Fund Will Drive Investment and Cultivate Entrepreneurship

Trenton, N.J. (April 13, 2022) – The New Jersey Economic Development Authority (NJEDA) Board today approved the creation of the New Jersey Innovation Evergreen Fund (NJIEF), a groundbreaking new tool to increase access to strategic resources and venture capital in New Jersey. The NJIEF will create partnerships between the state and the private sector to collaboratively align New Jersey’s well-resourced corporations, and national investors to support entrepreneurs and grow the innovation economy in the state.

Under the NJIEF, the State will become an equity investor in startups deploying up to $600 million into companies alongside professional venture capital groups. This strategic investment will not only support New Jersey’s entrepreneurs, but will also ensure that more companies start, grow, and stay in state. Established by the New Jersey Economic Recovery Act of 2020, the NJIEF is an innovative tool designed to incentivize investment in emerging New Jersey companies while creating mentoring, networking, and educational opportunities to help position these companies for success.

The New Jersey Innovation Evergreen Fund is a groundbreaking public-private partnership that will fuel our innovation economy by attracting entrepreneurs and venture capital to the state,” said Governor Phil Murphy. “The NJIEF draws on the strengths of New Jersey’s world-class corporate leaders to create a steady stream of investment and expertise that will nurture the next generation of innovators. By fostering investments in entrepreneurship and start-up companies, we are driving job creation and economic growth for New Jersey.”

The concept for the NJIEF was first announced in October 2018 as part of Governor Murphy’s economic development strategic plan The State of Innovation: Building a Stronger and Fairer Economy in New Jersey.

“New Jersey has long served as fertile ground for inventions that changed our world – from Thomas Edison and the creation of the lightbulb to Beatrice Hicks and the development of a switch that helped land the Apollo spaceship on the moon,” said New Jersey State Senator Andrew Zwicker. “Our state has a long history of investing in entrepreneurs, and the NJIEF is a key component of reclaiming New Jersey’s leadership role in innovation by creating a vibrant culture of investment that is dedicated to growing the companies of the future.”

“When entrepreneurs think of leaders in innovation, New Jersey should be at the top of their list,” said NJEDA Chief Executive Officer Tim Sullivan. “The NJIEF will not only serve as a novel approach to investing in entrepreneurs, but also a key contributor for job creation and sustainable economic growth. Today’s announcement serves as a testament to Governor Murphy’s leadership in growing NJ’s innovation economy by investing in New Jersey companies and startups.”

“The NJIEF is a game-changing program that will catalyze venture capital investments into New Jersey startups,” said Kathleen Coviello, NJEDA’s Chief Economic Transformation Officer. “The state’s role as an equity investor will encourage established corporations to commit capital and knowledge-sharing resources, creating a dynamic cycle of innovation.”

The seed capital to launch the NJIEF will be raised by auctioning up to $300 million in transferrable tax credits — with an annual cap of $60 million during each of the first five years after program launch — to corporations registered to do business in New Jersey. Corporations seeking to purchase the tax credits must commit to supporting the state’s innovation economy through activities such as mentorship, internships, sales and distribution pipeline access, and availability to serve on the NJIEF Advisory Board for one year.

Auction bids will be evaluated according to price and the specific strategic commitments the bidding company makes to support NJIEF’s portfolio companies and the state’s broader innovation ecosystem, including networking and mentorship opportunities. Once the funding is raised, the NJEDA will partner with professional venture capital firms operating anywhere in the country to co-invest the funds in eligible high growth businesses in New Jersey.

Full details on the NJIEF are available at https://www.njeda.gov/economicrecoveryact/. The NJEDA expects to launch the NJIEF later this year.

About the NJEDA

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about state resources available to New Jersey entrepreneurs and early-stage companies, visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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Programs Connect NJ Startups with Amenities at NJ Universities & Federal Laboratories

TRENTON, N.J. (April 11, 2022) – The New Jersey Commission on Science, Innovation and Technology (CSIT) today announced plans to open applications for the newly-created Catalyst Research & Development (R&D) Voucher Pilot Program and Round 2 of the state’s Clean Tech R&D Voucher Program. The programs are designed to connect early-stage New Jersey technology companies with access to laboratory facilities and specialized equipment statewide. CSIT expects to open applications for both programs on May 2, 2022 at http://www.njeda.gov/csit. The programs were developed in partnership with the New Jersey Economic Development Authority and New Jersey Board of Public Utilities (NJBPU).

Both the Catalyst R&D and Clean Tech R&D Voucher programs will help the state’s startups accelerate development and transform new discoveries from research stage to commercially viable products and services. Eligible applicants can receive vouchers to defray the costs associated with the use of equipment and technicians for testing and development, and for training in preparation for independent use of the equipment from participating University Facilities or Government or non-profit labs.

“New Jersey’s universities and colleges are uniquely positioned to assist and support entrepreneurs that are developing innovative technologies,” said CSIT Executive Director Judith Sheft. “By harnessing the resources of these world-class higher education institutions and other facilities statewide, the programs announced today will help accelerate the growth of New Jersey startups and strengthen our innovation ecosystem as we continue to reclaim our status as a leader in innovation.”

CSIT will host an informational webinar on the programs on April 19 at 10:00 a.m. to offer tips and advice to potential applicants. Registration information can be found at http://tinyurl.com/CSIT-May2022. A recorded version of the webinar and copy of materials presented will be made available on the CSIT webpage following the event. Applications will be accepted beginning May 2 on a rolling basis until funding from both programs is allocated.

“New Jersey entrepreneurs are creating truly extraordinary things and developing technologies that will have a lasting impact,” said CSIT Acting Chair Debbie Hart. “The programs announced today will enable some of the best minds to leverage state resources as they continue to make their mark on their communities and the innovation ecosystem as a whole.”

Through the $275,000 in total funds provided by the Catalyst R&D Voucher Program, eligible applicants can apply for vouchers to defray the cost associated with eligible services or activities. The vouchers can also be used to hire technicians for testing and development as well as the use of participating facilities. A startup can apply for multiple vouchers, capped at $25,000, within any 12-month period. An approved voucher will be valid for a period of twelve months, starting from the date of the voucher reservation approval letter.

The following technology areas are eligible under the program: advanced manufacturing, advanced transportation and logistics, film and digital media, life sciences (therapeutic drug development and other), non-retail food and beverage, professional and financial services, and technology. Complete eligibility criteria and usage of funds can be found at https://www.njeda.gov/catalyst-voucher.

