The New Jersey Board of Public Utilities has directed electric utilities to begin developing a virtual power plant framework aimed at reducing grid congestion and peak electricity demand.
The initiative focuses on coordinating distributed energy resources such as rooftop solar systems, battery storage, and electric vehicle chargers. State regulators have set a long-term target to reduce peak demand by up to 500 megawatts by 2030 through aggregated, digitally managed resources rather than new power generation.
The board has issued a request for information asking utilities to identify constrained distribution circuits, interconnection barriers, and regulatory changes that could accelerate deployment. Utilities must also assess how smart inverters and hosting capacity improvements could enable additional connections on existing infrastructure.
Participating utilities include Atlantic City Electric, Jersey Central Power & Light, Public Service Electric & Gas, and Rockland Electric. Responses to the request are due in early March, with program development expected to proceed over the next six months.