The Role of Distributed Energy Resources in New Jersey’s Clean Energy Transition
A clean energy transformation is underway in New Jersey. Led by Governor Phil Murphy, the Garden State will finalize its 2019 Energy Master Plan, which aims to achieve 100% clean energy by 2050.
This paper concludes that distributed energy resources (DER) can and must play a key role in realizing the goal of 100% clean energy for New Jersey. DER can provide new services to utilities and customers, and also complement large-scale renewable energy resources. DER include small renewable generators such as distributed solar, storage, energy efficiency, demand response, and electric vehicles.
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Give distribution companies and DER providers the responsibility to integrate distributed resources through the following: interconnection reform, valued based compensation mechanisms, advanced inverter functionality and targeted incentives to extend the environmental and economic benefits of DER to all of New Jersey’s citizens. These efforts should be led by the New Jersey Board of Public Utilities working with relevant distribution companies and conducted in consultation with contributing and impacted stakeholders.
EMBRACE ELECTRIFICATION OF BUILDINGS AND TRANSPORTATION
Encourage strategic electrification of buildings and transportation to reduce emissions. This will improve air quality throughout the region, make energy more affordable for customers, and increase customer satisfaction. If done right, the State of New Jersey can accomplish all of this without increasing costs to customers.
ENSURE AN EQUITY LENS IN PLANNING
In order to achieve Governor Murphy’s Energy Master Plan to empower all underserved communities, Holistic Grid Planning must be inclusive and maintain an economic equity lens to fully benefit all of New Jersey’s communities.
HOLISTIC GRID PLANNING
Conduct Holistic Grid Planning to assess different portfolios of bulk renewable and distributed energy resources that are capable of meeting New Jersey’s 100% carbon free goal. The New Jersey Board of Public Utilities should lead this planning and work with relevant state agencies, distribution companies, and consult with contributing and impacted stakeholders. New Jersey’s underserved communities should be prioritized throughout this planning process.
New report provides four recommendations to ensure distributed energy is an integral part of New Jersey’s transition to clean energy.
about the authors:
Gridworks: Gridworks’ mission is to convene, educate and empower stakeholders working to decarbonize electricity grids.
GridLab: GridLab provides technical grid expertise to enhance policy decision-making and to ensure a rapid transition to a reliable, cost effective, and low carbon future.
Center for Renewables Integration: Working with state policy makers to support the development of effective energy policy which enables high percentage of renewable generation, while maintaining reliability, at the lowest cost.