5594880 Public Service Commission - Notice of Proposed Rulemaking - RM29-2015-01, In The Matter Of 15 DCMR Chapter 29-Renewable Energy Portfolio Standard-Fiscal Year 2015 Budget Support Act Of 2014

PUBLIC SERVICE COMMISSION OF THE DISTRICT OF COLUMBIA

 

NOTICE OF PROPOSED RULEMAKING

RM29-2015-01, In the Matter of 15 DCMR CHAPTER 29-RENEWABLE ENERGY PORTFOLIO STANDARD-Fiscal Year 2015 Budget Support Act of 2014

1.                  The Public Service Commission of the District of Columbia (“Commission”), pursuant to its authority under D.C. Official Code §§ 2-505 and 34-802 (2012 Repl.), hereby gives notice of its intent to amend Chapter 29 of Title 15 (Public Utilities and Cable Television) of the District of Columbia Municipal Regulations, Renewable Energy Portfolio Standard (“REPS” or “Standard”), in accordance with the “Fiscal Year 2015 Budget Support Act of 2014”[1] (the “2015 Budget Support Act”) in not less than thirty (30) days after publication of this notice in the D.C. Register.

 

2.                  Under the District of Columbia’s REPS, specific percentages of electricity sales must be from tier one, tier two, and solar energy sources.[2]  Solar energy is defined as a tier one source.[3]  To meet the District of Columbia’s Standard, each electricity supplier must obtain tier one and tier two renewable energy credits (“RECs”) and solar renewable energy credits (“SRECs”), or pay a compliance fee for any shortfall, commensurate with a certain percentage of the number of kilowatt hours of electricity sold by the supplier per year.[4]  A REC is a credit representing one megawatt-hour of energy produced by a tier one or tier two renewable source.[5]  In satisfying the statutory tier one, tier two, and solar requirements, District of Columbia  electricity suppliers can only use tier one and tier two RECs and SRECs obtained from tier one, tier two, and solar generating facilities that have been certified by the Commission.[6]

 

3.                  Prior to the 2015 Budget Support Act, the Commission could only certify solar energy facilities no larger than 5MW located within the District or in locations served by a distribution feeder serving the District, except that SRECs derived from solar energy systems not located within the District or not in locations served by a distribution feeder serving the District which had been certified prior to February 1, 2011 could still be used.[7]  Pursuant to this legislation, the Commission can now certify solar energy facilities which are not located within the District or in locations served by a distribution feeder serving the District but which are located within the PJM Interconnection region or within a state that is adjacent to the PJM Interconnection region.[8]  These solar energy systems can, however, only be used to meet the non-solar tier one renewable source requirement of the standard.[9]  Commission rules §§ 2901.2 and 2902.1, as revised in this Notice of Proposed Rulemaking (“NOPR”), allow the Commission to certify these outside-the District solar energy facilities, subject to this limitation.

 

4.                  Subsection 2901.2 is amended in its entirety to read as follows:

 

2901.2             An Electricity Supplier shall meet the solar portion of the Tier One requirement by obtaining the equivalent amount of RECs from solar energy systems no larger than five megawatts (5 MW) in capacity that are located within the District of Columbia or in locations served by a distribution feeder serving the District of Columbia, except that RECs generated by solar energy facilities that are not located within the District of Columbia nor in locations served by a distribution feeder serving the District of Columbia that the Commission certified prior to February 1, 2011, may be used to meet the solar requirement.  However, an Electricity Supplier may also meet the solar requirement by obtaining RECs from solar energy systems larger than five megawatts (5 MW) in capacity, provided that these solar energy systems are located on property owned by the Government of the District of Columbia or by any agency or independent authority of the Government of the District of Columbia.  In addition, electricity suppliers may meet the non-solar portion of the Tier One renewable source requirement of the renewable energy portfolio standard by obtaining renewable energy credits from solar energy systems that are not located within the District of Columbia or in locations served by a distribution feeder serving the District of Columbia, regardless of capacity.

 

5.                                          Subsection 2902.1 is amended in its entirety to read as follows:

 

2902.1             Renewable generators, including behind-the-meter (BTM) generators, must be certified as a qualified resource by the Commission.  The Commission shall not certify any Tier One solar energy system larger than five megawatts (5 MW) in capacity – except for solar energy systems larger than five megawatts in capacity that are located on property owned by the Government of the District of Columbia or by any agency or independent authority of the Government of the District of Columbia – or any Tier One solar energy system not located within the District of Columbia or in locations served by a distribution feeder serving the District of Columbia.  In addition, solar energy systems that are not located within the District of Columbia or in locations served by a distribution feeder serving the District of Columbia, regardless of capacity may be certified as a qualified resource to meet the non-solar portion of the Tier One renewable source requirement of the renewable energy portfolio standard.

 

6.                  All persons interested in commenting on the subject matter of this NOPR may submit written comments and reply comments no later than thirty (30) and forty-five (45) days, respectively, after the publication of this Notice in the D.C. Register.  Comments may be filed with Brinda Westbrook-Sedgwick, Commission Secretary, Public Service Commission of the District of Columbia, 1325 G Street, N.W., Suite 800, Washington, DC 20005 or at the Commission’s website at www.dcpsc.org.  Persons with questions concerning this Notice should call 202-626-5150.

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[1]               D.C. Law 20-155 (Feb. 26, 2015).

 

[2]           D.C. Official Code § 34-1432 (2015 Supp.).

 

[3]           D.C. Official Code § 34-1431(15)(A) (2015 Supp.).

 

[4]               D.C. Official Code §§ 34-1432 and 1434(c) (2015 Supp.).

 

[5]               D.C. Official Code § 34-1431(10) (2015 Supp.).

 

[6]               See generally, D.C. Official Code §§ 34-1431-1439 (2012 Repl. & 2015 Supp.); 15 DCMR § 2902 (2015). 

 

[7]               See D.C. Official Code §§ 34-1432(e)(1) and (2) (2012 Repl. & 2015 Supp.)

[8]               D.C. Official Code §§ 34-1431(10) and 1432(e)(2) (2015 Supp.).

 

[9]               D.C. Official Code § 34-1432(e)(2) (2015 Supp.).