>>> THIS WEEK ON "NJ BUSINESS BEAT," IT'S A POSSIBLE BIG WIN FOR BUSINESSES, BUT ADVOCATES ARE PUSHING BACK.

WHY THEY WANT THE CORPORATE BUSINESS TAX SURCHARGE TO STAY IN PLACE.

>>> PLUS, BACKING OUT TO CUT COSTS.

THE CAPITAL CITY DROPS THE PUBLIC HEALTH INSURANCE PLAN.

>>> WITH THE GOVERNOR READY TO UPDATE HIS MASTER PLAN, WE PUT NEW JERSEY ENERGY FUTURE IN FOCUS, AND WHY SOME LAWMAKERS ARE FIGHTING TO KEEP NATURAL GAS AS AN OPTION.

THAT'S STRAIGHT AHEAD ON "NJ BUSINESS BEAT."

♪ >> Announcer: THIS IS "NJ BUSINESS BEAT" WITH RHONDA SCHAFFLER.

>>> HELLO.

I'M RHONDA SCHAFFLER.

THANKS FOR JOINING ME ON "NJ BUSINESS BEAT."

THERE IS A TAX BATTLE BREWING IN NEW JERSEY OVER THE STATE'S CORPORATE BUSINESS TAX, WHICH HIT 11.5%, THE HIGHEST IN THE COUNTRY.

RECENTLY GOVERNOR PHIL MURPHY SIGNALLED HE WOULD SUPPORT THIS YEAR'S PLANNED SUNSETTING OF A SURCHARGE ON THE BUSINESS TAX.

IF THE SURCHARGE IS ELIMINATED, THE TAX RATE WOULD DROP BACK TO 9%.

BUT THIS PAST WEEK, ADVOCATES AND UNIONS SENT A LETTER TO THE GOVERNOR AND STATE LAWMAKERS SAYING NOW IS NOT THE TIME TO GIVE PROFITABLE CORPORATIONS A TAX CUT.

THAT DREW A STRONG RESPONSE FROM THE NEW JERSEY STATE CHAMBER OF COMMERCE, WHICH SAID, KEEPING A HIGHER TAX RATE WOULD HURT THE ECONOMY.

>> WHEN THE TAX CODE IS REWRITTEN TO FAVOR A LARGE, WEALTHY CORPORATION, THEY TAKE RESOURCES FROM OUR COMMUNITIES, AND THAT PUTS A BURDEN ON EVERYDAY FAMILIES TO MAKE UP THE DIFFERENCE FOR THINGS LIKE AFFORDABLE HOUSING AND CLASSROOM SIZE AND PUBLIC PARKS.

ALL THESE THINGS HAVE TO BE PAID FOR SOMEHOW.

AND IT ENDS UP ON THE BACKS OF EVERYDAY PEOPLE.

>> WE NEED TO GENERATE AND CREATE A STRONGER BUSINESS ECONOMY AND GENERATE THE ENSUING REVENUES THAT WILL HAPPEN BECAUSE OF JOB CREATION, CORPORATE PROFITS, BEING PEOPLE BACK TO WORK AND POPULATING THE SMALL BUSINESS COMMUNITY.

IT IS SO MUCH BENEFIT IN THAT.

AND IF YOU START TO TAKE AWAY THE PROVISIONS AND HAVE MONEYS DIVERTED FOR A SMALL GROUP OF COMPANIES TO A GENERAL FUND THAT SHOULD BE FUNDED BY THE OVERALL REVENUES OF NEW JERSEY, YOU KNOW, YOU REALLY ARE CREATING A PROBLEM THAT IS NOT GOING TO ENHANCE THE OVERALL ECONOMIC FUTURE OF NEW JERSEY.

>> LAST FALL, THE STATE COMMISSION APPROVED BIG PREMIUM HIKES ON THE HEALTH PLANS COVERING MORE THAN 800,000 STATE AND LOCAL GOVERNMENT WORKERS IN NEW JERSEY.

AT THE TIME, MUNICIPALITIES SAID THEY CAN'T AFFORD THAT AND WARNED OF POTENTIAL LAYOFFS OR PROPERTY TAX INCREASES TO COVER THE 20% HIKE IN PREMIUMS.

NOW, ONE CITY IS TAKING ACTION.

TRENTON CITY COUNCIL HAS DECIDED TO DROP THE STATE HEALTH BENEFITS PLAN FOR ITS WORKERS AND GO WITH A PRIVATE INSURER, AETNA.

THE CITY SAYS THE SWITCH WILL SAVE TAXPAYERS MORE THAN $4 MILLION A YEAR.

OTHER CITIES MAY FOLLOW.

>>> MINORITY BUSINESSES IN NEW JERSEY HAVE A NEW SUPPORTER.

SHE IS CANDICE ALFONSO, WHO IS A FEW MONTHS INTO HER NEW ROLE AS NEW JERSEY'S CHIEF DIVERSITY OFFICER.

I TALKED TO CANDICE EARLIER IN THE WEEK TO FIND OUT WHAT SHE'S DOING TO CREATE MORE OPPORTUNITIES FOR THOSE BUSINESSES.

