DESCRIPTION OF CURRENT AND FUTURE (expected) NJ BUILDING ELECTRIFICATION IRA REBATES AND TAX CREDITS

COMPLETE DESCRIPTION::
2023-5-18 7PM, 75 minute "Electrify Everything with IRA"; Announcement; Recording; Slides1 ; Slides2

ONE PAGE SUMMARY of current NJ utility rebates, future IRA rebates, and currently proposed IRA federal tax credits:
https://docs.google.com/document/d/10vSXEtbjYZ3fBYhZbBahOLVxXrn82QKHkJGHGTRnvyg/edit?usp=sharing

· 1st column: the major categories of home credits & rebates applying to Building Electrification/Decarbonization

· 2nd column (with 4 sub-columns): rebates offered until June 30, 2024  by JCP&L and PSEG electric utilities (serving the majority of NJ)
See current heat pump rebates (continuing thru June, 2024 fiscal year) for JCP&L, PSEG, Rockland Electric, Atlantic City Electric

· 3^rd  column: currently available IRA tax credits

· 4^th column (with 2 sub-columns): IRA (future) REBATE guidelines for states.

STATUS OF NJ IRA REBATES: In early August, 2023, federal agencies released instructions to each state Energy Office (in NJ this is the NJ BPU).  The NJ BPU is now preparing plans (MANY classes of rebates), which must be returned for approval by the fed agencies. After fed approval, NJ can then finalize and implement the rebate program (late 2023 into 2024). 

THE MAJORITY OF US POPULATION WILL BE ELIGIBLE FOR IRA REBATES: Households making less than 150% of Area Median Income – AMI are eligible for the 50% rebate (very last column in the table)

· A major goal is to reduce GHG emissions by switching to high efficiency (“energy star”) electric appliances (e.g. high efficiency cold climate heat pump for space heating)

· Switching from fossil fuel to electric reduces GHG emissions, and lowers operating cost because

o electricity (in NJ) is heading toward 100% carbon-free. NJ grid is currently >50% clean, and will likely become 100% clean by 2035, as set by Gov. Murphy’s EO 315 and proposed NJ legislation (NJ Senator Bob Smith – chair of the NJ Senate Energy and Environment Committee);

o long-term gas prices will rise because of amortization of gas infrastructure among fewer customers, and simultaneous dramatic reduction of current 70 year gas infrastructure life (reference: YouTube for recordings of Aug 2 and Aug 3, 2023 NJBPU “Tech Conference”)

· NJ residents can switch electric to a source of  lowest GHG:

o Best personal investment is rooftop solar

o OR subscribe to NJ “Community Solar” for zero upfront cost and 21% lower operating cost (2023 Community Solar contracts) for new electric appliances:
LOCATE NEAREST Community Solar project: Use the “Community Solar Project Finder”