ASSEMBLY TELECOMMUNICATIONS AND UTILITIES COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4483

with committee amendments

STATE OF NEW JERSEY

DATED:  DECEMBER 5, 2022

      The Assembly Telecommunications and Utilities Committee reports favorably Assembly Bill No. 4483, with committee amendments.

      As amended and reported, this bill provides for a comprehensive study of the State’s ocean energy potential and requires the State’s clean energy plans to be updated to incorporate new goals related to the generation of wave and tidal energy, which are both forms of clean energy derived from ocean resources.

      Specifically, the bill requires the Board of Public Utilities (BPU) to solicit and approve an application for the implementation of one pilot wave and tidal energy project.  Under the bill, data associated with this project would be used to prepare a comprehensive study and written report concerning the use of wave and tidal energy.

      Within 12 months after the completion of the pilot project, the BPU and the Department of Environmental Protection (DEP) would be required to commence a comprehensive study to evaluate the feasibility and benefits of using wave and tidal energy as forms of clean energy in the State.  In this study, the BPU and DEP would be required to evaluate various factors related to the increased use of wave and tidal energy in the State, including: (1) the actual and potential impacts of increased wave and tidal energy usage; (2) the feasibility and desirability of establishing a renewable energy credit program to encourage the development of wave and tidal energy; and (3) the feasibility and desirability of alternative incentives for the development of wave and tidal energy.

      Additionally, within 15 months after the completion of the pilot project, the President of the BPU and the Commissioner of Environmental Protection would also be required to submit a written report to the Governor and the Legislature identifying the findings of the comprehensive study and providing recommendations for legislative, executive, and other actions that can be taken to promote the development of wave and tidal energy technologies, infrastructure, and facilities in the State.  Among other things, the report would be required to include a strategic plan for the deployment of wave and tidal energy technologies, infrastructure, and facilities in the State.  The strategic plan would identify, at a minimum, specific wave energy generation goals, tidal energy generation goals, or both, in megawatts, that the State should endeavor to meet by 2030, 2040, and 2050, in order to ensure the timely and effective deployment of wave and tidal energy technologies and the sufficient incorporation of wave and tidal energy into the State’s energy portfolio.  Based on the recommendations of this report, the BPU would also be required to undertake certain additional actions to promote the development of the wave and tidal energy sector.

      The bill also requires the Energy Master Plan Committee to incorporate information into the Energy Master Plan regarding the wave and tidal energy strategic plan developed under the bill and, to the extent practicable, the wave and tidal energy generation goals recommended by the strategic plan.

COMMITTEE AMENDMENTS:

      The committee amended the bill to:

      (1)  provide that the BPU would only approve one pilot project;

      (2)  require the comprehensive study conducted by the BPU and DEP to be commenced within 12 months of the completion of the pilot project.  As introduced, the bill would have required the BPU and DEP to commence the study within 30 days of the effective date of the bill;

      (3)  remove the requirement for the comprehensive study to evaluate the factors that should be considered, and the determinations to be made, when soliciting and approving proposals for the development of wave and tidal energy projects.  As amended, this study would not commence until after the pilot project has been completed;

      (4)  require the written report prepared by the BPU and DEP to be submitted to the Governor and the Legislature within 15 months of the completion of the pilot project, as opposed to three months after the effective date of the bill; and

      (5)  provide technical changes to make grammatical corrections to the bill.