Bill Text: NJ S3224 | 2022-2023 | Regular Session | Amended

New Jersey Senate Bill 3224 (Prior Session Legislation)

Bill Title: Requires request for proposal to establish demonstration projects to develop electric vehicle charging depots serviced by distributed energy resource charging centers for certain electric vehicle use.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2024-01-08 - Substituted by A4794 (ACS/1R) [S3224 Detail]

Download: New_Jersey-2022-S3224-Amended.html

[Second Reprint]

SENATE, No. 3224

STATE OF NEW JERSEY

220th LEGISLATURE

INTRODUCED OCTOBER 27, 2022

Sponsored by:

Senator TROY SINGLETON

District 7 (Burlington)

SYNOPSIS

Requires request for proposal to establish demonstration projects to develop electric vehicle charging depots serviced by distributed energy resource charging centers for certain electric vehicle use.

CURRENT VERSION OF TEXT

As reported by the Senate Budget and Appropriations Committee on January 4, 2024, with amendments.

An Act concerning the establishment of ²[a]² demonstration ²[program] projects² for the development of certain electric vehicle charging depots and supplementing Title 48 of the Revised Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill):

"Authority" means the New Jersey Economic Development Authority established by section 4 of P.L.1974, c.80 (C.34:1B-4).

"Board" means the Board of Public Utilities or any successor agency.

"Brownfield" means the same as the term is defined in section 3 of P.L.1999, c.23 (C.48:3-51).

"Class I renewable energy" means ¹[electric energy produced from solar technologies, photovoltaic technologies, wind energy, fuel cells, geothermal technologies, wave or tidal action, small scale hydropower facilities with a capacity of three megawatts or less and put into service after the effective date of P.L.2012, c.24, methane gas from landfills, methane gas from a biomass facility provided that the biomass is cultivated and harvested in a sustainable manner, or methane gas from a composting or anaerobic or aerobic digestion facility that converts food waste or other organic waste to energy] the same as the term is defined in section 3 of P.L.1999, c.23 (C.48:3-51)¹ ².²

"DC fast charger" means the same as the term is defined in section 2 of P.L.2019, c.362 (C.48:25-2).

"Demonstration ²[program"] project"² means the demonstration ²[program] project²authorized in response to a request for proposal developed and issued by the ²[authority] board² pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).

"Department" means the Department of Environmental Protection.

"Distributed energy resource" means ²[an electricity-producing resource or controllable load that is connected to an electric public utility's infrastructure] any resource located on the distribution system of any electric public utility in New Jersey, any subsystem thereof, or behind a customer meter. These resources may include, but are not limited to, electric storage resources, distributed generation, demand response, energy efficiency, thermal storage, and electric vehicles and their supply equipment² ¹[, or a microgrid that is connected to a utility's infrastructure]¹ .

"Distributed energy resource charging center" means one or more distributed energy resources consisting of a group of interconnected loads, including at least one ²[electric vehicle charger] High-Powered DC Fast Charger or at least four DC fast chargers,² and distributed energy resources², which predominantly produce or store Class I renewable energy² ¹,¹ within clearly defined electrical boundaries ¹and located behind a single point of interconnection,¹ that act as a single controllable entity with respect to a utility's infrastructure ²[, which resources can connect to and disconnect from a utility's infrastructure and can operate both connected to and independent of a utility's infrastructure]².

"Electric public utility" or "utility" means a public utility, as that term is defined in R.S.48:2-13, that provides electric distribution service in this State.

"Electric vehicle" means a motor vehicle that is propelled solely by an electric motor or energy storage device, and includes any such fleet, ²[medium] medium-duty², or heavy-duty vehicle.

"Electric vehicle charging depot" or "depot" means a site where one or more DC fast chargers ²or High-Powered DC Fast Chargers² are installed ²to charge electric vehicle fleets and medium- and heavy-duty electric vehicles², along with any electrical equipment ²on the customer side of the utility meter,²needed to connect the chargers to a distributed energy resource charging center ²[, and any other electrical equipment, including energy storage, needed to enhance the reliability and efficiency of the chargers]².

