NJBPU Takes Major Action to Advance Governor Sherrill’s Goals for Affordable, Clean Energy​ 

Approves Historic Community Solar Expansion and 355 MW in Battery Storage to Cut Costs and Strengthen State's Electric Grid

Trenton, N.J. — (March 5, 2026​) — The New Jersey Board of Public Utilities (NJBPU) yesterday approved three major initiatives to expand in-state, clean energy generation, improve grid reliability, and help control electricity costs for New Jersey families and businesses.

The Board awarded incentives to solar and battery storage projects, opened a second round of storage solicitations, advanced the Competitive Solar Incentive (CSI) Program, and approved the country’s largest-ever expansion of a state-run Community Solar energy program.​

"Solar and battery storage are the fastest and most cost-effective ways to build new electricity generation. Today’s actions advance Governor Sherrill's clean energy goals while continuing the Board’s commitment to balancing affordability and promoting clean, in-state energy resources," NJBPU President Christine Guhl-Sadovy said.

ACTION 1: 355 MW of Large-Scale Battery Storage Awarded (GSESP Phase 1, Tranche 1)​ and Second Storage Solicitation for 645 MW Launched (GSESP Phase 1, Tranche 2)​

The Board approved incentives for three large battery storage projects under the first solicitation of the Garden State Energy Storage Program (GSESP), totaling 355 megawatts (MW) of capacity, slightly above the 350 MW minimum required by state law.

The winning projects are:

• Woods Landing Storage LLC (200 MW, Sayreville, Middlesex County)
• Two Rivers Energy Storage LLC (150 MW, Ridgefield, Bergen County)
• North America Energy Storage Corp. (5 MW, Bordentown, Burlington County)

These battery projects will provide flexible, on-demand power to the PJM regional grid, helping to ease the capacity shortage that has contributed to higher electricity prices across the region.

NJBPU analyzes these awards will generate significant ratepayer savings over the life of the program (upwards of $169M), savings driven by increased grid capacity that helps moderate wholesale electricity prices during peak demand periods.

Incentive payments for these projects will come from existing Societal Benefits Charge (SBC) funds, so no new rate increase will be required to support these projects.

The Board also launched Phase 1, Tranche 2 of the GSESP, opening a second competitive solicitation for 645 MW of additional storage capacity. This fulfills Governor Sherrill’s EO 2, signed January 20, 2026, which directed the Board to open Tranche 2 within 45 days. Once Tranche 2 is complete, New Jersey will reach the full 1,000 MW transmission-scale storage target required by law and move significantly closer to the broader goal of 2,000 MW of storage by 2030.​

Tranche 2 is open to stand-alone storage projects and to solar-plus-storage projects that do not qualify for storage incentives under the Board’s Successor Solar Incentive (SuSI) Program, filling an important market gap. Tranche 2 is expected to provide net savings to customers. By acting quickly, the Board is positioning these projects to participate in next year’s PJM Base Residual Auction, which could deliver substantial capacity market savings for New Jersey ratepayers. This action responds directly to rapid load growth — driven in part by new data centers — that is straining the grid and pushing electricity prices higher.​

ACTION 2: Competitive Solar Incentive (CSI) Third Round Awards and Fourth Round Launch​

The Board approved awards under the third solicitation of the Competitive Solar Incentive (CSI) Program, totaling 24.1179 MW of new solar generation across three projects. The CSI Program uses competitive solicitations to award Solar Renewable Energy Certificates (SREC-IIs) to eligible grid supply solar, solar-plus-storage, and large non-residential net-metered projects, helping secure new solar at the lowest possible incentive cost. The third round opened May 14, 2025, and closed to bids September 30, 2025.​

The winning projects are:

• Court at Deptford Solar (4.1 MW, Gloucester County),
• Deptford Landfill Solar (10 MW, Gloucester County),
• North Jersey District Water Supply Commission (10 MW, Passaic County).

The North Jersey District Water Supply Commission’s project, at the Wanaque Reservoir, would be the largest floating solar facility in the nation.

The Board also announced the fourth CSI Program solicitation. Pre-qualification will begin March 11, 2026, and bids are due by April 24, 2026, at 11:59:59 p.m. EST. For this round, the Board has created a new competitive tranche for basic grid supply projects that are greater than or equal to 20 MW in size (Tranche 1A) and provided an avenue for large net-metered facilities to bid for a paired energy storage adder.

The Board set capacity allocations for all competitive tranches, established confidential price caps for rate payer protection against high bids, and waived bid fees for projects that participated in the previous solicitation. The CSI Program is a central tool for reaching New Jersey’s target of 3,750 MW of new power by 2026 under the Solar Act of 2021, and keeping Solicitation 3 awards and Solicitation 4 launch closely aligned preserves a steady pipeline of private solar investment.​

ACTION 3: Historic 3,000 MW Expansion of Community Solar​

The Board approved a 3,000 MW expansion of New Jersey’s Community Solar Energy Program — the largest capacity allocation in state history — enough to provide clean energy savings for about 450,000 subscribers. The expansion is expected to move New Jersey from seventh in the nation into the top tier for community solar deployment.

The new capacity will be distributed among the major electric utilities as follows:

• 1,555 MW for PSE&G
• 787 MW for Jersey Central Power & Light
• 324 MW for Atlantic City Electric
• 51 MW for Rockland Electric
• 300 MW reserved for landfill projects

Project registrations will be accepted through December 31, 2029, or until all 3,000 MW are subscribed.​

Community solar lets residents — especially renters and those without suitable rooftops — subscribe to off-site solar projects and receive bill credits, typically cutting their electric bills by 15 to 25 percent. Low- and moderate-income (LMI) households will receive at least a 25 percent bill credit discount, and at least 51 percent of total program capacity is reserved for LMI subscribers, ensuring those most affected by energy price swings benefit the most. To date, New Jersey’s community solar program has delivered more than $70M in bill credits and $14M in net savings to more than 37,000 subscribers across 162 operational projects totaling 228 MW. This expansion will build on that progress, extend affordable clean energy to hundreds of thousands more households and businesses, and turn underused landfills into clean energy assets for local communities.​

Since taking office on January 20, Governor Sherrill has moved aggressively to address New Jersey's electricity affordability crisis. On day one she signed two Executive Orders. Executive Order #1, declared a State of Emergency on Utility Costs, directing the NJBPU to freeze rate hikes and deliver residential bill credits by July 1, 2026. Executive Order #2, which this week’s actions pertain, directed the NJBPU to rapidly expand in-state solar and battery storage, streamline permitting, address load growth from data centers, and launch a Nuclear Power Task Force.

The Board moved quickly to implement those directives. On February 4th it issued a Request for Information to New Jersey's four electric distribution companies, directing them to submit 30-day plans for accelerating grid modernization and distributed energy resource interconnection. Yesterday's three NJBPU actions — awarding 355 MW of battery storage and launching the next 645 MW solicitation, advancing competitive solar, and approving the largest community solar expansion in state history — represent the most consequential implementation of the Governor's directives to date.

About the New Jersey Board of Public Utilities

The New Jersey Board of Public Utilities is a state regulatory agency mandated to ensure safe, adequate, and proper utility services at reasonable rates. NJBPU oversees natural gas, electricity, water, wastewater, telecommunications, and cable television, and is responsible for monitoring utility services, responding to consumer complaints, and investigating utility accidents. Learn more at www.nj.gov/bpu.