Garden State Energy Storage Program
The Garden State Energy Storage Program (GSESP) offers incentives for the installation of grid supply and distributed energy storage systems. The program opened with the Tranche 1 solicitation in June 2025.
Status
Phase 1 Tranche 1 closed
Schedule
December 2025: Board Decision on Phase 1, Tranche 1 bid awards pending Board Order. Announcements regarding the opening of upcoming application windows will be posted on the New Jersey Clean Energy website and distributed to the Energy Storage listserv.
August 20, 2025: Deadline for submission of Phase 1 Tranche 1 bids.
June 25, 2025: Pre-qualification window opens for Phase 1 Tranche 1 bid submissions.
Program Contacts
Relevant Audiences
On this page
About the Program
GSESP Board OrderThe Garden State Energy Storage Program (GSESP) provides incentives to eligible energy storage projects in New Jersey. Phase 1 will award fixed incentives through a competitive solicitation process to transmission-scale standalone storage projects and qualifying solar-plus-storage projects not covered under the Successor Solar Incentive (“SuSI”) Program. The goal for Phase 1 is to procure at least 1,000 MW of transmissions cale energy storage across multiple solicitations.
New Jersey has set one of the nation’s most ambitious storage targets: 2,000 MW of installed energy storage by 2030. Energy storage is essential to easing supply constraints that drive rate increases, strengthening grid resilience, reducing carbon emissions, and supporting the State’s transition to 100% clean energy.
New rules governing energy storage (Docket Number QX25050283) were proposed in the New Jersey Register on August 4, 2025, at 57 N.J.R. 1651(a). GSESP and its associated rules establish a foundation for a long-term energy storage effort in the State.
View Board OrderTo stay informed about program updates, please subscribe to the Energy Storage listserv.
Current Status
The application window for Tranche 1 of the GSESP closed on August 20, 2025. Tranche 1 was open to transmission-scale energy storage projects with an installed capacity of at least 5MW, including stand-alone storage, storage additions to existing solar, and solar-plus-storage resources that are ineligible for storage incentives under the Board’s SuSI Program. Eligible projects also could not receive direct monetary incentives, such as grants or rebates, from the BPU or any other New Jersey program specifically designed to support storage.
The Board expects to announce decisions on bids at an upcoming Board meeting.
Program Segments
The program will be deployed in multiple phases as outlined in the table below.
| | Phase 1 - Transmission Fixed | Phase 2 - Distribution Fixed | Phase 2 - Distribution Performance | Phase 3 - Transmission Performance |
|---|---|---|---|---|
| Projected Launch Date | 2025 | 2026 | 2026 | Deferred |
| Incentive Timing | 15-year payout | Upfront | Ongoing | Deferred |
| Form | Annual competitive bid | Annual Block | Pay-for-Performance | Deferred |
| OBC Adder | No | Yes | No | No |