NJECPAC Member Organization Named Legislative Chapter of the Year

NJECPAC Member Organization New Jersey IEC Awarded the Coveted IEC National Legislative Chapter of the Year Award for The Fourth Consecutive Year

2012 National President Bobby Tutor
NJ-IEC VP Joseph Hovanec Jr.
IEC Board Member Janet Martin  

ALEXANDRIA, Va. – The Independent Electrical Contractors, Inc. (IEC) is pleased to announce that New Jersey IEC (NJ-IEC) received the Legislative Chapter of the Year Award during the 55^th Annual IEC National Convention & Electric Expo in Fort Worth, Texas. 

NJ-IEC was recognized for its work with the Department of Community Affairs and the New Jersey Licensing Board to affirm that solar installations qualify as electrical work that requires proper licensing and permits. In addition, legislative bills providing much needed tax relief to New Jersey businesses were passed and the Chapter, working with the Governor’s office, is looking ahead for additional tax relief bills to be passed.

“I congratulate New Jersey IEC for its prestigious IEC Legislative Chapter of the Year Award,” said Thayer Long, IEC National Executive Vice President/CEO. “Their strong and diligent presence in the legislative arena work to keep IEC contractors competitive and strong in the marketplace.”

The Legislative Chapter of the Year Award is presented each year during the IEC National Convention & Electric Expo to recognize an IEC chapter that has made significant strides in achieving IEC’s legislative goals by pursuing legislative and regulatory initiatives that seek to promote and support the merit shop philosophy.  For more information, please visit www.ieci.org.

Established in 1957, IEC is a trade association representing nearly 3,000 members with 60 chapters nationwide. Headquartered in Alexandria, Va., IEC is the nation’s premier trade association representing America’s independent electrical and systems contractors. IEC National aggressively works with the industry to establish a competitive environment for the merit shop – a philosophy that promotes the concept of free enterprise, open competition and economic opportunity for all. 

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Solar Energy Rescue Bill Awaiting Governors Action

The NJ Assembly and Senate has sent a bill (S-1925) designed to rescue the floundering Solar Industry from collapsing. Assemblyman Bob Smith explained: "We are a victim of our own success. We've had so much solar built in New Jersey and so many SRECs available that the market for these Solar Renewable Energy Credits (once selling at $600 and now under $100 per credit) has crashed and there are lots of unintended consequences."  Read Senate Floor Statement

Among those unintended consequences:

1. Public entities caught in a squeeze - Counties and municipalities contracting for the installation of solar energy projects are finding that the SREC prices are not high enough to repay the public bonds floated to finance the projects. If a project already is under way, taxpayers are stuck with the bill for the shortfall. If a project has not yet started, it likely will never get off the ground.

2. Negative future for private projects - Bankers often look at SRECs as collateral, providing them with the confidence to lend money for construction. If the fluctuating value of the solar credit cannot be relied upon to remain sufficiently high over the life of the loan, banks won't take the risk.

The bottom line is what Smith describes as a "crisis." Without a prompt legislative solution to stabilize solar credits, the market will dry up and scores of solar-installation companies will fail and jobs will be lost.

Business organizations worried about costs; Representatives of the NJ Business and Industry Association, NJ Chamber of Commerce, and the Chemistry Council of NJ, cautioned against additional government mandates that would drive New Jersey's already high energy prices even higher.

Noting that the program will reach $190 million by 2016--and that the state's largest employers will bear 60 percent of that cost--the Chemistry Council's Hal Bozarth said: "At some point the Legislature has to say to the solar industry: we're cutting you loose."

At the end of the last session,similar legislation passed both houses but was vetoed by the governor. Gov. Christie Proposes Alternative To Solar Energy Legislation In N.J].

Read more details about the legislation in: Can the State Save New Jersey's Solar Sector? 

Read S1925 Here

Our View: The so called Solar Industry has been a thorn in the side of Electrical Contractors since its inception. Many Solar Energy Contractors are not Electrical Contractors as the 1962 Electrical Contractors Licensing Law dictates. 

