Board of Public Utilities approves staff recommendations including $555,000 incentive for Beta Plastic and CSI rebid relief

The Board of Public Utilities on Sept. 10 approved a slate of staff recommendations that included a $555,000 incentive for Beta Plastic Corporation and changes to the third Competitive Solar Incentive solicitation.

Board staff told commissioners that the surety-bond requirement is intended to protect New Jersey customers from suppliers’ failures to pay state taxes or meet contractual commitments. Staff recommended denying trustees’ petition related to Astral’s surety-bond obligations, saying the trustees had not sufficiently identified New Jersey claimants and that many creditors listed were located outside the state or were former employees. The board voted to adopt staff’s recommendation.

Staff also presented recovery-related adjustments tied to Federal Energy Regulatory Commission-approved changes in firm transmission service charges. Based on staff calculations, a residential customer using 650 kWh would see an estimated monthly change of minus $3.80 for ACE, no change for JCP&L, a $1.22 decrease for PSE&G and a 4¢ decrease for Rockland (transcript spelling varies). The board approved the changes effective Sept. 15 and authorized the electric distribution companies to collect from or refund to BGS customers as needed.

In a regulatory compliance matter, staff told the board that JCP&L requested a one-month extension to file its answer to an Aug. 13 show-cause order regarding minimum reliability levels. The board granted the extension and ordered JCP&L to file its answer by Oct. 10, 2025.

One of the more substantive items drew extended discussion: the Large Energy Users Program application from Beta Plastic Corporation. Staff presenter Dustin said the company requested a $555,000 incentive toward a project with an estimated total cost of $740,000 to replace production-line motors. Staff estimated the project would save about 1,738,720 kilowatt-hours annually, cut peak demand by about 145.6 kilowatts and reduce annual energy costs by roughly $229,862. A commissioner questioned whether awarding roughly three-quarters to more than four-fifths of the project cost to a single applicant was the best use of program funds and urged staff to revisit program thresholds to broaden distribution of incentives. Staff responded that the program has thresholds — including a 75% cap in certain cases — and that staff is open to reviewing those thresholds going forward. The board approved staff’s recommendation to grant the incentive.

The board ratified prior process steps in the medium- and heavy-duty electric vehicle plan proceedings following the resignation of a presiding commissioner and designated a new presiding commissioner for those filings.

The board adopted revisions to the Evaluation, Measurement and Verification (EM&V) framework guiding the second triennium of energy-efficiency and peak-demand reduction programs under the New Jersey Clean Energy Act of 2018. Staff said the revisions include clarifying memoranda on interactive effects and carryover of savings.

Staff also recommended publishing a Notice of Funding Availability in the New Jersey Register to open the Urban Heat Island mitigation program; the target publication date in the record is Oct. 6, 2025. The board approved posting the NOFA.

On the third Competitive Solar Incentive solicitation, staff told commissioners that recent Internal Revenue Service guidance (IRS Notice 2025-42) could affect projects’ ability to retain Investment Tax Credit eligibility. Staff recommended allowing projects awarded in the third solicitation that reasonably assumed ITC revenue in their awarded bids, but subsequently lose ITC eligibility, to terminate their award and remain eligible to participate in a subsequent solicitation with the same or substantially similar project, conditioned on documentation demonstrating the original ITC assumptions. The board approved the change.

The meeting included a brief executive session for a late-starter agenda item involving contract negotiation and attorney-client privileged matters. The board returned and completed the public agenda before adjourning.

Votes at a glance - Executive session (motion to go into executive session for a late-start contract negotiation): approved (motion and roll call recorded). - Consent agenda (items 1a,1b,2a,2b,4a,5a–c): approved. - Item 1a (staff recommendation to deny trustees’ petition re: Astral surety bond obligations): approved. - Item 2b (EDC filing to recover FERC-approved transmission charges; tariff revisions effective Sept. 15): approved. - JCP&L show-cause filing extension to Oct. 10, 2025: approved. - Item 8a (Beta Plastic Corporation — $555,000 incentive under Large Energy Users Program): approved. - Ratification/designation of presiding commissioner for MHDEV proceedings: approved. - Adoption of EM&V framework and two clarifying memoranda: approved. - Item 8d (publication of NOFA for Urban Heat Island mitigation program): approved. - CSI third solicitation: approved staff’s recommendation to relax rebid waiting period for certain awardees who lose ITC eligibility.

What happens next: Several items require follow-up filings or implementation steps noted by staff — JCP&L’s answer due Oct. 10, 2025; EDCs to file revised tariffs by Sept. 15; publication of the UHI NOFA on the stated Register date. Commissioners asked staff to review program thresholds for large-energy-user incentives and to document ITC-related assumptions when applicants rebid.