertaining to design or operation of electric school buses and charging infrastructure and potential improvements to make the buses and charging infrastructure safer, more economical or environmentally advantageous;

     (6)   as applicable, depending on deployment of grant recipients, an analysis of the potential costs and benefits of using electric school bus batteries for storing power to be returned to the electric grid or to school buildings during periods of peak electric power demand;

     (7)   an assessment of reliability of electric school buses and charging infrastructure; and

     (8)   an analysis of any additional external changes that the use of electric school buses and charging infrastructure may require regarding electric service rate schedules, school bus inspection standards, or any other major considerations.

     In addition to the information included pursuant to paragraphs (1) through (8) of this subsection, the final report shall include recommendations regarding the establishment of grant and loan programs to provide assistance to school districts and school bus contractors for the replacement of their bus fleets, other types of financial agreements to assist school districts and school bus contractors with implementing and using electric school buses, and the optimization of electric school bus grant programs to most efficiently and effectively distribute available funds to maximize environmental and health benefits.

     The final report shall also include recommendations for how additional funding may be distributed in the most efficient and effective manner to maximize the number of electric school buses operating in the State.

     g.    Following the effective date of P.L.    , c.    (C.        ) (pending before the Legislature as this bill), all the powers and responsibilities, prescribed to the New Jersey Board of Public Utilities in P.L.2022, c.86 (C.26:2C-8.58 et seq.), shall be transferred to and continued in the Division of Energy Resource and Development established pursuant to section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as this bill).

(cf: P.L.2022, c.86, s.1)

 

     45.  This act shall take effect immediately.

 

 

STATEMENT

 

     This bill establishes the Division of Energy Resource and Development (division) in, but not of, the Department of the Treasury. 

     Under the bill, the administrator and chief executive officer of the divison would be:  (1) a director, to be known as the Director of Energy Resource and Development (director); and (2) a person qualified by training and experience to perform the duties of the office.  The provides that the director would be appointed by the Governor, with the advice and consent of the Senate and serve at the pleasure of the Governor during the Governor’s term of office and until the appointment and qualification of the director’s successor. 

     The bill requires that the division to, among other duties, provide a unified direction of policies, programs, and personnel in the field of energy efficiency, clean energy, and emissions reduction.  The bill further requires the division to oversee energy-related programs such as the State’s electric vehicle incentives and support State agencies in providing clean energy to New Jersey residents. 

     In addition, the bill transfers certain responsibilities from the Board of Public Utilities (BPU) to the division, including, but not limited to, the Office of the BPU Business Ombudsman and clean energy programs such as the electric vehicle incentive program.  The bill requires the director, in consultation with the President of the BPU, to develop a schedule for the orderly transfer of such programs.  The bill also requires a proportionate share of staff to be transferred from the BPU to the division.

     Finally, the bill amends various parts of the statutory law to reflect the division’s duties and responsibilities established pursuant to the bill’s provisions.