But solar power is the exception.  New Jersey is mandated by the state’s Energy Master Plan to provide 20 percent of its energy through renewable sources by 2020.  To reach that lofty goal just 10 years away, the state is offering monetary incentives to get it done.  And alternative energy providers are lining up to cash in.

The state set up a system whereby solar systems – whether at a private residence or a commercial site – can earn Solar Renewable Energy Certificates.  Each 1,000 kilowatt hours of energy produced earns the provider one credit.  These credits are currently selling for just under $700 apiece.

The buyers of these energy credits are the utility companies, which are the ones under the gun to supply 20 percent renewable energy.  If a utility doesn’t meet the 2020 goal, they will be penalized with a Solar Alternative Compliance Payment.  So if they’re going to shell out the bucks anyway, why not go solar?  It’s good public relations and reduces dependency on coal, oil, etc and their associated price fluctuations.

There are currently over 50 renewable energy projects on the drawing board in New Jersey.  As more farmers and large landholders become aware of this new income source, more and more projects will be planned in the Garden State.  The key is for the solar farm to be located near high transmission lines, which makes getting the electricity they produce easier and less costly to get on the grid.  And besides getting paid via the credit system, the providers also get the current rate per kilowatt.  It’s win-win.

There is one caution to anyone thinking about having solar panels installed at their property.  Since this is a fairly new and lucrative business, a lot of inexperienced and unqualified companies are looking to install your solar system.  Like anything, get quotes from at least three companies and ask for references and about projects they have already completed.  Be careful and choose wisely.  After all, this is New Jersey!

- Mountain Man and City Girl

http://www.MountainManandCityGirl.com