October 12, 2009

Newark, NJ, USA: PSE&G Accepting Proposals for 5MW of Solar

PSE&G is soliciting proposals from developers and third-party-owned sites for the development of 5 megawatts of roof and ground-mounted solar systems to be owned by PSE&G and that will provide rental income to property owners. Solar developers, together with owners of real estate located in the utility's electric service territory, will propose sites for solar installations.

Owners will receive rent for roof-mounted, building-mounted, and ground-mounted solar systems installed on their properties and connected directly into the electric grid.

PSE&G received approval from the New Jersey Board of Public Utilities on August 3, 2009 to implement its Solar 4 All Program for the construction of 80 megawatts (dc) of PSE&G-owned solar generation. The company will invest approximately $515 million in the program over the next several years to help New Jersey meet its renewable energy goals. The investment will effectively double installed solar capacity in the state.

As part of the Solar 4 All Program, one of the program segments allows PSE&G to install, own and operate 10 megawatts of solar systems on any public or private third-party host site located in the utility's electric service territory. PSE&G will own the system and its energy output as well as the associated environmental attributes. PSE&G will begin accepting applications during an Open Season for solar systems located on third-party sites beginning today. The Open Season will remain open for 60 days until the close of business on December 11, 2009.

This initial Open Season solicitation is seeking proposals for 5.1 MW of projects, covering the 2009-2010 and the 2010-2011 Energy Planning Periods. The area to be used for the solar installations must be able to accommodate a 500 kilowatt or greater solar system and should be no greater than 2 megawatts. Typically, a 500 kilowatt system requires 50,000 square feet of unobstructed roof space.

"We are committed to working with solar developers to increase solar renewable generation in New Jersey," said Al Matos, PSE&G's vice president for renewables and energy solutions. "Our Solar 4 All program will result in new green jobs for the solar industry and will allow useful solar energy production to be placed on real estate that normally had little economic value."

"Beginning today developers are encouraged to team up with potential host sites to propose projects to PSE&G," said Susanna Chiu, PSE&G's director of business development. "Municipalities and other government entities, school districts, and owners of private real estate may participate in the project," she said. "The selected host sites will not only earn revenue from the rental payments from PSE&G but may also receive public recognition for taking part in an exciting program to benefit the environment."

PSE&G is seeking a fixed price for the solar system from the developer and will compensate the selected third party host sites via lease payments for a term of 20 years unless a shorter term is required by law, as may be the case for municipalities.

Further details about: Solar 4 All program