The Catalyst R&D Voucher Program is a complement to CSIT’s Catalyst R&D Seed Grant Program, which saw a high level of interest from New Jersey’s startup community. That program provided seed funding to approved applicants developing technologies in all industry sectors except clean tech (which has a separate dedicated funding pool).

CSIT also announced today that it will provide vouchers totaling up to $375,000 to eligible startups within the clean technology sector through Round 2 of the Clean Tech R&D Voucher Program. Eligible startups can apply for multiple vouchers up to a cap of $25,000 within any 12-month period. Each approved voucher will be valid for a period of six months, starting from the date of the voucher reservation approval.

The program is open to New Jersey companies with fewer than 25 full-time employees that are developing or testing clean technologies intended to avoid emissions of, or recapture, greenhouse gases and/or criteria pollutants, or to enable such avoidance or recapture in the following target areas: chemicals/advanced materials; energy distribution/storage; energy efficiency; energy generation; green buildings; transportation; waste processing; and water and agriculture. Complete eligibility criteria and usage of funds can be found at https://www.njeda.gov/cleantechvoucher.

Funding for the Clean Tech R&D Voucher Program is provided by NJBPU.

“Our support of these programs will help pave a path for New Jersey to reach Governor Murphy’s important goal of 100 percent clean energy by 2050,” said NJBPU President Joseph L. Fiordaliso. “Startups play an essential role in our state’s growth and success and supporting them will push us forward toward a sustainable future.”

About CSIT
In August 2018, Governor Murphy signed legislation re-establishing the former New Jersey Commission on Science and Technology as the CSIT. Comprised of representatives from the public and private sectors, as well as academia, the Commission is tasked with leading the way in promoting the state as a home for academic and technological research, development, and commercialization.

To learn more about state resources available to New Jersey entrepreneurs and early-stage companies,
visit http://www.njeda.gov/csit or follow @NewJerseyEDA on Twitter, Facebook, LinkedIn and Instagram.

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NJ’s Venture Capital Deal Flow More Than Doubles to $5.5 Billion in 2021
as State’s Innovation Ecosystem Sees Flurry of Activity

Trenton, N.J. (March 4, 2022) – The New Jersey Economic Development Authority (NJEDA) today announced that New Jersey now ranks ninth in the nation based on venture capital (VC) dollars invested per state. According to PitchBook, innovation-focused companies in New Jersey secured $5.5 billion in 219 venture capital deals in 2021, up from $1.7 billion thorough 154 deals in 2020. This represents a significant improvement for New Jersey relative to 2017, when the state saw a total of $818 million in 143 venture capital deals. In this latest ranking, New Jersey jumped three spots from where it stood at #12 in 2020, and seven spots from #16 in 2013. New Jersey’s share of the Northeast market also grew, by 1.4 percentage points in 2021 to 5.5 percent.

“We’re very encouraged to see the VC community invest in New Jersey startups on a scale we haven’t seen in decades,” said Governor Phil Murphy. “It’s well known that New Jersey is the birthplace of innovation, but investors are clearly showing that our state is the future of innovation as well.”

Throughout his first term, Governor Murphy prioritized recapturing New Jersey’s role as a leader in innovation and creating the most diverse and inclusive innovation ecosystem in the nation. In January 2021, the Governor signed the New Jersey Economic Recovery Act of 2020 (ERA). In part, the ERA calls for the establishment the New Jersey Evergreen Fund (NJIEF), which is designed to create the ecosystem conditions necessary for entrepreneurs to succeed. Expected to launch this year, the NJIEF will create a platform for even greater investment opportunity in NJ businesses by leveraging public and private funds to invest in New Jersey-based companies. Details of the NJIEF, which is currently under development, can be found at https://www.njeda.gov/evergreen/.

The ERA also made enhancements to the state’s Angel Investor Tax Credit Program. Last summer, the NJEDA approved expanding the Angel Investor Tax Credit Program based on those enhancements as well as revisions made to the program through legislation signed by Governor Murphy in 2019. Examples of the enhancements include increasing the amount of tax credits available annually under the program from $25 million to $35 million. It also increased the amount of tax credits available per qualified investment in an emerging New Jersey technology business from 10 percent to 20 percent and adding five percent bonus credit for qualified investments made in a New Jersey certified minority-or women-owned technology business or a technology business that is located in a qualified Opportunity Zone or New Markets Tax Credit Census Tract.

Last year, the NJEDA approved a record-breaking 559 Angel Investor Tax Credit Program applications, a nearly 400 percent increase over 2020. These approved applications represented the injection of more than $100 million in 39 New Jersey businesses. This constitutes a more than threefold year-over-year increase in investment and tax credit totals.

“The Murphy Administration has taken numerous steps to bolster New Jersey’s innovation economy and the investment community is taking notice,” said NJEDA Chief Executive Officer Tim Sullivan. “In addition to our spot within the Top 10 spot for venture capital dollars, we are also seeing companies of all size choosing to benefit from all that New Jersey has to offer. This, in turn, will lead to the creation of thousands of jobs and bring in even more investment dollars in the coming years.”

As an example, Sullivan cited the commitment of the NJEDA and Princeton-based venture capital firm SOSV to bring SOSV’s acclaimed HAX hard tech startup development program to Newark. SOSV will also establish the U.S. headquarters of the HAX program at the Newark site. SOSV selected Newark as the location for the new HAX program through a competitive process that included locations across the country. SOSV intends to take 100 companies through the HAX program over the next five years and invest $25 million in these startups. The NJEDA has also committed $25 million toward this initiative.  Participating companies may receive up to $50 million from SOSV as follow-on financing to support the companies as they grow. With this support, companies participating in the HAX program are expected to create at least 2,500 new, high-paying jobs in the decade ahead as well as attract millions in new capital.

The NJEDA’s Angel/Venture Capital Funding website launched in early 2021 to showcase capital raises, along with mergers and acquisitions throughout the Garden State. Investors or founders interested in having their investments listed on the page should email njinvestments@njeda.com.

About NJEDA

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about state resources available to New Jersey entrepreneurs and early-stage companies, visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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Program Provides Up to $75,000 to NJ Startups Furthering Clean Tech R&D in NJ

TRENTON, N.J. (January 24, 2022) – The New Jersey Commission on Science, Innovation and Technology (CSIT) opened applications today for the $1.5 million Round 2 of its Clean Tech Seed Grant Pilot Program. The program is designed to help accelerate development and innovation of clean technologies by furthering research and development (R&D) within the Garden State’s clean technology startup community. CSIT developed the program in coordination with the New Jersey Board of Public Utilities (NJBPU) and the New Jersey Economic Development Authority (NJEDA).  

