Energy Master Plan


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Program Savings and Benefits

New Jersey's Clean Energy Program produces significant energy bill reductions for the state's consumers. Over the years, New Jersey's Clean Energy Program has included energy conservation programs in the mid-'80s to the mandatory Demand-Side Management (DSM) programs to the Standard Offer programs. For 2001 through 2008, program activities have resulted in lifetime energy savings of over 22.6 million MWh of electricity; 70 million dekatherms of natural gas; 7.5 million MWh of renewable generation, and 1.5 million MWh of distributed generation from combined heat and power systems.  Additional information is available from the 2008 NJCEP Report.

The table below shows the average cost of savings for New Jersey's Clean Energy Program, which is significantly below the cost that would have been incurred to generate or purchase an equivalent amount of electricity or natural gas.

Program Cost per kWh saved in 2008
Program Cost
Lifetime Savings/Generation from Measures Installed in 2008
Average Cost of Savings per kWh
Average Retail Price
$147,550,000
9,312,162,649
$0.02
$0.13

 

The Overall Customer Bill Reductions Resulting from the NJ Clean Energy Program
 
Annual Energy Savings - Generation for 2008 Measures
Lifetime Energy Savings - Generation for 2008 Measures
Cumulative Lifetime Energy Savings - Generation for 2001 through 2008
Electricity (kWh)
577,091,000
6,800,080,000
31,527,833,000
Natural Gas (therms)
4,897,240
85,712,260
703,847,550
 
Annual Bill Reductions to NJ Energy Customers
Lifetime Bill Reductions to NJ Energy Customers
Cumulative Bill Reductions to NJ Energy Customers
Electricity @ $0.13 kWh
$75,021,830
$884,010,400
$4,098,618,290
Natural Gas @ $1.30/therm
6,366,412
111,425,938
915,001,815
Total Customer Bill Reductions
$81,388,242
$995,436,338
$5,013,620,105

The savings identified in the chart below accrue to New Jersey residences and businesses that installed energy efficiency or renewable energy measures in 2008. The energy savings produced by these measures also produce savings on infrastructure costs, reduce congestion on transmission and distribution lines, and increase reliability. The customer bill reductions in the table above do not include the avoided environmental costs of the reductions in air emissions, wastewater discharges, and waste generated.

Summary of energy savings that resulted from the energy efficiency programs implemented in 2008:

Savings from 2008 Energy Efficiency Programs
 
Actual
Committed
Total
Annual Savings from Measures Installed or Committed in 2008
kWh
335,001,000
70,462,000
405,462,000
kW
40,665
43,811
84,476
Therms
4,897,240
17,850,740
22,747,980
Lifetime Savings from Measures Installed or Committed in 2008
kWh
3,160,279,000
1,100,935,000
4,261,212,000
Therms
85,712,226
221,371,410
307,083,670
Cumulative Lifetime Savings from Measures Installed or Committed (2001-2008)
kWh
22,618,483,000
NA
22,618,483,000
Therms
663,297,590
NA
633,297,590

 

Summary of renewable energy generation that resulted from the renewable energy programs implemented in 2008:

Electric Generation from 2008 Renewable Energy Programs
 
Actual
Committed
Total
Annual Renewable Electric Generation from Measures Installed or Committed to in 2008
kWh
232,976,000
72,974,000
305,950,000
kW
51,905
55,052
106,957
Lifetime Savings from Measures Installed or Committed 2008
kWh
3,530,437,000
1,459,488,000
4,989,925,000
Cumulative Lifetime Savings from Measures Installed or Committed to (2001-2008)
kWh
7,450,224,000
NA
7,450,224,000

 

Summary of generation that resulted from combined heat and power systems installed or committed to in 2008:

Electric Generation from 2008 Combined Heat and Power (CHP) Program
 
Actual
Committed
Total
Annual Electric Generation from CHP Systems Installed or Committed to in 2008
kWh
9,114,000
90,800,000
99,914,000
kW
1,276
11,365
12,641
Lifetime Savings from CHP Systems Installed or Committed to in 2008
kWh
109,364,000
3,705,353,000
3,814,717,000
Cumulative Lifetime Savings from CHP Systems Installed or Committed to (2005-2008)
kWh
1,459,126,000
NA
1,459,126,000