OLR Report 2013-R-0205 summarizes the draft Department of Energy and Environmental Protection (DEEP) study on the renewable portfolio standard (RPS). The study's recommendations are
included in SB 1138,
File
120, reported
favorably by the Energy and Technology Committee.
OLR Report
2013-R-0137 provides a primer on
the RPS.
The draft
study argues that the current RPS does not align with the governor's goal of providing
cheaper, cleaner, and more reliable electricity for state residents. It notes
that the present RPS framework has largely been met by buying renewable energy
credits (RECs) from out-of-state sources that emit pollution. The present
framework leaves ratepayers exposed to potential price volatility from
inadequate supply of renewable power to meet the targets that have been set and
potentially requires electric companies and suppliers to make expensive
alternative compliance payments if they fail to comply with the RPS standards.
The study primarily addresses Class I resources, which includes such things as
solar and wind energy, as well as electricity produced from certain biomass
facilities.
The draft
study recommends:
1. phasing in
a more stringent emission standard for Class I biomass facilities to ensure that
either they deliver cleaner energy or are replaced with newer cleaner resources
such as wind or solar energy,
2. expanding
the definition of hydropower facilities eligible for Class I designation from 5
megawatts (MW) to 30 MW,
3. allowing
all electricity produced from methane that is biologically derived to count as
Class I,
4. allowing
large-scale hydropower to qualify as a Class I resource, in a separate
“contracted tier”,
5. giving
DEEP authority to participate in regional procurement for Class I resources and
procuring large-scale hydropower resources (greater than 30 MW), and
6.
discontinuing Class III incentives for efficiency programs that are already
ratepayer funded.
The study
does not make any recommendations regarding Class II resources.
For more information, read the full report.
