Commission Debates Green Power Caps and RECs in Regulatory Meeting

During the recent Public Service Commission meeting in Maryland, a pivotal discussion emerged regarding the establishment of a cap on green power offers. The dialogue centered on the complexities of defining what constitutes a "green power offer" and the implications of allowing different types of renewable energy credits (RECs) in these offerings.

Commissioner Sussman highlighted the necessity of addressing two critical questions: the maximum cap for green power offers and the qualifications for RECs beyond the mandated 51% threshold. The consensus among commissioners was clear—both questions must be resolved to effectively develop green power products. However, there was concern that requiring legal analysis on the eligibility of national RECs could delay the process.

Mr. Wallace, representing stakeholders, emphasized the urgency of these decisions, stating that clarity on both issues is essential for moving forward. He suggested that the commission could initially set a cap for the 51% portion of green power offers while postponing the decision on the qualifications for the remaining 49%. This approach could expedite the development of green power products without compromising the overall integrity of the offerings.

The commission is considering setting the green power price at 150% of the trailing average standard offer service (SOS) as an interim measure. This would provide a framework for stakeholders to begin crafting their products while awaiting further legal clarifications.

As the commission navigates these discussions, the outcome will significantly impact the future landscape of renewable energy offerings in Maryland, shaping how green power is defined and marketed to consumers. The next steps will involve further deliberation and potential briefs from parties involved to clarify the legal questions at hand.