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Transition Incentive Program

By Order dated May 23, 2018, the Clean Energy Act, L. 2018, c.17 (Act), was signed into law.  Among other mandates, the Act directed the Board to adopt rules and regulations to “close the SREC Registration Program (SRP) to new registrations once 5.1% of the kilowatt-hours sold in the State are generated by solar electric power connected to the distribution system” (known as the 5.1% Milestone). N.J.S.A. 48:3-87(d)(3).

By Order dated December 6, 2019, the Board ordered the creation of a Transition Incentive (“TI”) program, comprised of fixed-price, factorized Transition Renewable Energy Certificates (“TRECs”). Projects that submitted complete SRP registrations after October 29, 2018, that have yet to commence commercial operations but otherwise remain in good standing in the SRP pipeline at the time that the Board determines that the 5.1% Milestone has been attained, will be eligible for the TI. (I/M/O a New Jersey Solar Transition Pursuant to P.L. 2018, c. 17, BPU Docket No. QO19010068, Order dated December 6, 2019 available here).

By Order dated December 6, 2019, the Board established the Transition Incentive Program was established by the New Jersey Board of Public Utilities (NJBPU) to provide a bridge between the Legacy SREC Registration Program and the Successor Program. The Transition Incentive Program will be open to new registrations from the close of the SRP until the Successor Program registration is established. In an Order dated March 27, 2020, in light of the COVID response, the Board granted project owners and developers ninety days from the issuance of the PTO letter to submit their Post-Cconstruction Certification Package to obtain SREC eligibility. On April 6, 2020, the Board determined that the 5.1% Milestone shall be attained on or before May 1, 2020, and therefore directed TRC to close the SREC Registration Program to new registrations on April 30, 2020.

By Order dated January 8, 2020, the Board ordered that the Transition Incentive program will remain open to new registrations until the establishment of a registration program for the to-be-determined Successor Program. (I/M/O a New Jersey Solar Transition Pursuant to P.L. 2018, c. 17, BPU Docket No. QO19010068, Order dated January 8, 2020 available here).

By Board Order dated November 18, 2020, In the Matter of a New Jersey Solar Transition Pursuant to P.L. 2018, C.17-Order Addressing TREC Eligibility for Projects Commencing Commercial Operations Before Program Establishment;

Any application submitted in the Transition Incentive Program (TI) that has a permission to operate dated prior to May 1, 2020 must submit a complete Post Construction Certification package (Final As -Built) in the TI application portal no later than December 30, 2020 at 11:59:59 PM EST
. Projects in this class that fail to submit a Complete Post Construction Certification package by December 30, 2020 at 11:59:59 PM EST shall not be eligible for the TI Program. TI Applications with a PTO dated prior to May 1, 2020 that submit a complete Post Construction Certification Packet by the above deadline will be eligible for a 15- year TREC qualification life that begins on the date the permission to operate was issued by the Electric Distribution Company. Eligibility to generate TRECs will begin on May 1, 2020 and will not extend back to the date of PTO. New TI applications submitted after 12/30/2020 that submit a PTO dated prior to May 1, 2020 with the Post Construction Certification Package, will no longer be eligible to participate in the TI Program and the application will be rejected.

The Transition Incentive Program online portal is open to new applications effective May 1, 2020.

How and When to Transfer my SRP Registration to the Transition Incentive Program

Transition Incentive (TI) Program Online Application Portal

System applicants must submit a TI Application Packet with all required documents and signatures through the online application portal. The TI Application Packet must contain all the documents listed on the TI Application Checklist(s) below:

TI Checklists and Forms

Solar Ownership and Financing Options

Milestone Reporting Forms

The Milestone Reporting Form is required for Net Metered Facilities Greater than 1 MW and all Grid Supply and Community Solar Projects. This form must be submitted with the initial TI Application Packet and quarterly thereafter, up until the submission of the Final As-Built (Post Construction Certification) Package.

Identifying Major and Minor Deficiencies for Incomplete TI Application Packets

As the TI Application is reviewed, it will either be accepted, or deemed incomplete. This document will explain How to Identify Major and Minor TI Application deficiencies.

Extension Policy

Since the Transition Incentive Program was designed as an interim program to provide incentives after closure of the SREC Registration Program until a Successor Incentive is available, the program rules do not provide a process for individual extension requests.  The Board has provided blanket extensions for all registered projects on June 24, 2022.  A copy of the Order providing the extension is attached.

Final As-Built (Post Construction Certification) Packet

A completed Final As-Built packet (Defined under N.J.A.C.14:8-2.4 (i) as the Post- Construction Certification Package) must be submitted on or before the expiration date that is noted on the TI Acceptance letter or in the TI Transfer letter that you received when transferring your SRP Registration to the TI Program. 

You must obtain Permission to Operate (PTO) by the local Electric Distribution Company, submit all post construction documents listed in the TI Final As-Built Checklist and meet all other program requirements on of before the expiration date. The TI Program defines construction complete as the date the permission to operate is issued.

If the Final As-Built packet is submitted and construction completed after the expiration date noted in the appropriate letter, you will be required to re-submit a new TI Application Packet in the online portal. The new TI Application packet will be treated as a new submittal with no reference to the previous application.

For an installation to be deemed complete and selected for an on-site TI inspection or an inspection waiver, all documents listed on the Final As-Built Checklist must be completed and submitted to the TI Application online portal.

The Final As-Built (Post Construction Certification) Packet

Tools needed to complete the forms

NJCEP reserves the right to request a complete copy of production estimates, a full shade analysis, or any relevant documentation from the installer at any time. Save a copy of the “Results” pages for permanent record with the project file.

PVWatts/System Advisor Model (SAM)

Commonly Used Shading Analysis Tools

NJCEP permits the use of other tools as long as the tool can provide a full summary report, in case the Program Manager requests copies.

To Verify the Solar Azimuth Orientation

Program Contacts

Correspondence and inquiries should be directed to:

Transition Incentive (TI) Program Manager
New Jersey's Clean Energy Program
Phone:  866-NJSMART (866-657-6278)
Email: njreinfo@NJCleanEnergy.com



Find a Trade Ally

Find a Trade Ally

Program Literature

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