Chapter 14A. Renewable Energy Portfolio Standards.

§ 34–1431. Definitions.

For the purposes of this chapter, the term:

(1) “Black liquor” means the spent cooking liquor from the Kraft process of paper making.

(1A) “Brush” means shrubs and stands of short, scrubby trees that do not reach merchantable size.

(2) “Commission” means the Public Service Commission.

(3) “Customer generation” means generation that is not principally dedicated to selling power into the wholesale market.

(4) “Dunnage” means loose materials or padding used to support or protect cargo within shipping containers.

(5) "DOEE" means the Department of Energy and Environment.

(6) “Electricity supplier” means a person, including an aggregator, broker, or marketer, who generates electricity; sells electricity; or purchases, brokers, arranges or, markets electricity for sale to customers. The term excludes the following:

(A) Building owners, lessees, or managers who manage the internal distribution system serving such building and who supply electricity solely to occupants of the building for use by the occupants;

(B)(i) Any person who purchases electricity for its own use or for the use of its subsidiaries or affiliates; or

(ii) Any apartment building or office building manager who aggregates electric service requirements for his or her building or buildings, and who does not:

(I) Take title to electricity;

(II) Market electric services to the individually-metered tenants of his or her building; or

(III) Engage in the resale of electric services to others;

(C) Property owners who supply small amounts of power, at cost, as an accommodation to lessors or licensees of the property; and

(D) A consolidator.

(6A) “Fuel input” means the higher heating value of the input fuel type, measured in BTU/LB, based on the standardized heating value of fuel type, multiplied by the annual fuel used in as delivered tons, multiplied by 2000.

(7) “Fund” means the District of Columbia Renewable Energy Development Fund.

(8) “PJM Interconnection” means the regional transmission organization that is regulated by the Federal Energy Regulatory Commission that functionally controls the transmission system for the region that includes the District of Columbia.

(9) “Qualifying biomass” means a solid, nonhazardous, cellulosic waste material that is segregated from other waste materials, and is derived from any of the following forest-related resources, with the exception of old growth timber, construction and demolition-derived wood, whole trees not part of a closed-loop biomass system that are cleared solely for the purpose of energy production, unsegregated solid waste, or post-consumer wastepaper:

(A) Mill residue;

(B) Repealed.

(D) Brush;

(E) Yard waste;

(F) A waste pallet, crate, or dunnage;

(G) Agricultural sources, including tree crops, vineyard materials, grain, legumes, sugar, and other crop by-products or residues; or

(H) Cofired biomass, subject to the condition under § 34-1433(f).

(10) "Renewable energy credit" or "credit" means a credit representing one megawatt-hour of energy produced by:

(A) A tier one or tier two renewable source located within the PJM Interconnection region; or

(B) Until January 1, 2029, a tier one or tier two renewable source located within a state that is adjacent to the PJM Interconnection region that was certified by the Commission as of [March 22, 2019].

(11) “Renewable energy portfolio standard” or “standard” means the percentage of electricity sales at retail in the District of Columbia that is to be derived from tier one renewable sources and tier two renewable sources in accordance with § 34-1432(c).

(12) “Renewable on-site generator” means a person that generates electricity on site from a tier one renewable source or tier two renewable source for the person’s own use.

(13) “Slash” means:

(A) Tree tops, branches, bark, or other residue left on the ground after logging or other forestry operations; or

(B) Tree debris left after a natural catastrophe.

(14) “Solar energy” means radiant energy, direct, diffuse, or reflected, received from the sun at wavelengths suitable for conversion into thermal, chemical, or electrical energy, that is collected, generated, or stored for use at a later time.

(15) “Tier one renewable source” means one or more of the following types of energy sources:

(A) Solar energy;

(B) Wind;

(C) Qualifying biomass used at a generation unit that achieves a total system efficiency of at least 65% on an annual basis, can demonstrate that they achieved a total system efficiency of at least 65% on an annual basis through actual operational data after one year, and that started commercial operation after January 1, 2007.

(D) Methane from the anaerobic decomposition of organic materials in a landfill or wastewater treatment plant;

(E) Geothermal;

(F) Ocean, including energy from waves, tides, currents, and thermal differences;

(G) Fuel cells producing electricity from a tier one renewable source under subparagraph (C) or (D) of this paragraph; and

(H) Raw or treated wastewater used as a heat source or sink for a heating or cooling system.

(16) “Tier two renewable source” means one or more of the following types of energy sources:

(A) Hydroelectric power other than pumped storage generation;

(B) Waste-to-energy; or

(i) Started commercial operation on or before December 31, 2006; or

(ii) Achieves a total system efficiency of less than 65%; or

(iii) Uses black liquor.

