NJ SREC Update

By Gary Lakritz on February 23, 2012

New Jersey solar installations hit a record in the month of January, with about 85MW getting installed in the month.   The reason for the tremendous bulge is due to the timing of the end of the Treasury 1603 tax grant.  This brings total installed capacity to about 650MW.   As can be seen from the table below, this is about as much solar as is needed for the 2014 SREC year, which begins June 1, 2013.

We would expect the rate of installation to drop dramatically from the January level, but the 1603 impact should be impacting installations throughout the 2012 calendar year.  We are estimating install rates to average 20MW/month for the period between now and the end of the 2013 SREC year, or May of 2013.

With these estimates, we expect to see depressed SREC prices in New Jersey for the foreseeable future unless there are either legislative or BPU changes to increase demand.

SREC                            RPS installation                    Projected                          Excess
Year                            requirements (MW)        installation (MW)*           installation (MW)
2012                                      368                                   500                                  132
2013                                      497                                   730                                  233
2014                                      643                                   970                                  327
2015                                      804                                1,090                                  286
2016                                      958                                1,210                                  252
2017                                   1,131                                1,330                                  199
2018                                   1,326                                1,450                                  124
2019                                   1,548                                1,570                                    22
2020                                   1,803                                1,690                                 -113

*Assumes 20MW/month thru May 2013, then 10MW/month thereafter
Also, this does not include the cumulative impact of banked SRECs, which would increase the number of years until the market is in balance.

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Posted in Energy Credits, New Jersey, Solar, SREC Markets

3rd Quarter Massachusetts SRECs Staying Strong

By Alane Lakritz on January 31, 2012

Massachusetts minted third quarter (July-September 2011) SRECs on January 15th.  Knollwood Energy sold all third quarter MA Solar Renewable Energy Credits for $541.  We are committed to providing our customers with excellent customer service, low fees and competitive pricing.   

The chart below represents Knollwood Energy's selling price for MA SRECs since the inception of the program.

Knollwood Energy is one of the largest institutional sellers of solar renewable energy credits in the country. We have been monetizing credits since 2006 with over 3700 residential and commercial systems.  Our experience, size and direct relationship with utility buyers enables us to maximize the revenue for all of our customers.  We transform our customers into a multi-megawatt institutional seller.  The utilities pay us a premium to get a large quantity of credits in one transaction.  Our customers benefit from Knollwood’s ability to strategically place anticipated SRECs when strong market conditions present themselves.  We do not charge our buyers a fee, which in turn means better pricing for our customers!

**** Please note, the deadline to register installations that occurred prior to December 31, 2011 is February 15th. Please contact us ASAP to register your solar installation.  We will take care of all the required paperwork to get a system approved and registered for MA SRECs before the deadline.
 

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Posted in Energy Credits, Massachusetts, Solar, SREC Markets

DOER Releases Solar Carve-out ACP Guideline to Establish 10 Year Forward Schedule

By Alane Lakritz on December 28, 2011

After carefully reviewing the public comments that were received, the Department of Energy Resources (DOER) is pleased to publish the Guideline that establishes a rolling 10 year Alternative Compliance Payment (ACP) Rate Schedule for the RPS Solar Carve-out. The schedule maintains the ACP Rate at its current level through Compliance Year 2013, and then reduces the Rate at 5% per year. The ACP Rate Schedule was established with consideration of price levels necessary to maintain robust solar development, while protecting ratepayers from unnecessary cost impacts.

DOER recognizes the importance to project developers and project financers, along with retail electric suppliers with compliance obligations, of having greater certainty about the ACP Rate further into the future. DOER expects this newly provided certainty will enhance parties’ abilities to project SREC revenue streams and facilitate project financing and negotiations for long-term contracts for SRECs.

Process for Implementing Solar ACP Rate Schedule

DOER will shortly commence rulemaking with limited scope to revise 225 CMR 14.00 to integrate the Solar ACP Rate Schedule into the Solar Carve-Out provisions as substitute for the current section 225 CMR 14.08(3)(b)2 that provides DOER the discretion to reduce the Rate annually.

10-year Forward Schedule
Alternative Compliance Payment (ACP) Rate
MA Solar Carve-Out
RPS Program 225 CMR 14.00

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Posted in Energy Credits, Massachusetts, Solar, SREC Markets

Rep. Ross’s Bill (1580) Hearing in Consumer Affairs Has Been Postponed

By Gary Lakritz on November 20, 2011

Rep. Godshall put out the following statement on tomorrow’s scheduled first hearing on the bill to save solar in PA.

“Good morning. Tomorrow has been scheduled as a voting session day beginning at 11 AM. Due to the length of time that will be required to conduct hearing on HB 1580, Chairman Godshall has decided to cancel tomorrow's hearing. The Chairman regrets that the hearing had to be canceled however, knowing that many of you will be traveling a distance to Harrisburg to participate, he felt it necessary to make a decision as early in the day as possible to prevent any unnecessary travel."

The main implication of this delay, is that it will now be impossible for the bill to be signed this year.  While it is possible that they could keep the state closing effective date Jan 1, 2012, the most likely scenario would be to delay the effective date to the day the bill is signed or June 1, 2012 which is the start of the new SREC year.

It is not too late to contact your Representative to ask for their support.  Also, if your Representative is in the Consumer Affairs Committee (see list below), please make sure to call and ask them to support the bill and push for a vote in the committee.

