NJBPU releases Virtual Power Plant (VPP) Straw Proposal
NJBPU today released for public comment a Straw Proposal outlining proposed approaches to New Jersey’s first Virtual Power Plant (VPP) Program, fulfilling a top directive of Governor Sherrill’s Executive Order No. 2 (EO2).
As outlined in EO2, a VPP can use technologies like smart thermostats, electric vehicle chargers, and batteries to avoid costly infrastructure upgrades, reduce bills for ratepayers, and provide direct compensation for the services provided.
The VPP Straw Proposal proposes a framework to aggregate behind-the-meter distributed energy resources into a coordinated, utility-grade supply of grid services. It aims to reduce system-wide costs, reduce peak demand and emissions, improve grid reliability, and support community resilience.
NJBPU Staff will hold a stakeholder meeting to discuss the VPP Straw Proposal on July 30, 2026, from 8:30 a.m. to 4 p.m. Attendees who wish to attend in-person must register by 5 p.m. ET on July 28 by completing this form.
NJBPU invites all interested parties and members of the public – especially third-party distributed energy resource aggregators; energy storage developers, owners, and operators; and New Jersey’s four Electric Distribution Companies – to attend the stakeholder meeting and submit written responses. The deadline for public comments on this matter is 5 p.m. ET on August 17, 2026.
More information is provided in the Public Notice.