Posts Tagged ‘Maryland SRECs’

Maryland Governor Vetoes RPS Legislation

Posted May 27th, 2016 by SRECTrade.

Earlier this afternoon, Maryland Governor Hogan vetoed the Clean Energy Jobs – Renewable Energy Portfolio Standard Revisions bill (SB0921/HB1106). Gov. Hogan’s letter to the Speaker of the House regarding the veto can be read here, wherein the Governor sites “tax increases” as his sole reason for vetoing the RPS legislation, which would have increased the State’s Renewable Portfolio Standard to 25 percent by 2020 – up from the current obligation of 20 percent by 2022 – and allowed for the continued growth of solar and other renewables in the State.

Maryland Carve-Out - 2

Maryland SACP

The RPS bill passed in the House and the Senate earlier this year with veto-proof majorities, so there is potential for the bill to become law despite the Governor’s veto. In response to the veto, proponents of the RPS bill will look to meet with House and Senate leaders to discuss a strategy for moving forward with the bill.  Unfortunately, the veto override vote will not take place until January 2017 unless a special session is held before then. However, since a special session would require the Governor’s approval, it is unlikely that a special session will be held.

SRECTrade will continue to provide updates on the status of the Maryland RPS as we acquire new information. For more information about the Maryland SREC market, please visit our Maryland Market page here.

MD and DC SREC Market Webinar on Thursday, 3/28/2013 at 3 pm ET

Posted March 13th, 2013 by SRECTrade.

MD and DC Webinar Image 2013-03-28
SRECTrade will host a webinar covering the Maryland and Washington, DC SREC markets on Thursday, 3/28 at 3 pm ET. As with previous state market focused webinars, SRECTrade will cover MD and DC specific market trends and capacity projections. Additionally, we will address options clients have for selling SRECs through SRECTrade.

Register here:

MD Solar Thermal Systems Await Application from MD PSC

Posted October 25th, 2011 by SRECTrade.

On January 1st, 2012 the Maryland Public Service Commission (PSC) will begin accepting applications for MD-sited Solar Water Heating Systems (SWH) to become certified to sell SRECs in the MD SREC market. As this law allows eligible systems to be installed on or after June 1, 2011, many MD customers are anxiously awaiting their turn to participate in the MD SREC market. As long as a SWH facility meets the necessary metering standards described in an earlier blog post, the facility can produce SRECs for each MWh-equivalent of thermal energy consumed. For single-dwelling residential systems, there is a maximum 5 SRECs per year that may be produced.

The MD PSC will release the formal application form and list of necessary requirements over the next few weeks. While the MD PSC finalizes their application process, MD SWH systems are encouraged to check out our EasyREC SREC management service and to fill out the SRECTrade Solar Thermal EasyREC form. SRECTrade will guide your system through the registration phase and alert you to any supporting documentation that we will need. Check back on our blog for further updates as we approach the new year.

Maryland and out-of-state SRECs

Posted January 14th, 2011 by SRECTrade.

The recognition of out-of-state SRECs in Maryland has been a fairly ambiguous topic for quite some time now. According to the RPS solar carve-out law in Maryland, statute §7–701:

(i)“Renewable energy credit” or “credit” means a credit equal to the generation attributes of 1 megawatt–hour of electricity that is derived from a Tier 1 renewable source or a Tier 2 renewable source that is located:

(1)   in the PJM region; or

(2)   outside the area described in item (1) of this subsection but in a control area that is adjacent to the PJM region, if the electricity is delivered into the PJM region.

This means that Maryland buyers can procure SRECs from anywhere in the PJM region or a “control area” bordering the region if the electricity is delivered into the region.

Later, the law gets even trickier in §7–704 to say:

“On or before December 31, 2011, energy from a Tier 1 renewable source under § 7–701(l)(1) of this subtitle that is not connected with the electric distribution grid serving Maryland is eligible for inclusion in meeting the renewable energy portfolio standard only if offers for solar credits from Maryland grid sources are not made to the electricity supplier that would satisfy requirements under the standard and only to the extent that such offers are not made.”

Note that § 7–701(l)(1) refers to solar specifically. This makes things even more confusing because what it attempts to say is that Maryland buyers can purchase SRECs from facilities not connected to the grid serving Maryland until the end of 2011 as long as they can prove they cannot source SRECs from within the grid serving Maryland.

What does that even mean? Is the “electric distribution grid serving Maryland” the same as the PJM Region? Is it just the state of Maryland? Is it the PJM Region plus adjacent control areas as long as the electricity is delivered into the PJM Region? Furthermore, how does a buyer prove that they can’t fulfill their requirements within the electric distribution grid, so that they can get approval to buy from facilities not connected to the grid?

Our interpretation: If you’re not connected to the electricity grid serving Maryland, it’s probably not worth the trouble to apply. For starters, if you can sell them, your SRECs are only usable in 2011. In addition, the buyer would need to provide proof that they can’t procure SRECs from within the grid serving Maryland. Assuming that this refers to the PJM Region, then it is highly unlikely that buyers in Maryland would not be able to procure SRECs from within the grid. And finally, onerous requirements like “Mail the original and 14 paper copies of all documents” in the Maryland application process make it one of the most tedious state certifications out there.

What we do know is that there are 2.3 MW of projects outside Maryland that are currently registered in the state and generating SRECs in GATS. These facilities are from: DC, DE, IL, NC, NY, OH, PA, VA, WV.  Of the 107 facilities from outside Maryland, 63 were built in 2010. All of these states are within the PJM Region with the exception of NY, which had 4 facilities from 2004-06 approved. It is likely that the Maryland Public Service Commission has since stopped accepting NY facilities and other facilities from outside the PJM Region.

While we can’t predict how buyers view out-of-state SRECs in Maryland, we now have an in-state/out-of-state option for buyers in the Maryland SREC auction. If you have a facility that is located in the PJM region, we would encourage you to apply to the Maryland SREC market (despite the impact that 14 copy requirement might have on the environment). Instructions can be found on our State Certifications page. We can also do it for a fee if you are an EasyREC customer.