²["Low-income, urban, or environmental justice community" means the same as the term is defined in section 2 of P.L.2019, c.362 (C.48:25-2).]

"Electric vehicle service equipment" or "EVSE" means the same as the term is defined in section 2 of P.L.2019, c.362 (C.48:25-2).

"Fleet vehicles" refers to a group of vehicles owned or operated by a single entity, serving a specific purpose, with defined roles or tasks. Fleet vehicles may be light-, medium- or heavy-duty vehicles.

"High-Powered DC Fast Charger" means EVSE that provides at least 150 kilowatts of direct current electrical power for charging an electric vehicle through a connector based on fast charging equipment standards, and which is approved for installation for that purpose under the National Electric Code through an Underwriters Laboratories Certification or an equivalent certifying organization.

"Medium- and heavy-duty electric vehicle make-ready" or "MHD make-ready" means the same as the term "make-ready" is defined in section 3.2 of P.L.1975, c.291 (C.40:55D-5).

"Overburdened municipality" means a subset of census blocks, as defined by the board, which are located within areas defined by the Department of Environmental Protection pursuant to P.L.2020, c.92 (C.13:1D-157 et seq.) and that focuses incentives in municipalities that either have high levels of population living under a percentage of the federal poverty line or that are categorized as distressed by the Department of Community Affairs.²

"PJM Interconnection, L.L.C." or "PJM" means ¹[the privately-held, limited liability corporation that serves as a Regional Transmission Organization approved by the Federal Energy Regulatory Commission, or its successor, that manages the regional, high-voltage electricity grid serving all or parts of 13 states, including New Jersey and the District of Columbia, operates the regional competitive wholesale electric market, manages the regional transmission planning process, and establishes systems and rules to ensure that the regional and in-State energy markets operate fairly and efficiently] the same as the term is defined in section 3 of P.L.1999, c.23 (C.48:3-51)¹ .

²"Primarily operating" means that at least 50 percent of the vehicle miles traveled over the course of a three-year compliance period take place within the overburdened municipality or other percentage as defined by the board to address concerns in overburdened communities.²

"Request for proposal" or "proposal" means the request for proposal developed and issued by the ²[authority] board² pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).

¹["Successor Solar Incentive program" or "SUSI" means the permanent successor to the solar incentive program established by the Board of Public Utilities pursuant to P.L.2021, c.169 (C.48:3-114 et al.), including the Administratively Determined Incentive and the Competitive Solicitation Incentive subprograms, and any successor programs or subprograms thereto.]¹

2. a. The ²[New Jersey Economic Development Authority] Board of Public Utilities², in consultation with the ²[Board of Public Utilities] New Jersey Economic Development Authority² and the Department of Environmental Protection, shall develop a request for proposal to determine eligibility for the establishment of ²[a]² demonstration ²[program] projects² involving the development of electric vehicle charging depots for electric vehicle use. Each electric vehicle charging depot shall be serviced by one or more distributed energy resource charging centers, and the electric vehicle charging depots shall be located within six regionally diverse locations within the State, except that at least one electric vehicle charging depot, including the distributed energy resource charging center servicing the depot, shall be located within the service territory of each electric public utility operating within this State ²and at least two of the electric vehicle charging depots shall serve vehicles primarily operating within an overburdened municipality². The proposal shall describe, in detail, the requirements for the provision of electric vehicle charging depots for electric vehicle charging, ²the production or storage of Class I renewable energy, any demand management plans, and the total number of electric vehicle miles traveled,² which depots shall, at a minimum, be capable of supporting ²[very high,]² coincident peak ²sufficient to meet² vehicle electric loads. Within the proposal, the ²[authority] board² shall provide a list and brief description of any State or local incentives and support programs available to an approved applicant.

b. Upon developing the request for proposal, the ²[authority] board² shall issue the proposal in a form and manner determined by the ²[authority] board². The ²[authority] board² shall establish guidelines for the approval, designation, operation, ²and² reporting ²[, and re-designation]² of a demonstration ²[program] project² in a manner determined by the ²[authority] board². The ²[authority] board² may approve the development of more than one electric vehicle charging depot within any of the six locations, provided that the total number of approved ²[programs] projects² satisfies the requirements of subsection a. of this section.

