New Jersey 2024-2025 Regular Session

New Jersey Senate Bill S2839 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	SENATE, No. 2839 STATE OF NEW JERSEY 221st LEGISLATURE INTRODUCED MARCH 4, 2024
2	2
3	3	SENATE, No. 2839
4	4
5	5	STATE OF NEW JERSEY
6	6
7	7	221st LEGISLATURE
8	8
9	9
10	10
11	11	INTRODUCED MARCH 4, 2024
12	12
13	13
14	14
15	15	Sponsored by: Senator LATHAM TIVER District 8 (Atlantic and Burlington) Senator ANTHONY M. BUCCO District 25 (Morris and Passaic) SYNOPSIS "Energy Security and Affordability Act"; requires BPU to consider energy security, diversity, and affordability when preparing Energy Master Plan and perform economic and ratepayer impact analysis of energy generation projects and Energy Master Plan. CURRENT VERSION OF TEXT As introduced.
16	16
17	17
18	18
19	19	Sponsored by:
20	20
21	21	Senator LATHAM TIVER
22	22
23	23	District 8 (Atlantic and Burlington)
24	24
25	25	Senator ANTHONY M. BUCCO
26	26
27	27	District 25 (Morris and Passaic)
28	28
29	29
30	30
31	31
32	32
33	33
34	34
35	35
36	36
37	37	SYNOPSIS
38	38
39	39	"Energy Security and Affordability Act"; requires BPU to consider energy security, diversity, and affordability when preparing Energy Master Plan and perform economic and ratepayer impact analysis of energy generation projects and Energy Master Plan.
40	40
41	41
42	42
43	43	CURRENT VERSION OF TEXT
44	44
45	45	As introduced.
46	46
47	47
48	48
49	49	An Act concerning the State's Energy Master Plan, designated as the "Energy Security and Affordability Act," amending P.L.1977, c.146, and supplementing Title 48 of the Revised Statutes. Be It Enacted by the Senate and General Assembly of the State of New Jersey: 1. 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 heads of the following [principal] departments, divisions, authorities, or boards, or their designees: [Commerce, Energy and Economic Development] Board of Public Utilities; Department of Community Affairs; Economic Development Authority; Department of Environmental Protection; Department of Health; Department of Human Services; Department of Labor and Workforce Development; Division of the Rate Counsel; Department of Transportation; [and] Department of the Treasury, and New Jersey Infrastructure Bank. [The Commissioner of Commerce, Energy and Economic Development] The President of the Board of Public Utilities or [his] a 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. (1) The committee within one year of the effective date of [this act] P.L.1977, c.146 (C.52:27F-1 et seq.) 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 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] board shall [give due consideration to] consider: (a) the energy needs [and], supplies, and reliability in [the several] all geographic areas of the State[, and]; (b) the use and development of diverse energy generation sources including, but not limited to, solar, wind, nuclear, hydrogen, natural gas, and renewable natural gas to assure a reliable and sufficient energy supply; (c) the affordability of energy generation, transmission, and distribution to ratepayers; (d) the prioritization of in-State energy generation, to the extent practicable and feasible that minimizes subsidies for out-of-state energy generation; and (e) the use of incentives, rather than mandates, when feasible, to increase consumer transparency and choice. The board shall also consult and cooperate with any federal or State agency having an interest in the production, distribution, consumption or conservation of energy. (2) The master plan shall provide that intermittent energy sources shall not exceed 50 percent of the State's energy generation portfolio. c. Upon preparation of such 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] board shall: (1) 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 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) 2. (New section) a. Notwithstanding the provisions of any law, or any rule or regulation adopted pursuant thereto, to the contrary, the Board of Public Utilities shall not provide final approval to any energy generation facility project without first performing and publishing an analysis of the project pursuant to subsection c. of this section. b. No later than six months after the preparation of an update to the State's Energy Master Plan pursuant to section 12 of P.L.1977, c.146 (C.52:27F-14), the board shall perform and publish an analysis of the Energy Master Plan pursuant to subsection c. of this section. c. Any analysis performed pursuant to this section shall: (1) detail the cost, financial impact to the State and any applicable local government unit, effect on ratepayers, and economic impact of the energy policy or project, as applicable; (2) provide a breakdown of all associated costs including, but not limited to, the capital cost of energy generation, transmission, and distribution as well as the capital cost of any infrastructure upgrades needed; (3) use only open source modeling software, and provide details about the software used and all parameters entered into the model; (4) provide an opportunity for public comment at least 30 days prior to the publication of the analysis, and include all pertinent written comments received as part of the analysis; and (5) be published and maintained for at least 10 years on the board's Internet website. d. At least once per calendar year, upon invitation from the Senate Environment and Energy committee or the Assembly Environment and Solid Waste committee, or their successor committees, the board shall provide in-person testimony to the committee on all analyses published pursuant to this section since the board last provided such in-person testimony. 