The Environmental Markets Association (“EMA”) appreciates the opportunity to provide input to the New Jersey Board of Public Utilities (“BPU”) regarding S2314 / A3723’s legislative requirement to close the current solar renewable energy certificate (“SREC”) market and transition the state to a more cost-effective solar energy program. EMA commends the BPU for its leadership in making New Jersey a national leader in solar energy. The EMA believes that New Jersey’s renewable portfolio standard (“RPS”) SREC market has been extremely successful at incentivizing new solar energy generation since its enactment. This policy has consistently achieved the stated legislative requirements in every year and has successfully facilitated the development of more than 2,500 megawatts of solar energy in only a decade. We look forward to participating in this process to ensure New Jersey accomplishes its economic and environmental sustainability policy objectives in the most efficient and cost-effective manner.

The EMA is a U.S.-based trade association representing companies that have interests in the trading, legislation, and regulation of environmental markets. EMA was founded in 1997 as a 501(c)(6) not-for-profit organization. The members have decades of extensive, first-hand experience with market instruments related to federal and regional cap-and-trade programs in sulfur dioxide, nitrogen oxide, and greenhouse gas emissions, as well as state-driven renewable energy certificate (“REC”) programs. EMA’s diverse member group represents a wide variety of participants in the clean energy markets, from utilities and electricity suppliers to renewable energy project developers and investors. Our members have extensive operational experience with RPS compliance, REC trading, and renewable energy investment in several states and, collectively, have contributed to the aggregate economic investment of billions of dollars to achieve New Jersey’s RPS. The EMA has a vested interest in the continued success of market-based mechanisms and RPS programs throughout the U.S. Given this, we believe that the EMA is uniquely qualified to share its experience with the BPU, especially as it relates to our recommendation that competitive and tradable SREC markets remain the primary solar policy framework for the successor solar program.

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