Many Unlicensed Solar Contractors  violate the law day in and day out. In fact every time they install Solar Panels utilizing their employees who are not Licensed or qualified to do so they commit a Felony in the State of New Jersey. 

These Solar Contractors sub contract Licensed Electrical Contractors only to make the final connections, and they would not do that if the Electrical Industry did not engage the help of the Electrical Licensing Board and Electrical Inspectors across the state to ensure the installation of Solar Panels work is done by Licensed Contractors. The Electrical Contractors that are accepting this work are hurting the very industry in which they make their living. The Electrical Contractors enabling these violations are Not Electrical Contractors that run Professional Electrical Contracting Businesses In the State of New Jersey.  

At some point the Solar Industry will have to stand on its own two feet. Cost for Solar Panels and equipment will not come down to more affordable levels until Solar subsidies are eliminated. 

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Former Employees Accuse PSE&G of Misappropriating Solar Funds

Three former employees of Public Service Electric & Gas are suing PSE&G claiming they were fired for reporting fraud the company committed against ratepayers.

The employees claim that PSE&G wrongfully used 'State Solar Money' for a billboard, funneled efficiency money to cover a mistaken $325,000 payment to UMDNJ and ignored unbilled use of electricity by Newark’s red light cameras, forcing other customers to pay instead.

"The company is aware of these claims brought by former employees, all of whom were discharged for lawful reasons," said a spokesman for parent company PSEG tonight. "These allegations are entirely without merit. The company is ready to vigorously defend its position."

The attorney for the fired workers, Adam Kleinfeldt, said he had emails to back up the lawsuit.

"PSE&G tried to quash opposition and objection to fraudulent practices because of the money it was making off those practices," said Kleinfeldt. "I think my clients were fired for putting it in writing. They were speed bumps." Read More

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Governor Christie releases the final version of N.J.'s Energy Master Plan

Governor Chris Christie released the state’s final 2011 Energy Master Plan, which is described as strategically balancing the development of new sources of clean energy, including natural gas, with renewables. The plan, which is the governor’s vision for the use, management, and development of energy in the state, builds upon what he sees as his efforts to make New Jersey the largest and fastest-growing solar energy market in the United States. 

Additionally, the administration proposes to address the current drop in the market price of solar renewable energy certificates (SRECs) with a plan designed to encourage growth of the solar industry and create the necessary certainty that will allow financial community to invest in energy development.


The Governor’s office has focused on the following:

• Accelerate the Renewable Portfolio Standard (RPS) and reduce the Solar Alternative Compliance Payment (SACP) 
• Returning to the percentage obligation for solar 
• Promoting Solar Installations that Provide Economic and Environmental Benefit by Limiting SREC Eligibility 
• Expanding Opportunities for Solar 
• Drive down the cost of energy for all customers 
• Promote a diverse portfolio of new, clean, in-state generation 
• Reward energy efficiency and energy conservation and reduce peak demand 
• Capitalize on emerging technologies for transportation and power production 
• Maintain support for the renewable energy portfolio standard of 22.5 percent of energy from renewable sources by 2021

Click here for a copy of the final 'Energy Master Plan'

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NJ Watching Closely As Solar Industry Wavers In Pennsylvania

The Philadelphia Inquirer recently reported that Pennsylvania's solar-energy industry is "collapsing under the weight of its own good fortune."  That worries New Jersey Officials that are counting on the growth of Solar Installations to continue to help the state pull out of the lingering recession.

• "Spurred by hundreds of millions of dollars in federal and state incentives, solar developers have built so many projects in recent years that they have created an oversupply of solar-energy credits, the market instruments that provide the developers with a critical income stream.
• "The price of solar credits in the state has plummeted as much as 75 percent in the last year, dramatically shrinking the income-producing potential of new and existing solar projects." Read More

New Jersey Officials continue to introduce and pass renewable energy legislation. The problem is they are not bothering to talk to New Jerseys Electrical Contracting Industry that knows the technology best. The problem is further exacerbated by unlicensed solar companies illegally installing Solar Voltaic Panels throughout the State.

