Pennsylvania SREC Market

Pennsylvania has one of the most perplexing SREC markets (Called solar alternative energy credits or solar AECs in PA). Given the size of the state, it should develop into one of the most robust markets in the region over the next few years. However, it is still in the early stages of a fully-functioning market. Since the program is in its infancy, the actual solar requirement during the first few years is fairly minimal. In addition, PPL and PECO represent over 50% of the electricity in the market and both have been exempt until 2010 for PPL and 2011 for PECO. Finally, there is no defined SACP in Pennsylvania which creates very little price certainty. The fine is set at double the average price of SRECs purchased in an energy year by LSEs and is not published until 6 months after the the end of the energy year. So all the trading in PA is based on estimates of the SACP. For more general information on PA SREC Programs, click here.

Pricing:
SREC Auction - Auction closing prices history

News:
Pennsylvania Blog - Starting point for useful information regarding the Pennsylvania SREC market

Other States in which Pennsylvania facilities are eligible:
Ohio SREC Market

States Eligible for PA Market: Any solar photovoltaic facility in the PJM Region is eligible to be certified. Solar thermal facilities that replace electric hot water heaters can be registered as energy efficiency (EE) credits, not SRECs.
Eligibility Period:  PA SRECs (PA SAECs) can be generated for the life of the system. The program manager will only recognize generation from the date of application. If you have registered in another state prior to application AND the SRECs have already been created, then PA will recognize them. If the prior generation SRECs are not created before the application, then PA will not recognize them.
Energy Year: June 1 to May 31
Tracking Platform: GATS
SREC Useful Life: 3 years - a 2010 SREC (solar AEC) can be counted towards either the 2010, 2011 or 2012 RPS

Solar Requirement: Reaching 0.5% of total electricity generated in 2021 

SACP: 200% of the average SREC (solar AEC) price paid by LSEs in that year

Meter Readings: Facilities under 15kW eligible for estimated generation based on the PV Watts calculation, unless they receive funding from the PA Sunshine Fund. All other facilities must report monthly readings. Facilities that received Pennsylvania Sunshine funding and all systems larger than 15 kW require a revenue grade meter.

Eligibility Begins: At date of application to PA AEPS

Source: EIA Report updated 11/15/11 "By End-Use Sector, by State, by Provider". Projected SRECs Required utilizes the most recent EIA electricity data applying an average 1.5% growth rate per forecast year. RPS Solar Requirement is multiplied by forecast Total Electricity Sales to arrive at Projected SRECs Required. Projected Capacity Required is based on a factor of 1.2 MWh generated per MW of installed capacity per year.

Useful Links:
Pennsylvania Client Forms - All the forms necessary to sign up for SRECTrade's EasyREC service
New to Solar? - Getting Started - The nuts and bolts of getting started generating and selling SRECs
Registering in Pennsylvania - Application details from the PA AEPS Program
DSIRE: Pennsylvania RPS - Details on the Renewable Portfolio Standard

The image below shows a map of the PJM Region. Any facilities cited within the territories highlighted are eligible to participate in the DC and PA SREC programs.