Title: Western Governors Association Renewable Energy Certificates Initiative for the West
1Western Governors AssociationRenewable Energy
CertificatesInitiative for the West
- Renewable Energy Tracking and Certificates
- Working Group
- Planning Meeting
- April 25, 2003
- Salt Lake City, Utah
2WGA Member States
.
3WGA Mission
- The mission of the Western Governors
Association (WGA) is to identify and address key
policy and governance issues in the West advance
the the role of the western states in the federal
system and strengthen the social and economic
fabric of the region.
4Western Policy Landscape
- Improved economics for renewables.
- Renewable resource potential in the West.
- Passage of RPS in western states.
- WRAP implementation of Section 309 of the
Regional Haze Rule (10/20 goal) and - Emerging green power markets in the West
5WGA Environmental Summit
- Workshop looked at how to expand use of renewable
energy in the West. Two questions - Are renewable energy certificates (RECs) a
desirable strategy for promoting development of
renewable energy in the West? - What market architecture is needed to facilitate
a regional RECs market?
6Environmental Summit Conclusions
- RECs are flexible, market-based tools that can
improve economics of renewables and increase the
efficiency of green power transactions. - Needed mechanisms to facilitate RECs market?
- Standard definition of RECs
- Registry for recording certificates.
- Single, independent institution to create,
register, issue, track and oversee trades. - Western Interconnect is appropriate geography
7Environmental Summit Recommendations
- Western Governors should
- Support the creation of a single Western market
for RECs. - Consult with Tribal governments and regional
stakeholders - Recognize Western Interconnection as appropriate
geography for registry - Endorse a single RECs issuing body
- Adopt a standard definition and
- Support development of western renewable energy
generation tracking system.
8Western Geography
9WGA RECs Resolution
Western Governors recognize that environmental
attributes of electricity generated from
renewable sources have economic value and can be
sold separately from the energy as Renewable
Energy Credits (RECs).. RECs lower the costs of
renewable energy and, in combination with other
public policies supported by Western Governors,
can accelerate the development of the Wests most
promising renewable resources.
10WGA RECs Resolution (contd)
- Western Governors support
- Establishment of a single institution in the West
that will issue, track and oversee REC trading, - Development of a standard set of market design
and operating guidelines for trading RECs within
the Western Interconnection, and - Creation of an independent, regional generation
tracking system to provide data necessary to
substantiate the number of megawatt hours
generated from renewable energy sources and
support verification, tracking and trading of
RECs.
11WGA Management Directive
- Western Governors direct WGA to seek funding
and convene a regional meeting of stakeholders to
define an institutional structure, design
operating guidelines and identify information
needed to establish a market for trading of RECs
in the western interconnected system.
12Next Steps
- Secure funding for WGA RECs initiative
- Establish work group to scope and define issues,
and develop work plan - Identify key stakeholders in the region
- Prepare assessment of needs, issues, options and
conceptual framework for WREGIS - Host regional stakeholder meeting (s) and
- Report findings to Western Governors.