The current Texas REC market is a generic renewable energy market meaning that there is no difference between wind, solar and any other type of REC. However, the state is currently considering breaking RECs up into three categories: solar, wind and other. The program is run by the Texas ISO, ERCOT. Currently the ACP in Texas is $50 a REC and there is a large oversupply of RECs in the market – so values are significantly depressed. However, RECs are good for 3 years so they may be sold in the future.
A Pending Texas SREC Market
If the proposed rule changes are accepted by the Texas Public Utilities Commission, the SREC market in Texas will begin in January 2011. As of this post, the projected target for solar will be 50 MW with an ACP of $100. As the rules are finalized, both the target and the ACP may be increased.
Interstate REC Trading
Texas will only count in-state RECs for the Texas renewable portfolio standard, however if you want to apply your RECs to other state compliance requirements, you must retire them in the ERCOT system and note what state or program they are being retired in – assuming that the administrator of the program will accept your RECs from ERCOT. The tracking technology ERCOT developed with APX is similar to that now used by other platforms.