Media Contact: Doug O’Malley, State Director, Environment New Jersey
Trenton – Governor Phil Murphy signed into law on Friday afternoon revised “smart solar” permitting legislation (S4100/A5264). The State Senate and Assembly passed the amended legislation unanimously last Thursday and earlier in December. The legislation will need to be implemented by the Department of Community Affairs (DCA) under the Sherrill Administration.
The bill will expedite the approval process for residential solar and battery systems, delivering more solar installations and energy bill savings for families across the state. This legislation would require the DCA to make an online, automated permitting platform for rooftop solar and battery installs available statewide within eighteen months of the bill’s signing. Households with code-compliant projects will be able to avoid costly and burdensome red tape and obtain the permits they need to proceed nearly instantly.
“After the latest PJM regional electric grid auction, it’s clear we can’t depend on outside help to lower utility bills. Gov. Murphy’s decision to sign the smart solar permitting bill into law will provide more clean energy to our electric grid and provide more savings for ratepayers. Smart solar permitting can bring permitting into the 21st century and reduce costs and burdens on towns and cities,” said State Sen. John McKeon (D-27), the Senate prime sponsor of the legislation. “We should put people over paperwork so we can get more solar on our rooftops and more savings for ratepayers in our wallets. I look forward to working with the Sherrill Administration and DCA to implement this win for the environment, the electric grid and for all of us.”
Hundreds of cities around the country are already using smart solar permitting to fast-track solar and battery applications, quickly and safely delivering energy independence and lower bills to their residents. Smart permitting is also widely accessible by state law in California, Maryland, Texas and Florida. In June 2024, the National Renewable Energy Laboratory (NREL) estimated that in the communities where SolarApp+, the smart permitting platform designed by the federal government, is used, the software saved 15,400 hours of local government staff time in 2023 and sped up the permitting process by an average of 14.5 days.
“Thank you to Gov. Murphy for signing the smart solar permitting bill into law — easing the solar permitting process is a three-peat win – saving time and money for families, solar installers, and local governments alike,” said Assembly State and Local Government Chairman Robert Karabinchak (D-18), the Assembly prime sponsor of the legislation. “Households are realizing that by going solar they can break free from utility companies and reduce their electricity bills and reduce climate and air pollutants. This is a big step forward for New Jerseyans at the exact time we need ratepayer relief on utility bills and to get more clean energy onto the grid. I worked closely with DCA on this legislation and I look forward to working with Gov.-elect Sherrill’s Administration and DCA to implement this program.”
The Regional Plan Association released a report earlier this year examining local barriers to home solar and battery installs across New Jersey. It found that New Jersey has the third-slowest permitting timelines for residential solar projects in the country. Families that want to “go solar” typically have to navigate a confusing network of local government hurdles, including multi-departmental reviews, inconsistent or outdated requirements, and antiquated sign-off procedures. The process is so difficult in some municipalities that many installers avoid them, leaving consumers in those towns with limited options to choose from if they want to go solar.
“Kudos to Gov. Murphy for signing this legislation and working to speed up solar and storage permitting for households to make it easier to make the switch to clean energy. It’s time to bring solar permitting into the 21st century and follow the lead of other cities and states,” said Doug O’Malley, director of Environment New Jersey. “This is a solar slam dunk that will expand clean energy, reduce air and climate pollution and remove headaches for residents and solar installers. Thank you to Sen. McKeon and Asm. Karabinchak for their leadership and it’s critical that the Department of Community Affairs implements this legislation as quickly as possible in a Sherrill Administration.”
Permitting inefficiencies aren’t just an administrative headache, they also increase costs for consumers. Permitting can add $3,800 to $4,500 to the cost of a typical rooftop solar system in New Jersey. Nearly one out of five residential solar projects are cancelled before installations, with installers citing permitting barriers as the number one reason for the cancellations.
“New Jerseyans are embracing rooftop solar and battery storage as a smart way to cut costs and take control of their energy usage,” said Leah Meredith, Mid-Atlantic director of state affairs for the Solar Energy Industries Association (SEIA). “Smart permitting helps accelerate that transition by removing bureaucratic red tape, reducing delays, and lowering costs for families and local governments. This legislation is a practical step that will benefit homeowners, small businesses, and the entire New Jersey economy.”
Smart solar permitting could unlock tremendous benefits for New Jerseyans and our electric grid. Brown University Climate Solutions Lab estimates that adopting smart permitting statewide could result in an additional 200,000 residential solar systems installed by 2040.
“Smart permitting is a huge win for New Jersey families who want clean, affordable energy,” said Hannah Birnbaum, Chief of Advocacy at Permit Power. “We’re grateful to Governor Murphy for taking this step to make deploying some solar and batteries faster and cheaper. We look forward to working with Governor-Elect Sherrill and the Department of Community Affairs to quickly implement this legislation and ensure that New Jerseyans looking to save on their utility bills with solar can do so without delay.”
The bill also allows local communities to opt out of using the Department of Community Affairs (DCA) platform as long as they implement a comparable alternative. These jurisdictions must submit an annual report to the DCA that provides information on the number of permit applications submitted through their automated platform and shows documentation that their platform meets the needed requirements.
“With energy bills on the rise, reforms like this help us protect NJ communities. We all win by making it easier, faster and more affordable to generate clean energy at home,” said Elowyn Corby, Mid-Atlantic Regional Director for Vote Solar Action Fund. “No one should be locked out of the clean energy transition, but an unwieldy permitting process can do just that. Along with the other members of the NJ Shines Coalition, we’re excited to see this good idea become law – and we’re grateful to Senator McKeon, Assemblyman Karabinchak, and Governor Murphy for making it happen. Let’s hit the ground running with implementation in 2026, and accelerate progress toward a resilient and equitable New Jersey that works for everyone.”
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