On Thursday March 11, 2010, the California Public Utility Commission (the "CPUC") created a market for tradable renewable energy credits ("TRECs") in the state.  That’s big news.  In its 149-page decision, the CPUC stated that investor-owned utilities ("IOUs"), energy service providers, and community choice aggregators may now use TRECs to comply with California’s ambitious renewable portfolio standard ("RPS").  These entities are now permitted to purchase a portion of their RPS compliance from generation sources other than those they own (e.g., distributed solar generation facilities within the state and certain out-of-state facilities).

Continue Reading Tradable RECs Now Count Toward California’s RPS

Yesterday, the Energy and Treasury Departments jointly issued guidance regarding the federal income tax treatment of Smart Grid Investment Grant payments received pursuant to the American Recovery and Reinvestment Act (ARRA).

The guidance, which was issued as Revenue Procedure 2010-20, generally provides that a corporation receiving a specified grant will not recognize taxable income upon…

Good news for marine hydrokinetics!  On Wednesday, the U.S. Department of Energy ( the "DOE") issued a Notice of Intent announcing that its Wind and Hydropower Technologies Program will publish a Funding Opportunity Announcement ("FOA") for hydrokinetic technology development no later than March 31, 2010.  This announcement comes just six months after the DOE awarded…

In late February, the Associated Press reported that the Minerals Management Service received proposals from two Virginia companies for leases on the outer continental shelf to develop offshore wind farms.  Apex Wind Energy Inc. is proposing to lease 116,000 acres for an undetermined number of wind turbines with the potential to generate up to 1,500…

NV Energy issued its Spring 2010 Request for Proposals seeking new renewable resources.  NV Energy hopes to use the RFP to meet its RPS requirement of serving 12% of retail load with renewable energy in 2010.  Bidders should also be aware that NV Energy’s non-refundable bid deposits have changed:  projects 10 MW of larger must submit a $10,000 deposit…

Proposed legislation in the Senate would greatly limit the effectiveness of the grant in lieu of tax credits for renewable energy projects under section 1603 of the American Recovery and Reinvestment Act.

The section 1603 grant currently applies to renewable energy projects, such as wind, solar, geothermal and biomass, that are placed in service before…

DOE issued three Funding Opportunity Announcements (FOAs) on March 2 that offer $100 million in American Recovery and Reinvestment Act funding for the third round of its Advanced Research Projects Agency – Energy (ARPA-E) program. The FOAs were announced at the first ARPA-E summit in Washington, D.C., and focus on innovations in three areas of technology: …

Michigan’s Great Lakes Wind Council (GLOW Council), an advisory body within the Michigan Department of Energy, Labor & Economic Growth to examine issues and make recommendations related to offshore wind development in Michigan, has issued recommendations for a regulatory framework for offshore wind in Michigan’s Great Lakes.  These recommendations follow the GLOW Council’s September 1, 2009 report (see previous…