3. This act shall take effect immediately. STATEMENT This bill would amend P.L.1977, c.146 (C.52:27F-14), which establishes the State's Energy Master Plan Committee, to require the Board of Public Utilities (BPU), when preparing the Energy Master Plan or any portion thereof or amendment thereto, to consider the following: (1) the energy needs, supplies, and reliability in all geographic areas of the State; (2) the use and development of diverse energy generation sources including, but not limited to, solar, wind, nuclear, hydrogen, natural gas, and renewable natural gas to assure a reliable and sufficient energy supply; (3) the affordability of energy generation, transmission, and distribution to ratepayers; (4) the prioritization of in-State energy generation, to the extent practicable and feasible to minimize subsidies for out-of-State energy generation; and (5) the use of incentives, rather than mandates, when feasible, to increase consumer transparency and choice. The bill would also require the Energy Master Plan to provide that intermittent energy sources are not to exceed 50 percent of the State's energy generation portfolio. The bill updates membership of the Energy Master Plan Committee in accordance with Governor Murphy's Executive Order No. 28. The bill also adds the heads of the Department of Labor and Workforce Development, Division of the Rate Counsel, and New Jersey Infrastructure Bank, or their designees, as members of the Energy Master Plan Committee. In addition, the bill would require the BPU to perform an analysis of any energy generation facility project prior to issuing final approval, and of the State's Energy Master Plan no later than six months after publishing an update thereto. Specifically, the analysis would: (1) detail the cost, financial impact to the State and any applicable local government unit, effect on ratepayers, and economic impact of the energy policy or project, as applicable; (2) provide a breakdown of all associated costs including, but not limited to, the capital cost of energy generation, transmission, and distribution as well as the capital cost of any infrastructure upgrades needed; (3) use only open source modeling software, and provide details about the software used and all parameters entered into the model; (4) provide an opportunity for public comment at least 30 days prior to the publication of the analysis, and include all pertinent written comments received as part of the analysis; and (5) be published and maintained for at least 10 years on the board's Internet website. The bill would also require the BPU, upon invitation, to present testimony each year to the Senate Environment and Energy Committee and the Assembly Environment and Solid Waste Committee on the analyses it performed during the previous year.
50	50
51	51	An Act concerning the State's Energy Master Plan, designated as the "Energy Security and Affordability Act," amending P.L.1977, c.146, and supplementing Title 48 of the Revised Statutes.
52	52
53	53
54	54
55	55	Be It Enacted by the Senate and General Assembly of the State of New Jersey:
56	56
57	57
58	58
59	59	1. Section 12 of P.L.1977, c.146 (C.52:27F-14) is amended to read as follows:
60	60
61	61	12. a. There is established an Energy Master Plan Committee (hereinafter "Committee") which shall be composed of the heads of the following [principal] departments, divisions, authorities, or boards, or their designees: [Commerce, Energy and Economic Development] Board of Public Utilities; Department of Community Affairs; Economic Development Authority; Department of Environmental Protection; Department of Health; Department of Human Services; Department of Labor and Workforce Development; Division of the Rate Counsel; Department of Transportation; [and] Department of the Treasury, and New Jersey Infrastructure Bank. [The Commissioner of Commerce, Energy and Economic Development] The President of the Board of Public Utilities or [his] a 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.
62	62
63	63	b. (1) The committee within one year of the effective date of [this act] P.L.1977, c.146 (C.52:27F-1 et seq.) 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 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] board shall [give due consideration to] consider:
64	64
65	65	(a) the energy needs [and], supplies, and reliability in [the several] all geographic areas of the State[, and];
66	66
67	67	(b) the use and development of diverse energy generation sources including, but not limited to, solar, wind, nuclear, hydrogen, natural gas, and renewable natural gas to assure a reliable and sufficient energy supply;
68	68
69	69	(c) the affordability of energy generation, transmission, and distribution to ratepayers;
70	70
71	71	(d) the prioritization of in-State energy generation, to the extent practicable and feasible that minimizes subsidies for out-of-state energy generation; and
72	72
73	73	(e) the use of incentives, rather than mandates, when feasible, to increase consumer transparency and choice.
74	74
75	75	The board shall also consult and cooperate with any federal or State agency having an interest in the production, distribution, consumption or conservation of energy.
