New Jersey has launched the first phase of a statewide energy storage initiative aimed at deploying 2 gigawatts of capacity by 2030, as part of a broader effort to cut electricity costs, improve grid reliability and meet clean energy targets.
The New Jersey Board of Public Utilities (NJBPU) approved Phase 1 of the Garden State Energy Storage Program (GSESP) on June 18. The program follows two years of stakeholder consultation and builds on the state’s 2018 Clean Energy Act, which mandates 2GW of storage by the end of the decade.
“This is a pivotal moment for New Jersey’s energy landscape,” said NJBPU president Christine Guhl-Sadovy. “The Garden State Energy Storage Program is part of our commitment to addressing the causes of rising electric rates, ultimately putting more money back into the pockets of New Jersey families.”
The first phase will provide funding for up to 1,000 megawatts of grid-scale storage through a competitive solicitation process, using the New Jersey Clean Energy Program budget. According to officials, the program will not result in increased costs for consumers.
Tranche 1 of Phase 1 will offer 350–750MW of capacity, with the solicitation set to open on June 25. Final bids are due by August 20, and awards are expected by October 31, 2025. A second tranche will follow in the first half of 2026 to complete the 1,000MW goal.
Phase 2, also scheduled for 2026, will focus on distributed energy storage systems on local grids, including front- and behind-the-meter installations. A third phase, which would introduce performance incentives for transmission-scale systems, is currently under evaluation.
“By strategically investing in energy storage now, we’re building a resilient system that can better withstand both man-made and weather-related disruptions,” Guhl-Sadovy added.
The NJBPU said the program is expected to reduce greenhouse gas emissions, create jobs, improve public health, and support overburdened communities. It will also prioritize projects that repurpose brownfield sites, aligning with New Jersey’s equity and environmental justice goals.
