TRENTON, N.J. — New legislation would amend New Jersey’s existing SREC-II solar energy incentive program to include solar projects located on roadside right-of-way areas.
The bill directs the state Board of Public Utilities (BPU) to establish incentives for solar photovoltaic developments built along state and local roadways. Once implemented, owners of these roadside projects would qualify for the same credits and financial incentives available under the SREC-II program, which was created under P.L.2021, c.169.
Roadside right-of-way solar projects would be evaluated using criteria similar to those for small solar facilities, including the project’s size, eligibility for net metering, available incentives, and applicable rate class. Additional factors specific to roadside installations would include the impact on traffic volumes and the emissions burden of adjacent road systems.
Roadside solar seen as part of broader clean energy strategy
The legislation supports the state’s broader goals outlined in the 2019 Energy Master Plan (EMP), which targets 17,000 megawatts of solar energy by 2035 and 32 gigawatts by 2050. According to the EMP, solar energy could meet a significant portion of New Jersey’s clean energy needs by mid-century while delivering net savings and public health benefits.
In 2021, Governor Phil Murphy signed Executive Order 274, which established an interim target of reducing greenhouse gas emissions by 50 percent by 2030. The state’s Department of Environmental Protection later issued the Global Warming Reduction Act 80×50 report, outlining strategies to achieve an 80 percent emissions reduction by 2050.
The report’s modeling identified renewable energy sources like wind and solar as key to replacing fossil fuels in New Jersey’s electric generation sector while meeting growing electricity demands.
If enacted, the bill would allow solar energy development to expand into underutilized roadside spaces, contributing to the state’s long-term clean energy and emissions reduction goals.