The District is considering legislation to expand its Renewable Energy Portfolio Standards (RPS requirements) so that 100 percent of all electricity will come from renewable energy sources by 2032. The bill will also limit the ways in which suppliers can comply with the RPS.
In 2017, the estimated demand in DC for renewable energy that must be fulfilled by renewable sources or a Renewable Energy Credit (REC) was 1,656 gigawatt hours. The same year, the cost of complying with the RPS requirement was $42.7 million ($16.1 to purchase RECs and $26.6 in alternative compliance payments). Under Bill 22-904’s 100 percent renewable goal by 2032, the estimated demand for renewable energy will increase twice as fast compared to its current path to reach 10,500 gigawatt hours by 2032. This change will put greater pressure on compliance costs. The limitation of the geographic region for RECs to PJM will further aggravate these pressures by immediately wiping away 10 percent of the capacity currently certified for RPS eligibility. And this geographical limitation will have little or no impact of District’s clean air goals.
Read her testimony here.
D.C. Policy Center Fellows are independent writers, and we gladly encourage the expression of a variety of perspectives. The views of our Fellows, published here or elsewhere, do not reflect the views of the D.C. Policy Center.