Lawmakers warm to prospect of private investment in long-neglected projects, including in renewable energy
Tom Johnson reports for NJ Spotlight
With an aging and often obsolete energy infrastructure in government-owned facilities in New Jersey, lawmakers are pushing a bill that would allow the private sector to invest in energy-related projects at those facilities.
The bill (S-2958)/(A-4535) won approval from committees in both houses last week, a sign that legislators are warming to the idea of private investments funding long neglected projects because of increasing constraints on local and other government entities.
To advocates, the concept represents a cost-effective way to fund projects that could help governments reduce energy costs, improve resiliency and develop cleaner ways of meeting government facilities’ energy needs.
“There is a large amount of aging and obsolete energy infrastructure,’’ Steven Goldenberg, a lawyer representing the New Jersey Distributed Energy Coalition, told the Senate Environment and Energy Committee, noting that government entities have consistently put off upgrades because of budgetary constraints. “Projects are not happening in the current environment.’’
Tax abatements
If the bill is enacted into law, Goldenberg argued it could lead to governments developing a wide range of projects, including renewable energy, energy efficiency and storage, and even microgrids. The latter could help critical facilities, like hospitals, keep their lights on even during failures of the conventional power grid.