The application for Round 2 of the Clean Tech Seed Grant Pilot Program can be found at: https://www.njeda.gov/clean-tech-grant/. Applications will be accepted through March 21, 2022 at 5:00 p.m.

Similar to the inaugural round of the program, Round 2 of the Clean Tech Seed Grant Pilot Program will provide grants of up to $75,000 for R&D activities to very early-stage, New Jersey-based clean technology companies. These grants will help clean technology-focused businesses create proof-of-concepts and prototypes so the companies can more readily attract outside investors and, in some cases, begin to generate revenue. Specifically, the program will fund projects that are developing or testing clean technologies intended to recapture or avoid emissions of greenhouse gases and/or criteria pollutants, or to enable such avoidance or recapture. The following technology areas are eligible under the program: Chemicals/Advance Materials, Energy Distribution/Storage, Energy Efficiency, Energy Generation, Green Buildings, Transportation, Waste Processing, and Water and Agriculture.

CSIT will host an informational webinar, including a walk-through of the Clean Tech Seed Grant Program – Round 2 application on Wednesday, January 26, 2022.  Registration information can be found here. A recorded version of the webinar and copy of materials presented will be made available on the CSIT webpage following the event. 

This latest round offers double the amount of funding that was available in the initial round of the Clean Tech Seed Grant Pilot Program. CSIT awarded a total of nearly $750,000 to 10 companies statewide through the program’s first round last year. 

All applicants for the Clean Tech Seed Grant Program should be between a minimum technology development level of Technology Readiness Level (TRL) 2 (applied research) and maximum of TRL 7 (full-scale, similar (prototypical) system demonstrated in relevant environment), based on the Department of Energy definitions. Applicants should use the tool included in the Technical Proposal attachment on the application portal to determine TRL score.

Additional eligibility criteria require that applicants:

  • Be authorized and in good standing to conduct business in New Jersey as evidenced by a New Jersey current New Jersey tax clearance certificate;
  • Have a minimum of one full-time equivalent employee (working 35 hrs. per week) including founders, with at least one employee working 50% of their time on the project being proposed;
  • Have 50 percent or more of the work of its employees, including founders and contractors conducted in NJ (calculated on a full-time equivalent basis – 35 hours per week);
  • Have 50 percent or more of employees including founders/contractors live or pay withholding taxes in NJ;
  • Have less than two million dollars ($2,000,000) in prior third-party funding over its lifetime (excluding government grants);
  • Have less than five hundred thousand dollars ($500,000) in previous calendar year sales revenue.

Applications from businesses located in an Opportunity Zone-eligible census tract, minority- or woman-owned businesses or businesses with technology coming out of New Jersey universities are all eligible for bonus points with respect to the scoring criteria. At least one award will be reserved for an applicant that is a women-owned company as certified by the State of NJ and one award will be reserved for an applicant that is minority-owned as certified by the state of NJ.

About CSIT

In August 2018, Governor Murphy signed legislation re-establishing the former New Jersey Commission on Science and Technology as the CSIT. Comprised of representatives from the public and private sectors, as well as academia, the Commission is tasked with leading the way in promoting the state as a home for academic and technological research, development, and commercialization.


To learn more about state resources available to New Jersey entrepreneurs and early-stage companies, visit http://www.njeda.gov/csit or follow @NewJerseyEDA on Twitter, Facebook, LinkedIn and Instagram.

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Trenton, N.J. (December 20, 2021) – The New Jersey Economic Development Authority (NJEDA) and the Gloucester County Institute of Technology (GCIT) today announced plans to enter a Memorandum of Understanding (MOU) to support the expansion of the GCIT’s welding and painting programs. Through the MOU, the NJEDA will provide up to $75,000 for programs that prepare students and workers for jobs in heavy steel offshore wind component manufacturing. Supported by funding from the New Jersey Board of Public Utilities (NJBPU), this MOU is aligned with the creation of the Wind Institute which will accelerate offshore wind workforce development and innovation in New Jersey.

“Job creation in the high-growth offshore wind industry has been a priority for Governor Phil Murphy and cultivating a pipeline of skilled workers is vital to achieving that goal,” said NJEDA Chief Executive Officer Tim Sullivan. “This MOU is latest in a series of bold steps the NJEDA is taking to establish New Jersey as a hub for offshore wind manufacturing.”

“Investing in the future of the offshore wind industry is just as important as investing in the education to create skilled employees,” said Senate President Steve Sweeney. “The partnership with NJEDA allows the school to tailor their program to fit the skills necessary to work in this industry. The goal is to educate our students so they can find employment at Paulsboro Marine Terminal, located only 20 minutes from their high school.”

GCIT, a four-year vocational-technical public high school in Sewell, New Jersey is collaborating with EEW American Offshore Structures (EEW), a leading manufacturer of offshore wind monopile foundations, to expand and tailor its welding and painting programs. GCIT students will learn the specific job skills required by EEW and other large scale offshore wind turbine component manufacturers.

In December 2020, EEW announced a $250 million investment in a state-of-the-art manufacturing facility to build steel components, known as monopiles. These monopile will be used as foundations for offshore wind turbines across the Eastern Seaboard. The facility, which is located at the Paulsboro Marine Terminal in Gloucester County, is the largest industrial offshore wind investment in the United States to date. Construction on the facility broke ground earlier this year and hiring of specialized welders and painters will begin by the end of next year.

“Gloucester County is a leader in job innovation and prioritizes creating opportunity for individuals to learn the skills necessary to excel in their future careers,” said Robert M. Damminger, Director of the Gloucester County Board of Commissioners. “Strong partnerships between the County, GCIT, Rowan College of South Jersey and Rowan University is the reason Gloucester County is the fastest growing county in New Jersey and will continue to add talented, hard-working and successful applicants into the career pool.”

“MOUs provide critical access to funding and opportunity which allows programs like GCIT’s to create incredible future employees,” said Commissioner Lyman Barnes, Gloucester County Liaison to the Department of Education. “Our welding and painting programs at GCIT were already impressive, but this will create another level of professional enhancement for our students.”