c. The ²[authority] board², in cooperation with the ²[board] authority²and the department, shall oversee, coordinate, and assist the demonstration ²[program] project² approved and established pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill) ²and shall allocate up to $2,000,000 in assistance per project from the proceeds of the societal benefits charge imposed pursuant to paragraph (3) of subsection a. of section 12 of P.L.1999, c.23 (C.48:3-60) to facilitate investment in electric vehicle charging depots. The funds allocated from the societal benefits charge shall be in addition to any utility investment established pursuant to section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill), and any other incentives or funds available from PJM, or other renewable energy or storage incentives that the project may be eligible to receive².

²3. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, the board may authorize recovery through utility rates of some or all of the costs associated with MHD make-ready locations, in which case such costs shall be included in the utility's rate base or may otherwise be recoverable from the utility's customers, in a manner determined by the board.²

²[3. a.] 4.² A request for proposal shall require an applicant intending to establish a demonstration ²[program] project² to submit information to the ²[authority] board², which information shall include, but not be limited to:

²[(1)] a.² a statement of purpose for the proposed demonstration ²[program] project², which shall include, but not be limited to, the development of electric vehicle charging depots serviced by distributed energy resource charging centers ²[to create infrastructure for the very high coincident load charging of electric vehicles]²;

²[(2)] b.² a validation of ²[the] any² cost-saving, time-saving, ²[and] or² resilience metrics associated with the use of electric vehicle charging depots serviced by distributed energy resource charging centers, as compared to the traditional capital investment approach to electric public utility grid replacement for the establishment of electric vehicle charging depots not serviced by distributed energy resource charging centers for use by electric vehicles;

²[(3)] c.² a description of the proposed electric vehicle charging depots, including any distributed energy resource charging center servicing the depots, and a clear explanation and map conveying the physical boundaries of each proposed site;

²[(4)] d. a description of the size and configuration of the distributed energy resource charging center, including, at a minimum: how much Class I renewable energy is expected to be produced; how much, if any, energy storage is incorporated in the design; how much, if any, fossil fueled generation is incorporated in the design; and any other information as may be required by the board;

e. the amount of incentive requested, including in total dollars, dollars per electric vehicle mile traveled, and dollars per unit of pollution abated; and

f.² a statement from the applicant attesting that each distributed energy resource charging center shall:

²[(a)] (1)² allow for clean or renewable energy-sourced electric power generation and energy storage provided on-site or on property contiguous to the distributed energy resource charging center, in addition to the ability to charge electric vehicles; ²[and

(b)] (2)² comply with any electric vehicle charging infrastructure plan established by the ²[department] board² in which distributed energy resource charging center infrastructure is needed to get the most benefit for electric vehicle charging; ²[and

(5) a statement that the applicant will enter into an agreement with an electric public utility or PJM, as applicable, where, upon receiving board approval, the utility or PJM will make any necessary upgrades to its transmission or distribution infrastructure at locations proposed by the applicant to prepare the location for the operation of a distributed energy resource charging center.

b. If an electric public utility makes any capital investment to upgrade its transmission or distribution infrastructure to prepare a location for the operation of a distributed energy resource charging center under the demonstration program, the board shall allow the utility to include the costs of such investments, as well as any other costs related to supporting the demonstration program, in its rate base for rate recovery.

c. When a distributed energy resource charging center includes Class ¹[1] I¹ renewable energy resources and storage, and such storage is charged by electricity generated from the Class ¹[1] I¹ renewable energy resource and electricity supplied by PJM, including electricity generated from non-renewable energy sources, the distributed energy resource charging center may sell excess electricity generation to PJM at the wholesale price of electricity.

d. Notwithstanding the provisions of any law or regulation to the contrary, when Class ¹[1] I¹ renewable energy resources are included in a distributed energy resource charging center, these resources shall be eligible for the incentives provided by the board ¹[under the Successor Solar Incentive Program's Administratively Determined Incentive subprogram] pursuant to section 3 of P.L.2021, c.169 (C.48:3-116)¹]

(3) specify whether the proposed electric vehicle charging depots are intended to displace existing fleet vehicles, or whether the depots are intended to bring new vehicles into overburdened municipalities;

(4) describe any plans to participate in a managed charging program, including one that directs charging to off-peak periods or minimizes demand charge peaks; and

(5) provide any other information required by the board².

