County approves renewable energy credit deal despite concerns about one-sided contract terms

The Rockingham County Board of Commissioners approved a renewable energy credit (REC) sale and purchase agreement with Norwood Energy covering the period from March 12, 2026, through Dec. 31, 2028. The agreement sets county compensation at 2% of the sale price or a minimum of $0.50 per REC, with automatic one-year renewals.

Commissioners and staff debated whether to table the contract to negotiate terms. S2 warned that some contract language appeared "somewhat one-sided," noting a broad indemnification and market-control provisions, but said the company is reputable and the rate offered is attractive. "The contract's more one-sided, but the rate is good," S2 said.

Facility and procurement staff said Norwood Energy's market reach and timing argued for prompt action to avoid losing an advantageous sale price; staff estimated the county could forfeit a substantial revenue share if it delayed. S4 described vendor responsiveness and market performance as reasons to proceed quickly.

After discussion about risk exposure, liability language and the possibility of routing the contract through procurement review, commissioners voted to approve the agreement and authorized signature as recommended by the senior director of facilities and IT. No formal amendment to the indemnification language was adopted at the meeting.

Commissioners directed staff to continue reviewing the contract terms and to report back if negotiations are possible for future renewals. The board’s vote authorizes immediate execution under the terms presented at the meeting.