“We are excited to enter into this partnership and look forward to providing this training to current and future secondary and post-secondary students,” said GCIT Superintendent Michael C. Dicken. “This MOU, coupled with our centralized location near the Port of Paulsboro, will enable us to enhance our partnership with Rowan College of South Jersey, Rowan University, and other vocational technical schools in our region to build capacity and develop programs related to the wind sector.”

EEW anticipates hiring hundreds of workers for the project, the majority of which will be welders and painters. Job skills learned through the expansion of GCIT’s welding and painting programs will position GCIT graduates as attractive candidates for jobs at the Paulsboro Marine Terminal as well as other large scale component manufacturing facilities as the industry grows in New Jersey.

“Workforce development and skills training are critical, as we look to staff our new offshore wind factory in Paulsboro,” EEW CEO Lee Laurendeau said. “The collaboration with industry, education and government is necessary to realize the hundreds of clean energy manufacturing jobs in South Jersey. EEW would like to thank their partners, knowing that this is the beginning of an entirely new industry being brought to the State of New Jersey.”

EEW and GCIT have already made commitments to support the expansion of these programs, including securing donated welding equipment from welding manufacturer Lincoln Electric that will be used in production. Welding for these offshore wind tower foundations occurs onshore in fabrication facilities using specialized machines and welding consumables. To support these technical needs of this project, Lincoln Electric will also be conducting a “Train the Trainer” program for GCIT and other regional vocational school welding instructors focused on the primary welding processes and materials used in production. The training program offered will focus on theory and will provide hands-on experience using Lincoln Electric’s equipment and welding consumables used to weld these large foundations together. This training program will expose local students to the technology necessary to be productive employees in the offshore wind industry. 

The NJEDA’s financial support will help GCIT secure additional specialized equipment and materials, fund instructor time for additional evening/weekend classes that will train adults, and market and promote these programs to attract a diverse array of participants.

Congressman Donald Norcross, who has been a strong proponent of New Jersey’s burgeoning offshore wind industry, welcomed the news of the MOU and applauded the impact it will have on the South Jersey’s economy.

“The offshore wind industry will provide long-term, family-sustaining careers for a new generation of workers in South Jersey,” Congressman Norcross said. “As the product of a registered apprenticeship, I know firsthand how valuable these educational opportunities are. This partnership will fill a demand for highly-skilled welders and painters in the offshore wind industry, which is quickly establishing itself as a powerful force for economic growth in South Jersey. This is another example of how renewable energy and jobs go hand-in-hand.”

Paulsboro Mayor Gary Stevenson echoed Congressman Norcross’s sentiments and noted that positive impact the expansion of GCIT’s welding and painting programs will have on Paulsboro residents.

“As Mayor of Paulsboro, and on behalf of the governing officials and our residents, we are very excited to hear about the progress being made on the beginning of the process to hire and train people, especially local residents, to work at the Port of Paulsboro,” Mayor Stevenson said. “There is much anticipation throughout on hearing the news. This is a huge step in getting folks good paying jobs, and hopefully buying homes and living in Paulsboro. This will have a huge POSITIVE impact on which our community and other local business’s will benefit greatly. This day has been a long time coming and we stand ready to assist in any way. I look forward to working with EEW, NJEDA, & GCIT officials in their efforts to begin the process of hiring and training of workers.”

These efforts complement awards earlier this year by the NJEDA to Rowan College of South Jersey to establish an offshore wind turbine technician training program and to Atlantic Cape Community College to establish an industry-recognized Global Wind Organization (GWO) safety training program and facility.  The GWO facility will prepare New Jersey workers for jobs in the state’s growing offshore wind industry. Like the MOU announced today, these initiatives were funded by the NJBPU.

“New Jersey is emerging as a leader in offshore wind supply chain thanks to both the leadership of Governor Murphy and the collective efforts of industry leaders and other stakeholders working to put the Garden State at the forefront of this vital sector,” said NJBPU President Joseph L. Fiordaliso. “Funding critical programs such as the one GCIT is creating strengthens our ability to ensure New Jerseyans have the tools they need compete for the jobs of tomorrow.”

About the New Jersey Economic Development Authority

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.


About GCIT

The Gloucester County Institute of Technology (GCIT) offers educational opportunities for Gloucester County high school students with a focus on becoming college and career ready. The school is a full-time, four-year comprehensive high school. The programs afford students a well-rounded experience with a full complement of extracurricular activities and athletics. 
 
To learn more about NJEDA resources for businesses call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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This latest version of The Economist’s Corner focuses on trends in New Jersey’s manufacturing sector. The report shows manufacturing in recent years is gaining an increased share of New Jersey’s economy following years of contraction. Moreover, recent trends towards job reshoring provide further impetus behind New Jersey’s manufacturing sector continuing to increase share of New Jersey’s dynamic economy.

New Jersey’s Manufacturing Sector: Industrial Vigor, as Viewed Through Four Charts

Manufacturing industry Gross State Product – Trending upward since 2018

Over the past four years, manufacturing has been one of New Jersey’s fastest expanding industries, growing at a 5.6 percent annualized pace. The strength has been concentrated in non-durable manufacturing – areas such as food and chemical products. This recent strength in manufacturing is quite a contrast to what the experience was in the aftermath of the 2008-09 recession, when manufacturing contracted at a 3.0% annualized rate through 2016.

Manufacturing, along with some other high value-added industries,
is increasing as a share of New Jersey’s economy

Not only is manufacturing expanding at a solid clip, but it is becoming an increasing share of New Jersey’s overall economy. This chart looks at how shares of GDP have changed since the period right before the pandemic to today. As the chart shows, manufacturing as a share of the economy has increased by approximately 0.5 percentage points. Manufacturing currently accounts for around 11.3 percent of private-sector GDP.

Labor market indicators and Federal Reserve surveys point to continued solid growth

Economists are always on the lookout for leading indicators that provide information on how economic activity is performing now and into the future. These next two charts do just that.

This is a chart of year-over-year changes in both the manufacturing index of hours worked and manufacturing GDP for New Jersey. The manufacturing index of hours worked is the product of the number of manufacturing employees and the hours they have worked. Essentially, it provides a measure of the amount of labor input in a given quarter. Given labor is a significant input in the manufacturing process, tracking labor output can tell us about manufacturing output. Here we see, through Q3, that manufacturing labor input continued to grow at very strong rate in line with manufacturing GDP near 10 percent year over year growth. Thus, manufacturing output continued to grow at a solid clip in Q3.

