New Jersey SREC Market Guide: NJ Successor Solar Incentive (SuSI) — Administratively Determined Incentive (ADI / SREC-II)
Complete homeowner guide to New Jersey’s Successor Solar Incentive (SuSI) Administratively Determined Incentive (ADI) program: how to lock in a guaranteed $85/SREC-II fixed payout for 15 full years, avoid missing the strict pre-installation ADI registration rule, and trade legacy NJ TRECs/SRECs.
1. How the New Jersey SREC Market & Registration Process Works
Mechanic 1 — How NJ’s Fixed $85/SREC-II (ADI) Eliminates Market Volatility for 15 Full Years: Unlike volatile spot markets, New Jersey’s Board of Public Utilities (NJBPU) created the Successor Solar Incentive (SuSI) program where net-metered residential systems (≤25 kW DC) earn a state-guaranteed fixed payout of $85.00 for every 1,000 kWh (1 MWh) generated for 15 years from Utility Permission to Operate (PTO).
Mechanic 2 — CRITICAL NJ RULE: You MUST File Initial SuSI ADI Registration BEFORE Starting Physical Roof Installation: Under NJBPU SuSI regulations, your installer must submit the Part 1 Initial ADI Registration on the njcleanenergy.com portal and receive a Conditional Registration Notice BEFORE bolting a single rail to your roof! (Only rare formal NJBPU Board waivers rescue systems installed prior to Part 1 filing).
Mechanic 3 — Direct InClime State Payouts vs. SREC Broker Aggregation: Because NJ SREC-II credits have a state-guaranteed $85 price paid through the state’s Tranche/InClime administrator, you do NOT need to give up 10% of your money to a broker! You can register directly or use a low-fee automated meter-reading platform.
Mechanic 4 — Legacy NJ SREC (~$190–$215) & TREC ($91.20 / $152 Factor) Systems on Home Purchases: If you buy a New Jersey home with an existing solar array installed between 2012 and 2021, check whether the system is in the legacy SREC market (~$195/MWh) or the Transition Incentive TREC program ($91.20/MWh for residential net-metered factor 0.6)—and require the seller to transfer the PJM-GATS account to you at closing!
2. 10-Year SREC Cash Earnings & Incentive Stack Worksheet
Model Your System Payback →NEW JERSEY 10KW RESIDENTIAL SOLAR — 15-YEAR GUARANTEED SuSI (SREC-II) SCHEDULE =================================================================================== Period Annual Generation SREC-IIs Minted Guaranteed Rate Cash Paid to Homeowner -------------------------------------------------------------------------------------------- Years 1–5 ~12,000 kWh / yr 60 SREC-IIs $85.00 / MWh $5,100.00 Guaranteed Years 6–10 ~11,700 kWh / yr 58.5 SREC-IIs $85.00 / MWh $4,972.50 Guaranteed Years 11–15 ~11,400 kWh / yr 57 SREC-IIs $85.00 / MWh $4,845.00 Guaranteed -------------------------------------------------------------------------------------------- TOTAL 15-YEAR STATE-GUARANTEED NJ SREC-II CASH PAYOUT: $14,917.50 Tax-Free NJ Sales + Property Tax Exempt!
New Jersey SREC Trading & Tax FAQ
Do I need a special revenue-grade solar production meter to earn New Jersey $85 SREC-IIs?
Yes! NJBPU SuSI rules require an ANSI C12.20 certified revenue-grade production meter (which is built directly into the Enphase IQ Gateway/Combiner 4 & 5, SolarEdge Energy Hub with RGM CT, and Tesla Powerwall 3 / Gateway) to record exact gross solar kWh generation.
What happens after my 15-year New Jersey SREC-II (ADI) contract finishes in Year 16?
After your 15-year SREC-II Qualification Life expires at the end of Year 15, your system automatically transitions to generating New Jersey Class I Renewable Energy Certificates (NJ Class I RECs) on PJM-GATS for the remaining life of your panels.
Are solar panels exempt from New Jersey’s 6.625% State Sales Tax and local property tax assessments?
Yes, 100%! New Jersey grants a complete 100% exemption from the 6.625% NJ Sales & Use Tax on all solar and battery equipment (Form ST-4) AND a 100% local municipal Property Tax Exemption on the added home value!