New Jersey Manufacturing Program

New Jersey A.B. 5687 created the Next New Jersey Manufacturing Program, a comprehensive tax credit designed to encourage manufacturing activities including clean energy component production at qualified businesses. $100,000,000 of the tax credits made available are reserved for clean energy product manufacturers, defined as a manufacturer of components for renewable energy, such as wind, solar, geothermal, green hydrogen, fuel cells, battery storage, or nuclear energy. The tax credit is equal to the lesser of 1) the product of 0.1% of the eligible business's total capital investment multiplied by the number of new full-time jobs; 2) 25% of the eligible business' total capital investment; or 3) $150,000,000. Eligible actions for the credit include manufacturing solar components, and the calculations for capital investment include installing a solar system on the property to the extent that the capital investments have not received grant financial assistance from another state funding source. Applicants may receive 1% stackable bonuses up to 5% for Opportunity Zone Eligible Census Tract location, New Jersey Business Certifications, and having at least one Active Collective Bargaining Agreement or Labor Harmony Agreement in place.

Please see the program website for further details and eligibility requirements.