New Jersey is making strides to accelerate the transition to a clean energy economy. Among recent actions, the state released a comprehensive plan for economy-wide decarbonization, enacted a law to boost electric vehicle use targeting 2 million EVs on the road by 2035, and doubled the offshore wind power goal to 7.5 gigawatts by 2035.
Climate change and clean energy are figuring more prominently in Pennsylvania, which has been historically associated with coal and nuclear until the shale gas boom. Over the past year, Pennsylvania set the first statewide climate goals, committed to join the regional carbon market, funded solar projects, established alternative ratemaking, and unveiled a roadmap to boost electric vehicle adoption.
More states are venturing into grid transformation initiatives that enable customer-focused and innovative solutions to support clean energy commitments. The electricity system is undergoing a significant transition powered by technological innovation, increased use of distributed energy resources (DER), and changing customer preferences. These factors are driving the changes needed to make the grid more efficient, flexible, resilient, and renewable.
The debate over net metering for rooftop solar power continues across U.S. states as utilities seek rate structures that reduce the compensation for power exported to the grid or add charges to avoid shifting grid maintenance costs to non-solar customers. More than 20 states are reexamining the policy to more precisely assess the value of distributed generation. Some have changed their rules, while others have initiated studies, and a few have opted to continue with net metering. Critical findings across state commissions will influence the outcomes in other states.
Utilities are optimizing green power programs to meet carbon reduction targets and satisfy their customers simultaneously. Green pricing options allow customers to meet a portion of their electricity needs from renewable energy resources. While offering innovative products to increase customer access to green power, these programs provide larger consumers the option to meet their varying sustainability and renewable energy goals.
States are setting ambitious targets to grow the number of electric vehicles (EVs) on the road. More than half a dozen states, including Connecticut, North Carolina, Vermont, Minnesota, Pennsylvania, and Tennessee, have unveiled blueprints this year to reach the goals. EV roadmaps and action plans are helping states explore the role of utilities, regulators, and market participants in the evolving industry and develop the necessary regulatory guidance.
More U.S. states are exploring programs and policies to leverage the application of battery storage for the benefit of the power grid and to examine how the technology may provide value to consumers. Studies and investigations are intended to help craft initiatives that can tap the resource for multiple applications ranging from offsetting peak loads, supporting renewable integration and stabilizing the distribution system, to providing peaking capacity and replacing fossil generation.
Community choice aggregation has existed for over two decades, but it has gained popularity in recent years, driven by competitive rates, consumer interest in controlling their electricity source, and the desire for renewable energy options. The procurement model allows local governments to buy power on behalf of their communities, tailoring their purchases to meet customer preferences.
In the latest sign of the health and growth of the nation's nascent offshore wind industry, state commitments to procure supplies of the energy source rose to nearly 20 gigawatts this year, quadruple the amount of capacity from just two years ago. The burgeoning industry remains upbeat even as federal permitting delays to the nation’s first large-scale project raised concerns of regulatory roadblocks.
More than a dozen states have enacted measures or advanced programs over the last six months to boost electric vehicle (EV) usage and attract private investment in charging infrastructure. Growing concern about emissions and climate change is drawing increased attention to the transportation sector, the nation’s biggest polluter.
State-level activity on emission-trading programs and carbon pricing is ramping up as more jurisdictions embrace policy goals to transition to a lower-carbon power system and economy.
Utility rate proceedings are evolving into forums to address emerging energy sector issues as grid modernization and resiliency, renewable energy procurement, and emissions reduction programs form a growing part of suppliers' business.