Renewable Initiatives, Strategic Forward Planning

Massachusetts’ Green Energy Evolving Landscape

The state of MA has some of the most aggressive green energy goals in the country.  Under current rules, MA would need to reach 80% of its generation from green sources by 2050.  There have even been discussions about revising these goals to get to 100%.  In order to meet their current requirements and manage these new assets, MA has put in place new programs helping to incentivize green generation and fund efficiencies in the region.  Ultimately these programs will result in increased costs to end-users in this region.  Below is a summary of current programs set to come online:

  • Clean Peak Standard (CPS) is a mechanism meant to incentivize green energy during the most expensive hours of the day set to begin June 2020. Percentage requirements grow from 1.5% to 15% over the next 10 years creating greater costs the further out in time you look.
  • Clean Energy Standard (CES) is an extension of renewable portfolio standards aimed at incentivizing technologies with neutral emissions. Initially, this would focus on hydroelectricity but could also lead to other technologies to be utilized as they become viable on a large scale.  This program would require electric suppliers to purchase certificates from qualifying energy sources.
  • Clean Energy Standard Expansion (CES-E) is an update to the original CES program. This increases the original required percentage and dictates purchase of green energy from pre-existing green energy generators starting in 2020.

With the unpredictable nature of these costs, it has become increasingly difficult to understand how regulations will impact your bottom line and compare competitive electricity offers.  Are you properly budgeting for these changes? Is your electricity provider fully fixing these components?  Partnering with a qualified energy advisor will ensure these components are fully disclosed, offers are compared on a true apple to apple basis, and your company properly budgets for future changes in the marketplace.  Call Atlas Retail Energy to help you design an RFP for the marketplace to ensure the accuracy of your energy search.

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