This chart shows data from two very useful surveys of manufacturing activity run by the Federal Reserve Banks of New York and Philadelphia. Here we are focused on indices for new orders, which is extremely helpful data for understanding near-term manufacturing activity because today’s orders become tomorrow’s production. Thus, when new orders are growing at a strong pace, it is a clear sign future production will, in turn, be strong.

In this context, anything above 0 indicates growth, so current levels near 20 signal double-digit growth. The one disclaimer is that it depends on whether demand is being filled by new production or previously produced inventories. However, given that inventories are stretched fairly thin currently, the ongoing growth of new orders signals a solid pace of manufacturing sector activity in Q4 and, likely, beyond.

A New Jersey Geography of Manufacturing Jobs, 2010-2019

This section provides an analysis of New Jersey residents who are manufacturing industry workers, as reported by the United States Census Bureau. The data presented here pertains to New Jersey residents and where they live, in contrast to where the manufacturing jobs or employers are located.

In the nine years just prior to the COVID-19 pandemic (2019 vs. 2010), New Jerseyans employed in manufacturing decreased from 396,000 (8.6 percent of the work force) in 2010 to 361,000 (7.7 percent of the work force) in 2019 — a 9.9 percent decrease in residents employed in manufacturing. However, there are some interesting trends throughout the state, including some places where the number of residents employed in manufacturing has increased. Moreover, as the analysis above shows, manufacturing in New Jersey in recent years is growing at a solid clip, which may reverse the shifts of the past nine years.

Top five municipalities in manufacturing worker residents in New Jersey,
by percentage of workforce, 2019 vs 2010

Looking at the raw numbers of residents in each municipality, the most populous cities unsurprisingly have the largest numbers of residents employed in manufacturing. The top five municipalities for manufacturing worker residents in 2010 included Paterson (9,884), Newark (9,327), Jersey City (7,953), Elizabeth (7,269), and Clifton (6,402). These rankings stayed mostly the same through 2019, except for the fifth spot, which switched from Clifton to neighboring Passaic. Clearly, the center of New Jersey manufacturing workers remains the northeast urban areas near New York City. The following map shows manufacturing worker density by municipality, both in levels and as a percent of labor force.

Map of manufacturing worker residents in New Jersey, levels and share of work force, 2019

Looking at the following map related to changes across the state, rural areas generally saw decreases in manufacturing employees. Whether this is caused by changes in manufacturing locations, movement of residents, or a combination of factors would need further study support. However, there is evidence from the 2020 Census that indicates rural communities are losing population.

Map of percent change in manufacturing worker
residents in New Jersey, 2019 vs 2010

Outside of the northeastern manufacturing area, there is a notable increase in manufacturing employees in Atlantic County and Southern Ocean County. It will be of interest to follow how New Jersey’s new wind port, which is being built in Salem County, supports further manufacturing sector employment in and around the region.

The towns that saw the biggest decreases in residents employed in manufacturing from 2010-2019 share some similarities to those above. Plainfield (-1,537), Newark (-1,441), Woodbridge (-1,431), and Linden (-1,265) are also in this concentrated northeast urban area, while Trenton (-1,341), which has the fourth most manufacturing residents in the state, is not.

Reshoring Jobs: a Pre-COVID Trend Accelerated by the Pandemic

Among the many lessons the world has learned from the COVID-19 pandemic is the is the vulnerability of the global supply chain. Estimates suggest the pandemic affected 98 percent of global supply chains.[1] Companies that had previously prioritized a lean supply chain model that prioritized cost reduction and just-in-time production were not well prepared for major worldwide disruptions.[2]

As a result of the pandemic, some firms started to consider “reshoring” – the practice of bringing manufacturing and services back to the United States from overseas.[3] A May/June 2020 survey of 750 North American manufacturing firms found that 69 percent were either “likely” or “extremely likely” to reshore their overseas operations.[4] It is worth noting that the pandemic did not seem to cause the sudden interest in reshoring – rather, it accelerated an existing trend.[5] Evidence shows, over the past decade, China has lost the most reshored U.S. jobs (40 percent), followed by Mexico (23 percent) and Canada (10 percent). Over the past several years, the number of jobs cumulatively reshored to the United States has increased from about 100,000 in 2013 to over 500,000 in 2020.[6] In 2020, reshoring logged a record high 109,000 jobs announced.

The pandemic was the main driver of this recent surge, but analysts also view this landmark development as a combination of other factors, including greater U.S. competitiveness due to corporate tax and regulatory cuts, and rising concern over China’s competitiveness.[7] In general, a number of variables unrelated to the pandemic factor into a company’s decision to reshore. Rising wages in hosting countries are one of the most frequently cited reasons. Other reasons include protection of intellectual property, shorter supply chains, and the value of the “Made in USA” label as factors in decisions resulting in reshoring.[8] Despite the impact of COVID-19 and some promising developments in recent years, it’s important not to assume that reshoring is inevitable. Decisions on supply chains are made based on business fundamentals such as production costs and access to large markets. COVID-19 will likely not significantly affect those factors.

[1] https://www.supplychaindive.com/news/supply-chains-reshoring-decisions-sourcing-manufacturing-china/597596/

[2] https://www.brookings.edu/research/reshoring-advanced-manufacturing-supply-chains-to-generate-good-jobs/

[3] https://www.brookings.edu/research/reshoring-advanced-manufacturing-supply-chains-to-generate-good-jobs/

[4] https://www.areadevelopment.com/BusinessGlobalization/Q1-2021/job-creation-through-reshoring.shtml

[5] https://www.areadevelopment.com/BusinessGlobalization/Q1-2021/job-creation-through-reshoring.shtml

[6] Reshoring Initiative 2020 Data Report

[7] Ibid

[8] https://www.areadevelopment.com/BusinessGlobalization/Q1-2021/job-creation-through-reshoring.shtml; https://www.supplychaindive.com/news/supply-chains-reshoring-decisions-sourcing-manufacturing-china/597596/

 $20M Expansion to Pilot Program Helps Jersey Shore Businesses &
Organizations Purchase Zero-Emission Medium-Duty Vehicles

TRENTON, N.J. (December 1, 2021) – The New Jersey Economic Development Authority today opened applications for its popular New Jersey Zero Emission Incentive Program (NJ ZIP) pilot to businesses and organizations in the Greater Shore Area to help them offset the cost of purchasing new, zero-emission medium-duty vehicles (MDVs). Last month, the NJEDA Board approved a $20 million expansion of the program funding pool, which builds on momentum generated since the launch of the clean energy initiative. NJ ZIP is also available to entities in the greater Newark, Camden, and New Brunswick areas.

