April 2024 Maryland Market Changes: SREC eligibility, lifespan, and multipliers

The following changes regarding SREC eligibility, lifespan, and multipliers have passed from a proposal six years in the making with insights taken from the solar, environmental, and labor group stakeholders, according to state senator Sarah Elfreth (D), the bill's primary sponsor. It aims to refine the "nuts and bolts" of Maryland's renewable portfolio standard (RPS), as the state is not on pace to meet its 2030 target.

Additional Renewable Energy Credits

Energy from a solar Tier 1 renewable source that is eligible for inclusion in meeting the renewable energy portfolio standard and certified pursuant to subsection (2) shall generate additional renewable energy credits under the following circumstances: 

(i) Provided that the solar energy generating system commences operation on or after January 1, 2025 and before January 1, 2028,

(A) 1 and 1/2 additional renewable energy credits for each megawatt hour of electricity generated by a solar energy generating system at or below 20 kilowatts AC in size; 

(B) 1/2 additional renewable energy credit for each megawatt-hour of electricity generated by a solar energy generating system above 20 kilowatts AC, and at or below 2 megawatts AC in size; and

(C) 1/2 additional renewable energy credit for each megawatt-hour of electricity generated by a solar energy generating system at or above 20 kilowatts AC and at or below 2 megawatts AC in size and located on or over a roof, parking lot, parking structure, or located on a brownfield site as defined by COMAR Sec. 20.62.01.02B(3), a clean fill site, a site on the National Priorities List, or other eligible property as defined in Md. Code Ann, Envir. 7-501(g). 

(ii) A solar energy generating system that qualifies for additional renewable energy credits pursuant to paragraph (1)(i)(B), and (1)(i)(C) of this section shall generate the sum of the additional renewable energy credit amounts in those paragraphs for each megawatt-hour of electricity the system generates.  

(2) The Commission shall certify a solar energy generating system as eligible to receive additional renewable energy credits at the time of its certification as a Tier 1 solar renewable source, provided that the applicant: 

(i) Submits a form requesting to be certified as eligible to receive additional renewable energy credits with its application for certification as a Tier 1 renewable source;  

(ii) If seeking certification based on system size, the applicant submits a copy of the interconnection agreement between the applicant and the applicant's electric company indicating that the size of the system is eligible. 

(iii) If seeking certification as a system located on or over a roof, parking lot, or parking structure, submits a copy of the local building permit final approval to the Commission with its application for certification as a Tier 1 renewable source; and

(iv) If seeking certification as a system located on a brownfield site as defined by COMAR Sec. 20.62.01.02B(3), clean fill site, a site on the National Priorities List, or other eligible property as defined in Md. Code Ann, Envir. 7-501(g), submits documentation demonstrating the project is located on a qualifying site with its application for certification as a Tier 1 renewable source. An ASTM E1527 Phase I Environmental Site Assessment (Phase 1 Assessment) for the project site shall demonstrate project eligibility pursuant to this subparagraph. The Commission may specify additional documentation that demonstrates project eligibility under this subparagraph on its website

A project that the Commission certifies as eligible for additional renewable energy credits shall continue to be eligible to receive additional renewable energy credits for the life of the system from the date of certification by the Commission. 

The Commission shall certify up to but no more than the following total megawatts AC of solar energy generating systems as eligible for additional renewable energy credits pursuant to this section: 

(i) 330 megawatts AC of solar energy generating systems at or below 20 kilowatts AC in size; and

(ii) 300 megawatts AC of solar energy generating systems above 20 kilowatts and at or below 2 megawatts AC in size.

(b) Beginning July 1, 2024, the Commission shall impose an administrative fee in the following amounts upon a request for certification as a solar renewable energy facility eligible for inclusion in meeting the renewable energy portfolio standard:

 (1) For facilities below 20 kilowatts AC in size, $25 per facility; and

(2) For facilities at or above 20 kilowatts AC in size, $100 per facility.

We appreciate the opportunity to work with you.

Carbon Solutions Group Contact Information                                                       

Schedule A Call To Connect

Phone: 888-316-GREC

Email: GREC@carbonsolutionsgroup.com