FIRST OF ALL, LET ME WELCOME YOU TO "NJ BUSINESS BEAT."

IT'S GREAT TO HAVE YOU ON.

I'M EXCITED TO RAISE AWARENESS HERE.

I'M NOT SURE EVERYONE KNOWS NEW JERSEY HAS A CHIEF DIVERSITY OFFICER.

COULD YOU START BY EXPLAINING YOUR ROLE AND MISSION?

>> THE ROLE IS BASICALLY TO MONITOR THE STATE'S PUBLIC CONTRACTING PROCESS AND TO COMPILE DATA ON AWARDING CONTRACTS FOR PARTICIPATION IN MINORITY AND WOMEN OWNED BUSINESS ENTERPRISES.

IN ADDITION TO BEING THE STATE'S CHIEF DIVERSITY OFFICER, I'M ALSO THE DIRECTOR OF THE OFFICE OF DIVERSITY AND INCLUSION, WHICH IS KNOWN AS ODI, TO EXECUTE THE DIVERSITY AND INCLUSION STRATEGIES TARGETED TOWARD BETTER UTILIZATION OF DIVERSITY, WHICH INCLUDES MINORITY, WOMEN, VETERAN, DISABLED VETERAN, AND LGBTQIA OWNED BUSINESS ENTERPRISES.

>> I WANT TO ASK YOU ABOUT THIS PUBLIC CONTRACTING PROCESS.

WHY, HISTORICALLY, HAS IT BEEN DIFFICULT FOR CERTAIN MINORITY GROUPS TO PARTICIPATE?

>> ODI IS FOCUSING ON IDENTIFYING EXACTLY WHAT IS PREVENTING DIVERSE ENTERPRISING FROM TAKING ADVANTAGE OF EXISTING OPPORTUNITIES, WHETHER IT'S COMMUNICATIONS, RESOURCES NEED TO HELP NAVIGATE THE STATE CONTRACTING PROCESS, TO WORKING WITH OUR PRIME CONTRACTORS TO OPENING UP MORE OPPORTUNITIES FOR OUR SUBCONTRACTORS.

WE WANT TO ACTIVELY LISTEN TO OUR DIVERSE BUSINESSES, TO BE BETTER ABLE TO BRING SOLUTIONS THAT REMOVE BARRIERS TO PUBLIC CONTRACTING OPPORTUNITIES IN ORDER TO PROVIDE EASIER PROCESSES AND MORE EQUITABLE OPPORTUNITIES.

>> THIS IS KIND OF A BASIC QUESTION, BUT I THINK IT'S IMPORTANT TO ASK.

WHY IS DIVERSITY IMPORTANT WHEN IT COMES TO SECURING PUBLIC CONTRACTS?

WHY SHOULD A STATE LIKE NEW JERSEY PRIORITIZE DIVERSITY?

>> AS ONE OF THE MOST DIVERSE STATES IN THE NATION, THE DIVERSITY OF OUR STATE IS ONE OF OUR KEY STRENGTHS THAT DRIVES PRODUCTIVITY, INNOVATION, AS WELL AS ECONOMIC GROWTH.

DIVERSE ENTERPRISES REPRESENT OVER HALF OF THE FIRMS IN OUR STATE.

ROBUST PARTICIPATION AND PUBLIC CONTRACTING BY DIVERSE ENTERPRISES IS NOT ONLY CRITICAL TO THE EXPANSION OF THESE ENTERPRISES BUT VITAL TO OUR STATE'S OVERALL ECONOMY.

AND IT'S IMPORTANT FOR A VARIETY OF REASONS, TO HAVE A VERY EQUITABLE ECONOMY FOR ALL THAT'S TRULY REFLECTIVE OF THE BEAUTIFUL DIVERSITY OF OUR STATE.

>> ONE THING WE'VE REPORTED ON A LOT ON THIS PROGRAM IS THE FACT THAT A LOT OF MINORITY BUSINESSES HAVE TROUBLE GETTING CAPITAL.

THEY HAVE DIFFICULTY OBTAINING FUNDS THEY NEED.

COULD THIS BE A BARRIER IN THIS PARTICULAR INSTANCE WHEN IT COMES TO PUBLIC CONTRACTS?

IS THAT, PERHAPS, ONE OF THE OTHER MANIFESTATIONS OF THIS ISSUE?

>> ODI DOES NOT PROVIDE CAPITAL, BUT WE ARE WORKING WITH OUR STATE PARTNERS AND BUSINESS REPRESENTATIVES, NEW JERSEY ECONOMIC DIVERSITY AUTHORITY AND CHAMBERS WITH A GREATER SYNERGISTIC APPROACH TO LOOK AT WAYS TO ADDRESS THIS ISSUE.

ONE THING THAT IS HELPFUL FOR ME, SERVING IN MY ROLE AS CHIEF DIVERSITY OFFICER, IS MY VAST EXPERIENCE IN STATE GOVERNMENT AND THE TRUSTED RELATIONSHIPS THAT I'VE ESTABLISHED TO BE ABLE TO REALLY MAKE THESE SYNERGIES WORK ON BEHALF OF THE MISSION DRIVEN INITIATIVES OF THE OFFICE.

