Report: New Jersey Community Solar Program Could Spur $800 Million In Economic Benefits

By Frank Andorka, Senior Correspondent

Vote Solar released the results of its analysis of New Jersey’s planned 450 MW community solar program, in which it found the program could spur as much as $800 million in economic development.

Specifically, the report says the community solar program will create:

  • 1,778 sustained full-time jobs during construction and an additional 41 sustained full time jobs associated with operations and maintenance.
  • $414.7 million in earnings for those employed.
  • $797.9 million in local economic benefits for the state, excepting local tax revenues.
  • $3.3 million from property tax revenues in the first year alone.
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“Community solar holds a promise to expand access to affordable energy while creating jobs and growing New Jersey’s clean power sector,” said Pari Kasotia, Mid-Atlantic Director for Vote Solar. “These tangible economic benefits are an important part of the Garden State’s leadership and success in building a modern, 21st-century clean energy system that equitably serves everyone. We are glad to see New Jersey implement policies that align environmental goals with economic goals.”

The report was prepared by Vote Solar, a nonprofit organization working to lower solar costs and expand solar access across the U.S. They used the Jobs and Economic Impact (JEDI) Model developed by the National Renewable Energy Laboratory (NREL) to reasonably estimate the employment, earnings and economic impacts from the construction and operation of the solar energy facilities that could be expected if New Jersey adopts the minimum target of 450 MW over a three-year period. 450MW has been recommended by many stakeholders as the minimum program size necessary to drive investment in the state’s clean energy sector, achieve economies of scale, ensure all New Jersey’s communities gain access to community solar, and meaningfully contribute to the state’s 2030 clean electricity requirements.

The new community solar program, recently passed into law by the New Jersey legislature and signed by Governor Phil Murphy, is one of numerous attempts to get the state back on track after several years of languishing solar development in the Garden State. Murphy, who took office in January, campaigned strongly on a platform of clean energy and has made it one of the top priorities of his administration.

It’s nice to see New Jersey returning to prominence, having at one time been the No. 2 solar state in the Top 10 solar state rankings from the Solar Energy Industries Association – behind only California.