Hydrogen Laws and Incentives in New Jersey
The list below contains summaries of all New Jersey laws and incentives related to hydrogen.
Laws and Regulations
Energy Master Plan
New Jersey has developed an Energy Master Plan (EMP) that will guide the State to achieve its goals of electrifying the transportation sector and achieving 100% carbon-neutral electricity generation by 2050. The EMP calls for decarbonization of the transportation sector through:
- Supporting the deployment of 330,000 light-duty electric vehicles (EVs) by 2025;
- Deploying electric vehicle (EV) chargers throughout the state;
- Creating incentives for EV chargers;
- Educating consumers and fleet owners on EVs;
- Transitioning state fleet vehicles to EVs;
- Partnering with industry to develop incentives for medium- and heavy-duty all-electric or fuel-cell vehicles; and
- Exploring policies that accelerate the adoption of alternative fuels.
For more information, see the Energy Master Plan website.
Fuel Cell Task Force
The New Jersey Fuel Cell Task Force (Task Force) was established to increase fuel cell use in the state, including fuel cell electric vehicles. The Task Force will support the growth of fuel cell companies, increase fuel cell use in state departments and agencies, develop a plan to expand fuel cell infrastructure, as well as provide information and educational resources to the public, government, and industry on the benefits of fuel cell technology. The Task Force must submit a report on increasing the use of fuel cells to the governor and the legislature within a year of its organization and annually thereafter.
(Reference New Jersey Statute 26:2C-68)
Low Emission or Alternative Fuel Bus Acquisition Requirement
All buses purchased by the New Jersey Transit Corporation (NJTC) must be: 1) equipped with improved pollution controls that reduce particulate emissions; or 2) powered by a fuel other than conventional diesel. Qualifying vehicles include compressed natural gas vehicles, hybrid electric vehicles, fuel cell vehicles, vehicles operating on biodiesel or ultra-low sulfur fuel, or vehicles operating on any other bus fuel approved by the U.S. Environmental Protection Agency. If the NJTC is unable to meet the bus purchase requirement, the organization must submit a report to the New Jersey Senate and General Assembly detailing the reasons and the state legislature may grant an exemption.
(Reference New Jersey Statutes 27:1B-22)
Medium- and Heavy-Duty (MHD) Zero Emission Vehicle (ZEV) Deployment Support
California, Colorado, Connecticut, District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Nevada, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, and Washington (signatory states) signed a memorandum of understanding (MOU) to support the deployment of MHD ZEVs through involvement in a Multi-State ZEV Task Force (Task Force).
In July 2022, the Task Force published a multi-state action plan to support electrification of MHD vehicles. The action plan includes strategies and recommendations to accomplish the goals of the MOU, including limiting all new MHD vehicle sales in the signatory states to ZEVs by 2050, accelerating the deployment of MHD ZEVs, and ensuring MHD ZEV deployment also benefits disadvantaged communities.
For more information, see the MHD ZEVs: Action Plan Development Process website.
Medium- and Heavy-Duty Zero Emission Vehicle (ZEV) Requirement
New Jersey has adopted the California Advanced Clean Trucks requirements specified in Title 13 of the California Code of Regulations, requiring manufacturers to meet California’s ZEV production and sales requirements. Beginning with model year 2025, manufacturers will be required to sell zero-emission trucks as an increasing percentage of their annual sales for Class 2b through Class 8 vehicles in New Jersey. ZEVs include all-electric and fuel cell electric vehicles. Emergency vehicles and military tactical vehicles may be exempt. For more information, see the New Jersey Department of Environmental Protection Advanced Clean Trucks Program and Fleet Reporting Requirements.
(Reference New Jersey Administrative Code 7:27-31, 33 and 7:27A-3.10)
Zero Emission Vehicle (ZEV) Deployment Support
New Jersey joined California, Connecticut, Maine, Maryland, Massachusetts, New York, Oregon, Rhode Island, and Vermont in signing a memorandum of understanding (MOU) to support the deployment of ZEVs through involvement in a ZEV Program Implementation Task Force (Task Force). In May 2014, the Task Force published a ZEV Action Plan (Plan) identifying 11 priority actions to accomplish the goals of the MOU, including deploying at least 3.3 million ZEVs and adequate fueling infrastructure within the signatory states by 2025. The Plan also includes a research agenda to inform future actions. On an annual basis, each state must report on the number of registered ZEVs, the number of public electric vehicle (EV) chargers and hydrogen fueling stations, and available information regarding workplace fueling for ZEVs.
