PSE&G Solar Program Overview

Public Service Electric and Gas (PSE&G) is a subsidiary of the Public Service Enterprise Group (PSEG) and has been around for 117 years. As New Jersey’s oldest and largest investor-owned utility company, it provides service to at least 2.2 million customers there. PSEG generates energy from nuclear, oil, natural gas and coal sources.

PSE&G supports many solar customers (and more every day!) who are connected to the energy grid. Customers can also purchase clean electricity, sometimes including solar-generated energy when they enroll and pay extra for a green plan. In the long run, installing your own home solar system is a less costly option, especially when you take advantage of existing solar rebates and incentives from state and federal governments.

How the PSE&G Solar Program Works

Solar energy generated from your own solar panel system can be used to power your home, store energy in a home battery, or sell the power back to the electricity grid. To power your home, you need a solar system and sunlight. To store energy for future use (like at night), you need a special home battery. To sell power back to the grid, you need a two-way system and a meter that is hooked up to the utility grid. These function together to send energy back to the grid and offset your electric bill, a program which is called net metering, Net Energy Metering or NEM.

PSE&G offers net metering almost everywhere. There is an online tool for checking the validity of your location, and EnergyPal can help you determine if your home is applicable. The energy you sell back to PSE&G is purchased at retail rates. This amount you sell back to the grid lowers your PSE&G bill. It becomes a credit that’s added to your Energy Credit Bank. Credits go against the cost of retail electricity you use when you cannot supply yourself with enough solar energy.

At the end of your 12-month billing cycle, you receive an Anniversary True-Up statement. This shows a net charge if your charges for consumed energy exceed your credits for excess solar energy contributed over the last 12 months. Conversely, if your credits for producing surplus solar energy from your panels exceed what you were charged for consumed energy, then PSG&E compensates you at wholesale rates, and that amount goes towards your next bill. However, credits do not apply to monthly basic infrastructure charges. Overall, you can offset your electric bill to near zero! EnergyPal will help you size and configure your solar and home battery system appropriately to ensure you maximize your financial savings and energy independence.

Becoming a PSE&G Solar Customer

In addition to reducing fossil fuel consumption and diminishing your carbon footprint, you can reduce your PSE&G monthly bill, improve the resale value of your home and avoid power loss during outages with your own solar (or solar-battery) system. EnergyPal will help you follow these steps:

  1. Download your PSE&G bill information on your annual usage.
  2. Assess the solar potential for your home, and analyze your roof.
  3. Compare quotes for solar panel systems and finance options.
  4. Prepare the interconnection application, and sign documentation.
  5. Install your solar system using qualified workers.
  6. Pass inspection with local inspectors and PSE&G.
  7. PSE&G will install a new meter so you can get credit for generating your own power!

Upfront PSE&G Solar Incentives

There are multiple incentive programs available to reduce the upfront costs associated with solar system installations. They are the:

  • Transition Incentive Program (TREC). For every megawatt-hour of solar power you produce, you get one Transition Renewable Energy Credit (TREC). You can sell TRECs at a rate that depends on the size and type of solar system you installed.
  • Sales tax incentive. New Jersey residents do not have to pay sales tax on solar systems.

EnergyPal is available to help you navigate PSE&G bills and the PSE&G solar program requirements and steps for installing solar. Start by requesting a quote, and we’ll help you through the whole process so you get the right system at the right price and offset your PSE&G electric bill.


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