(17) “Total system efficiency” means the sum of the net useful thermal energy output measured in BTUs divided by the total fuel input. For the purposes of this paragraph, the term “useful thermal energy output” means energy in the form of direct heat, steam, hot water, or other thermal form that is used in production and beneficial measures for heating, cooling, humidity control, process use, or other valid thermal end use energy requirements and for which fuel or electricity would otherwise be consumed. The term “useful thermal energy output” does not include thermal energy used for the purpose of drying or refining biomass fuel.

(Apr. 12, 2005, D.C. Law 15-340, § 3, 52 DCR 2285; Oct. 22, 2008, D.C. Law 17-250, § 301(a), 55 DCR 9225; Sept. 24, 2010, D.C. Law 18-223, § 2223(a), 57 DCR 6242; Apr. 30, 2015, D.C. Law 20-245, § 2(a), 62 DCR 1492; Oct. 8, 2016, D.C. Law 21-154, § 2(a), 63 DCR 10138; Oct. 8, 2016, D.C. Law 21-160, § 6043(a), 63 DCR 10775; Mar. 22, 2019, D.C. Law 22-257, § 101(a), 66 DCR 1344.)

Section References

This section is referenced in § 34-1433, § 34-1501, § 34-1518, and § 47-1508.

Effect of Amendments

D.C. Law 17-250 rewrote par. (14), which had read as follows: “(14) ‘Solar energy’ means radiant energy, direct, diffuse, or reflected, received from the sun at wavelengths suitable for conversion into thermal, chemical, or electrical energy.”

D.C. Law 18-223 rewrote par. (10).

The 2015 amendment by D.C. Law 20-245 added (1); redesignated former (1) as (1A); added (6A); added “construction and demolition-derived wood, whole trees not part of a closed-loop biomass system that are cleared solely for the purpose of energy production” in the introductory language of (9); repealed (9)(B); rewrote (15)(C); added (16)(C) and made related changes; and added (17).

Emergency Legislation

For temporary (90 day) amendment of section, see § 301(a) of Clean and Affordable Energy Emergency Act of 2008 (D.C. Act 17-508, September 25, 2008, 55 DCR 10856).

For temporary (90 day) amendment of section, see § 2(a) of Solar Thermal Incentive Emergency Amendment Act of 2010 (D.C. Act 18-426, May 21, 2010, 57 DCR 4775).

For temporary (90 day) amendment of section, see § 2223(a) of Fiscal Year 2011 Budget Support Emergency Act of 2010 (D.C. Act 18-463, July 2, 2010, 57 DCR 6542).

Temporary Legislation

Section 2(a) of D.C. Law 18-217, in the lead-in language of par. (10), deleted “consumed”.

Section 4(b) of D.C. Law 18-217 provided that the act shall expire after 225 days of its having taken effect.

§ 34–1432. Renewable energy portfolio standard.

(a) The Commission shall implement a renewable energy portfolio standard which applies to all District of Columbia retail electricity sales, except as provided under subsection (b) of this section.

(a-1)(1) For nonresidential solar heating, cooling, or process heat property systems producing or displacing greater than 10,000 kilowatt hours per year, the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by an onsite energy meter that meets performance standards established by OIML.

(2) For nonresidential solar heating, cooling, or process heat property systems producing or displacing 10,000 or less than 10,000 kilowatt hours per year, the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by the SRCC OG-300 annual system performance rating protocol or the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by an onsite energy meter that meets performance standards established by OIML; and

(3) For residential solar thermal systems, the systems shall be SRCC OG-300 system certified and the energy output shall be determined by the SRCC OG-300 annual rating protocol or the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by an onsite energy meter that meets performance standards established by OIML.

(b)(1) If the standard becomes applicable to electricity sold to a customer after the start of a calendar year, the standard shall not apply to electricity sold to the customer during that portion of the year before the standard became applicable.

(2) The standard shall not apply to electricity sold to the District of Columbia government, not including independent agencies, authorities, or instrumentalities, beginning January 1, 2024, and ending September 30, 2028.

(3) The District of Columbia government shall not purchase renewable energy credits that do not meet the requirements of the standard until the electricity sold to the District of Columbia government is in compliance with the standard.

