Newark, N.J.-based Public Service Electric and Gas Co. (PSE&G) has received approval from state regulators to expand its solar loan program by approximately $143 million to finance the installation of an additional 51 MW of solar energy systems on homes, businesses and municipal buildings throughout its electric service area.
Filed with the New Jersey Board of Public Utilities (NJBPU) in March, the Solar Loan II Program was reviewed by the NJBPU staff, the Department of the Public Advocate, solar developers and installers, and other utilities.
As approved by the NJBPU, the Solar Loan II Program will be open to all electric customers, including residential, commercial, industrial and municipal/governmental. The solar systems will be owned by the borrower of the loan, typically the developer or the host customer.
The program will be available for two years, and applications will be accepted on a first-come, first-served basis until 51 MW of projects have been developed. Projects in this program may not exceed 500 kW. PSE&G will provide loans to developers or customers to cover about half of the cost of a solar installation project, depending on the projected output of the solar energy system and the cost of the system.
Borrowers can repay the loan with cash or with solar renewable energy certificates (SRECs). Under the Solar Loan II program, the SRECs are guaranteed to be valued at no less than an agreed price as approved by the NJBPU.
More information on the terms and conditions of the program is available here.