January 10, 2005—The New Jersey Board of Public Utilities (BPU) approved $745 million in funding to advance its clean energy goals and the development of a vibrant renewable energy market in New Jersey. The funds will be allocated over the next four years through the state’s Clean Energy Program to support Energy Efficiency & Renewable Energy Programs that benefit all New Jersey ratepayers.
The funding levels were established and approved based on the recommendations of the New Jersey Clean Energy Council, a diverse stakeholder group that advises the BPU on administration of the Clean Energy Program. The Council recommended setting the 2005 budget at $140 million and increasing the budget to $235 million in 2008. The Council also recommended maintaining the 75%/25% ratio for funding allocation between Energy Efficiency and Renewable Energy programs, respectively, as well as continuing programs for low income, residential, and commercial and industrial customers.
Funding for the Clean Energy Programs comes from electric and gas customers who contribute a “Societal Benefits Charge” (SBC), which was mandated by the Electric Discount and Energy Competition Act of 1999. The legislation’s goals also include creating alternatives to energy generation and advancing energy efficiency and renewable energy in New Jersey. The current SBC cost to the average household customer is $9 for electricity and $7 for natural gas. The SBC cost for 2005 is estimated to increase one additional dollar for electricity and natural gas.
According to BPU, the funding approved is a milestone in moving New Jersey one step closer to fulfilling the increased demand for electricity through clean energy by way of renewable energy and energy efficiency.
For further information contact The New Jersey Board of Public Utilities.