>> THANK YOU SO MUCH FOR SPENDING TIME WITH ME TODAY.

IN TODAY'S ECONOMY, IT IS A RARE THING WHEN A BILL YOU'RE PAYING ACTUALLY GOES DOWN.

BUT FOR SOME PSE&G CUSTOMERS, LOWER BILLS ARE ON THE WAY.

THE UTILITY SAYS FOR ITS RESIDENTIAL CUSTOMERS, IT'S LOWERING ITS GAS SUPPLY CHARGE BY 23% STARTING FEBRUARY 1st.

COSTS ARE BEING REDUCED BECAUSE THERE'S BEEN A DECLINE IN NATURAL GAS PRICES IN RECENT WEEKS.

HOW MUCH YOU SAVE DEPENDS ON HOW MUCH GAS YOU USE.

PSE&G SAYS A CUSTOMER WHO USES 100 -- PER MONTH WILL HAVE A MONTHLY GAS BILL OF $116, OR $15 LESS FROM WHERE IT IS NOW.

THEY'VE WORKED TO KEEP GAS PRICES LOW DESPITE MARKET FLUCTUATIONS.

THE UTILITY KNOWS THE BILLS FOR RESIDENTIAL GAS CUSTOMERS ARE 30% LOWER THAN WHERE THEY WERE IN 2008.

>>> YOU MAY HAVE READ ABOUT THE CONTROVERSY SURROUNDING GAS STOVES.

THIS AFTER RESEARCHERS PUBLISHED I ASTUDY LAST MONTH LINKING CHILDHOOD ASTHMA CASES TO GAS STOVES BECAUSE OF THE POLLUTANTS THEY EMIT.

SAID IN AN INTERVIEW THAT IT WAS CONSIDERING A BAN ON GAS STOVES, BUT THE BIDEN ADMINISTRATION SAID IT WOULD NOT SUPPORT THAT.

STILL, ACROSS THE U.S., DEMOCRAT-LED STATES AND CITIES ARE ENACTING THEIR OWN BANS.

TWO REPUBLICAN LAWMAKERS IN NEW JERSEY WANT TO MAKE SURE A BAN DOES NOT HAPPEN HERE.

STATE SENATORS STEVEN -- ARE INTRODUCING LEGISLATION TO PROTECT THE RIGHT OF NEW JERSEYANS TO BUY GAS STOVES.

69% HAVE GAS STOVES.

THE ONLY STATE WITH MORE GAS STOVES IS CALIFORNIA.

>>> NEW JERSEY IS ON A PATH TO DRASTICALLY REDUCE ITS CONSUMPTION OF FOSSIL FUELS.

THE STATE'S ENERGY MASTER PLAN CALLS FOR NEW JERSEY TO RELY ENTIRELY ON CLEAN ENERGY BY 2050, AS A WAY TO COMBAT CLIMATE CHANGE, PROTECT THE HEALTH OF RESIDENTS, AND GROW THE ECONOMY.

AND JUST LAST WEEK, THE GOVERNOR ANNOUNCED HIS ADMINISTRATION IS NOW WORKING ON UPDATING THAT CLEAN ENERGY ROADMAP.

BUT AT THE SAME TIME, DELAYED PUBLIC HEARINGS ON THE MASTER PLAN UNTIL LATER THIS YEAR.

WE'RE PUTTING ENERGY INTO FOCUS, LOOKING AT HOW MUCH THE CLEAN ENERGY TRANSITION WILL COST YOU AND UNDERSTANDING HOW IT COULD PROTECT NEW JERSEY'S ENVIRONMENT.

HERE'S HOW NEW JERSEY'S ENERGY USAGE LOOKS RIGHT NOW.

NEW JERSEY RANKS 42nd IN THE NATION IN TOTAL ENERGY USE PER CAPITA.

IN 2021, NATURAL GAS AND NUCLEAR POWER ACCOUNTED FOR 90% OF THE STATE'S TOTAL ELECTRICITY NET GENERATION.

NEW JERSEY IS THE NATION'S NINTH LARGEST PRODUCER OF ELECTRICITY FROM SOLAR ENERGY, WHICH ACCOUNTS FOR NEARLY 7% OF IN-STATE ELECTRICITY GENERATION.

SOLAR AND WIND POWER ARE KEY COMPONENTS IN THE STATE'S PUSH TOWARD CLEAN ENERGY, WHICH IS PROJECTED TO GENERATE $1.3 BILLION IN ECONOMIC ACTIVITY BY 2050, INCLUDING CREATING 11,000 JOBS ANNUALLY, ACCORDING TO ONE ESTIMATE.

NOW, HERE'S WHAT NEW JERSEY'S FUTURE ENERGY LANDSCAPE WILL LOOK LIKE, ACCORDING TO THE GOALS SET BY THE MURPHY ADMINISTRATION.

UNDER THE PLAN, THE STATE WOULD RELY 100% ON CLEAN ENERGY BY 2050.

11,000 MEGAWATTS WILL COME FROM WIND BY 2040.

