SENATE ENVIRONMENT AND ENERGY COMMITTEE

STATEMENT TO

SENATE, No. 3308

STATE OF NEW JERSEY

DATED:  JUNE 20, 2024

      The Senate Environment and Energy Committee reports favorably Senate Bill No. 3308.

      This bill would require each electric public utility in the State to accept, process, and approve applications for interconnection to that electric public utility’s electric distribution or transmission system for any grid supply solar facility with a capacity of 20 megawatts or less, unless the utility: (1) finds the application to be incomplete, based on application criteria and protocols developed by the utility; or (2) deems the interconnection to be unsafe or a risk to the stability of the utility’s electric distribution or transmission system.

      As used in the bill, "grid supply solar facility" means a solar electric power generation facility that sells electricity at wholesale and is connected to the State's electric distribution or transmission systems.  "Grid supply solar facility" does not include: (1) a net metered solar facility; (2) an on-site generation facility; (3) a facility participating in net metering aggregation pursuant to section 38 of P.L.1999, c.23 (C.48:3-87); (4) a facility participating in remote net metering; or (5) a community solar facility.

      The bill would also require that grid supply solar facilities that are approved for interconnection under the bill be permitted to interconnect to the electric public utility’s transmission or distribution system in the State, provided that (1) the owner or developer of the grid supply solar facility complies with the electric public utility’s applicable tariff and Level 3 interconnection application process, and (2) the owner or developer of the grid supply solar facility agrees to pay all required interconnection costs as identified by the electric public utility.  Furthermore, grid supply solar facilities that are interconnected under the bill would be required to be compensated by the applicable electric public utility for the electricity supplied on a real-time basis, based on the point of interconnection.

      Finally, the bill would require electric public utilities, upon application by an owner or operator of a grid supply solar facility, to extend interconnection facilities, at the sole cost and expense of the applicant, to the applicable grid supply solar facility so that such facility may be connected to the electric distribution system.  As defined in the bill, "interconnection facilities" means dedicated electric facilities between a renewable energy generator or renewable energy generating facility and the electric transmission or distribution system, including any modification, additions, or upgrades that are necessary to physically and safely interconnect the renewable energy generator or renewable energy generating facility to the electric distribution or transmission system.