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Committee advances BPU storage procurement bill after divided vote

New Jersey Senate Environment and Energy Committee · May 22, 2025
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Summary

S.4289, directing the BPU to procure transmission‑scale energy storage and incentivize storage deployment, was released from committee 3‑2 after extensive testimony from developers, trade associations and environmental groups about scope, funding and inclusion of distribution/behind‑the‑meter projects.

Committee members advanced S.4289 with amendments to align with the assembly version and with debate over whether the program should prioritize transmission‑connected projects or include distribution and behind‑the‑meter storage.

Proponents including Gable Associates, Rev Renewables, Jupiter Power and Elevate Renewables argued grid‑scale storage can reduce capacity costs, improve reliability and deliver near‑term savings. A Gable Associates model presented to the committee estimated 500–1,000 megawatts of storage could have reduced capacity costs by an estimated $100 million–$200 million in a single year.

Industry groups and the New Jersey Business & Industry Association expressed concerns about the bill’s funding provisions. Ray Canter (NJBIA) said the bill proposes a $60 million minimum from the clean energy fund and urged clearer fiscal controls and legislative appropriation rather than unfettered BPU authority.

Environmental and clean‑energy witnesses pushed to ensure the program does not exclude distribution‑connected and behind‑the‑meter storage, arguing those projects can be faster to deploy and deliver local resilience benefits. Several witnesses said amendments would be pursued with the BPU to reconcile scope and funding.

Roll call was 3‑2 in favor of releasing the bill; Senators Tybur and Space voted no, and Senators McKeon, Greenstein and Chairman Smith voted yes. The committee directed sponsors and stakeholders to continue working with the BPU on implementation details and funding sources.