U.S. Renewable Energy Portfolio Standards: A Status Update. Lawrence Berkeley National Laboratory (2013). The presentation provides an overview of current PSR policies and highlights recent exceptions and policy challenges. shows positive effects on the development of renewable energies. State PSR requirements include the following exceptions: Photovoltaic: 20 MW by 2020 (IOUs). The state installed a credit multiplier for photovoltaics, which was installed before 2016. The two state-owned utilities are to phase out coal production by 2035. By 2025, at least 8% of total electricity capacity will need to come from small municipal renewable energy projects with a capacity of 20 megawatts (MW) or less. In most cases, a CES policy includes a PRS as part of the requirement.
For example, California released its CES in 2018, which requires state utilities to produce 100% clean electricity by 2045. As part of the CES, the state`s RPS was increased to get 60% of electricity from renewable sources by 2030. After this date and benchmark, the remaining 40% of the CES can be covered by any qualified clean energy source. Most commonly, these are defined as any carbon-free or carbon-neutral resource. According to Lawrence Berkeley National Laboratory, 20 states and Washington, D.C. have capped costs in their RPS guidelines to limit increases to a certain percentage of staggered payer bills. A state limits the gross costs of RPS procurement. The renewable energy policy is helping to boost the country`s $64 billion market for wind, solar and other renewable energy sources. These measures can play a key role in countries` efforts to diversify their energy mix, promote economic development and reduce emissions.
About half of the growth in U.S. renewable energy generation since the early 2000s has been driven by government demand for renewable energy. Resources eligible under an RPS vary from state to state, but often include wind, solar, biomass, geothermal, and some hydroelectric plants – depending on size and vintage. States determine the eligible resources according to their existing energy mix and the potential for renewable energy development in their country. In order to promote a diverse mix of resources and encourage the use of certain technologies, governments have established renewable energy exceptions and credit multiples in their PSRs for certain energy technologies such as offshore wind or rooftop solar installations. Exclusions require that a certain percentage of total renewable energy demand be met with a particular technology, while credit multiples provide additional renewable energy credits for electricity generated by certain technologies. At least 21 states and Washington, D.C., have credit multipliers, exceptions, or both for certain energy technologies in their PSR policies. The impact of a PRS on instalment payers may also influence the adoption of its policy.
A counterbalance to the impact on installment payers is that PSR mandates tend to drive local economic growth. Under a well-designed PHI, costs are shared equitably by all remittance payers. Another way to address the impact of installment payers is to include provisions in the regulatory process with careful scrutiny to prevent costs from rising excessively. A Renewable Portfolio Standard (RPS) is a regulatory mandate to increase energy production from renewable sources such as wind, solar, biomass and other alternatives to fossil and nuclear generation. It is also known as the standard for renewable electricity. Recommended principles and best practices for government renewable energy portfolio standards. RPS State-Federal Collaboration (2009). Identifies principles and best practices derived from government experience to support decision-makers. For more information on renewable energy portfolio standards, see the following NREL publications: National Conference of State Legislatures` Energy and Environment Legislation Tracking Database A searchable database of renewable energy bill information implemented in all 50 states and the District of Columbia. Most jurisdictions with current or recently updated PRS have set targets of at least 40%. However, recent PSR legislation has seen a push towards 100% clean or renewable energy requirements.
To date, 10 states, Washington, DC, Puerto Rico and Guam have set 100% clean or renewable portfolio requirements with maturities between 2030 and 2050. Three other states, as well as the U.S. Virgin Islands, have targets of 50% or more. Renewable Energy Portfolio Standards (RPS) require that a certain percentage of electricity utilities sold come from renewable resources. States have created these standards to diversify their energy resources, promote domestic energy production and promote economic development. A RPP is more successful in promoting renewable energy projects when combined with the government`s Producer Tax Credit. States often design them to advance a particular technology by providing exclusion provisions that require a certain percentage of the electricity generated to come from a particular technology (e.g. solar energy or biomass).
States may choose to apply the SRP requirement to all their public services or only to those owned by the investor. States can also define which technologies can be considered in PSR requirements. Qualified renewable energy sources in Colorado include, for example, solar, wind, geothermal, biomass, some hydroelectric resources, and zero neutral methane from coal mines. In comparison, eligible resources under Hawaii`s PSR include solar, wind, biomass and geothermal energy, as well as energy generated by waterfalls, seawater, waves and water currents. Other eligible resources in several states include landfill gas, animal waste, cogeneration and even energy efficiency. It should be noted that several States have expanded their policies in recent years to include additional resources. There is now a distinction between a “renewable portfolio standard” (RPS) and what some states have called the “clean energy standard” (CES). The difference between a PSR and a CES depends on how a particular state defines what is a “renewable” energy source and a “clean” energy source.
Clean energy generally refers to energy sources that do not have carbon emissions. States with standard guidelines for renewable energy portfolios that include regulations on solar energy or distributed generation, as of March 2013. Map from the State Incentives for Renewable Energy and Efficiency (DSIRE) database When designing an RPS, consider the following best practices: Sufficient transmission capacity for production from renewable resources is important for the success of an RPS. States whose PRS has been successful either have an adequate transfer or plan to build it. Iowa was the first state to establish a PSR; Since then, more than half of states have set renewable energy targets. Thirty states, Washington, D.C. and two territories have active renewable or clean energy needs, while three other states and one territory have set voluntary renewable energy targets. PRS legislation has seen two opposing trends in recent years. On the one hand, many states with CRP targets are expanding or renewing those targets.
In 2018, 15 states, two territories and Washington, D.C., passed laws to increase or expand their renewable or clean energy goals. On the other hand, seven states and one territory have progressively reduced their CRP targets; Four other states have PSR targets that expire in 2021. Some of these “clean” sources may not be considered “renewable”. For example, nuclear energy is considered a “clean” energy source under some guidelines of the Conference of European Statisticians because it is decarbonized. However, it is not generally considered “renewable”. Conversely, biomass, which is an eligible resource under many government PRP guidelines, is considered “renewable” despite carbon emissions. Resources for renewable energy portfolio standards. Lawrence Berkeley National Laboratory. A resource for RPS data, presentations and LBNL reports. Standard renewable energy guidelines vary widely in terms of several elements, including GWP targets, the businesses they contain, the eligible resources to meet the requirements, and cost caps. In many states, standards are measured by the percentage of retail sales. However, Iowa and Texas require certain amounts of renewable energy capacity instead of percentages, and Kansas requires a percentage of peak demand.
SRP requirements can only apply to investor-owned utilities, although many states also include municipalities and electric cooperatives (municipalities and cooperatives), sometimes with a lesser purpose. Utilities subject to these mandates must receive renewable energy credits or certificates (RECs) that represent the environmental benefits of one megawatt-hour of renewable energy generation. RECs are created when renewable energy is sent to the grid and are used to verify that utilities are meeting their targets. The status of the government`s renewable portfolio standards. Alliance of States for Clean Energy. Provides an overview of RPS success records, highlights their strengths, and describes ways to address vulnerabilities.