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NJ utilities face energy storage review under Sherrill order

NJ's utility board requests energy storage data from four major electric companies as first step in Gov. Sherrill's clean energy push. Responses due March 7.

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The New Jersey Board of Public Utilities issued a formal request for information to the state’s four major electric companies this week, launching Gov. Mikie Sherrill’s push to expand energy storage across the Garden State.

Public Service Electric & Gas, Jersey Central Power & Light, Atlantic City Electric and Rockland Electric Company have 60 days to detail their current energy storage capabilities and plans for distributed energy resources under the review.

The move stems from Executive Order No. 2, which Sherrill signed last month directing state agencies to accelerate deployment of battery storage systems and other grid technologies. The Democratic governor has made energy independence a cornerstone of her administration’s economic agenda.

“This is about positioning New Jersey as a leader in the clean energy economy while ensuring grid reliability,” NJBPU President Christine Guhl-Sadovy said in a statement. “We need comprehensive data from our utilities to make informed decisions about storage investments.”

The request asks utilities to provide detailed assessments of their distributed energy resources, including existing battery storage facilities, solar installations connected to the grid, and plans for expanding capacity through 2030.

Utilities must also outline how energy storage systems could reduce strain on the PJM Interconnection grid during peak demand periods. PJM operates the wholesale electricity market across 13 states including New Jersey.

PSE&G, which serves 2.2 million customers from Newark to Trenton, already operates several pilot energy storage projects. The Newark-based utility installed a 20-megawatt battery system in Hamilton Township last year as part of its clean energy transition.

Jersey Central Power & Light covers much of Central Jersey, including Edison and New Brunswick. The utility has faced scrutiny over grid reliability issues during summer heat waves.

The review comes as New Jersey races to meet ambitious clean energy targets. The state aims to reach 100% clean electricity by 2035 under legislation signed by former Gov. Phil Murphy.

Energy storage advocates say battery systems are crucial for managing the intermittent nature of solar and wind power. But utility executives have raised concerns about costs and regulatory uncertainty around storage investments.

“The question is who pays for these upgrades and how quickly can they be deployed,” said Michael Egenton, senior vice president at the New Jersey Chamber of Commerce. “Businesses need reliable power, but they also can’t absorb massive rate increases.”

The utilities’ responses are due March 7. NJBPU staff will use the information to develop formal regulations governing energy storage deployment across New Jersey’s electric grid.

Jessica Moran

Jessica Moran

Staff Writer, Entertainment

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