With this expansion, nearly $45 million has been allocated to the voucher pool. Applications are being accepted on a rolling basis and can found at http://www.njeda.gov/njzip. The website also includes links to useful resources for potential program applicants, including: webinars for vendors and purchasers, eligibility requirements, frequently asked questions, accounting of remaining funds, and a link to email the NJ ZIP program manager directly.

Businesses and organizations in the four designated greater community areas can apply for vouchers to purchase new, Class 2b to Class 6 zero-emission MDVs. The size of vouchers awarded through the program varies depending on the class of vehicle being purchased, from a minimum of $25,000 for Class 2b vehicles to $100,000 for Class 6 vehicles. Bonuses are available for small businesses (fewer than 25 staff or less than $5 million in annual revenues); women-, minority-, and veteran-owned businesses; vehicles that are manufactured in New Jersey; and small businesses that scrap their eligible MHDVs. More information on eligibility and processes is available at https://www.njeda.gov/njzip.

“Our shore communities have repeatedly experienced the long-term impacts of climate change over the last decade and it is incumbent upon us to continue to create and leverage innovative solutions to blunt these effects,” NJEDA Chief Executive Officer Tim Sullivan said. “NJ ZIP sits at the intersection of clean energy and environmental justice and is a vital part of Governor Phil Murphy’s whole-of-government approach to combating climate change and spurring economic opportunities in historically overburdened communities.”

For the purposes of this pilot expansion, the Greater Shore Area is defined as the overburdened communities within or intersected by a line set at a 10-mile distance from New Jersey’s eastern Atlantic shore, spanning approximately from Sandy Hook Bay to Delaware Bay. This includes the following municipalities:

Absecon, Asbury Park, Atlantic City, Barnegat Township, Berkeley Township, Bradley Beach Borough, Brick Township, Brigantine, Cape May, Colts Neck Township, Eatontown Borough, Egg Harbor City, Egg Harbor Township, Farmingdale Borough, Galloway Township, Highlands Borough, Holmdel Township, Howell Township, Keansburg Borough, Keyport Borough, Lacey Township, Lakewood Township, Little Egg Harbor Township, Long Branch, Lower Township, Manchester Township, Middle Township, Middletown Township, Neptune City Borough, Neptune Township, North Wildwood, Northfield, Ocean City, Ocean Gate Borough, Ocean Township, Pleasantville, Point Pleasant Beach Borough, Red Bank Borough, Seaside Heights Borough, Shrewsbury Township, Somers Point, South Toms River Borough, Stafford Township, Tinton Falls Borough, Toms River Township, Tuckerton Borough, Union Beach Borough, Ventnor City, Wildwood, Woodbine Borough

Vouchers are available on a first-come, first-served basis, with set-asides for the Greater Shore Areas, small- and micro-businesses, and passenger transportation. Based on the continued positive results of this expansion of the pilot program, additional expansions or a longer-term program with expanded eligibility may be proposed.

This latest NJ ZIP expansion is being funded using proceeds from New Jersey’s participation in the Regional Greenhouse Gas Initiative (RGGI), a multi-state “cap-and-trade” program regulating carbon dioxide emissions, that New Jersey was rejoined by Executive Order of Governor Murphy in 2019. More information about New Jersey’s plans for using RGGI funding is available https://www.nj.gov/rggi/index.html.


About the New Jersey Economic Development Authority

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources for businesses call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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Program Will Offer up to $150,000 in grants to NJ Startups

TRENTON, N.J. (November 23, 2021) – The New Jersey Commission on Science, Innovation and Technology (CSIT) today announced the creation of a $1.5 million Catalyst Seed Research and Development (R&D) Grant Program to help New Jersey-based startups accelerate development of technologies. The funding will help the companies transform new discoveries from the research stage into commercially viable products and services. The application, which opens on December 6, will be available at http://www.njeda.gov/csit.

The Catalyst Seed R&D Grant Program will be open to companies conducting R&D or testing technologies in the following areas that were identified as targeted industries in Governor Phil Murphy’s economic development plan, “The State of Innovation: Building a Stronger and Fairer Economy in New Jersey: Advanced Manufacturing, Transportation and Logistics, Film and Digital Media, Life Sciences (including, but not limited to: therapeutic drug development, diagnostics, and medical devices), Non-Retail Food and Beverage, Finance and Professional Services, and Technology.

“The new Catalyst Seed R&D Grant Program will vastly expand the scope of projects and companies that CSIT is able to support,” said CSIT Executive Director Judith Sheft. “Providing seed capital to businesses in high-wage, high growth sectors is both beneficial to the individual entities and important to the strength of our overall innovation economy.”

The program will offer two grant components:

  • Grants of up to $150,000 for projects that are developing life sciences therapeutics. It is anticipated that five awards will be made in this area.
  • Grants of up to $75,000 for other innovation projects – non–life sciences therapeutics drug R&D projects and projects that are not eligible for the Clean Tech Seed Grant. It is anticipated that 10 awards will be made in this area.

Sheft noted that the Catalyst Seed R&D Program is modeled after CSIT’s successful Clean Tech R&D Seed Grant Program, which awarded nearly $750,000 to startups statewide earlier this year. CSIT anticipates opening a second round of its Clean Tech Seed Grant program in early 2022. Therefore, companies that are working on research regarding the avoidance of emissions of, or recapture, greenhouse gases and/or criteria pollutants, or to enable such avoidance or recapture, will not be eligible to participate in the Catalyst Seed R&D Grant Program. 

Applications for the Catalyst Seed R&D Grant Program will open on December 6, 2021. CSIT will host an information webinar on December 7, 2021 at 10:00 a.m., which will include a walk-through of the application. Anyone interested in attending can visit http://tinyurl.com/NJCSIT to register. A recording of the webinar will also be available on CSIT’s website. Entrepreneurs can also get information about this and other programs designed to help their early-stage companies grow during the NJEDA’s November 30 Innovation Economy Programs webinar. Attendees can register for the event at http://tinyurl.com/NJ-Innovation.

