ABA Renewable Energy Teleconference
Meeting Expectations? An Overview of Implementation
Experiences Under Renewable Portfolio Standard (RPS)
Programs
November 16, 2005Lew Milford
Clean Energy Group
Clean Energy Group & Clean Energy States Alliance
CEG is a US-based, NGO that works to accelerate commercialization of clean energy technologies through:
Advocacy & Education Funds Support Technology Innovation New Financial Vehicles
CESA is multi-state coalition of clean energy funds, managed by CEG, working together to develop & promote clean energy technologies through:
Information Exchange & Analysis Partnership Development Joint Projects
RPS: 21 States & DC and counting
Slide courtesy of:
52 GW Renewables by 2020
Slide courtesy of:
$53 Billion Estimated Investment
Slide courtesy of:
RPS Implementation Issues
There are at least four types of implementation issues relevant to compliance and success.
Structural: internal compliance issues
Regional Markets: state v. larger markets
Design Complexity: barriers to success
Lack of coordination: can we harmonize market?
1. Structural RPS Issues
Technology Eligibility: loose or strict?
Cost cap provisions: balance of consumer cost exposure v. market power of suppliers
Technology allocations: how will set-asides be achieved; need for more attention?
Technology diversity: how well do RPS laws achieve portfolio of technologies?
Long-term contracts: many models, few solutions.
Use of ACPs: purpose and risks.
2. Regional Markets & Infrastructure
Trading barriers: are there real regional RECs markets?
RECs price instability: market fragmentation and supply
Little coordination: Balkananized market
State v. national markets: what happens if there is a national RPS?
3. Design Simplicity: Working to Scale
CA Case Study: See Wiser, et. al. August 2005 Report – “Does it have to be this Hard?...”
Anticipating Scale: wait and see from investors
Project Approvals: are project-by-project reviews consistent with scale required?
4. Lack of Coordination: RPS Implementation Working Group
New multi-party effort: CESA, NCSL, NASEO, NARUC, EPA
Participation of NGOs
Likely regional efforts
Scope: internal and cross-border problems
Consensus around barriers to regional growth
Identify possible regulatory, other solutions
Contact Information
Lewis MilfordClean Energy Groupwww.cleanegroup.org
[email protected](802) 223-2554