Texas posts 13 percent increase in energy from renewable sourcesVoluntary participation in renewable energy credits up 29 percent May 15, 2012, AUSTIN, TX -- Texas posted a 13 percent increase in energy generated by renewable sources in 2011, according to the state’s renewable energy credits registry administered by the Electric Reliability Council of Texas (ERCOT), grid operator for most of the state. The renewable energy recorded in the state’s renewable energy credit program was 31.7 million megawatt-hours (MWh) in 2011, compared to 28 million MWh in 2010 — a 13 percent increase — as reported in the Texas renewable energy credit program annual report, filed today at the Public Utility Commission of Texas (PUC). Wind generation represented the largest share at nearly 30.8 million MWh. Due to the ongoing drought in most of the state, generation of hydroelectric power decreased by more than half, while solar power generation more than doubled. RENEWABLE ENERGY PRODUCED IN TEXAS
Competitive retail electric providers must acquire and retire renewable energy credits annually based on their load-ratio share of the state’s renewable portfolio standard mandate. Any electric provider may voluntarily retire renewable energy credits to substantiate “green energy” claims. A renewable energy credit (REC) is a tradable instrument that represents one megawatt-hour, or MWh, of renewable energy produced. For the fourth consecutive year, the RECs retired in the voluntary market exceeded the mandatory retirements:
RENEWABLE ENERGY CREDIT RETIREMENTS
Since 2008, the program also has awarded compliance premiums for certain RECs that are generated by non-wind renewable energy sources. For the purpose of the renewable portfolio standard requirements, one compliance premium is equal to one REC. Last year, 16 companies received a total of 367,513 compliance premiums. COMPLIANCE PREMIUMS – NON-WIND RENEWABLE SOURCES
The Texas Legislature established the renewable portfolio standard as part of the restructuring of the state’s electricity market in 1999 to increase incentives for renewable energy production. The PUC implemented the renewable energy credit program in 2001 and established ERCOT as the administrator. The program currently includes 118 generation accounts representing a total of 11,287.8 MW of new renewable generation added in Texas since 1999. (An additional 297.6 MW registered in the program is from six renewable generation resources that were in service prior to September 1999, for a total of 11,585 MW.) Texas exceeded 10,000 MW of renewable capacity in 2009, achieving — more than 15 years early — the Texas Legislature’s goal of 10,000 MW of renewable generation by 2025. CAPACITY REGISTERED IN TEXAS REC PROGRAM*
*Does not include generation in service prior to September 1999. Totals vary due to rounding. The megawatts of capacity reported in the REC annual report may not align with total renewable resources registered in ERCOT planning reports and other reporting agencies because it includes renewable generation throughout Texas, not just ERCOT. In addition, the program is voluntary and only tracks renewable resource generation registered in the program.
The Electric Reliability Council of Texas (ERCOT) manages the flow
of electric power to 23 million Texas customers -- representing 85
percent of the state's electric load. As the independent system
operator for the region, ERCOT schedules power on an electric grid
that connects 40,500 miles of transmission lines and more than 550
generation units. ERCOT also performs financial settlement for the
competitive wholesale bulk-power market and administers retail
switching for 6.7 million premises in competitive choice areas.
ERCOT is a membership-based 501(c)(4) nonprofit corporation,
governed by a board of directors and subject to oversight by the
Public Utility Commission of Texas and the Texas Legislature.
ERCOT's members include consumers, cooperatives, generators, power
marketers, retail electric providers, investor-owned electric
utilities (transmission and distribution providers), and
municipal-owned electric utilities.
© 2005 Electric Reliability Council of Texas, Inc. All rights
reserved.
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