(1) In 2011, 4% from tier one renewable sources, 2.5% from tier two renewable sources, and not less than 0.40% from solar energy;

(2) In 2012, 5% from tier one renewable sources, 2.5% from tier two renewable sources, and not less than 0.50% from solar energy;

(3) In 2013, 6.5% from tier one renewable sources, 2.5% from tier two renewable sources, and not less than 0.50% from solar energy;

(4) In 2014, 8% from tier one renewable sources; 2.5% from tier two renewable sources, and not less than 0.60% from solar energy;

(5) In 2015, 9.5% from tier one renewable sources, 2.5% from tier two renewable sources, and not less than 0.70% from solar energy;

(6) In 2016, 11.5% from tier one renewable sources, 2% from tier two renewable sources, and not less than 0.825% from solar energy;

(7) In 2017, 13.5% from tier one renewable sources, 1.5% from tier two renewable sources, and not less than 0.98% from solar energy;

(8) In 2018, 15.5% from tier one renewable sources, 1% from tier two renewable sources, and not less than 1.15% from solar energy;

(9) In 2019, not less than 17.5% from tier one renewable sources, 0.5% from tier two renewable sources, and not less than 1.85% from solar energy;

(10) In 2020, not less than 20% from tier one renewable sources, 0% from tier two renewable sources, and not less than 2.175% from solar energy;

(11) In 2021, not less than 26.25% from tier one renewable sources, 0% from tier two renewable sources, and not less than 2.5% from solar energy;

(12) In 2022, not less than 32.5% from tier one renewable sources, 0% from tier two renewable sources, and not less than 2.6% from solar energy;

(13) In 2023, not less than 38.75% from tier one renewable sources, 0% from tier two renewable sources, and not less than 3.0% from solar energy;

(14) In 2024, not less than 45.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 3.65% from solar energy;

(15) In 2025, not less than 52.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 4.3% from solar energy;

(16) In 2026, not less than 59.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 5.0% from solar energy;

(17) In 2027, not less than 66.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 5.65% from solar energy;

(18) In 2028, not less than 73.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 6.3% from solar energy;

(19) In 2029, not less than 80.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 7.0% from solar energy;

(20) In 2030, not less than 87.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 7.65% from solar energy;

(21) In 2031, not less than 94.0% from tier one renewable sources, 0% from tier two renewable sources, and not less than 8.3% from solar energy;

(22) In 2032, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 9.0% from solar energy;

(23) In 2033, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 9.65% from solar energy;

(24) In 2034, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 10.3% from solar energy;

(25) In 2035, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 11.0% from solar energy;

(26) In 2036, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 11.65% from solar energy;

(27) In 2037, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 12.3% from solar energy;

(28) In 2038, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 13.0% from solar energy;

(29) In 2039, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 13.65% from solar energy;

(30) In 2040, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 14.3% from solar energy; and

(31) In 2041 and thereafter, not less than 100% from tier one renewable sources, 0% from tier two renewable sources, and not less than 15.0% from solar energy.

(d) Subject to subsections (a) and (c) of this section, an electricity supplier shall meet the standard by obtaining the equivalent amount of renewable energy credits that equal the percentage required under this section for each electricity product sold at retail by the electricity supplier.

(e)(1) Subject to subsections (a) and (c) of this section, an electricity supplier shall meet the solar requirement by obtaining the equivalent amount of renewable energy credits from solar energy systems no larger than 15MW in capacity located within the District or in locations served by a distribution feeder serving the District; provided, that renewable energy credits from solar energy systems larger than 15MW in capacity located on property owned by the District, or by any agency or independent authority of the District, may be used to meet the solar requirement.

(2) As of January 1, 2015, notwithstanding paragraph (1) of this subsection, an electricity supplier may meet the remaining non-solar tier one renewable source requirement of the renewable energy portfolio standard by obtaining the equivalent amount of renewable energy credits from solar energy systems that do not satisfy the requirements under paragraph (1) of this subsection.

(3) Any solar energy system that is not located within the District or in a location served by a distribution feeder serving the District and that was certified as eligible to produce renewable energy credits meeting the solar requirement of the renewable energy portfolio standard by the Commission prior to February 1, 2011, shall be decertified by the Commission effective January 1, 2025.

(f) No later than March 1, 2017, the Commission shall provide a report to the Council that includes:

(1) An estimate of the amount of solar energy generated annually by solar energy systems in the District that could qualify to be used to meet the annual solar energy requirement, but for which renewable energy credits cannot be purchased by electricity suppliers to meet the solar energy requirement; and

(2) A recommendation for how the Commission could adjust the annual solar requirement to account for the amount of solar generation identified in paragraph (1) of this subsection.

(Apr. 12, 2005, D.C. Law 15-340, § 4, 52 DCR 2285; Oct. 22, 2008, D.C. Law 17-250, § 301(b), 55 DCR 9225; Sept. 24, 2010, D.C. Law 18-223, § 2223(b), 57 DCR 6242; Oct. 20, 2011, D.C. Law 19-36, § 2(a), 58 DCR 6837; Feb. 26, 2015, D.C. Law 20-155, § 6052, 61 DCR 9990; Oct. 8, 2016, D.C. Law 21-154, § 2(b), 63 DCR 10138; Mar. 22, 2019, D.C. Law 22-257, § 101(b)(1), 66 DCR 1344; Mar. 10, 2023, D.C. Law 24-314, § 2(a), 70 DCR 606; Sept. 18, 2024, D.C. Law 25-217, § 6012, 71 DCR 9990.)

