Solar 4 All^TM Segment 1B

ANNOUNCING 2ND SOLICITATION FOR PROPOSALS

On August 3, 2009, PSE&G received approval from the NJ Board of Public Utilities to implement its Solar 4 All Program. Under this program, 80 MW (dc) of solar generation will be constructed and owned by PSE&G to help New Jersey met its renewable energy goals.

As part of the Solar 4 All program, Segment 1B allows PSE&G to install, own and operate 10 megawatts of solar systems on public or private third-party host sites (“Host Sites”) that are located in PSE&G’s electric service territory. PSE&G will own the system, its energy output, as well as the associated environmental attributes. PSE&G will consider solar projects with an installed capacity of 500 kilowatts (dc) or more which can be ground- or roof-mounted (e.g., typically a 500 kilowatt system requires 50,000 square feet of unobstructed roof space).

There is no cost to the Host Site for the installation or operation of the solar system, and PSE&G will be responsible for the maintenance of the system. The selected Host Sites will not only earn revenue from the rental payments from PSE&G, but may also receive public recognition for taking part in an exciting new program to benefit the environment.

PSE&G is conducting a second solicitation for Segment 1B of the Solar 4 All program for solar systems located on Host Sites beginning on November 12, 2010, targeting the development of up to 8 MW (dc) of solar capacity.  Note that the initial 10 MW program under Segment 1B is fully subscribed, and PSE&G is requesting an increase to capacity in Segment 1B concurrent with a reduction in capacity in Segment 1A (PSE&G owned properties), which must be approved by the NJ Board of Public Utilities before the capacity from this second solicitation can be committed.

In this segment, solar developers team up with potential Host Sites to propose projects to PSE&G.  PSE&G is seeking a total turnkey, fixed price for the solar system from the developer on an EPC contract basis, but will, on an exceptional basis consider alternative structures and contractual arrangements.  Host Sites will be compensated via lease payments for the use of their property. The lease will have a term of 20 years unless a shorter term is required by law, as may be the case under municipal law. The lease will contain terms and conditions set forth in the Host License Term Sheet. Additional details can be found in PSE&G’s Power Advocate bidding platform.

Schedule of events:

If you are not currently registered in PSE&G’s Power Advocate bidding platform, please send an email to thirdpartysolar@pseg.com with your contact details (including your name, title, company name, address, email address, phone numbers), along with your company’s solar project experience and track record, to determine bidding eligibility.