In June 2018, the Task Force published a new ZEV Action Plan for 2018-2021. Building on the 2014 Action Plan, the 2018 Action Plan makes recommendations for states and other key partners in five priority areas:
- Raising consumer awareness and interest in electric vehicle technology;
- Building out a reliable and convenient residential, workplace and public charging/fueling infrastructure network;
- Continuing and improving access to consumer purchase and non-financial incentives;
- Expanding public and private sector fleet adoption; and
- Supporting dealership efforts to increase ZEV sales.
For more information, see the Multi-State ZEV Task Force website.
Zero Emission Vehicle (ZEV) Fee
Beginning July 1, 2024, ZEV owners must pay an annual fee of $250 in addition to standard registration fees. ZEV fees increase by $10 every year until 2028. The fees will contribute to the Transportation Trust Fund Account – Subaccount for Capital Reserves to support transportation projects.
(Reference New Jersey Statutes 27:1B-20 and 39:3-8.5)
Zero Emission Vehicle (ZEV) Infrastructure Support
Any individual, business, or public entity completing infrastructure improvement projects or redeveloping residential, commercial, industrial, public, or other structures is encouraged to include ZEV fuel and charging infrastructure in redevelopment plans. ZEVs must meet emissions and compliance requirements specified in Title 13 of the California Code of Regulations for the applicable model year, including but not limited to, electric vehicles (EVs) and hydrogen fuel cell vehicles. Infrastructure projects are encouraged to:
(Reference New Jersey Statute 52:27D-489c)
Zero Emission Vehicle (ZEV) Initiative
The New Jersey Department of Environmental Protection, New Jersey Board of Public Utilities, and the New Jersey Economic Development Authority signed a memorandum of understanding (MOU) to increase the number of ZEVs in the State and meet the State’s goal of registering 330,000 ZEVs by 2025 through involvement in the New Jersey Partnership to Plug-In(Partnership). The responsibilities of the Partnership include:
- Mapping existing and potential locations for electric vehicle (EV) chargers;
- Reviewing state- and municipal-level permit processes for the installation of EV chargers and identifying best practices to streamline these processes;
- Expanding existing efforts to educate consumers about ZEVs;
- Evaluating strategies to finance an EV charger network;
- Developing a rebate program to incentivize the purchase of new and used ZEVs;
- Creating a method to track the usage of EV chargers throughout the State;
- Identifying programs and resources that can be used to attract ZEV-related companies to the State; and
- Coordinating with other state agencies and departments to further implement the goals of the Partnership.
For more information, see the Regional Greenhouse Gas Initiative website.
State Incentives
Medium- and Heavy-Duty (MHD) Zero Emission Vehicle (ZEV) Voucher Program
The New Jersey Zero Emission Incentive Program (NJ ZIP) will pilot a voucher program for the purchase of new MHD ZEVs registered in New Jersey. Eligible applicants include commercial, industrial, or institutional organizations. Vouchers are available for up to 100% of MHD ZEV purchase prices, and are based on gross vehicle weight rating (GVWR):
| GVWR | Vehicle Class | Amount |
|---|---|---|
| 8,501 - 10,000 pounds (lbs.) | Class 2b | $20,000 |
| 10,0001 - 14,000 lbs. | Class 3 | $50,000 |
| 14,001 - 16,000 lbs. | Class 4 | $65,000 |
| 16,001 - 19,500 lbs. | Class 5 | $75,000 |
| 19,501 - 26,000 lbs. | Class 6 | $90,000 |
| 26,001 - 33,000 lbs. | Class 7 | $135,000 |
| 33,001+ lbs. | Class 8 | $175,000 |
Applicants may receive a maximum of $3,000,000 in vouchers. Vehicles must be purchased through qualified vendors. Additional funding is available to applicants located in environmental justice communities. This program is funded by Regional Greenhouse Gas Initiative proceeds. For more information, including eligibility requirements, see the NJ ZIP Program website.
(Reference New Jersey Administrative Code 7:27D)
More Laws and Incentives
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