NJ Electrical Contractors with a valid NJ EC License and Business Permit are the only ones that by Law are permitted to install, maintain and repair Solar Voltaic Systems in the State of New Jersey. 

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New Jersey & Solar Not So Perfect Together

There is considerable confusion about whether an Electrical Contractor's License and Business Permit is required for solar-photovoltaic (SPV) installations in New Jersey.

The answer, direct from NJ's Board of Examiners of Electrical Contractors who regulate the Electrical Contracting Industry in NJ is; with the exception of owners of single family homes performing the installation of PV panels on own home themselves is yes. See letter published in the NJ Construction Code Communicator Here

N.J.S.A. 45:5A-1 et seq., known as "The Electrical Contractors Licensing Act of 1962", States; "No person shall advertise, enter into, engage in, or work in a business as an electrical contractor unless they have secured a business permit and a license from the New Jersey Board of Electrical Contractors (the Board)."

The term "electrical contractor" is defined as a person who engages in the business of contracting to install, erect, repair, or alter electrical equipment for the generation, transmission, or utilization of electrical energy (N.J.S.A. 45:5A-2(d)).

SPV systems, by definition, are electrical work. They are a series of components that generate (the SPV panels), transmit, and/or utilize electrical energy. Any person engaged in installing, erecting, repairing, etc. such equipment must be an electrical contractor under the provisions of the Act. Read More

The Law applies to all Residential, Commercial, and Institutional, and Industrial installations of Photo Voltaic Panels.

Additionally any person who engages in these activities without a valid Electrical Contractors Business Permit may be charged with a Felony in the State of New Jersey. (151_C.2C21-33 of the New Jersey Statutes)

Read Felony Law Here

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Only Electrical Contractors Can Legally Install Solar Voltaic Panels In New Jersey

There is considerable confusion about whether an Electrical Contractor's License and Business Permit is required for solar-photovoltaic (SPV) installations in New Jersey.

The answer, direct from the NJ Electrical Licensing Board is, with the exception of owners of single family homes installing PV panels on their own home is yes. See letter published in the NJ Construction Code Communicator Here

N.J.S.A. 45:5A-1 et seq., known as "The Electrical Contractors Licensing Act of 1962", States; "No person shall advertise, enter into, engage in, or work in a business as an electrical contractor unless they have secured a business permit and a license from the New Jersey Board of Electrical Contractors (the Board)."

The term "electrical contractor" is defined as a person who engages in the business of contracting to install, erect, repair, or alter electrical equipment for the generation, transmission, or utilization of electrical energy (N.J.S.A. 45:5A-2(d)).

SPV systems, by definition, are electrical work. They are a series of components that generate (the SPV panels), transmit, and/or utilize electrical energy. Any person engaged in installing, erecting, repairing, etc. such equipment must be an electrical contractor under the provisions of the Act. Read More

The Law applies to all Residential, Commercial, and Institutional, and Industrial installations of Photo Voltaic Panels.

Additionally any person who engages in these activities without a valid Electrical Contractors Business Permit may be charged with a Felony in the State of New Jersey. (151_C.2C21-33 of the New Jersey Statutes)

Read Felony Law Here

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Solar Zoning Goes To Full Assembly

NJ Solar Zoning Bills Poised For Full Assembly Vote

The New Jersey Assembly Housing and Local Government Committee cleared legislation that would limit the ability of any municipality to use local zoning to restrict the installation of residential solar-energy systems. The Legislation now move on to the full Assembly.

S-2006 (Smith) and A-3125 (Quijano) would limit the restrictions that a municipality could impose, through zoning ordinances, on the installation of residential energy panels.

The Bills allow municipalities to limit the installation of solar panels on the roof of a residential building or structure only if the installation rises more than 12 inches above the roof surface or extend more than 12 inches beyond the roof line.  