“Under Governor Murphy’s leadership, New Jersey is receiving national and international attention as an excellent place to locate and grow a startup,” NJEDA Chief Executive Officer Tim Sullivan said. “The Catalyst Seed R&D Grant Program will be an important tool for helping us continue to foster an environment where these startups can succeed and thrive.”

Applicants for the Catalyst Seed R&D Grant Program will be required to demonstrate at least one of the following for their projects in order to be eligible for funding: description of the proof of concept results, published paper outlining results achieved, successful completion of a federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) grant or contract related to the project, and/or confirmation documentation from a university tech transfer office if the project relates to technology that has been developed at a university. Complete eligibility requirements can be found at http://www.njeda.gov/csit.

In support of CSIT’s mission to foster diversity and inclusion, one grant award will be reserved for an applicant meeting the minimum scoring criteria of 70 points that is women-owned as certified by the State of New Jersey and one grant award will be reserved for an applicant meeting the minimum scoring criteria of 70 points that is minority-owned as certified by the State of New Jersey. If there are no applicants that meet these criteria the funds may be allocated to other applicants.

In their roles on the CSIT Board, New Jersey State Senator Robert Singer and Assemblyman Andrew Zwicker have been vocal champions of creating resources such as the Catalyst Seed R&D Program to support New Jersey startups.

“Access to seed capital is among the most vital tools for very young companies that are often too early-stage to attract outside capital,” Senator Singer said. “Giving them that access now will pay dividends for our innovation ecosystem in the future.”

“New Jersey startups already have a tremendous number of assets available to them – including proximity to world-class universities, a top-notch talent pool, and a supportive innovation ecosystem,” Assemblyman Andrew Zwicker said. “Adding the Catalyst Seed R&D Grant Program to the suite of resources that CSIT offers startup companies will further Governor Murphy’s goal vision of making New Jersey the nation’s premier hub for innovative, science-and-technology focused entrepreneurism.”


About CSIT

In August 2018, Governor Murphy signed legislation re-establishing the former New Jersey Commission on Science and Technology as the CSIT. Comprised of representatives from the public and private sectors, as well as academia, the Commission is tasked with leading the way in promoting the state as a home for academic and technological research, development, and commercialization.

To learn more about state resources available to New Jersey entrepreneurs and early-stage companies, visit https://www.njeda.gov/csit or follow @NewJerseyEDA on Twitter, Facebook, LinkedIn and Instagram.

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NJ Accelerate Will Support Companies Locating in NJ After Graduating from Launch Lane

Launch Lane Leadership and Advisory Team

TRENTON, N.J. (October 7, 2021) – The New Jersey Economic Development Authority (NJEDA) announced today that the Philadelphia-based University City Science Center’s Launch Lane accelerator has been approved to participate in its NJ Accelerate program. NJ Accelerate is designed to grow New Jersey’s innovation ecosystem by promoting greater participation by the state’s entrepreneurs in qualified accelerator programs throughout the United States. It also incentivizes graduate companies from approved accelerators to consider locating in New Jersey, as well as to showcase the talent in the state’s accelerators on a national stage. More information about NJ Accelerate can be found at http://www.njeda.gov/njaccelerate.

An accelerator is a fixed-term, cohort-based training experience for startups that offers educational and mentorship programs and facilitates connections to venture capitalists, angel investors, mentors, customers, industry experts, and corporate executives who can help early-stage companies grow. Many accelerators also provide investment capital and office, lab, or prototyping space.

Through NJ Accelerate, the NJEDA matches investments made by an approved accelerator into startups that locate in New Jersey within six months after graduating from the participating accelerator’s program. NJEDA’s match will be in the form of a direct loan up to $250,000. A five-percent match bonus is available for companies that are certified as women- or minority-owned in New Jersey. The NJEDA will also provide rent support for up to six months if a company locates in an approved NJ Ignite collaborative workspace.

“New Jersey entrepreneurs are continually coming up with high-caliber ideas for products that will transform the global marketplace, and we are committed to connecting them with the tools necessary to bring those ideas from thoughts to prototypes and commercialization,” said NJEDA Chief Executive Officer Tim Sullivan. “Under Governor Murphy’s leadership, we have rolled out a suite of resources, including NJ Accelerate, to help early-stage companies access capital, mentorship, and real estate with the goal of achieving the Governor’s vision for recapturing New Jersey’s leadership in innovation.” 

Launch Lane helps entrepreneurs in the technology, tech-enabled, and digital health spaces scale their startups and commercialize their products. Since its launch in 2014, Launch Lane has invested capital into 35 companies, including four based in New Jersey. Combined, these alumni have generated over $50 million in revenue and raised over $300 million in funds and employ more than 400 people.

In addition, Launch Lane frequently brings in members in the greater Philadelphia community to engage with participants on a range of relevant topics, such as hiring talent, licensing, marketing, product development, change management, and sales/value proposition. Launch Lane participants also have the ability to tap into the University City Science Center’s vast network of resources, including hundreds of vetted mentors, advisors, seasoned entrepreneurs, and investors who can provide mentorship to the growing companies. Founded in 1963, the University City Science Center is Philadelphia’s premier catalyst of entrepreneurial activity, healthcare innovation, and economic growth.

“Our proximity to southern New Jersey makes us an ideal choice for entrepreneurs who have already set down roots and are looking to expand their footprint in the Garden State,” said Aron Starosta, University City Science Center’s Vice President, Commercialization & New Ventures. “Joining the NJ Accelerate program is a wonderful way for us to leverage the strengths of the region to increase visibility among New Jersey early-stage companies and reinforces the Science Center’s regional and global approach to technology commercialization. We encourage anyone interested in applying to our nationally-recognized program to learn more about our hands-on approach to helping startups grow.”

Launch Lane is the fourth accelerator approved to participate in NJ Accelerate to date, joining VentureWell’s Aspire Program,  Cleantech Open Northeast and Morgan Stanley Multicultural Innovation Lab as approved accelerators.

In addition to benefiting New Jersey startups, the NJ Accelerate program also provides exposure and funding for participating accelerators. The NJEDA will disseminate information about Launch Lane and encourage well-qualified companies to participate. In addition, the NJEDA will provide up to $25,000 per event capped at $100,000 per participating accelerator in total sponsorship funding for accelerator-led events, such as Accelerator Demo-Days, cohort road shows, in-person classes, pitch competitions, and networking events held in New Jersey. Approved accelerators with a diversity and inclusion focus may be eligible for an additional five percent bonus.

