Bill > A255

Introduced Session

This bill directs the Board of Public Utilities (BPU) to adopt rules and regulations providing for mechanisms for the procurement of an "energy storage system," as that term is defined in the bill, by a basic generation service provider, an electric power supplier, and electric public utility (electric service provider) as part of the electric distribution and transmission system planning process for an energy storage system; except that the rules and regulations are not to affect any BPU-approved acquisition or competitive bidding process for an energy storage system that existed prior to the effective date of the bill. In adopting the rules and regulations, the BPU is to use its best efforts to create conditions under which the procurement of an energy storage system by an electric service provider is to provide systemic benefits, including: 1) an increased integration of energy into the distribution and transmission grid of an electric public utility; 2) an improved reliability of the grid; 3) a reduction in the need for the increased generation of electricity during periods of peak electric demand; and 4) the avoidance, reduction, or deferral of investment by an electric service provider. In consideration of all known and measurable benefits and costs to an electric service provider, the BPU rules and regulations are to: 1) establish mechanisms for the inclusion of benefits and costs associated with an energy storage system into the planning conducted by an electric service provider; 2) require an electric service provider to submit to the BPU and any BPU-approved third party, appropriate data and analysis of potential energy storage system acquisition in an electric service provider's planning processes, including potential interconnection points; 3) ensure that an energy storage system connected to the grid is not to compromise the security, safety, or reliability of the grid or any part of the grid; 4) establish that any energy storage system may be owned by an electric service provider or by any other person; 5) establish requirements for the filing by an electric service provider of an acquisition plan containing an analysis of the integration and use of an electric storage system; and 6) require an electric service provider to include other information as the BPU may require in its documentation relating to grid planning. The bill requires the BPU to treat information provided to it or an approved third party, as confidential and ensure that the BPU and any approved third party manages the information in accordance with any applicable State and federal law concerning customer data and personally identifiable information. The bill allows an energy service provider to file an application with the BPU for an energy storage system not exceeding 15 megawatts of capacity prior to the BPU adopting the rules and regulations required in the bill. The bill exempts from its provisions any cost-effective energy storage system deployment, as determined by the BPU, that existed prior to the effective date of the bill.

AI Summary

Committee Categories

Paul Kanitra (R)*, 

Introduced, Referred to Assembly Telecommunications and Utilities Committee (on 01/13/2026)

Official Document