July 9, 2021
The methodology for calculating the value of the bill credit under the New Jersey Community Solar Program is defined in the community solar rules—available in full here—at N.J.A.C. 14:8-9.7:
N.J.A.C. 14:8-9.7(a): “the calculation of the value of the bill credit shall be set at retail rate, inclusive of supply and delivery charges.”
N.J.A.C. 14:8-9.7(b): “The calculation of the value of the bill credit shall remain in conformance with retail rate, as determined in (a) above and shall remain in effect for the life of the project, defined as no more than 20 years from the date of commercial operation of the project or the period until the project is decommissioned, whichever comes first.”
N.J.A.C. 14:8-9.7(c): “The credit may not be applied to non-bypassable charges.”
These rules originated from an Order by the New Jersey Board of Public Utilities (NJBPU) in 2019, concerning the calculation of bill credits for the Community Solar Energy Pilot Program. This Order, in addition to outlining the manner in which bill credits should be calculated and applied, directed Electric Distribution Companies (EDCs) to provide sample bills for each rate class, including the underlying method of bill calculation.
Full details of bill credit calculation for each of the New Jersey utility companies listed below, along with multiple samples for a wide range of consumer types and rate classes under each EDC, are available from the New Jersey Clean Energy Program at this link.
The New Jersey Clean Energy Program advises that these bill credit calculations and sample bills are provided for informational purposes only. Nonetheless, they will strive to ensure that they remain as up-to-date as possible. For more specific information concerning the method of calculation of community solar bill credits, you should consult NJBPU Orders, along with currently applicable tariffs. It’s also important to note that the samples provided are working off assumptions regardings subscription sizes.
Of course, it’s entirely possible that these assumptions may differ from your own community solar subscription. To find your rate class, you can consult your utility bill or, if you’re unable to locate the information, contact your utility company directly.
To go solar in New Jersey, reach out to YSG Solar today. YSG will identify the ideal project for your energy needs—residential, commercial, or community—and make that project a reality. To learn more, call at 212.389.9215 or send us an email.
YSG Solar is a project development company responsible for commoditizing energy infrastructure projects. We work with long-term owners and operators to provide clean energy assets with stable, predictable cash flows. YSG's market focus is distributed generation and utility-scale projects located within North America.
Sources:
https://njcleanenergy.com/renewable-energy/programs/community-solar/bill-credits
https://njcleanenergy.com/renewable-energy/programs/community-solar