Montclair State University and Energenic to Develop Efficient and Innovative Energy Project

Combined heating, cooling, and power plant is second public-private construction partnership for University

Montclair, NJ and Mays Landing, NJ (June 6, 2012)—Montclair State University and Energenic-US, LLC announced today a major public-private construction project, launched under the 2009 New Jersey Economic Stimulus Act, to develop a new combined heating, cooling, and power (CHCP) system for the Montclair State campus. This innovative project will create hundreds of new jobs for New Jersey workers and produce more environmentally responsible energy services for the University.

The CHCP project will be developed by Energenic-US, LLC, a long-term partnership between DCO Energy LLC and Marina Energy LLC, which is a subsidiary of South Jersey Industries (NYSE: SJI).

This $90 million public-private partnership – the second for Montclair State and only the third statewide – will enable the University to replace its current heating and cooling system without construction funding being required of either the University or the state of New Jersey. The new state-of-the-art facility and its related infrastructure improvements will replace the campus’ existing energy plant, which began generating steam in the 1940s and providing electricity as a co-generation plant in 1993. The project’s development will result in more cost-effective, efficient, and reliable delivery of heating, cooling, and electrical services to campus buildings.

“Montclair State continues to demonstrate initiative in utilizing public-private partnerships to finance both facility expansions and infrastructure improvements,” said Montclair State University President Susan A. Cole. “The new CHCP plant is not only an example of the University’s entrepreneurial management of its scarce financial resources, it also reflects our campus-wide commitment to environmental conservation and alternative energy.”

“This project is a win-win-win – a win for Montclair State, a win for its students, and a win for the environment,” said Frank E. DiCola, Energenic’s chief executive officer. “The students of Montclair State will benefit from safe, reliable, and clean steam heat for buildings and personal use, in a more efficient and environmentally friendly way. The University should be commended for their foresight in providing students and faculty with a cleaner and more efficient power source,” explained DiCola.

The scope of the project includes the design, construction, operation, and maintenance of the plant on property leased from the University for a term of 30 years, under a state approved public-private partnership arrangement. The 18-month construction project is expected to employ approximately 400 workers.

The plant will provide natural gas-fired electric generation, chilled water, and steam for heat. The steam, condensate, and chilled water will be delivered to and returned from campus buildings via the new energy distribution system. The majority of the campus’ electricity requirements will be satisfied by the onsite plant, which will be designed to operate continuously producing electric power of approximately 5.4 megawatts. The plant will be located on Yogi Berra Drive, adjacent to the campus’ Car Parc Diem parking garage.

The project continues Montclair State’s commitment to sustainable practices, as noted in the University’s designation as a “Green College” by the Princeton Review since the first release of The Princeton Review’s Guide to Green Colleges in 2010.
In August 2011, the University completed construction on The Heights, New Jersey’s largest campus residence and dining complex. It was the first public-private partnership construction project to be developed under the state’s Economic Stimulus Act. This $211 million project employed 1,350 construction workers.

About Montclair State University
Montclair State University offers a comprehensive array of undergraduate and graduate programs to a highly diverse population of 18,500 students in an expansive university setting combined with an intensive focus on student learning and success. For more information, visit montclair.edu.

About Energenic
Energenic is a joint business venture between long-term business partners Marina Energy LLC, a subsidiary of South Jersey Industries (NYSE: SJI), and DCO Energy LLC. Energenic specializes in the comprehensive design, development, construction and long term operation of large-scale energy projects and has offices in Nevada and New Jersey. For more information, visit energenic-us.com, sjindustries.com and dcoenergy.com.