NJ SmartStart Buildings
New Jersey Higher Education
Partnership for Sustainability (HEPS)
January 20, 2012
Presenter: BPU President Robert Hanna
Commercial & Industrial Program Focus
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Commercial Buildings
Local Government Facilities
Schools – K-12
Industrial Facilities
Manufacturing
Healthcare Facilities
Multifamily Buildings
Hospitality Industry
Higher Education Institutions
NJCEP Overview
 NJ SmartStart Incentives
 Prescriptive and Custom
 Direct Install
 P4P (Pay for Performance)
 Local Government Energy Audit
 Benchmarking
 New for 2012
NJ SmartStart Incentives
 Applicable to new construction, rehab, and
retrofit projects
 $500k annual cap (electric/gas) per customer
meter
 Incentives - not rebates
 Do no install equipment before applying
 Over $70 million of the total incentive pool of
$250 million is budgeted for Smart Start
incentives in 2012
Prescriptive Incentives – Pre-qualified Technologies
• Electric Chillers
• Natural Gas Cooling
• Electric Unitary HVAC
Systems & Controls
• Ground Source Heat
Pumps
• Gas Heating
• Water Heating
• LED Lighting
• Variable Frequency Drives
• NEMA Premium Motors
• Prescriptive & Performance
Lighting
• Lighting Controls
• Refrigeration Doors/Covers
and Controls
Custom Electric/Gas Projects
 Custom measures may provide incentives for
unique energy-efficiency measures
 Incentives paid upfront on a per therm and/or
kWh saved basis during the first year.
 Eligible projects must have a minimum first year
energy savings of 75,000 kWh or 1,500 therms
Direct Install (DI)
 A turn-key, retrofit program designed to replace
eligible lighting, HVAC and other inefficient
operational equipment within your building
 For buildings ≤150kW peak monthly demand
 Provides incentives of up to 70% of the project
cost, customer pays remaining 30%
 NJCEP incentives are paid directly to the
contractor on your behalf
Key DI Program Features
 Minimal customer investment
 Generous incentives and fast paybacks
 Each project starts with a detailed no-cost measure
assessment by the participating contractor
 A select group of pre-qualified contractors deliver all
program services at negotiated flat fees for measures
 All permitting and disposal included
 Clean Energy staff oversee each project
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Pay for Performance (P4P) Program
 Comprehensive, whole-building approach to saving
energy in existing or new facilities
 Goal is to reduce facility energy consumption by 15%
or more
 New construction projects must save 15% over
current ASHRAE building code
 Uses a network of program partners who provide
technical services under direct contract to you
 We monitor their performance on your behalf
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P4P Eligibility Requirements
 Existing Building
 Located in New Jersey
 Annual peak monthly demand in excess of
100kW
 New Construction
 Located in New Jersey within Smart Growth area*
 50,000 square feet of conditioned planned space
* Smart Growth requirement may be eliminated in 2012
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P4P Incentives
 Participants pay partner fees
 Requests for incentives filed by partner
 Paid directly to participants to improve the performance
of their buildings
 Incentives up to $1 million per gas/electric meter or up to
$2 million total per project, assuming there is both gas
and electric savings, additional $1.25 million for CHP (if
part of project).
 Low interest EDA financing is available ($250k to $2.5
million/project)
CHP/Fuel Cells
 No maximum system size for incentive
 1MW, larger systems directed towards future BPU CHP/FC
Program
 Incentive payment structure
 Incentive #1 – 20% - Proof of equipment purchase
 Incentive #2 – 60% - Project completion
 Incentive #3 – 20% - Efficiency verification (i.e. 12 months post
construction)
 Incentive cap of $2M (combination utility plus NJCEP)
CHP Incentives Paid By Program
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Raritan Valley Community College - $1,000,000
Rowan University - $1,000,000
Princeton University - $243,000
Salem Community College - $130,000
Local Government Energy Audit
The Local Government Energy Audit is available
for:
• NJ Local Governments
• 501(c)(3) Non-profit Agencies
• NJ State Colleges and Universities
Covers a wide range of building types, including: Offices, Town
Halls, Police Stations, Fire Stations, Courtrooms, Schools,
Community Centers, etc.
• Workshop later today will cover more details on this
free audit service
In the Works for 2012
• Retro-commissioning Pilot
• Incentives for improving the operating efficiency of
your energy systems
• Continuation of the Large Energy Users Program
• Enables the largest energy users to submit their
internal energy efficiency projects for review and
approval paid for by their own SBC funds
• Large CHP and Fuel Cell Incentives
• Systems over 1MW in size
Building energy performance assessments designed
to help you:
 Understand how energy is consumed and the cost
trends at each building
 See how your building(s) compare to similar
buildings using EPA Portfolio Manager
 Identify relevant NJCEP incentives for each facility
For more information and new
program announcements:
NJCleanEnergy.com/MUNI
or call 866-NJSMART