The legislation also limits restrictions on ground based Solar Installations as well as fees that municipalitiees may charge. 

Read More   

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The fee limitation also would apply to small wind-energy systems.

Stimulus follies: $535 million down the drain in California in “green jobs”

The Obama administration made Solyndra, a solar-power manufacturing company, a symbol of its “green jobs” push in the Porkulus program. Barack Obama himself toured the factory, as did Barbara Boxer.

Taxpayers ended up sinking $535 million into building Solyndra a new facility that promised to add jobs in the clean-energy sector. Instead, now that Solyndra has its new facility, it’s closing another older facility and will lay off dozens of employees and cancel the contracts for 150 more contract workers:

In other words, we invested $535 million, a significant portion from China, into a company that apparently couldn’t compete on a price basis with its foreign competition leaving us on the hook for the investment

Solyndra did all right though; they got a nice new facility and now can dump their old plant. The old building will sit vacant for a long time in all likelihood while Solyndra downsizes and attempts to stay in business at their taxpayer-funded digs.

Read More

It’s an object lesson in the incompetence of politicians and bureaucrats to pick winners and losers in private markets.

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BPU Moves Forward With Prevailing-Wage Regulations

The Board of Public Utilities is moving forward with proposed regulations to comply with legislation enacted last summer requiring prevailing wages on Green Energy Projects Including Energy efficient lighting, HVAC and even Insulation projects receiving financial assistance from the agency.

Unions claim it levels the playing field for Contractors using union labor. The Democrat controled Senate and Assemby backed by union money and controlled by Legislators who themselves are union members railroaded the legislation through in the lame duck session after the November election of Governor Chris Christie.

The reality is that excesive union wages and egregious union benefits are responsible for a union contractors inability to compete. An average Merit Shop Solar Installer earns $25 to $30 per hour, but with prevailing wage it could run as high as $94+ per hour including the mandated $36+ per hour benefit portion of the wage. Find Prevailing Wage Rates in your area Here

The requirement does not apply to projects that rely on developer funding and solar energy renewable certificates. 

Given the opposition from business interests, it remains to be seen whether the rule, promoted by the failed Corzine administration, will survive the 90-day review period for all pending state regulations Gov. Chris Christie promised during the campaign.

Solar Photovoltaic Installations: The Board of Examiners of Electrical Contractors Explains.

It seems there is considerable confusion about whether an electrical contractor's license is required for solar-photovoltaic (SPV) installations.

Substantially, the question is: are SPV installations, including the SPV panels themselves, electrical work within the meaning of the regulations, so as to require an applicant for a construction permit to obtain an electrical contractor's license to perform such work? 

The short answer is yes; except that owners of single-family homes doing work on their own dwellings are exempt.

Recently the Board considered this issue and concluded that SPV systems, including the SPV panels themselves, to the extent that they are used for the generation, transmission, or utilization of electrical energy, constitute electrical work within the meaning of the Act.

Therefore, unless work was exempted by statute (e.g. operates at less than 10 volts, etc.), a contractor is required to obtain a license and business permit issued by the Board to install, erect, and repair, etc., SPV systems including SPV panels themselves.

To read the Excerpt on SPV Systems from the Spring 2010 Construction Code Communicator click Here.

To view the Spring 2010 Issue of The Construction Code Communicator click Here

New Jersey Solar Rebate Program Crashes

Last week, New Jersey ran out of four months' worth of Solar Rebates in a day. Less money was available than originally budgeted for in December because Gov. Chris Christie was forced to take $158 million from the Clean Energy Fund to help close an unprecedented $11 billion state budget gap created by this current Legislature and past Adminstrations.

More than 1,000 people, including contractors camped out the night before to claim a portion of the $6 million in residential and $1.5 million in non-residential one-time rebates when the Office of Clean Energy opened on May 3.