²[4.] 5.² The ²[authority] board²shall give preference to any application made pursuant to section ²[3] 4² of P.L. , c. (C. ) (pending before the Legislature as this bill) for ²[a] any High-Powered DC Fast Charger or DC Fast Charger² demonstration ²[program] project² that ²results in charging infrastructure for medium- and heavy-duty vehicles or fleets and that²:

a. is located within a brownfield;

b. ²[provides an environmental justice net public benefit, as determined by the authority, within a low-income, urban, or environmental justice community] is publicly accessible or designed to electrify fleets owned by public entities²;

c. ²electrifies private fleets located in, primarily operating in, or benefiting overburdened municipalities;

d.² provides job creation and job training for disadvantaged persons, as determined by the ²[authority] board, in consultation with the authority²; ²[or

d.] e. is cost effective to ratepayers, considering vehicle miles electrified and incentive requested;

f. is likely to lead to scalable implementation of medium- and heavy-duty vehicle charging infrastructure;

g. has a positive impact on electrified and non-electrified vehicle traffic inside of overburdened municipalities;

h. effectively incorporates a managed charging program at peak periods or minimizes demand charge peaks;

i. minimizes the use of fossil fuel infrastructure;

j. is likely to result in the reduction of emissions; or

k.² results in an expansion of the State's manufacturing base for an emerging clean transportation economy and demonstrates a collaboration with a State-certified educational training entity.

²[5.] 6.² Upon approval by the ²[authority] board² of an application to conduct a demonstration ²[program] project², the ²[authority] board²shall require the approved applicant to enter into an agreement with the ²[authority] board², which agreement shall contain, but not be limited to:

a. a signed statement of cooperation and a description of the roles and relationships of each entity involved in the demonstration ²[program] project²;

b. a clearly identified list of goals, performance standards, benchmarks, or milestones for the proposed demonstration ²[program] projects², with approximate dates as to when the goals, performance standards, benchmarks, or milestones will be achieved, and a description of how these measures will be evaluated, including a requirement that the approved applicant shall report to the ²[authority] board²on the status of the applicant's achievement of these goals, performance standards, benchmarks, or milestones;

c. a complete budget of the proposed demonstration ²[program] project², including a description and proof, as applicable, of any secured funds, pending funds, and potential future funding sources;

d. a list of the approved applicant's assets and resources, organizational experience, including capabilities, related experience, facilities, techniques, resources, or any combinations thereof, that are integral factors for achieving the proposed objective of establishing an electric vehicle charging depot serviced by a distributed energy resource charging center; and

e. the expectations for job development and business creation upon the establishment and operation of an electric vehicle charging depot serviced by a distributed energy resource charging center.

²[6.] 7.² Within six months of the first approval for an application for a demonstration ²[program] project², and every six months thereafter, the ²[authority] board² shall report to the department and the ²[board] authority² on the progress of each approved applicant in establishing the demonstration ²[program] project². The ²[authority] board² shall annually post the information from these reports on the ²[authority's] board's² Internet website. The board shall incorporate any applicable information on the establishment of the demonstration ²[program] project² in the Energy Master Plan, or any update thereto. The ²[authority] board² shall report, five years after the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, on the results of the demonstration ²[programs] projects² and post a copy of the report on the ²[authority's] board's² Internet website.

²[7.] 8.² The ²[authority] board² may seek and accept ²[gifts, donations,]² grants ²[, or loans]² from ²[private or]² public sources, including, but not limited to, any federal funding to be provided for the purposes of the demonstration ²[program] project², except that the ²[authority] board² shall not accept a ²[gift, donation,]² grant ²[, or loan]² that is subject to conditions that are inconsistent with any other law of this State.