New Jersey BPU approves implementation of Murphy’s offshore wind executive order
The New Jersey Board of Public Utilities (NJBPU) approved an order this week that implements Gov. Phil Murphy’s Executive Order No. 8 and the Offshore Wind Economic Development Act (OWEDA), which seeks to solicit 1,100 megawatts of offshore wind energy capacity.
“Governor Murphy recognizes that New Jersey has a moral obligation to combat climate change,” NJBPU President Joseph L. Fiordaliso said. “BPU will play a critical role in this effort as we help New Jersey move toward a cleaner and greener energy state, beginning with our action today to implement EO 8.”
In its order, NJBPU asked its staff to establish an interagency Offshore Wind Task Force with the state Department of Environmental Protection and other relevant state agencies to create a Strategic Plan to implement the Executive Order. Staff will also initiate the rulemaking process to establish the funding mechanism for Offshore Wind Renewable Energy Certificates (ORECs).
The Board also directed staff to prepare for the solicitation of the initial 1,100 megawatt goal of offshore wind capacity. Staff will work with offshore wind developers and stakeholders and define minimum requirements for the solicitation.
The order also directs staff to work with the Treasury Department to ensure that necessary resources and expertise are available to implement OWEDA. This includes the establishment of an OREC program through the approval of OREC pricing plans. Staff will then identify and recommend to the Board the necessary staffing and expertise required to carry out the Executive Order.
NJBPU staff will also recommend to the Board plans for a Regional Offshore Wind Energy Roundtable to begin discussions with other states in the Northeast and Mid-Atlantic region and other stakeholders such as Rate Counsel and PJM Independent System Operator to explore the potential benefits of regional offshore wind collaboration.
“As a grandfather, I have an obligation to protect my grandchildren,” Fiordaliso said. “As NJBPU President, I have an obligation to protect New Jersey ratepayers. The benefits of offshore wind extend far beyond the environment. Offshore wind is an increasingly cost-effective form of renewable energy that will stabilize energy prices, bring jobs to New Jersey, and ultimately lower the cost of electricity for New Jersey ratepayers.”
