New Jersey is a participant in the Regional Greenhouse Gas Initiative, a cooperative effort by ten Northeastern and Mid-Atlantic states to reduce carbon dioxide emissions from power plants. The first of its kind in U.S. history, this unique program relies on a market-based cap-and-trade approach to curb emissions while at the same time promoting energy efficiency. States that participate in RGGI sell emission allowances through auctions and invest the proceeds in consumer benefit projects that include energy efficiency, renewable energy and programs that provide assistance to low-income taxpayers. Since joining RGGI, New Jersey has taken part in three allowance auctions, which have generated $ 47.3 million in proceeds for clean energy and utility assistance programs.
The methods for allocating the proceeds from these auctions are set forth in the Global Warming Solution Fund Law signed by Governor Corzine in January 2008. Under the GWSF, the proceeds shall be distributed as follows:
- 60 percent to the New Jersey Economic Development Authority to promote end-use energy efficiency, renewable energy, and state-of-the-art electric generation facilities, such as combined heat and power, within the commercial and industrial sectors;
- 20 percent to the New Jersey Board of Public Utilities to assist limited-income households with their electric bills;
- 20 percent to the New Jersey Department of Environmental Protection to advance programs that help local governments reduce greenhouse gas emissions and encourage investment in forestry and tidal marshes to maximize carbon sequestration.
The DEP, EDA and BPU have each kicked-off their funding programs to support New Jersey's efforts to reduce greenhouse gas emissions and promote energy efficiency and economic growth.
- Click here to learn more about the DEP's Local Government Greenhouse Gas Reduction grant program.
- Click here to learn more about the BPU's energy assistance program.
- Click here to learn more about the EDA'S Clean Energy Solutions Capital Investment loan/grant program for businesses, industry and institutions.
Call the State Forestry Service at (609) 292-2520 to learn more about the DEP's enhanced forest stewardship and tidal marsh restoration initiatives.