The innovative structure allows even a non-profit organization to enjoy indirect benefits from federal and state tax incentives that promote investments in renewable energy and the growing green jobs economy.

Under the Power Purchase Agreement announced this week, enXco, an EDF Energies Nouvelles Company, will begin construction this spring of the up-to-1.9-megawatt project, which will be owned and operated by enXco to supply Carrier on a net-metering basis.

The project, which will be the largest solar system on a New Jersey hospital campus, qualifies for New Jersey Renewable Energy Certificates.

"Successful renewable energy projects on this scale will require new business models and financial structures as much as new technology," said Susan Feeney, a Newark office tax partner and member of McCarter's Climate Change and Renewable Energy Practice Group.

"We hope this will be a model for future development."

The Carrier Clinic team also included Hartford-based Stephen Humes, co-chair of the climate change group, who handled the power purchase agreement and energy regulatory issues, and Newark partner Edward Butler on leasing and other real estate issues.

Carrier Clinic is a private, not-for-profit behavioral healthcare system which specializes in psychiatric and addiction treatment. Carrier's system includes an inpatient psychiatric hospital, a detoxification and rehabilitation center, an adolescent residential facility and a fully accredited middle and high school for students classified as emotionally disturbed.

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