The New Jersey Board of Public Utilities (NJBPU) approved the adoption of a funding mechanism for the state’s offshore wind programme, which targets 3.5 GW by 2030.
NJBPU unanimously voted to adopt a proposed rule establishing the funding mechanism for the state’s offshore wind program, a key component of Governor Murphy’s clean energy agenda.
The funding mechanism, known as the Offshore Wind Renewable Energy Certificate (OREC), establishes the process by which all offshore wind projects will be funded and how revenues will flow back to ratepayers.
Under Governor Phil Murphy’s leadership, the NJBPU has taken this next step to make New Jersey the center of the nation’s offshore wind industry. On September 17, 2018, the NJBPU opened the nation’s largest single-state solicitation to date for 1,100 megawatts (MW) of offshore wind. Applications will be accepted through December 28, 2018.
“Today’s actions demonstrate my Administration’s focus on developing a robust offshore wind market and achieving 3,500 MW of offshore wind and 100 percent clean energy by 2050,” said Governor Murphy. “The offshore wind program is a key component of the state’s strategic economic growth plan and a critical strategy to mitigate the impacts of climate change.”
“We are more committed than ever to fulfilling Governor Murphy’s bold vision of a robust offshore wind program and clean energy future and we look forward to receiving applications for our 1,100 MW solicitation before the end of the year,” said NJBPU President Joseph L. Fiordaliso. “With today’s approval of an offshore wind funding mechanism, we anticipate significant benefits for the state at the best possible cost.”
Later this week, the Board will also consider selecting an economic consultant to assist in the evaluation of the applications for the 1,100 MW solicitation. If approved, the Board will send the award recommendation to the New Jersey Department of the Treasury. Upon review and approval, the winning bidder and contract will be announced publicly.