Governor Chris Christie yesterday released the State’s draft 2011 Energy Master Plan (EMP), a greener and more affordable vision for the use, management, and development of energy in New Jersey over the next decade and beyond. The draft EMP establishes a path for the Administration to manage energy in a way that promotes renewable sources of energy, saves money, stimulates the economy and job creation, and protects the environment.
“This plan represents my Administration’s commitment to changing the way we produce, distribute and use energy as part of a broader emphasis on renewable sources of energy and economic growth,” said Governor Chris Christie. “The EMP supports the development of new energy-related technologies such as fuel cells, off shore wind, and alternatively fueled vehicles while encouraging the developers, providers and support businesses related to these technologies, to locate here in New Jersey.”Governor Christie continued, “Furthermore, considering our state has some of the highest energy rates in the nation, reducing these rates and making them comparable to costs in other regions and states are important steps in facilitating economic growth and lowering the cost of living for New Jerseyans.”
“This plan supports enhanced reliability, lower energy costs and environmental protection in New Jersey,” said Lee A. Solomon, President of the New Jersey Board of Public Utilities. “It balances the needs of ratepayers with the State’s policy goals of promoting the state’s economic well being while safeguarding its air, water and land.”
The plan encompasses five overarching goals which work to drive down the cost of energy for all customers while promoting clean, environmentally safe renewable sources of energy:
Promoting a Diverse Portfolio of New, Clean, In-State Generation
· Expanding electricity generation resources to improve reliability and to lower costs, consistent with protecting the environment and growing the economy. Renewable energy resources, distributed generation, and clean conventional generation projects can help New Jersey flourish while protecting the environment.
o Constructing new generation and improving Pennsylvania-New Jersey-Maryland Interconnection, LLC. (PJM ) rules and processes;
o Assessing the implications of lost nuclear capacity;
o Expanding Distributed Generation (DG) and Combined Heat and Power (CHP);
o Supporting behind-the-meter renewables;
o Promoting effective use of biomass and waste-to-energy; and
o Promoting the safe expansion of the interstate natural gas pipeline system.
Creating a Realistic Path to Achieving a Renewable Energy Portfolio Standard of 22.5% by 2021
· New Jersey is committed to meeting the targets for renewable energy production which is an important part of the state’s long-term strategy.
o Building upon the Christie Administration’s commitment to solar energy for both economic and environmental benefits;
o Expanding implementation of commercial and industrial solar projects;
o Promoting the development of large solar generation projects on brownfield sites and landfills to offset the costs to cap or remediate these sites;
o Promoting development of solar to assist local governments reduce energy costs; and
o Maintaining support for offshore wind by codifying the statutory requirements of the Offshore Wind Economic Development Act (OWEDA). This provides a framework for setting offshore wind renewable energy certificate (OREC) prices and for approving applications to facilitate the financing of offshore wind projects; and
o Saying no to new coal-fired generation in New Jersey.
Rewarding Energy Efficiency, Energy Conservation and Cost Effective Renewable Resources
· New Jersey’s electric ratepayers pay the fourth-highest retail rates in the United States. Focusing on energy efficiency and conservation will help lower costs while promoting environmentally sound energy use at the same time. New Jersey’s array of energy efficiency and conservation programs and CHP programs are a cost-effective way to reduce energy costs and carbon emissions.
o Reducing peak demand and lowering capacity costs;
o Promoting energy efficiency and demand reduction in State buildings;
o Incorporating aggressive energy efficiency in building codes;
o Redesigning the delivery of State energy efficiency programs;
o Monitoring PJM’s Demand Response Initiatives;
o Improving natural gas energy efficiency; and
o Expanding energy conservation education and outreach to assist consumers in reducing usage.
Capitalizing on Emerging Technologies for Transportation and Power Production
· Support the Development of Innovative Energy Technologies. New Jersey has many options to develop new, clean, cost-effective sources of electricity, utilize fuels more efficiently, and decrease reliance on gasoline and diesel fuel as the primary transportation fuels. Not only will new energy technologies reduce emissions of air pollutants and greenhouse gases, but active support of innovative energy technologies will help create jobs and business development across the state.
o Improving transportation efficiency;
o Reducing carbon emissions and pollutants;
o Using fuel cell technology;
o Using energy storage technologies;
o Assessing smart grid demonstrations; and
o Considering Dynamic Pricing and Smart Metering.
Encouraging Economic Development and Job Growth
· This plan aims to develop and manage energy in a manner that saves money, stimulates the economy and creates high-quality renewable energy industry jobs.
o Supporting the development of new energy-related technologies such as fuel cells, offshore wind, and alternatively fueled vehicles;
o Reducing the cost of energy for all ratepayers (individuals and businesses);
o Encouraging energy efficiency at all levels (from homeowner to businesses and state government) thus reducing overall energy demand and helping to reduce costs; and
o Facilitating the development of new and innovative businesses that will provide and support the next generation of energy technologies and related businesses through the New Jersey Business Incubator Network.
The BPU will continue to serve as the lead implementing agency for the Energy Master Plan and will hold three public hearings on the draft EMP. In doing so, the BPU will coordinate with appropriate state agencies, energy providers and other stakeholders; track and report on progress through annual reporting to the Governor and posts to the BPU and EMP websites; and work with the legislature to develop or modify existing and future programs that support these energy goals.
In April 2010, Governor Christie directed the New Jersey Board of Public Utilities to revisit the EMP in light of economic conditions. The process included internal BPU Task Force Meetings, Stakeholder meetings around the state on various issues related to the plan, and extensive consultations with Rutgers University’s Edward J. Bloustein School of Planning and Public Policy, Center for Energy, Economic, and Environmental Policy.
A full copy of the State’s 2011 Draft Energy Master Plan can be found here: http://nj.gov/emp/
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