The Board of Public Utilities closed the normally four-month distribution period until the next scheduled disbursement Sept. 1

Read More

O'Scanlon Commends BPU for Assessing Impact of Prevailing Wage on Clean Energy Projects

Assemblyman Declan O'Scanlon, R-Monmouth and Mercer, welcomed testimony from Board of Public Utilities President Lee Solomon that the agency is assessing the impact of a law requiring prevailing wage on clean energy projects.

The law was signed during the lame duck session of the NJ Legislature by then Acting Governor & Senate President Stephen M. Sweeney, Sweeney, a union organizer for the International Association of Ironworkers, blatantly disregarded the substantial increase in construction costs the measure will impose upon the taxpaying public. As a union organizer the Senate President has a clear conflict of interest in any Legislation that mandates expansion of prevailing wages.

Assemblyman O'Scanlon is confident the review by the BPU will confirm Trade Organization’s and environmental group claims that prevailing wage is a hindrance to expanding the use of green energy saving systems and products throughout New Jersey. Green Energy Projects affected by the law are Solar Voltaic Systems, Energy Efficient Lighting, Heating and Air Conditioning Systems and more.

"I am confident that this analysis will confirm what several environmental and business groups have told us: clean energy projects are not proceeding because mandating prevailing wage is making clean energy projects too expensive," O'Scanlon said. "I want people to earn decent wages, but they won't be earning anything if no one is working on clean energy projects because of expensive mandates that increase costs by up 40 percent."

Assemblyman O'Scanlon is the sponsor of A-2370, which if passed would repeal the prevailing wage mandate on Green Energy Projects,

A-2370 would create jobs by making Green Energy Project more affordable for the taxpayers of New Jersey.

"We all want to reduce energy consumption and lower utility bills, but businesses are not going to invest in our environment if costs are prohibitive," O'Scanlon said. "This issue is one of the few examples on which the business and environmental communities agree. Lifting this requirement will result in more projects that will help the environment and put more people back to work in these trying economic times."

Beck Solar Energy Legislation Signed into Law by Gov. Christie

Bill Will Help Promote Growth of Alternative Energy Production in New Jersey.

Senate Bill S921 sponsored by Senator Jennifer Beck (R-12) that will make it easier for both homeowners and businesses to install clean-energy producing solar panels was signed into law by Governor Chris Christie.

“Most people don’t realize that New Jersey is one of the largest and fastest growing solar energy producers in the country,” said Beck. “While there is a growing demand from homeowners, farmers and the business community to install solar panels on their properties, many have found a patchwork of conflicting laws and regulations that have prevented clean energy installations. This legislation removes a major obstacle that has prevented our state’s growth in solar energy.”

Read More

Take Our Poll on PV Solar Panel Installations

During the Public Session of the April 4th 2007 Business Meeting of the Board of Examiners of Electrical Contractors, the Board ruled that Only Electrical Contractors with a valid Electrical Contracting License and Business Permit are permitted to handle, mount, and wire, Solar PV Panels

The rule applies to all Solar Photovoltaic Array Modular Panels that emit a voltage greater than ten volts when subjected to natural or artificial light.

Please take our Poll contained within this Blog concerning this topic
Your input is important to us.

For Board Ruling Click Here
Click Here for Board Meeting Minutes

New Jersey Solar Rebates On Hold

Due to revisions to the state's budget, the state’s Clean Energy Rebate Program will not accept new applications Solar Rebates for the month of April, and all applications currently in queue will be frozen until the program is scheduled to reopen in May.

When the state ran out of funding for its solar rebate a couple years ago, all solar activity ground to a halt for months. And then the state rolled out the market-based SREC Program, revitalizing the commercial and industrial solar sectors. The residential market, however, didn’t pick back up until the state reinstated a modest rebate. Combined with the revenue stream provided by SRECs, the solar rebates have been enough to make projects feasible for the average homeowner.

Relatively predictable income from SRECS make securing bank financing much easier, but without the rebate to reduce up-front costs, the solar price tag becomes prohibitive for most home and business owners. The excellent Federal Tax Credit, equal to 30 percent of solar costs, has a direct and positive impact on cash flow but does not help with out of pocket expenses.