76	76
77	77	(2) The master plan shall provide that intermittent energy sources shall not exceed 50 percent of the State's energy generation portfolio.
78	78
79	79	c. Upon preparation of such 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] board shall:
80	80
81	81	(1) 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;
82	82
83	83	(2) 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.
84	84
85	85	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.
86	86
87	87	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.
88	88
89	89	(cf: P.L.1987, c.365, s.14)
90	90
91	91
92	92
93	93	2. (New section) a. Notwithstanding the provisions of any law, or any rule or regulation adopted pursuant thereto, to the contrary, the Board of Public Utilities shall not provide final approval to any energy generation facility project without first performing and publishing an analysis of the project pursuant to subsection c. of this section.
94	94
95	95	b. No later than six months after the preparation of an update to the State's Energy Master Plan pursuant to section 12 of P.L.1977, c.146 (C.52:27F-14), the board shall perform and publish an analysis of the Energy Master Plan pursuant to subsection c. of this section.
96	96
97	97	c. Any analysis performed pursuant to this section shall:
98	98
99	99	(1) detail the cost, financial impact to the State and any applicable local government unit, effect on ratepayers, and economic impact of the energy policy or project, as applicable;
100	100
101	101	(2) provide a breakdown of all associated costs including, but not limited to, the capital cost of energy generation, transmission, and distribution as well as the capital cost of any infrastructure upgrades needed;
102	102
103	103	(3) use only open source modeling software, and provide details about the software used and all parameters entered into the model;
104	104
105	105	(4) provide an opportunity for public comment at least 30 days prior to the publication of the analysis, and include all pertinent written comments received as part of the analysis; and
106	106
107	107	(5) be published and maintained for at least 10 years on the board's Internet website.
108	108
109	109	d. At least once per calendar year, upon invitation from the Senate Environment and Energy committee or the Assembly Environment and Solid Waste committee, or their successor committees, the board shall provide in-person testimony to the committee on all analyses published pursuant to this section since the board last provided such in-person testimony.
110	110
111	111
112	112
113	113	3. This act shall take effect immediately.
114	114
115	115	STATEMENT
116	116
117	117
118	118
119	119	This bill would amend P.L.1977, c.146 (C.52:27F-14), which establishes the State's Energy Master Plan Committee, to require the Board of Public Utilities (BPU), when preparing the Energy Master Plan or any portion thereof or amendment thereto, to consider the following:
120	120
121	121	(1) the energy needs, supplies, and reliability in all geographic areas of the State;
122	122
123	123	(2) the use and development of diverse energy generation sources including, but not limited to, solar, wind, nuclear, hydrogen, natural gas, and renewable natural gas to assure a reliable and sufficient energy supply;
124	124
125	125	(3) the affordability of energy generation, transmission, and distribution to ratepayers;
126	126
127	127	(4) the prioritization of in-State energy generation, to the extent practicable and feasible to minimize subsidies for out-of-State energy generation; and
128	128
129	129	(5) the use of incentives, rather than mandates, when feasible, to increase consumer transparency and choice.
130	130
131	131	The bill would also require the Energy Master Plan to provide that intermittent energy sources are not to exceed 50 percent of the State's energy generation portfolio.
132	132
133	133	The bill updates membership of the Energy Master Plan Committee in accordance with Governor Murphy's Executive Order No. 28. The bill also adds the heads of the Department of Labor and Workforce Development, Division of the Rate Counsel, and New Jersey Infrastructure Bank, or their designees, as members of the Energy Master Plan Committee.
134	134
135	135	In addition, the bill would require the BPU to perform an analysis of any energy generation facility project prior to issuing final approval, and of the State's Energy Master Plan no later than six months after publishing an update thereto.
136	136
137	137	Specifically, the analysis would:
138	138
139	139	(1) detail the cost, financial impact to the State and any applicable local government unit, effect on ratepayers, and economic impact of the energy policy or project, as applicable;
140	140
141	141	(2) provide a breakdown of all associated costs including, but not limited to, the capital cost of energy generation, transmission, and distribution as well as the capital cost of any infrastructure upgrades needed;
142	142
143	143	(3) use only open source modeling software, and provide details about the software used and all parameters entered into the model;
144	144
145	145	(4) provide an opportunity for public comment at least 30 days prior to the publication of the analysis, and include all pertinent written comments received as part of the analysis; and (5) be published and maintained for at least 10 years on the board's Internet website.
146	146
147	147	The bill would also require the BPU, upon invitation, to present testimony each year to the Senate Environment and Energy Committee and the Assembly Environment and Solid Waste Committee on the analyses it performed during the previous year.