How quickly can a state reshape its energy future? Governor Mikie Sherrill signed Executive Order No. 2 on January 20, 2026, her first day in office. The order declares a state of emergency over New Jersey’s electricity supply imbalance. It directs the Board of Public Utilities to expand solar generation and energy storage on accelerated timelines.
New Jersey declared an energy emergency on day one—fast-tracking solar and storage to close its growing supply gap.
The centerpiece is a 3 GW community solar expansion. That’s 3,000 MW of new capacity. Registration opens within 45 days. Each project is capped at 5 MW AC. The program targets underused rooftops across the state. It’s designed to be scalable and fast. The expedited registration process aims to cut through typical delays. Program websites already indicate readiness for registration of new capacity.
New Jersey’s electricity demand is projected to grow 20% by 2030 compared to 2024 levels. Data centers and growth across the PJM regional power grid are driving that increase. Supply isn’t keeping up. That gap is creating affordability pressures and reliability risks. Executive Order No. 1, signed the same day, freezes or limits residential supply rate increases. The Board of Public Utilities was instructed to ensure bill credits by July 1 to deliver direct relief to consumers.
Beyond community solar, the order launches a Competitive Solar Incentive. This solicitation covers utility-scale and distributed solar facilities over 5 MWdc. Projects must be awarded within 270 days. Qualifying facilities can combine solar with battery storage. The timeline is tied to federal investment tax credits with deadlines of July 4, 2026, and December 31, 2027.
Energy storage also gets a boost. The Garden State Energy Storage Program accelerates within 45 to 90 days. A new solicitation targets transmission-scale battery storage. The goal is 750 MW of storage alongside the solar expansion. A Virtual Power Plant Program launches within 180 days. It’ll aggregate rooftop solar, batteries, EVs, and smart controls to help reduce peak demand and improve grid flexibility.
Grid advocates have praised the order for tackling peak demand and speeding deployment. Solar Landscape, a New Jersey-based company, is preparing to scale rooftop community solar leases. The model creates lease payments for commercial building owners without requiring capital investment. The company’s recent 65 MW agrivoltaics program complements the broader expansion. The order aligns state policy with private-sector value in pursuit of grid stability and lower energy costs.
References
- https://pv-magazine-usa.com/2026/01/27/new-jersey-governor-boosts-utility-scale-solar-3-gw-of-community-solar-750-mw-of-storage-on-day-one/
- https://jerseyvindicator.org/2026/01/20/sherrill-order-no-2-directs-utilities-and-state-agencies-to-speed-solar-storage-and-grid-projects/
- https://www.utilitydive.com/news/new-jersey-gov-sherrill-orders-electric-bill-credits-development-of-vpp-p/810085/
- https://solarlandscape.com/news/binje-energy-expansion-solar-landscape-eager-to-meet-sherrills-goal-of-increasing-in-state-generation/
- https://www.nj.gov/governor/news/2026/20260218b.shtml
- https://www.archerlaw.com/en/news-resources/client-advisories/governor-sherrills-executive-orders-on-energy-affordability-and-initiatives
- https://newjerseypolicyinstitute.org/2026/01/day-one-energy-first-governor-mikie-sherrills-opening-strategy-on-affordability/
