Upon taking office, New Jersey Governor Mikie Sherrill signed several executive orders with immediate effect. Among them, Executive Order 2 establishes a set of measures aimed at accelerating the development of solar energy and battery storage, with the goal of easing the electricity affordability crisis, strengthening system reliability, and responding to the state’s rapidly growing energy demand.

Issued in the context of a declared emergency due to rising electricity costs, the order prioritizes technologies that can be deployed quickly and at lower cost, such as distributed and utility-scale solar generation, as well as energy storage systems.

Boost for solar energy and storage

According to the executive order, the New Jersey Board of Public Utilities (BPU) is instructed to accelerate the development of both distributed and utility-scale solar generation. To that end, the order mandates the launch, within a maximum of 45 days, of a new solicitation under the Competitive Solar Incentive (CSI) program, which will include solar-only projects as well as hybrid solar-plus-storage projects. Project awards must be issued within 270 days of the start of the solicitation process.

In addition, the BPU will open registration for an additional 3,000 MW under the Community Solar Energy Program, with the aim of expanding access to solar power and accelerating the addition of new renewable capacity to the state’s electric system.

On energy storage, the order directs the BPU to accelerate the development of grid-scale battery projects through the Garden State Energy Storage Program. In this context, a new solicitation corresponding to the program’s second tranche will be launched, along with a new phase focused on strengthening grid stability and facilitating the integration of distributed energy resources.

The order also calls for the development of a virtual power plant program, which will allow distributed resources such as solar panels, batteries, and other behind-the-meter assets to be aggregated to reduce peak demand and improve overall system efficiency.

In parallel, the executive order includes measures to streamline permitting and interconnection processes, through the review of existing regulations and the potential use of regulatory waivers, with the aim of reducing delays that currently affect the deployment of solar and energy storage projects.

Industry reaction

The solar industry welcomed the swift action taken by the new state administration.

Leah Meredith, Mid-Atlantic State Affairs Director at the Solar Energy Industries Association (SEIA), said Governor Sherrill “did not waste time acting on the mandate New Jersey voters gave her to lower electricity prices through solar and energy storage.”

“New Jersey needs more energy quickly to expand supply and meet growing demand, and the solar and storage industry is ready to deliver,” Meredith said. According to SEIA, Executive Order 2 will enable the state to deploy more solar and battery storage projects—“the lowest-cost and fastest-to-build energy resources”—by reducing bureaucratic hurdles, reforming permitting and interconnection processes, and streamlining procurements led by the Board of Public Utilities.

“Governor Sherrill’s actions will help unlock the reliability and affordability benefits of solar and energy storage for families and businesses across the Garden State,” Meredith concluded.