New Jersey Board of Public Utilities Announces fixed $152 for TREC

The New Jersey Board of Public Utilities (BPU) announced on March 9, 2020 that the TREC will be a fixed $152 for 15 years. Prior it was set at $65 for the first three energy years and rising to $189 for the remaining 12 years.
 
The tiered SREC was a result of the cost cap implemented in the Clean Energy Act of 2018 limiting ratepayer costs to 9% in energy years 2019 to 2021 and then decreasing to 7% thereafter. 
 
On January 21, 2020 Governor Murphy signed into law amendments to the Clean Energy Act shifting the ratepayers savings potentially saved under the 9% to make up for modeled overspending when the 7% cap goes into effect in energy year 2022. The Board of Public Utilities has approved a fixed rate $152 based on the passage of the legislation and BPU staff recommendations. The amount of the $152 that a project actually receives is based on the following types of solar installations:
 
Landfill, Brownfield, Historic Fill = $152
Grid supply subsection (r) rooftop = $152
Net metered rooftop and carport = $152
Community Solar= $129.20 (85% of TREC value)
Ground mount (subsection r) = $91.20 (60% of TREC value)
Residential net-metered ground mount = $91.20 (60% of TREC value)
Residential net-metered rooftop and carport =  $91.20 (60% of TREC value)
Net-metered non-residential ground mount=  $91.20 (60% of TREC value)
 
 
Residential solar installers are especially pleased by this development. The new TREC program greatly decreases incentives for homeowners to invest in solar in New Jersey and the tiered incentive in the TREC would have made it especially hard for residential solar sales. 
 

DISCLAIMER: New Jersey SREC prices are volatile. Buyers and sellers of SRECs must do their own research. The above projections are subject to change as market dynamics change.

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