Surplus of Renewable Energy in Mass.

For the first time since Massachusetts’ Renewable Energy Portfolio Standard (RPS) began in 2003, the supply of electricity from renewable energy sources exceeded the mandated demand, according to new figures for 2007.

The state’s Department of Energy Resources (DOER) said this is a clear indication of the program’s success in providing financial incentives to develop renewable power in Massachusetts and the region.

According to the DOER’s RPS Annual Compliance Report for 2007, the quantity of renewable power was significantly higher in 2007 than in 2006–approximately 1.6 million megawatt hours (MWh) last year versus 940,433 MWh in 2006. That supply exceeded utilities’ 2007 RPS obligation to purchase at least 3% of their electricity in the form of new, renewable power.

"This milestone in the Commonwealth’s Renewable Portfolio Standard reflects the expansion of our clean energy sector and bodes well for continued growth of renewable energy for the region," Energy and Environmental Affairs (EEA) Secretary Ian Bowles said. "With the increasingly ambitious requirements for RPS set by the Green Communities Act signed into law by Governor Patrick last summer, we look forward to the development of more renewable energy in the years to come."

Established as part of the utility restructuring act in 1997, the RPS is designed to diversify the state’s electricity supply portfolio and create market demand to spur the development of renewable power. It requires retail electricity suppliers to purchase a certain amount of RPS-eligible RECs (Renewable Energy Certificates) as a percentage of the power they sell to consumers.

The minimum percentage of renewable power generation required of suppliers is 3.5% this year and 4% in 2009. Starting in 2010, the obligation will increase by 1% per year.

Electricity suppliers that do not meet RPS compliance obligations are required to make Alternative Compliance Payments to the Massachusetts Renewable Energy Trust, which finances development of clean, sustainably generated power in the Bay State.

View the full report at the link below.