Due to an oversupply of Solar Renewable Energy Credit (SRECs), the Pennsylvania market has plummeted in 2011. Currently the 100+ MW of solar in PA far exceeds the capacity needed to satisfy the Pennsylvania Alternative Energy Portfolio Standard (AEPS), leading to a dramatic decline in the value of SRECs. However, recent legislation sponsored by Rep. Chris Ross (R-Chester), hopes to provide a much-needed boost to the PA solar industry.
According to the Pennsylvania Solar Energy Industry Association (PASEIA), the Ross Solar Jobs Bill (House Bill 1580) would:
- Increase solar requirements in the years 2012-2015 so that solar growth more closely parallels solar supply. At present, utilities only need to purchase 0.5 percent of their total energy supply from solar by 2021, meaning the supply of SRECs far exceeds the required demand.
- Alleviate the oversupply of SRECs by requiring PA utility companies to purchase credits solely from PA solar projects. Currently utilities are allowed to purchase SRECs from out of state, which has been another factor contributing to the oversupply of SRECs in the state.
The Ross Solar Jobs Bill has been assigned to the House Consumer Affairs Committee, and a legislative hearing on the bill is scheduled for Thursday, November 17 at 9:00 am. PASEIA recommends that constituents contact their representatives and express support of the Solar Jobs Bill and stronger solar requirements.
As the largest and oldest SREC aggregator in the country, Sol Systems supports legislation that will bolster renewable energy quotes for Pennsylvania utilities and increase the value of the lagging PA market.