"New Jersey Natural Gas Modernization Act."

A4882 ATU Statement 5/28/26

ASSEMBLY TELECOMMUNICATIONS AND UTILITIES COMMITTEE

STATEMENT TO

ASSEMBLY,
No. 4882

with
committee amendments

STATE
OF NEW JERSEY

DATED:
MAY 28,
2026

����� The Assembly Telecommunications and Utilities
Committee reports favorably and with committee amendments Assembly Bill No. 4882.

����� As amended and reported, this bill is to be known as the
�New Jersey Natural Gas Modernization Act� and requires the Department of
Environmental Protection (DEP) to expedite permits issued pursuant to the �Air
Pollution Control Act (1954),� the �Coastal Area Facility Review Act,� the
�Freshwater Wetlands Protection Act,� and certain provisions of the New Jersey
Administrative Code.

����� Specifically, the bill requires the DEP to establish
streamlined pathways for the expeditious issuance of permits subject to the
bill�s provisions, to prioritize certain projects, and to establish distinct
treatments for projects requiring initial permits, including certain
preconstruction permits and operating permits, and for projects requiring
permit modifications.

����� For new permits and permit modifications, the DEP is
required to abide by certain timelines established by the bill, including, but
not limited to, timelines for the review of an application, the public comment
and public hearing periods, and the issuance of a final agency decision
regarding an application.

����� The bill also establishes certain requirements for
certain �qualifying projects,� which are defined under the bill to mean any
project located at an eligible site, which project includes: �(1) physical
modification to an existing natural gas-fired electric generating unit; (2)
installation of new equipment integrated with an existing unit; (3)
installation of a primarily natural gas-fired electric generating unit to
replace retired electric generating equipment; (4) installation of co-located
energy storage or renewable energy generation; or (5) any combination thereof.

����� Under the bill, the Board of Public Utilities, in
consultation with the DEP, is required to coordinate with PJM Interconnection,
L.L.C. to ensure timely interconnection review for qualifying projects and to
prioritize interconnection requests that support system reliability and reduce
CO2 emissions intensity.

����� In addition, during a declared reliability event, the
bill authorizes a qualifying project to operate outside of permit-specified
operating limits temporarily, provided that:� (1) operation of the qualifying
project is necessary to maintain grid reliability; (2) the authorization is
limited to the duration of the reliability event; and (3) the facility reports
emissions and operating data to the DEP within 30 days of commencing temporary
operations.� Moreover, the bill excludes any hours that a facility operates
during a reliability event from the facility�s emissions limits or other
capacity factor time limits on the operation of the facility, if applicable, of
any permit held by the facility.� However, the bill clarifies that nothing in
the bill is to authorize a qualifying project to exceed federal emissions
standards.

����� Finally, the bill prohibits a person from bringing a
legal action against the DEP for the issuance of a permit constituting a final
agency action to a qualifying project and from appealing the final agency
action unless:� (1) the person submitted a public comment that is substantive
and unique, was submitted within the noticed comment period, contains
sufficient information to put the relevant State agency on notice of the issue,
and demonstrates that the person would suffer direct harm if the comment were not
addressed; and (2) the legal action concerns the same subject matter that was
raised in the public comment.

COMMITTEE AMENDMENTS
:

����� The committee amended the bill to:

����� (1)� change the definition of �eligible site� to
clarify that an eligible site is to have some and not all of its necessary site
infrastructure, to remove a requirement that a permitted natural gas-fired
electric generating unit is to have operated at any time within the preceding
60 months, and to provide that the necessary site infrastructure may include,
but is not limited to, interconnection facilities, gas supply, or cooling or
emissions-control systems.� As introduced, the bill provided that necessary site
infrastructure included interconnection facilities, gas supply, and cooling or
emissions-control systems;

����� (2)� expand the definition of �permit� to include permits
authorized pursuant to the �Freshwater Wetlands Protection Act� and certain permits
and authorizations established pursuant to rules and regulations adopted by the
DEP and published in the New Jersey Administrative Code;

����� (3)� require the DEP to prioritize the issuance of
permits to qualifying projects that use renewable natural gas over qualifying
projects that would not use renewable natural gas;

����� (4)� require the DEP to also prioritize the issuance
of permits to qualifying projects on an eligible site where a permitted natural
gas-fired electric generating unit operated at any time within the preceding 60
months but allow the DEP, at its discretion, to issue permits to qualifying
projects on a site where a permitted natural gas-fired electric generating unit
operated at any time before the preceding 60 months; and

����� (5)� make technical changes.