AND THAT WILL RESULT IN AN 80% REDUCTION IN GREENHOUSE GAS EMISSIONS.

A LOT HAS CHANGED SINCE THE MURPHY ADMINISTRATION FIRST EMBRACED ITS CLEAN ENERGY PUSH.

WE SAT DOWN WITH JANE COEN, THE EXECUTIVE DIRECTOR OF CLIMATE ACTION AND THE GREEN ECONOMY TO UNDERSTAND WHAT THE ADMINISTRATION IS CONSIDERING AS IT SEEKS TO UPDATE NEW JERSEY'S ENERGY MASTER PLAN.

A BIG PART OF THE REVIEW WILL BE UNDERSTANDING THE COST.

JANE, THE ADMINISTRATION RECENTLY ANNOUNCED PLANS TO PUSH BACK PUBLIC HEARINGSEN ON THE ENERGY MASTER PLAN, BASICALLY TO GIVE THE ADMINISTRATION MORE TIME TO DO SOME REVIEW OF FEDERAL POLICIES.

CAN YOU EXPLAIN TO US WHAT THIS TIME WILL BE USED FOR?

WHAT ARE YOU LOOKING INTO IN TERMS OF INTERPRETING HOW IT MIGHT HELP OUR MASTER PLAN?

>> AS MANY PEOPLE KNOW, THERE HAVE BEEN TWO MAJOR FEDERAL FUNDING PACKAGES, THE INFRASTRUCTURE AND INVESTMENT JOBS ACT, AND THE INFLATION REDUCTION ACT.

BOTH OF THOSE CONTAIN REALLY IMPORTANT PROVISIONS FOR COSTS, BOTH FOR THE INDIVIDUAL CONSUMER AND FOR THE RATE PAIRS AS A WHOLE, AS TO HOW WE'RE GOING TO REACH OUR CLEAN ENERGY GOALS.

IN ADDITION, IN NEW JERSEY, WE HAVE NEW POLICIES ALREADY SINCE 2019, AND WE HAVE NEW POLICIES THAT WE BELIEVE WILL BE IMPLEMENTED OVER THE NEXT YEAR.

AND ALL OF THOSE WILL ALSO BE MODELLED IN THIS NEW PLAN.

>> AND AS YOU KNOW, SOME PEOPLE ARE ASKING ABOUT THAT MODELING.

THEY'VE RAISED COST CONCERNS AND CONCERNS ABOUT COST TRANSPARENCY.

SO, HOW DO YOU ADDRESS THOSE ISSUES FOR THE PEOPLE WHO SAY, YOU KNOW, WE DON'T REALLY UNDERSTAND WHAT THIS IS GOING TO COST THE STATE?

>> THIS IS ONE OF THE REASONS WE REALLY WANT TO DO THIS HOLISTIC MODELING WITH THE FEDERAL PACKAGES INCORPORATED BECAUSE WE KNOW THOSE WILL CHANGE THE NUMBERS, POSSIBLY IN VERY SIGNIFICANT WAYS.

AND IN THE MEANTIME, WE'RE ALSO LOOKING AT AND WE WANT TO MODEL AND FURTHER UNDERSTAND, WHAT ARE THE OTHER TOOLS THAT WE HAVE AT OUR DISPOSAL TO HELP ON COSTS?

>> ON THE TOPIC OF THOSE GOALS, WE KNOW THE AMBITION 100% CLEAN ENERGY GOAL BY 2050 FROM THE ADMINISTRATION, SOME OF THE THINGS YOU AND I ARE DISCUSSING RIGHT NOW, IS THERE A CHANCE THAT THAT DEADLINE MIGHT BE MOVED UP?

>> WE ARE LOOKING AT EVERYTHING THAT WE CAN DO TO ACCELERATE OUR CLEAN ENERGY GOALS.

I MEAN, I THINK IT'S NO SURPRISE, RHONDA, THAT THIS IS REALLY TOP OF MIND FOR US HERE IN NEW JERSEY, WHERE WE CAN REALLY SEE THE IMPACTS OF CLIMATE CHANGE.

EVERYTHING THAT WE CAN DO TO REALLY REACH THOSE GOALS IN THE MOST AFFORDABLE, MOST ACCESSIBLE, AND QUICKEST WAY POSSIBLE IS REALLY WHAT WE'RE THINKING THROUGH.

AND ONE OF THE OUTCOMES OF THIS MODELING -- AND AGAIN, IT'S NOT JUST MODELING AND ANALYSIS.

IT'S ALSO A LOT OF DEEP STAKEHOLDER WORK -- WILL HELP US SEE WHAT WE CAN REALISTICALLY MEET IN BOTH -- BOTH REALISTICALLY IN TERMS OF COST BUT ALSO IN TERMS OF TIMELINE.

>> JANE, IS THERE A TIMELINE FOR WHEN YOUR REVIEW WILL BE COMPLETED?

>> WE WILL BEGIN OUR PUBLIC STAKEHOLDERING SOMETIME IN Q3 OF THIS YEAR, AND IT WILL BE A LONG AND ENGAGED PROCESS.

WE DO EXPECT IT TO BE IN 2024.

