SENATE ENVIRONMENT AND ENERGY COMMITTEE

STATEMENT TO

SENATE, No. 4162

STATE OF NEW JERSEY

DATED:  JUNE 8, 2026

      The Senate Environment and Energy Committee reports favorably Senate Bill No. 4162.

      This bill, which is designated as the “Affordable Power Purchase Agreements Extension Act,” amends current law regarding renewable energy power purchase agreements (energy contracts).  Under current law, certain public entities are authorized to enter into energy contracts for a term not to exceed 15 years.  The bill authorizes certain public entities to extend, without public advertising for bids and bidding, existing energy contracts for a term not to exceed 30 years in the aggregate.

     It is the sponsor’s intent that amending current law to allow certain energy contracts to be extended, subject to safeguards that preserve the ratepayer benefits of the original agreements, is in the public interest.