New Jersey Board of Public Utilities releases 150MW BTM energy storage proposal

LinkedIn
Twitter
Reddit
Facebook
Email

The New Jersey Board of Public Utilities (NJBPU) has released a proposal for the next phase of its Garden State Energy Storage Programme (GSESP) consisting of approximately 150MW of energy storage capacity in the US state.

Announced 19 August, the NJBPU released a straw proposal for Phase 2, Block 1 of the GSESP. It outlines a design for the GSESP’s “Distributed Storage Capacity Block 1,” which will consist of approximately 150MW of battery energy storage system (BESS) capacity “statewide and provides options to expand new behind-the-meter (BTM) residential battery storage for New Jersey.”

The GSESP looks to deploy 2,000MW of BESS by 2030, following a mandate established by the Clean Energy Act of 2018.

Three BESS projects totalling 355MW were approved under the first round of the GSESP and a second round was opened for bidding, with solicitations being invited for 645MW of additional storage capacity.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The straw proposal aims to integrate more clean energy resources, lower costs, and improve resilience across New Jersey.

It also complements NJBPU’s broader virtual power plant (VPP) and grid modernisation efforts, the first stage of which is expected to go before the NJBPU in October, by encouraging deployment of residential BESS that can be measured, verified, and dispatched during periods of grid need.

The NJBPU stated that the straw proposal establishes a framework for technologies enabling residents to receive compensation through a performance-based incentive structure by opting into the programme via New Jersey’s electric utilities.

Following enrolment and battery commissioning, residents would be eligible for annual incentive payments over a 10-year period based on performance during dispatch events when the grid requires additional support, such as during heatwaves or cold snaps.

New Jersey’s four electric distribution companies (EDCs) – Atlantic City Electric, Jersey Central Power & Light, PSE&G, and Rockland Electric – would manage battery enrolment, coordinate dispatch, track performance, monitor data, and issue verified incentive payments to residents under Board oversight.

The customer incentive under the straw proposal represents compensation for providing transmission, distribution and capacity grid services, which will reduce utility costs and New Jersey’s exposure to PJM capacity prices.

Board staff also anticipate the straw proposal will serve as a framework for subsequent near-term storage deployment opportunities, including compensation for commercial and industrial (C&I)-scale BTM storage at critical facilities and a separate distribution-connected front-of-meter (FTM) storage initiative.

In June, legislation to create an incentive programme for BTM BESS in New Jersey was advanced in the state’s Senate Environment and Energy Committee.  

New Jersey Democratic Senators Bob Smith and Linda Greenstein sponsored Bill S-631, which would establish incentives covering up to 40% of energy storage project costs for systems meeting performance requirements set by the NJBPU.

In March, the NJBPU selected developer and IPP Elevate Renewables’ 150MW/600MWh Garden State Reliability Project, also known as Two Rivers Storage, for development, as part of the GSESP.

The project will be developed in Ridgefield, at the Bergen Generating Station. Elevated stated that the project represents an estimated US$200 million private investment in energy infrastructure in Bergen County, New Jersey.

Battery Asset Management Summit USA 2026 will be held 15-16 September in Garden Grove, California, hosted by Energy-Storage.news publisher Solar Media (part of the Informa Group). The agenda emphasises addressing the roles of AI, cybersecurity, and second-life applications, broken down into two tracks: Technical Asset Management and Commercial Asset Management. This year, the conference is also co-located with Solar & Storage Finance Summit USA. Visit the official site for more details.

15 September 2026
San Diego, USA
You can expect to meet and network with all the key industry players again in 2025 from major US asset owners, operators, RTOs and ISOs, optimizers, software and analytics providers, technical consultancies, O&M technology providers and more.
15 September 2026
Berlin, Germany
Launching September 2026 in Berlin, Energy Storage Summit Germany is a new standalone event dedicated to Germany’s energy storage market. Bringing together investors, developers, policymakers, TSOs, manufacturers and optimisation specialists, the Summit explores the regulatory shifts, revenue models, financing strategies and technology innovations shaping large-scale deployment. With Germany targeting 80% renewables by 2030, it offers a focused platform to connect with the decision-makers driving the Energiewende and the future of utility-scale storage.
6 October 2026
Warsaw, Poland
The Energy Storage Summit Central Eastern Europe is set to return in September 2025 for its third edition, focusing on regional markets and the unique opportunities they present. This event will bring together key stakeholders from across the region to explore the latest trends in energy storage, with a focus on the increasing integration of energy storage into regional grids, evolving government policies, and the growing need for energy security.
13 October 2026
London, UK
Now in its second edition, the Summit provides a dedicated platform for UK & Ireland’s BESS community to share practical insights on performance, degradation, safety, market design and optimisation strategies. As storage deployment accelerates towards 2030 targets, attendees gain the tools needed to enhance returns and operate resilient, efficient assets.
3 November 2026
Málaga, Spain
Understanding technology and supplier selection for Europe’s utility-scale PV market in 2027. PV ModuleTech Europe 2026 is a two-day conference that tackles these challenges directly, with an agenda that addresses all aspects of PV module, inverter and battery supplier selection; product availability, technology offerings, supply chain traceability, quality assurance, factory auditing, system reliability, and supplier bankability.

Read Next

September 10, 2026
Developer SMT Energy and Software-focused energy storage system integrator FlexGen have announced the start of operations of a 160MW/320MWh energy storage facility Houston, Texas, US.
September 10, 2026
Second-life battery energy storage system (BESS) firms B2U, Moment and Rebaba are advancing project operations in Texas, US compliance, and new financing in Europe, respectively.
Premium
September 10, 2026
We hear from Angus Gordon Lennox, chair of the Gore Street Energy Storage Fund (GSF), which faces a shareholder vote next week on its future. 
September 10, 2026
Akaysha Energy’s Waratah Super Battery in Australia briefly reached its full rated output of 850MW on 7 September.
September 10, 2026
The venture-capital-style returns once available in Australia have disappeared, according to panellists at the Battery Asset Management Summit Australia 2026.