>> JANE, FINALLY, HOW DO YOU CONVINCE RATE PAYERS THAT THEY MAY BE PAYING FOR MORE ENERGY, BUT IT'S GOING TO BE WORTH IT.

>> IF YOU ELECTRIFY EVERYTHING, YOUR RATES GO DOWN.

IF YOU ELECTRIFY EVERYTHING -- AND WE UNDERSTAND THERE ARE BIG UP FRONT COSTS THERE.

THAT'S ONE OF THE THINGS THAT THE FEDERAL FUNDING CAN HELP ALLEVIATE, SOME OF THOSE UP-FRONT COSTS.

WE HAVE A FOCUS ON LOW AND MODERATE INCOME COMMUNITIES BECAUSE WE KNOW THE COSTS WILL DISPROPORTIONATELY AFFECT THOSE COMMUNITIES.

I WANT TO BE CLEAR THAT WE BELIEVE ULTIMATELY WHEN WE MOVE TO 100% CLEAN ENERGY THAT THIS WILL BE BETTER FOR THE POCKETBOOK AND ALSO FOR PERSONAL HEALTH AND FOR THE ENVIRONMENT AND THE CLIMATE.

>> WE'LL END IT THERE.

THANK YOU SO MUCH FOR YOUR TIME TODAY.

>> THANK YOU, RHONDA.

>>> AFTER THE MURPHY ADMINISTRATION ANNOUNCED THAT PLANNING FOR THE NEXT VERSION OF THE ENERGY MASTER PLAN IS UNDERWAY, STATE SENATE REPUBLICAN LEADER STEVEN -- WARNED RESIDENTS CAN'T AFFORD THE STRETCH TO CLEAN ENERGY, ENERGY CAN'T AFFORD THE EXTREMISM GOVERNOR MURPHY HAS BEEN TRYING TO IMPOSE ON FAMILIES AND BUSINESSES.

IF HIS NEXT ENERGY MASTER PLAN CONTINUES ON THE SAME COURSE, NEW JERSEYANS WILL LOSE AFFORDABLE ENERGY CHOICES, PAY HIGHER ENERGY BILLS, AND BE HIT WITH COSTLY MANDATES TO CONVERT OUR HOMES AND BUSINESSES FROM GAS TO ELECTRIC.

ONE COST STUDY DRAFTED BY THE CONSULTS FIRM RATTLE GROUP FOUND THAT NEW JERSEY'S SHIFT TO RENEWABLES WOULD CUT UTILITY RATES FOR MOST CUSTOMERS BELOW 2020 LEVELS.

THAT STUDY DID NOT EXAMINE CAPITAL COSTS WITH A SHIFT TO GREENER ENERGY.

THE MURPHY ADMINISTRATION HAS BACKING FROM ENVIRONMENTAL GROUPS, BUT BUSINESS GROUPS HAVE SPOKEN OUT ABOUT EXPENSES.

JUST LAST MONTH IN RESPONSE TO REJECTION FROM BUSINESSES, THE ADMINISTRATION PULLED A PROPOSED REGULATION THAT WOULD HAVE REQUIRED THE ELECTRIFICATION OF THOUSANDS OF COMMERCIAL BOILERS IN NEW JERSEY.

I SAT DOWN WITH RAY CANTER, DEPUTY CHIEF OF GOVERNMENT AFFAIRS AT THE NEW JERSEY BUSINESS AND INDUSTRY ASSOCIATION, TO HEAR WHY THERE'S PUSH BACK.

RAY, PUBLIC INPUT ON NEW JERSEY ENERGY MASTER PLAN HAS BEEN PUSHED OUT A BIT.

FIRST OF ALL, WHY IS IT IMPORTANT FOR THE STATE TO HEAR THE BUSINESS PERSPECTIVE OF WHAT THIS ENERGY MASTER PLAN WILL MEAN?

>> IT'S EXTREMELY IMPORTANT BECAUSE ENERGY GOVERNS EVERYTHING WE DO IN THIS STATE.

IT GOVERNS HOW OUR ECONOMY OPERATES.

IT GOVERNS WHETHER OR NOT WE CAN AFFORD TO LIVE IN THE STATE.

SO, IT'S VERY IMPORTANT THAT WE GET IT RIGHT.

THE 2019 MASTER PLAN CONTAINED A NUMBER OF POLICY SOLUTIONS THAT WE THINK ARE JUST EITHER UNAFFORDABLE OR UNREALISTIC.

SO, WE WELCOME THE ABILITY OF THIS ADMINISTRATION TO GO BACK AND TAKE ANOTHER LOOK AND HOPEFULLY COME UP WITH BETTER SOLUTIONS.

>> WHEN YOU TALK ABOUT POTENTIALLY UNAFFORDABILITY FOR BUSINESS, WHERE EXACTLY WOULD THE PAIN POINTS BE?

>> THE BP HAS NEVER DONE A FULL COST ANALYSIS OF WHAT THIS IS ALL GOING TO COST.

AGAIN, WE REALIZE WE NEED TO DECARBONIZE.

BUT WE MUST DO SO IN A WAY THAT IS AFFORDABLE.

