Establishes Climate Change Mitigation and Resilience Financing Program in NJ Infrastructure Bank; imposes per-kilowatt hour charge on electric energy consumption to finance climate change mitigation and resilience projects.

# New Jersey Climate Change Mitigation and Resilience Financing Program - Summary This bill establishes the Climate Change Mitigation and Resilience Financing Program within the New Jersey Infrastructure Bank (NJIB) to provide low-interest loans and financial assistance for climate-related projects. ## Key Elements: **Program Purpose:** - To finance climate change mitigation and resilience projects through the NJIB - Projects must eliminate, reduce, or sequester greenhouse gas emissions (mitigation) or protect against climate impacts (resilience) **Project Definitions:** - *Mitigation projects* include renewable energy (Class I/II), community solar, energy efficiency, zero-emission transportation, carbon capture, reforestation, and wetlands restoration - *Resilience projects* include flood protection, water storage systems, infrastructure redesign, and harmful algal bloom mitigation **Funding Mechanism:** - A non-bypassable, irrevocable charge on electric utility customers: - $0.0003 per kilowatt-hour initially - Decreases to $0.0002 when 50% of electricity comes from renewable sources - Decreases to $0.0001 when 75% of electricity comes from renewable sources - Phases out completely when 100% of electricity comes from renewable sources **Administration:** - NJIB will create a "State Climate Change Mitigation and Resilience Bank Fund" - NJIB will issue "New Jersey Climate Bonds" to finance the program - Department of Environmental Protection (DEP) and Board of Public Utilities (BPU) will develop: - Priority systems and ranking criteria - Annual project priority list - Project eligibility criteria **Project Prioritization:** DEP will prioritize projects that: 1. Protect human health, safety, environment, and critical infrastructure from climate impacts 2. Reduce greenhouse gas emissions 3. Meet New Jersey's clean energy goals **Program Requirements:** - Annual submission of project priority lists to the Legislature - Legislative approval of annual appropriations - Reporting on financed projects, benefits, and economic impacts The bill creates a dedicated funding stream that directly links electricity consumers' payments to progress toward renewable energy targets, while financing projects to combat climate change impacts in New Jersey.