Below is the list of the Rs on the Consumer Affairs Committee and not signed onto the Ross bill:

Robert W. Godshall - Hatfield (215) 368-3500; Harrisburg (717) 783-6428
Warren Kampf - Paoli (610) 251-2876; Audubon (610) 631-2865; Harrisburg (717) 260-6166
Brian L. Ellis - Lyndora (724) 283-5852; Harrisburg (717) 787-7686
Rob W. Kauffman - Chambersburg (717) 264-3943; Shippensburg (717) 532-1707; Harrisburg (717) 705-2004
Sheryl M. Delozier - Camp Hill (717) 761-4665; Harrisburg (717) 783-5282
Julie Harhart - Northampton (610) 502-2701; Slatington (610) 760-9805; Harrisburg (717) 772-5398
Hon. John D. Payne - Hershey (717) 534-1323; Harrisburg (717) 787-2684
Scott Perry - Dillsburg (717) 432-0792; Harrisburg (717) 783-8783
Tina Pickett - Towanda (570) 265-3124; Harrisburg (717) 783-8238
Todd Stehens - North Wales (215) 368-5165; Harrisburg (717) 260-6163
Marcy Toepel - Red Hill (215) 679-3082; Harrisburg (717) 787-9501

If you need help finding what legislative district you, your employees, or your customers are in you can look up districts by address here.

Below is the full member list of the CONSUMER AFFAIRS COMMITTEE:
 
Majority (Room 150 MC)
 
Godshall, Robert W., Chair  (717) 783-6428
Kampf, Warren, Secretary  (717) 260-6166
Ellis, Brian L., Subcommittee Chair on Telecommunications  (717) 787-7686
Kauffman, Rob W., Subcommittee Chair on Public Utilities  (717) 705-2004
 
Delozier, Sheryl M.  (717) 783-5282
DiGirolamo, Gene  (717) 783-7319
Evans, John R.  (717) 772-9940
Farry, Frank A.  (717) 260-6140
Harhart, Julie  (717) 772-5398
Payne, John D.  (717) 787-2684
Perry, Scott  (717) 783-8783
Pickett, Tina  (717) 783-8238
Reichley, Douglas G  (717) 787-1000
Stephens, Todd  (717) 260-6163
Toepel, Marcy  (717) 787-9501
 
Minority (Room 202 IOB)
 
Preston, Joseph, Jr., Democratic Chair  (717) 783-1017
Brennan, Joseph F., Democratic Secretary  (717) 772-9902
Burns, Frank, Subcommittee Democratic Chair on Telecommunications  (717) 772-8056
DePasquale, Eugene, Subcommittee Democratic Chair on Public Utilities  (717) 787-7514
Barbin, Bryan  (717) 783-1491
Kotik, Nick  (717) 783-3780
Matzie, Robert F.  (717) 787-4444
Neuman, Brandon P.  (717) 783-4834
Parker, Cherelle L.  (717) 783-2078
White, Jesse  (717) 783-6347

And if you have another minute:

Contact your state senator and ask him/her to sponsor Senator David Argall’s version
of House bill #1580. Our goal is to have up to 25 Senators sign on and currently we are
half way there. Below shows the current list of senate co-sponsors (confirmed as of 11/11/2011).

State Senator                            County
Alloway, Richard L., II (R)           Franklin
Argall, David G. (R)                    Schuylkill
Blake, John (D)                           Lackawanna
Brewster, James (D)                   Allegheny
Corman, Jake (R)                       Perry, Centre
Costa, Jay (D)                             Allegheny
Dinniman, Andrew E. (D)            Chester
Erickson, Edwin B. (R)                Delaware
Farnese, Lawrence M., Jr. (D)    Philly, Center City
Ferlo, Jim (D)                              Allegheny
Fontana, Wayne D. (D)               Allegheny
Greenleaf, Stewart J. (R)            Montco
Leach, Daylin (D)                        Montco
Rafferty, John C., Jr. (R)             Montco
Solobay, Timothy (D)                  Washington
Stack, Michael J. (D)                  Philadelphia
Schwank, Judith (D)                   Berks
Tartaglione, Christine M. (D)      Philadelphia

Is your senator one of them? Don’t know who your state senator is? You can check here.

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Posted in Energy Credits

Massachusetts SREC Program Update - October 2011

By Alane Lakritz on October 14, 2011

Karen joins the Knollwood Energy MA team

Knollwood Energy is pleased to announce that Karen Adelman will be assisting with customer relations in Massachusetts. Karen has been with Knollwood Energy for the past year covering the Pennsylvania market. She can be reached at: Karen@KnollwoodEnergy.com or direct phone number 862-432-0370.

Alane Lakritz will be focusing on business development. She is actively working on enhancing Knollwood Energy's financial product offerings in Massachusetts.  Stay tuned for information in the near future on this. She will also be responsible for expanding our market territory in existing SREC states and new states as SREC programs becomes available. Alane is always available to speak with customers, prospects and installers to answer specific questions on Knollwood Energy, the MA SREC program, or about the SREC market in general. She can be reached at Alane@KnollwoodEnergy.com or direct phone number 862-432-0259.

Q2 Minting

Knollwood Energy sold all Q2 credits for $539. Our customers will receive payment by the first week of November. If you are not an existing customer but would like to sell your credits to Knollwood, please contact us, we will be happy to assist.

Q3 SREC Deadline

MA DOER and MassCEC are tightening up the deadlines to submit paperwork. The deadline to submit paperwork for systems interconnected in the third quarter is November 15th. Please email Karen@KnollwoodEnergy.comimmediately if you have a system that interconnected prior to October 1, 2011 and is not set up for SRECs yet. If paperwork is submitted after this deadline, all production prior to October 1, 2011 will be lost.

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Posted in Announcements, Energy Credits, Massachusetts, Solar, SREC Markets