SO, IF PEOPLE CANNOT AFFORD THEIR ELECTRIC BILLS, IF PEOPLE CANNOT AFFORD TO HEAT THEIR HOMES, IF BUSINESSES CANNOT AFFORD TO RUN THEIR OPERATIONS, THEN WE WILL HAVE ALL LOST.

WE NEED TO MAKE SURE THAT, AS WE DECARBONIZE, WE DO SO IN A MANNER THAT ENSURES THAT WE HAVE RELIABLE ENERGY ALL THE TIME AND THAT WE CAN AFFORD TO PAY OUR BILLS.

>> I'M GOING TO ASSUME A LOT OF BUSINESSES WOULD NOT BE ABLE TO AFFORD SOME OF THE CAPITAL COSTS REQUIRED.

>> NEW JERSEY ALREADY HAS, I THINK, ABOUT THE TENTH HIGHEST ENERGY COST IN THE NATION.

THESE PLANS -- ALL ELECTRIFICATION PLANS TO CONVERT ALL OUR TRUCK FLEETS TO ELECTRICITY, TO CONVERT ALL OUR FACTORIES AND COMMERCIAL BUILDINGS TO ELECTRIC HEATING, THEY'RE JUST NOT FEASIBLE.

AND, AGAIN, WE DON'T KNOW WHAT THE FULL COST OF THOSE ARE GOING TO BE.

THERE ARE OTHER THINGS WE COULD DO RIGHT NOW AND OTHER TECHNOLOGIES WE SHOULD BE LOOKING AT.

WE SHOULD BE LOOKING AT NEW TECHNOLOGIES, SUCH AS RENEWABLE NATURAL GAS, HYDROGEN, MORE N NUCLEAR POWER FOR THE FUTURE.

THERE ARE THINGS THAT HAVEN'T EVEN BEEN DISCOVERED YET THAT WE SHOULD BE CONSIDERING.

WE'RE CONCERNED THAT THE CURRENT ENERGY MASTER PLAN LOCKS US INTO 2020 TECHNOLOGY, AND THAT'S GOING TO BE WHAT YOU DO INTO THE FUTURE.

WE SHOULD TAKE OUR TIME, GET IT RIGHT RIGHT, INNOVATE, LOOK AT NEW TECHNOLOGIES AS WE GO ALONG, AND MAKE SURE WE HAVE AFFORDABLE AND ABUNDANT ENERGY FROM NOW INTO THE FUTURE.

>> THANK YOU VERY MUCH FOR YOUR TIME.

>>> WIND ENERGY IS A BIG PART OF THE AGENDA -- TO PROPOSALS FOR OFFSHORE WIND FARMS, THE ADMINISTRATION WANTS NEW JERSEY TO BECOME A WIND ENERGY LEADER.

BUT THERE ARE QUESTIONS ABOUT COSTS THERE TOO.

NEW JERSEY'S DIVISION OF RATE COUNCIL HAS VOICED FINANCIAL CONCERNS ABOUT A NEW SOLICITATION PLAN FOR LATER THIS YEAR FOR ANOTHER OFFSHORE WIND PROJECT.

I SPOKE WITH BRIAN LIPMAN, DIRECTOR OF THE DIVISION.

YOUR OFFICE HAS RAISED CONCERNS ABOUT NEW JERSEY'S PUSH INTO WIND ENERGY AND POTENTIAL COST TO RATE PAYERS.

TELL ME ABOUT THE CONCERNS YOU HAVE RIGHT NOW, ESPECIALLY AS WE KNOW THAT NEW JERSEY IS PRETTY INSISTENT.

THE MURPHY ADMINISTRATION WANTS TO ACHIEVE SOME CLEAN ENERGY GOALS BY 2050.

>> ONE OF THE IDEAS THAT THE STAFF HAS FLOATED OUT THERE WAS TO BUILD IN AN INFLATION FACTOR INTO THE BID.

AND AFTER BID -- WHATEVER IS BID IN, THEY COULD THEN INCREASE UP TO 15%.

THAT'S A SIGNIFICANT INCREASE OVER WHAT IS ALREADY BEING BID.

PART OF OUR CONCERN IS THAT A REASONABLE BIDDER IS GOING TO CONSIDER INFLATION WHEN THEY BID INTO THE AUCTION, INTO THIS PROCESS.

AND THEY SHOULD KNOW WHAT THEY NEED.

AND FOR US TO PUT OUR THUMB ON THE SCALE AND THEN PUT ANOTHER 15% ON TOP OF THAT, THAT COULD BECOME QUITE COSTLY FOR RATE PAYERS.

>> YOU POINT OUT IN YOUR FILINGS THAT NEW JERSEY RATE PAYERS ARE ALREADY PAYING QUITE A BIT FOR ENERGY.

WE'VE SEEN COSTS GO UP.

>> WHEN GAS PRICES GO UP, THAT HAS AN IMPACT ON ELECTRIC PRICES, SO ELECTRIC PRICES ARE GOING UP AS WELL.

