US state outlines path to 2 GW of energy storage by 2030

The NJBPU has announced a rebranded energy storage drive in a bid to secure the 2 GW of energy storage capacity the US state is mandated to procure by 2030.

An announcement made by the NJBPU about the Garden State Energy Storage Program (GSESP), on Wednesday, emphasized energy bill savings for consumers over energy storage’s climate change benefits.

The state body also said “supply chain problems” mean power plants such as natural gas and nuclear sites cannot be built quickly enough to meet the grid demand needs anticipated in New Jersey in 2030, meaning energy storage is the only option.

“This isn’t just about meeting our climate goals, it’s about making sure every family can afford to keep their lights on and their home comfortable,” said NJBPU President Christine Guhl-Sadovy, announcing the rebrand for an initiative previously known as the New Jersey Storage Incentive Program. The board’s statement did, however, mention grid resilience to extreme weather events among a list of benefits that would be offered by the expansion of energy storage capacity.

The nuts and bolts of the program consist of a 1 GW first phase which will involve pre-qualification of bidders, from Wednesday, for a reverse auction to attempt to secure 350 MW to 750 MW of large, electricity transmission-scale, grid-connected energy storage sites. The final bid submission deadline will be August 20 and the NJBPU expects to award contracts by October 31. A second stage of Phase One of the GSESP, to attempt to secure the outstanding large-scale capacity required to hit the 1 GW first-phase target, will be held in the first half of next year.

The NJBPU said it would address smaller, “distributed” energy storage systems next year by introducing fixed and performance-related incentives for homes and businesses to install equipment.

A potential third phase of GSESP, which would introduce performance-related incentives for further large-scale energy storage sites is under evaluation, the utilities board said.

The NJBPU announcement said the 1 GW first phase of the program would not involve additional charges for electricity bill payers as it would be funded by New Jersey Clean Energy Program funds.

“The Garden State Energy Storage Program is designed with a clear priority: creating a more reliable and robust grid for the people we serve, ultimately leading to greater cost savings,” said Guhl-Sadovy. “By strategically investing in energy storage now, we’re building a resilient system that can better withstand both man-made and weather-related disruptions and support the critical integration of more clean energy, which is vital for New Jersey’s sustainable future and peace of mind.”