High Level

New Jersey enacted a major expansion of its Community Solar Energy Program. A new law directs the Board of Public Utilities to open registration by October 1, 2025 for an additional 3,000 MW of community solar capacity, maintains guaranteed subscriber discounts, and preserves the requirement that at least 51% of subscribers be low to moderate income. A companion statute establishes an incentive program for transmission‑scale battery storage. The moves are framed as affordability tools during a period of elevated electricity costs in the PJM region.

Full View

New Jersey expands community solar by 3,000 MW, with BPU to open registration by October 1, 2025
• What happened: Governor Phil Murphy signed S4530/A5768 to add 3,000 MW‑dc of community solar, with program registration to open by October 1, 2025 and projects to be registered by December 31, 2029. The law maintains guaranteed bill‑credit discounts and keeps the requirement that at least 51% of subscribers be low to moderate income. A related bill creates a transmission‑scale energy storage incentive program.
• Who did it: State of New Jersey; Governor Phil Murphy; New Jersey Board of Public Utilities; prime sponsors Senators Gopal and McKeon and Assemblymembers Peterpaul, Donlon, and Karabinchak.
• Why they did it: The administration cited a regional energy cost crisis and the need to expand access to lower‑cost community solar while improving grid resilience. Business and trade groups highlighted rising bills and the value of distributed resources.
• Stakeholder views:
 • Governor Murphy: “Today, we are taking immediate and far‑reaching steps to lower energy costs for every household in New Jersey.”
 • Charlie Coggeshall, CCSA: “This law doesn’t just build solar, it builds economic opportunity, consumer choice, and resilience for the communities that need it most.”
 • NJBPU President Christine Guhl‑Sadovy: “More New Jerseyans will get access to the benefits of expanded community solar programs… And large‑scale battery storage will strengthen our electric grid and keep the lights on when we need it most.”
• What happens next: BPU will open the registration window by October 1, 2025 and set SREC‑II levels to support full subscription and market participation. Under the storage statute, projects seeking incentives must advance through interconnection and achieve operation by 2030, with incentives paid over time.

Sources:
Office of the Governor of New Jersey, “Governor Murphy Signs Legislation to Address Regional Energy Cost Crisis,” Aug. 22, 2025: https://www.nj.gov/governor/news/news/562025/approved/20250822a.shtml
Coalition for Community Solar Access, “Governor Murphy Signs Landmark Legislation to Expand Community Solar in New Jersey by 3,000 MW,” Aug. 22, 2025: https://communitysolaraccess.org/news/governor-murphy-signs-landmark-legislation-to-expand-community-solar-in-new-jersey-by-3000-mw
NJBIZ, “Murphy signs laws to expand solar power, boost storage,” Aug. 22, 2025: https://njbiz.com/murphy-nj-solar-power-energy-storage-laws/
New Jersey Monitor, “Governor signs bills to boost solar, battery storage generation,” Aug. 22, 2025: https://newjerseymonitor.com/2025/08/22/governor-signs-bills-to-boost-solar-storage-generation/

What’s the So What?

New Jersey is scaling a program that already demonstrated traction. The statute secures 3,000 MW of additional capacity, requires that a majority of subscribers be low to moderate income, and preserves guaranteed bill credits. Those structural features are designed to direct savings to households most exposed to rate volatility while sustaining developer interest through a clear value stack. For program administrators, the near‑term workload includes standing up a transparent registration process, issuing SREC‑II levels that attract capital at reasonable cost, and confirming consumer protection rules for subscriber acquisition and discount delivery.

The law arrives as PJM‑region prices and demand growth intensify attention on fast‑to‑market resources. Community solar projects typically interconnect at distribution voltage, which can shorten timelines relative to utility‑scale projects that depend on regional transmission upgrades. The companion storage program further positions New Jersey to mitigate peak pricing and improve effective load carrying capacity by shifting solar production into evening hours. Execution details will matter, including how BPU aligns incentive pacing with interconnection readiness and how utilities scope any feeder‑level upgrades driven by concentrated enrollment.

For developers, the practical next steps are to prepare interconnection and site control packages ahead of the October 1 registration start, design offerings that meet the 51% LMI subscriber mandate, and model cash flows under the forthcoming SREC‑II schedule. For consumer advocates and local governments, the oversight focus will be on ensuring promised discounts are realized on bills and that projects are sited in a way that advances environmental justice goals without burdening communities.

Bibliography

Office of the Governor of New Jersey. “Governor Murphy Signs Legislation to Address Regional Energy Cost Crisis.” Aug. 22, 2025. https://www.nj.gov/governor/news/news/562025/approved/20250822a.shtml
Coalition for Community Solar Access. “Governor Murphy Signs Landmark Legislation to Expand Community Solar in New Jersey by 3,000 MW.” Aug. 22, 2025. https://communitysolaraccess.org/news/governor-murphy-signs-landmark-legislation-to-expand-community-solar-in-new-jersey-by-3000-mw
NJBIZ. “Murphy signs laws to expand solar power, boost storage.” Aug. 22, 2025. https://njbiz.com/murphy-nj-solar-power-energy-storage-laws/
New Jersey Monitor. “Governor signs bills to boost solar, battery storage generation.” Aug. 22, 2025. https://newjerseymonitor.com/2025/08/22/governor-signs-bills-to-boost-solar-storage-generation/