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November 17, 2006

CPUC Proposed REC Decision Delayed

by Stephen Lacey, RenewableEnergyAccess.com

A California Public Utilities Commission (CPUC) proposed decision to grant solar renewable energy certificates (SRECs) to utilities was delayed on Tuesday, November 14, because of the overwhelming response from the solar industry against such a decision.

David Hochschild, Executive Director of PV Now, said that the California solar industry sent a clear message to the CPUC.

"We've had a number of companies including Google basically convey the message that they would not invest in solar if the RECs went to the utilities. Companies like California Sun Edison have said they will leave the California market if utilities get the RECs. And the California Building Industry Association has joined the CSI proceedings, so all the new home builders are advocating for customer ownership of RECs. This could be huge," he said.

It is unclear how long it will take for the CPUC to issue a proposed decision. In the meantime, Hochschild and other solar advocates are encouraging interested parties to write to the CPUC with comments or concerns on the issue.
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Reader Comments (2)
 
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November 22, 2006
It seems to me that the CPUC should NOT grant solar renewable energy certificates (SRECs) to utilities in my opinion, unless the SREC involved if for physical facilities owned and operated by the facility benefitting from the SREC.

The revenue from SREC's being sold should go to the owner of the physical facility being claimed. This will further encourage investments in renewable energy by other investors. It will improve the ROI for the small implementor of renewable energy equipment.
Comment 1 of 2
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November 27, 2006
Lakeland Electric, a municipal utility in Florida, finances, installs, and operates metered solar PV and solar hot water systems on participating customer building roofs. They bill their customers for the solar energy utilized each month at a rate less than the usual charge for electricity and compute the total solar kWhs produced by their program. Last year they sold RECs on the open market for approximately 2.5 cents per kWh. If the California utilities were to adopt this Lakeland Electric program, then they certainly should own the RECs since they would own and operate the solar energy systems.
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