December 19 (Renewables Now) - The New Jersey Board of Public Utilities (NJBPU) on Tuesday approved the adoption of a funding mechanism for the state’s offshore wind programme, which targets 3.5 GW by 2030.
State regulators have unanimously cleared a rule that establishes the funding scheme known as the Offshore Wind Renewable Energy Certificate (OREC). It sets out the process by which all offshore wind projects will be financed and how revenues will flow back to ratepayers, a press statement says.
“Today’s actions demonstrate my Administration’s focus on developing a robust offshore wind market and achieving 3,500 MW of offshore wind and 100 percent clean energy by 2050,” stated governor Philip Murphy.
In mid-September, the NJBPU opened a solicitation for 1,100 MW of offshore wind as part of the 3,500-MW programme. Applications will be accepted through December 28, 2018.
The Board noted on Tuesday that it will consider picking an economic consultant to assist in the evaluation of the applications later this week.
The same day, however, the NJBPU also rejected the up to 25-MW Nautilus pilot offshore wind project in state waters. The Board determined that the offered price as part of this scheme was too high in view of the “unsubstantiated benefits” the project would bring and the potential burden to ratepayers.