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Christie signs bill to boost solar

Gov. Christie has given $2 billion to subsidies for natural gas power plants, while eliminating programs for solar and renewable energy. But solar advocates have contended that further growth was threatened.

8 comments

Christie signs bill to boost solar

POSTED: Monday, July 23, 2012, 1:10 PM

Sandy Bauers, Inquirer GreenSpace Columnist

New Jersey Gov. Christie and the state's environmental groups have landed on common ground _ a highly unusual occurrence.

That's because earlier today Christie signed a bill that would encourage the growth of the solar industry in the state.

New Jersey already is a leader. It is second in the nation in solar installations. So far, more than 775 megawatts of solar has been installed in the state, enough to power about 130,000 homes. (Or, as the environmental groups note, more than the amount of energy produced by Oyster Creek Nuclear Plant, which they have pushed to have shuttered.)

But solar advocates, such as Rhone Resch, president and CEO of the Solar Energy Industries Association, have contended that the growth of the solar industry was threatened because of uncertainty in the Solar Renewal Energy Credits market.

The cost of most project factors in the value of these credits, which are sold as electricity is generated, as part of the pay-off of the system. Like many states, New Jersey has a Renewable Energy Portfolio Standard, which requires that utilities either produce a certain amount of power from solar or that they buy it through the SRECs. Even a homeowner with a small system could get SRECs and sell them to help pay off the system.

In the early days of SRECs, the value was high. But now it has dropped. System owners aren't the only ones suffering. Those who are contemplating installing solar don't have the financial incentive they might need.

The Christie administration worked with the SEIA to come up with the new law, which accellerates the state's Renewable Energy Portfolio Standard, leading to more demand for SRECS.

The law makes other changes, as well, summarized here.

Matt Elliott, Environment New Jersey’s Clean Energy Advocate, issued a statement saying his group was "pleased that the measure passed both houses of the Legislature with overwhelming bi-partisan support, reflecting the people of New Jersey’s strong support for clean, renewable energy, regardless of party affiliation. And we applaud Governor Christie for signing the bill into law today."

“The recent boom in solar development demonstrates that our state’s potential is much greater than previously anticipated," he said. "Moving forward, longer-term state policy must keep up with that potential. We should be increasing the state’s overall clean energy requirements and ensuring more of our clean energy goals are carved out for solar specifically. In the short term, however, this bill will ensure that New Jersey continues to be a solar leader. Without a doubt, today is a good day for solar in New Jersey.”

Likewise, the measure drew praise from the New Jersey Sierra Club, which said that without it, the solar industry in the state would have collapsed.

Jeff Tittel, director of the organization said the bill was a compromise, and as such, "is far from perfect," but he said that "without it, there would be no solar in New Jersey ... We thank Governor Christie for signing the bill."

He added that the state needs a more long-term fix. He blamed Gov. Christie for "basically" getting rid of the state's solar rebates and noted that he has given $2 billion to subsidies for natural gas power plants, while eliminating programs for solar and renewable energy.

8 comments

Comments (8)

Comment removed.

0 like this / 0 don't • Posted 3:09 PM, 07/23/2012

Using solar on "open spaces" to provide financial benefit is a conservative principle unlike stealing money from Haddonfield taxpayers to give to Camden taxpayers and hoping for the best

— UTR

0 like this / 0 don't • Posted 3:23 PM, 07/23/2012

SREC market is basically a government run Ponzi scheme. Touted as a free market approach it is anything but. It's round about tax on power companies that goes to solar providers. Unfortunately like all subsidized markets it resulted is a solar bubble with wildly inflated prices of solar panels. The cost of installed solar needs to come way way down be practical. Currently it only makes sense (and barely) because of government subsidies.

— Gradhospital

0 like this / 0 don't • Posted 4:00 PM, 07/23/2012

this is great

— mecp22

0 like this / 0 don't • Posted 4:24 PM, 07/23/2012

Gradhospital - it also only makes sense for businesses/industry, at this point. I would doubt that most houses, particularly older ones, have the underlying strength to support the weight. I have seen some houses with them, but I have to think that they were designed with solar in mind.

— uncle meat

0 like this / 0 don't • Posted 8:52 PM, 07/23/2012

yeah, those those "older" homes that were made for slate rooves, built by people that spoke english would never stand up to those solar panels that exert about 2 pounds per square foot.

— phlubber

0 like this / 0 don't • Posted 1:41 AM, 07/24/2012

Good one phlubber......not exactly Orleans quality now are they (sarcasm noted)

— UTR

0 like this / 0 don't • Posted 10:34 AM, 07/24/2012

Although I'm glad Christie KINDA did something right with this, the last sentence in this article says it all. Re-read it.

— SNJ_Native

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About this blog

Sandy Bauers is the environment reporter for the Philadelphia Inquirer, where she has worked for more than 20 years as a reporter and editor. She lives in northern Chester County with her husband, two cats, a large vegetable garden and a flock of pet chickens.

GreenSpace - her column about how to reduce your carbon footprint in everyday life - appears every other Monday in Health & Science. Reach Sandy at sbauers@phillynews.com.