New Jersey Governor inks offshore transmission bill

In: Windfarms
22/01/2020

New Jersey Governor Phil Murphy signed into legislation Bill S-3985/A-5663, which amends "Electric Discount and Energy Competition Act" to add definition of "open access offshore wind transmission facility" and revises law concerning "qualified offshore wind projects".

With the new legislation in place, offshore wind developers seeking New Jersey Board of Public Utilities (NJBPU) approval are required to include information on transmission infrastructure. Furthermore, the Board of Public Utilities is now able to issue solicitations for open-access transmission projects. This bill also expands the definition of an "offshore wind renewable energy certificate" or "OREC" to include the environmental attributes equivalent to one megawatt of electric transmission transfer capability from a qualified offshore wind project.  

Just last year, in November, New Jersey Governor Phil Murphy signed Executive Order No. 92, which raised New Jersey’s offshore wind goal from 3,500 MW of offshore wind-generated electricity by 2030 to 7,500 MW by 2035. The Executive Order aims to deliver renewable energy generation needed to meet the State’s goals of 50 percent renewable energy by 2030 and a 100 percent clean energy economy by 2050.

The raising of offshore wind goals followed a solicitation held by NJBPU for 1,100 MW of offshore wind energy generation, which was
awarded to Ørsted. The Board also developed a proposed timeline to consider two future solicitations for 1,200 MW of offshore wind generation each, to take place in 2020 and 2022.

Governor Murphy has additionally directed the New Jersey Economic Development Authority to encourage offshore wind industry investment and the development of offshore wind port infrastructure. By establishing the Offshore Wind Tax Credit Program and the Offshore Wind Supply Chain Registry, the state has attracted investment into offshore wind industry and wind-related projects. To support these investments, Murphy signed Executive Order No. 79 to establish a Council for the Wind Innovation and New Development Institute to develop a plan for the creation of a hub for the offshore wind industry.


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