Accelerators and entrepreneurs interested in participating in the NJ Accelerate program are encouraged to contact the NJEDA at NJAccelerate@njeda.com. Additional information and detailed eligibility criteria for both accelerator programs and entrepreneurs are available at https://www.njeda.gov/njaccelerate.

About the New Jersey Economic Development Authority

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources for businesses call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.govand follow @NewJerseyEDA on Facebook, Instagram, Twitter, and LinkedIn.

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Expansion will Bring Popular NJ ZIP Program to
Greater New Brunswick Area & Build on Successful Pilot Program

TRENTON, N.J. (September 29, 2021) – Building on the momentum generated since the launch of the New Jersey Zero Emission Incentive Program (NJ ZIP) pilot program earlier this year, the New Jersey Economic Development Authority (NJEDA) today announced a $9.25 million expansion of the popular clean energy initiative. The initial $15 million voucher pilot program launched earlier this year to help businesses and institutions in the greater Camden and greater Newark areas offset the cost of purchasing new, zero-emission medium-duty vehicles (MDVs). Through the expansion announced today, the NJEDA will broaden access to the pilot program to include qualified businesses and institutions in the greater New Brunswick area. Applications are being accepted on a rolling basis and can found at http://www.njeda.gov/njzip.

“Historically overburdened communities have borne the brunt of the impact of global warming for far too long,” Governor Phil Murphy said. “NJ ZIP is an important part of our Administration-wide environmental justice effort to level the playing field, improve community health outcomes, and connect local New Jersey businesses with resources to take control of their vehicle emissions.”


As of today, 38 applications have been submitted to the program, representing 148 zero-emission vehicles, and nearly reaching full subscription of the initial $15 million voucher pool. In alignment with Governor Murphy’s vision to create equitable economic opportunities, targeted program outreach has resulted in more than 75 percent of the purchaser applicants being small or micro-businesses and over 50 percent certified as minority- and/or woman-owned businesses. All applicants approved to date will operate and/or register their vehicles within the greater Camden or greater Newark areas, positively contributing to emission reductions in overburdened communities. By expanding program eligibility and funding, the NJEDA anticipates building on this foundation to reach more local communities and businesses.

“Getting more zero-emission vehicles on the roads is a key step in New Jersey’s response to climate change and improving health outcomes in our overburdened communities – and just makes good economic sense for our small businesses,” said NJEDA Chief Executive Officer Tim Sullivan. “We are excited to see such a robust and diverse response to our pilot program, and are thrilled that the funding announced today will allow us to bring NJ ZIP to more communities within our state, making strides toward Governor Murphy’s vision for a stronger and fairer – and greener – New Jersey.”

As in the initial phase of the NJ ZIP pilot program, businesses and organizations in the three designated communities can apply for vouchers to purchase new, Class 2b to Class 6 zero-emission MDVs. The size of vouchers awarded through the program varies depending on the class of vehicle being purchased, from a minimum of $25,000 for Class 2b vehicles to $100,000 for Class 6 vehicles. Bonuses are available for small businesses (fewer than 25 staff or less than $5M in annual revenues); women-, minority-, and veteran-owned businesses; vehicles that are manufactured in New Jersey; and small businesses that scrap their eligible MHDVs. More information on eligibility and processes is available at https://www.njeda.gov/njzip.

In addition to municipalities in the greater Newark and greater Camden areas, the following communities in the greater New Brunswick area, defined as the overburdened communities within or intersected by a circle with a 10-mile radius centered on New Brunswick, are now eligible to participated in the NJ ZIP Program following the expansion: 

Bound Brook, Bridgewater, Clark, Dunellen, East Brunswick, Edison, Franklin, Green Brook, Highland Park, Hillsborough, Jamesburg, Manville, Metuchen, Middlesex, Monroe, Montgomery, New Brunswick, North Brunswick, North Plainfield, Old Bridge, Perth Amboy, Piscataway, Plainfield, Raritan, Sayreville, Scotch Plains, Somerville, South Amboy, South Bound Brook, South Brunswick, South Plainfield, South River, Spotswood, Woodbridge

In early 2020, Governor Murphy unveiled the state’s Energy Master Plan, which outlines key strategies to reach the Administration’s goal of 100 percent clean energy by 2050. In May 2018, the Governor’s Executive Order No. 28 directed the New Jersey Board of Public Utilities (NJBPU), in partnership with other state agencies, to develop this statewide clean energy plan and shift away from energy production that contributes to climate change.

“As part of its sweeping clean energy initiatives the Murphy Administration has implemented a robust electric vehicle program to address the fact that the transportation sector accounts for 46 percent of greenhouse gas emissions in New Jersey,” said NJBPU President Joseph L. Fiordaliso. “These programs include NJ ZIP, the Charge-Up New Jersey electric vehicle incentive program for consumers and the Clean Fleet Electric Vehicle Incentive program for government entities. NJ ZIP is an innovative and effective way to drive down the Garden State’s carbon footprint. We applaud the NJEDA’s expansion of this program into the greater New Brunswick area.”

Similar to the initial round of NJ ZIP funding, this expansion will continue to be funded using proceeds from New Jersey’s participation in the Regional Greenhouse Gas Initiative (RGGI), a multi-state “cap-and-trade” program regulating carbon dioxide emissions, that New Jersey was rejoined by Executive Order of Governor Murphy in 2019. The State is deploying those funds within four initiative categories identified in the RGGI Strategic Funding Plan: catalyzing clean, equitable transportation; promoting blue carbon in coastal habitats; enhancing forests and urban forests; and creating a New Jersey Green Fund. More information about New Jersey’s plans for using RGGI funding is available https://www.nj.gov/rggi/index.html.

“With Governor Murphy’s leadership, we rejoined our neighbors throughout the northeast in fighting climate change by reducing greenhouse emissions and investing in the electrification of medium and heavy duty vehicles and port equipment, which improves air quality in some of our most overburdened environmental justice communities,” said New Jersey Department of Environmental Protection Commissioner Shawn LaTourette. “Continued investments in creative programs like NJ ZIP demonstrate that we can support New Jersey businesses as we improve our environment and protect public health.”

Vouchers are available on a first-come, first-served basis, with a continued focus on outreach and engagement to the micro and small business community. Based on the continued positive results of this expansion of the pilot program, additional expansions or a longer-term program with expanded eligibility may be proposed.


About the New Jersey Economic Development Authority

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources for businesses call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.gov and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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