New Jersey § 13:1d-70

§ 13:1d-70.

a. The Department of Environmental Protection, in consultation with the Director of

the Division of Taxation in the Department of the Treasury, shall provide: (1) for the purpose of calculating tax credits to be issued pursuant to P.L.2023,

c. 4 ( C.13:1D-70 et al.), global warming potential baselines for concrete mixes supplied pursuant

to contracts with State agencies; (2) thresholds for low embodied carbon concrete and concrete that incorporates carbon

capture, utilization, and storage technology to qualify for a tax credit pursuant

to P.L.2023, c. 4 ( C.13:1D-70 et al.), which the department may review and modify pursuant to advancements in low

carbon concrete technology or future State laws, regulations, or orders pertaining

to the reduction of greenhouse gas emissions; (3) formulae for the tax credits issued pursuant to P.L.2023, c. 4 ( C.13:1D-70 et al.) for (1) low embodied carbon concrete and (2) concrete that incorporates carbon

capture, utilization, and storage technology. The formulae shall provide that the amount of each tax credit is proportional to

the reduction of the global warming potential value below the baseline; (4) a uniform process for concrete producers to certify that concrete is low embodied

carbon concrete, or that it utilizes carbon capture, utilization, and storage technology,

and for determining the global warming potential value of concrete; and (5) any forms and guidance that the department determines are necessary for the submissions

required to receive the tax credits allowed pursuant to P.L.2023, c. 4 ( C.13:1D-70 et al.) or to otherwise implement the provisions of P.L.2023, c. 4 ( C.13:1D-70 et al.). b. No later than three years after the effective date of P.L.2023, c. 4 ( C.13:1D-70 et al.), 1 the Commissioner of Environmental Protection, in consultation with the State Treasurer,

shall prepare and submit a report to the Governor and, pursuant to section 2 of P.L.1991, c. 164 ( C.52:14-19.1 ), the Legislature, containing a cost-benefit analysis of the tax credits established

pursuant to P.L.2023, c. 4 ( C.13:1D-70 et al.), in order to quantify the budgetary impact of the program relative to its

carbon reduction impact. The report shall recommend whether the program should be continued, modified, or

repealed, and include any recommendations for legislative or regulatory action to

improve the program. c. As used in this section: “ Carbon capture, utilization, and storage technology ” means technologies or methods to remove carbon dioxide generated by the concrete

manufacturing process from the flue gas or the atmosphere, and to recycle the carbon

dioxide either through utilization of the captured carbon dioxide in the concrete

manufacturing process, or through safe and permanent storage of the captured carbon

dioxide. “ Concrete ” means structural and non-structural masonry, and pre-cast and ready-mix concrete

building products. “ Department ” means the Department of Environmental Protection. “ Director ” means Director of the Division of Taxation in the Department of the Treasury. “ Embodied carbon emissions ” means carbon emissions generated as a result of a material's production, including

mining, refining, manufacturing, and shipping. “ Global warming potential ” means a numeric value that measures the total contribution to global warming from

the emission of greenhouse gases, or the elimination of greenhouse gas sinks, that

results from the production or utilization of concrete. “ Low embodied carbon concrete ” means concrete that has been certified to embody lower carbon emissions, as measured

by a global warming potential metric, than the baseline embodied carbon emissions

of conventional concrete made with Portland cement. Low embodied carbon emissions may be achieved through any combination of: (1) higher

energy efficiency at the level of the concrete or cement plant; (2) low carbon fuel

substitution at the level of the concrete or cement plant; (3) local production of,

and use of locally sourced material in, the concrete, resulting in reduced concrete

delivery miles and reduced emissions from transportation; (4) the reduction of clinker

content in the cement component of concrete, or the substitution of clinker content

with lower carbon-intensive alternative materials such as ground, granulated blast

furnace slag, fly ash, or recycled ground-glass pozzolan; (5) the capture and storage

of point source carbon dioxide emissions during the cement or concrete production

process; or (6) the utilization and storage of carbon in concrete materials. “ Portland cement ” means hydraulic cement produced by pulverizing clinkers in combination with one

or more of the forms of calcium sulfate. 1

L.2023, c. 4, eff. July 30, 2023.