WE ALSO HAVE A LOT OF INFRASTRUCTURE PROGRAMS GOING ON IN STATE, SOME OF THEM RELATED TO CLEAN ENERGY, SOME OF THEM RELATED TO RELIABILITY, SOME OF THEM RELATED TO STORM PREPARATION.

BUT ALL OF THAT IS BEING FUNDED BY RATE PAYERS.

>> BUT WE DON'T REALLY HAVE A TOTAL BILL, DO WE YET, ON WHAT EVERYTHING IS COSTING RATE PAYERS, IN TERMS OF CLEAN ENERGY IN PARTICULAR.

>> THAT'S SOMETHING THAT WE REALLY THINK WE NEED TO TAKE A CLOSER LOOK AT TO DETERMINE WHAT WE'RE PAYING FOR BECAUSE THERE'S A LIMITED AMOUNT OF RATE PAYER MONEY OUT THERE.

AND WE UNDERSTAND THAT RATE PAYERS ARE GOING TO HAVE TO PAY FOR ALL OF THIS.

BUT WE NEED TO DO IT IN A SMART PAY SO THAT WE'RE GETTING THE BEST BANG FOR OUR BUCK.

>> SO, WHAT IS THE BEST WAY TO GO ABOUT DOING THAT, LEARNING THE ENTIRE COST?

I MEAN, THERE WAS THE REPORT THAT CAME OUT, BUT THERE WAS SOME CRITICISM ABOUT THAT REPORT AS WELL WHEN IT COMES TO COST.

>> THERE ARE A LOT OF PROGRAMS GOING ON.

THERE ARE A LOT OF VARIABLES GOING INTO EACH OF THOSE PROGRAMS.

AND GETTING AN ACTUAL COST IS GOING TO BE EXTREMELY DIFFICULT.

WHAT OUR OFFICE TENDS TO DO IS LOOK AT THE MAXIMUM AMOUNT THAT WOULD BE SPENT AND USE THAT AS OUR EXPOSURE SO THE NUMBERS WE PROVIDE WILL BE TOTAL EXPOSURE NUMBER.

THAT DOESN'T MEAN THAT THAT'S WHAT IT WILL COST.

THAT'S THE MOST IT COULD COST UNDER WHAT'S BEEN APPROVED BY THE BOARD.

AND THAT'S WHERE WE GET SOME OF THE NUMBERS THAT WE'VE PUT OUT.

>> HOW DO YOU GO ABOUT PROTECTING RATE PAYERS AND FIGHTING FOR RATE PAYERS WHEN THERE ARE STILL SOME UNKNOWNS?

>> WELL, ONE OF THE THINGS WE USUALLY INSIST UPON IS A COST/BENEFIT TASK, TO MAKE SURE THAT THE BENEFITS OUTWEIGH THE COSTS.

SO, WE WILL LOOK AT A PROGRAM AND WE WILL SEE HOW MUCH IT'S GOING TO COST.

AND WE LOOK AT THE BENEFITS, AND WE DO A COMBINATION, SEE WHERE THAT'S GOING TO LAND.

THAT BECOMES A LITTLE MORE COMPLICATED WITH THE CLEAN ENERGY BECAUSE BENEFITS ARE A LITTLE AMORPHOUS OR DIFFICULT TO CALCULATE FINANCIALLY.

WE'VE DONE OUR BEST TO TRY TO KEEP THOSE COSTS DOWN.

AND WE'VE REALLY LOOKED AT THE IMPACT OF THE OVERALL RATE.

IT GETS A LITTLE MORE DIFFICULT WITH SOLAR AND OFFSHORE WIND.

THOSE ARE NOT REGULATED UTILITIES.

THE PRICES BECOME MORE DIFFICULT TO REGULATE AND CONTROL.

>> IT'S BEEN SO GOOD SPEAKING WITH YOU.

THANK YOU FOR YOUR TIME TODAY.

>> THANK YOU.

>>> WHILE SOLAR ENERGY MAKES UP A SMALL PART OF NEW JERSEY'S ELECTRICITY GENERATION, THE STATE WANTS SOLAR TO PLAY A LARGER ROLE.

AND A FEW YEARS BACK LAUNCHED COMMUNITY SOLAR PROGRAMS.

THESE ALLOW CUSTOMERS TO PARTICIPATE IN A SOLAR ENERGY PROJECT THAT'S NOT ON THEIR PROPERTY.

I SAT DOWN WITH BRENDAN SHANK, EXECUTIVE VICE PRESIDENT OF AS BURY PARK BASED SOLAR LANDSCAPE TO LEARN HOW THE COMPANY GOT INVOLVED.

HOW WOULD YOU DESCRIBE THE STATE OF SOLAR ENERGY IN NEW JERSEY?

AND WHAT WOULD YOU LIKE TO SEE HAPPEN TO PROMOTE MORE USE OF SOLAR ENERGY?

>> WELL, WHAT I CAN SPEAK TO IS COMMUNITY SOLAR IN NEW JERSEY.

AND COMMUNITY SOLAR IN NEW JERSEY PROMOTES JUSTICE AND CREATES JOBS.

