Energy storage is at the heart of a bill passed by the New Jersey House and Senate on April 12 that will require utilities in the US state to generate at least half of its power from renewables by 2030.
The bill A3723 compels the state to investigate how energy storage will affect the power supply and end users, the type of technologies being implemented in the state, and determine the amount of energy storage required.
The bill also requires the Board of Public Utilities to implement a plan to introduce 600MW of energy storage by 2021 and 2GW of energy storage by 2030.
Energy storage will allow utilities to manage the fluctuation of renewable generated power on to its grid as it aims to meet its energy target, one of the US’ most aggressive — only Hawaii’s 100% renewable energy mix by 2045 and Vermont’s 75% by 2032 are higher, and matches targets set by California and New York.
The bill also compels power utilities in the state to implement measures to reduce electricity or natural gas usage by 2% of the previous three years average energy usage within five years of the start of the program.
The bill’s statement listed seven energy storage concerns:
- How can ESSs provide emergency back-up power for essential services, offsetting peak loads, and stabilizing the electric distribution system?
- How can ESSs promote EV use in the state and what will their potential impact be on renewable energy production?
- What types of energy storage technologies are being implemented in the state?
- What are the benefits and costs to ratepayers, local governments, and electric public utilities associated with the development and implementation of additional energy storage technologies?
- What is the optimal amount of energy storage required in the state over the next five years in order to provide the maximum benefit to ratepayers?
- Determine optimum points of entry for distributed energy onto the transmission system? and
- How to calculate the cost of adding the optimal amount of energy storage?
The bill requires that by January 1, 2020, 21% of the kWh sold in the state by each power supplier and each basic generation service provider be from Class I renewable energy sources. It also requires the state to establish renewable energy portfolio standards of 35% by 2025 and 50% by energy year 2030.
A3723 also requires power generators to source 5.1% of their electricity from behind-the-meter solar by 2021 — exceeding the previous highest of 4% in New Mexico.
The US Department of Energy classifies energy resources in to: Class I, Class II, and Class III.
Class I resources include power derived from solar, wind, fuel cells, geothermal, landfill methane gas, anaerobic digestion or other biogas derived from biological sources, thermal electric direct energy conversion, ocean thermal power, wave or tidal power, low-emission advanced renewable energy conversion technologies, run-of-the-river hydropower facilities not exceeding 30MW in capacity, and biomass facilities that use sustainable biomass fuel and meet certain emissions requirements.