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The U.S. Department of Energy and the North Carolina Clean Energy Technology Center are excited to announce that a new, modernized DSIRE is under construction. The new version of DSIRE will offer significant improvements over the current version, including expanded data accessibility and an array of new tools for site users. The new DSIRE site will be available in December 2014. Staff are currently working hard on the new version of DSIRE but are also maintaining the content of the current version of DSIRE. Thank you for your continued support and patience during this transition. We hope you are as excited for December as we are!

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New Jersey

New Jersey

Incentives/Policies for Renewables & Efficiency

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Clean Energy Solutions Large Scale CHP and Fuel Cells Program   

Last DSIRE Review: 01/17/2013
Program Overview:
State: New Jersey
Incentive Type: State Grant Program
Eligible Efficiency Technologies: CHP/Cogeneration
Eligible Renewable/Other Technologies: Fuel Cells
Applicable Sectors: Commercial, Industrial, Nonprofit, Local Government, State Government, Fed. Government, Institutional
Amount:CHP greater than 1 MW-3 MW: $0.55/watt
CHP > 3 MW: $0.35/watt
Fuel Cells > 1 MW with waste heat utilization: $2.00/watt
Fuel Cells > 1 MW without waste heat utilization: $1.50/watt
Maximum Incentive:CHP: $3,000,000 or 30% of project costs
Fuel Cells: $3,000,000 or 45% of project costs
Equipment Requirements:All systems must be new and greater than 1 MW
CHP systems must achieve annual system efficiency of at least 65%
Fuels cells without heat utilization must achieve annual system efficiency of at least 45%
Installation Requirements:Must be a stationary system installed on the customer side of the meter
Program Budget:$25 million
Start Date:01/17/2013 (current solicitation)
Web Site:

The New Jersey Economic Development Authority (EDA) is offering grants for the installation of combined heat and power (CHP) or fuel cell systems to commercial, industrial, and institutional entities (including non-profits and public entities). All systems must be new and larger than 1 MW. Expansions of existing facilities may be eligible, though only the incremental expansion will be eligible for the incentive. In order to qualify for incentives, the applicant must pay the Societal Benefits Charge (SBC). Grant amounts are as follows:

  • CHP systems greater than 1 and up to 3 megawatts (MW): $0.55 per watt
  • CHP systems greater than 3 MW: $0.35 per watt
  • Fuel cells greater than 1 MW with waste heat utilization: $2.00 per watt
  • Fuel cells greater than 1 MW without waste heat utilization: $1.50 per watt

Grants are limited to $3,000,000 per project. CHP projects are capped at 30% of the project costs, and fuel cell projects are capped at 45% of project costs. Equipment must be commercially available, permanently installed, and installed on the customer side of the meter. Systems must have at least a 10-year all inclusive warranty or service contract and must be sized to meet the customer's electrical load (no more than 100% of historical annual consumption or peak demand). Third-party owned systems are eligible and must comply with the 10-year minimum warranty or service contract requirement.

In order to qualify for funding, projects are expected to use mature or emerging technologies that maximize energy production during peak demand periods with the least impact on the environment. The program will not support soft costs such as R&D or feasibility/engineering studies; equipment purchases or other activities associated with equipment that is not commercially viable; or building construction and land purchases. Under the current solicitation grant applications are reviewed and approved on a first-come, first-served basis. Proposed projects will be evaluated for funding based on readiness to proceed and efficiency; ability to create or maintain jobs; potential to reduce greenhouse gas (GHG) emissions; and the total energy to be created or saved. Please see the program web site for additional information and program materials.

  Program Information - Clean Energy Solutions Large Scale CHP - Fuel Cells Program
New Jersey Economic Development Authority
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2013 - 2014 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.