NEW JERSEY HAS BEEN A LONG-TIME NATIONAL LEADER IN RENEWABLE ENERGY, AND COMMUNITY SOLAR IS A REALLY GOOD EXAMPLE OF HOW THEY'VE LED THE WAY, NOT JUST HERE IN THE STATE BUT ACROSS THE COUNTRY IN PROMOTING CLEAN ENERGY EQUITY AND MAKING SURE THAT ALL KINDS OF PEOPLE HAVE ACCESS TO SOLAR ENERGY.

>> YOU JUST HAD, IN FACT, A COMMUNITY SOLAR ENERGY PILOT PROGRAM IN NEPTUNE.

TELL US HOW THAT WORKS AND HOW THE COMMUNITY BENEFITS.

>> COMMUNITY SOLAR OVERALL IN NEW JERSEY IS ONE OF THE STATE'S MOST SHOVEL READY CLEANUP ENERGY OPTIONS.

WE WENT FROM GETTING THAT PROJECT APPROVED IN OCTOBER 2021 TO FINISHING CONSTRUCTION IN AUGUST.

AND IT'S NOW PROVIDING ENERGY TO NEPTUNE RESIDENTS AND NEARBY RESIDENTS IN NEARBY COMMUNITIES AS WELL.

>> I THINK IT'S IMPORTANT FOR PEOPLE TO UNDERSTAND THESE PROJECTS ENABLE TO TAP INTO CLEAN ENERGY THAT THEY MIGHT NOT BE ABLE TO AFFORD TO DO ON THEIR OWN.

>> ANYBODY NOW WHO PAYS THE UTILITY BILL CAN NOW JOIN THE CLEAN ENERGY TRANSITION BY ENROLLING IN COMMUNITY SOLAR.

THAT'S THE IMPORTANT PART OF CLEAN ENERGY EQUITY BECAUSE NOW THESE PEOPLE CAN ENROLL IN IT AND EVEN GET A DISCOUNT ON THEIR ENERGY BILLS.

>> NOW H TELL ME ABOUT FUTURE PROJECTS YOU MIGHT HAVE IN THE WORKS AT YOUR COMPANY.

>> WE'VE ALREADY FINISHED EIGHT PROJECTS AS PART OF THE FIRST ROUND OF THIS.

WE'RE CURRENTLY IN CONSTRUCTION FOR ANOTHER 46, WHICH IS GOING TO BRING US TO 54 TOTAL.

THAT'S GOING TO SERVE ABOUT 350 COMMUNITIES IN NEW JERSEY AND 11,000 HOUSEHOLDS.

SO, WE'RE REALLY EXCITED ABOUT THE MOMENTUM THAT WE'RE BUILDING IN COMMUNITY SOLAR IN NEW JERSEY.

BUT WE'RE REALLY LOOKING FORWARD TO BUILDING EVEN MORE SO WE CAN PROMOTE ENVIRONMENTAL JUSTICE ACROSS THE STATE AND CREATE MORE JOBS AS WE DO IT.

>> JOBS, ALWAYS A GOOD THING.

HOW IS THAT CREATING JOBS?

YOU MEAN JOBS THAT YOU'RE HIRING AT YOUR COMPANY?

>> WE HAVE A WORK FORCE DEVELOPMENT PROGRAM THAT'S TRAINED 1,500 PEOPLE IN NEW JERSEY SO FAR, MAYBE A LITTLE BIT MORE.

SO, WHAT WE TRY TO DO IS MAKE SURE THAT THE PEOPLE IN THE COMMUNITIES THAT ARE GOING TO BE SERVED BY COMMUNITY SOLAR, WE TRAIN MANY OF THOSE PEOPLE TO LEARN HOW TO INSTALL THE SOLAR PANELS AND THE WRACKS ON TOP OF THE COMMERCIAL WAREHOUSES WHERE WE PUT THESE INSTALLATIONS.

SO, THAT WAY WHEN THERE'S DEMAND FOR EVEN MORE SOLAR, THERE'S THE PEOPLE TO HELP FILL THAT DEMAND.

THAT'S JUST HOW WE BUILD OUT A CLEAN ENERGY ECONOMY HERE IN NEW JERSEY.

>> BRENDAN, IT'S BEEN REALLY INTERESTING HEARING ABOUT WHAT YOUR COMPANY IS UP TO.

THANKS FOR SPENDING TIME WITH ME ON "NJ BUSINESS BEAT."

>> HAPPY TO DO IT.

>>> AND THAT DOES IT FOR US THIS WEEK.

REMEMBER TO SUBSCRIBE TO OUR NJ SPOTLIGHT NEWS YOUTUBE CHANNEL TO GET ALERTED WHEN WE POST NEW EPISODES AND CLIPS.

>>> COMING UP NEXT WEEK, WE LOOK AT HOW THE JOB MARKET IS BEING IMPACTED BY A SLOWING ECONOMY.

WE'LL TELL YOU WHAT TO DO IF YOU'RE LAID OFF, AND WE'LL REPORT ON THE CURRENT WARNING ABOUT JOB OFFER SCAMS.

THANKS FOR WATCHING, AND WE'LL SEE YOU BACK HERE NEXT WEEKEND.