New Jersey Senate Bill S2852

New Jersey 2022-2023 Regular Session

• Introduced: 6/14/22
• Refer: 6/14/22
• Report Pass: 6/27/22

Caption

Excludes electricity supplied to recycled materials manufacturing facilities from renewable energy portfolio standards.

Impact

The key provisions of S2852 will significantly alter the operational landscape for electric power suppliers servicing recycled materials manufacturing facilities. By exempting these suppliers from meeting specific renewable energy portfolio standards—like Class I and Class II renewable energy certificates (RECs)—the bill aims to encourage investment and production within the recycling sector. Facilities that meet defined criteria, including a minimum employee number and a set percentage of recycled content in their products, will reap the benefits of this legislative change.

Summary

Senate Bill 2852 aims to amend the current renewable energy portfolio standards by exempting electricity supplied to recycled materials manufacturing facilities from these obligations. This legislation is intended to support and potentially stimulate the growth of the recycling industry by providing financial relief from the cost burdens associated with meeting renewable energy standards. Specifically, the bill allows electric power suppliers and basic generation service providers to exclude kilowatt hours sold to qualifying recycled materials manufacturing facilities when calculating their renewable energy obligations.

Contention

Notable concerns surrounding S2852 include potential negative environmental impacts. Critics worry that the bill could weaken the state’s commitment to renewable energy initiatives by undermining the effectiveness of existing standards aimed at reducing carbon emissions and promoting cleaner energy production. Opponents argue that providing exclusions for a particular sector might set a precedent for further exemptions in other industries, which could cumulatively detract from statewide environmental goals.