Effect of Amendments

D.C. Law 17-250 added subsecs. (a-1) and (e); and rewrote subsec. (c).

D.C. Law 18-223 rewrote subsec. (e), which had read as follows: “(e) Subject to subsections (a) and (c) of this section, an electricity supplier shall meet the solar requirement by obtaining the equivalent amount of renewable energy credits from solar energy systems interconnected to the distribution grid serving the District of Columbia. Only after an electricity supplier exhausts all opportunity to meet this requirement that the solar energy systems be connected to the grid within the District of Columbia, can that supplier obtain renewable energy credits from jurisdictions outside the District of Columbia.”

D.C. Law 19-36 rewrote subsecs. (a-1), (c), and (e).

The 2015 amendment by D.C. Law 20-155 added “provided, that renewable energy credits from solar energy systems larger than 5MW in capacity located on property owned by the District, or by any agency or independent authority of the District, may be used to meet the solar requirement” in (e)(1); and rewrote (e)(2).

Applicability

For a technical correction to section 3 of D.C. Law 24-314, see section 8002(f) of D.C. Law 25-50.

Section 4 of D.C. Law 24-314 provided that this act shall apply as of March 1, 2023, or as of the effective date of this act, whichever occurs later.

Section 3 of D.C. Law 24-314 provided that for 3 years after the date described in section 4, section 2(a) shall not apply to any contract entered into before the date described in subsection (a) of this section; except, that section 2(a) shall apply to an extension or renewal of such a contract.

Section 101(b)(2) of D.C. Law 22-257 provided that changes made to subsection (c) of this section by D.C. Law 22-257 shall not apply to any contract entered into before March 22, 2019; provided, that this subsection shall apply to an extension or renewal of such a contract.

Emergency Legislation

For temporary (90 days) amendment of this section, see § 6012 of Fiscal Year 2025 Budget Support Emergency Act of 2024 (D.C. Act 25-506, July 15, 2024, 71 DCR 8406).

For temporary (90 days) amendment of this section, see § 8(a) of Fiscal Year 2024 Revised Local Budget Adjustment Emergency Act of 2024 (D.C. Act 25-499, July 8, 2024, 71 DCR 7957).

For temporary (90 day) amendment of section, see § 301(b) of Clean and Affordable Energy Emergency Act of 2008 (D.C. Act 17-508, September 25, 2008, 55 DCR 10856).

For temporary (90 day) amendment of section, see § 2(b) of Solar Thermal Incentive Emergency Amendment Act of 2010 (D.C. Act 18-426, May 21, 2010, 57 DCR 4775).

For temporary (90 day) amendment of section, see § 2223(b) of Fiscal Year 2011 Budget Support Emergency Act of 2010 (D.C. Act 18-463, July 2, 2010, 57 DCR 6542).

For temporary (90 day) amendment of section, see § 2 of Solar Collector Certification Emergency Amendment Act of 2010 (D.C. Act 18-600, November 17, 2010, 57 DCR 11035).

For temporary (90 day) amendment of section, see § 2(a) of Distributed Generation Emergency Amendment Act of 2011 (D.C. Act 19-126, August 1, 2011, 58 DCR 6766).

For temporary (90 day) amendment of section, see § 2(a) of Distributed Generation Congressional Review Emergency Amendment Act of 2011 (D.C. Act 19-192, October 18, 2011, 58 DCR 9154).

For temporary (90 days) amendment of this section, see § 6062 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) amendment of this section, see § 6052 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) amendment of this section, see § 6052 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Temporary Legislation

For temporary (225 days) amendment of this section, see § 8(a) of Fiscal Year 2024 Revised Local Budget Adjustment Temporary Act of 2024 (D.C. Law 25-208, Sept. 18, 2024, 71 DCR 9914).

Section 2(b) of D.C. Law 18-217 substituted “located within the District” for “interconnected to the distribution grid serving the District of Columbia”; and deleted “that the solar energy systems be connected to the grid within the District of Columbia,”.

Section 4(b) of D.C. Law 18-217 provided that the act shall expire after 225 days of its having taken effect.

Section 2 of D.C. Law 18-303 amended subsec. (a-1) to read as follows:

“(a-1)(1) For nonresidential solar heating, cooling, or process heat property systems producing or displacing greater than 10,000 kilowatt hours per year, the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by an onsite energy meter that meets performance standards established by the International Organization of Legal Meterology (’OIML’).

“(2) For nonresidential solar heating, cooling, or process heat property systems producing not more than 10,000 kilowatt hours per year, the solar collectors used shall be SRCC OG-100 certified and the energy output shall be determined by the SRCC OG-300 annual system performance rating protocol or by an onsite energy meter that meets performance standards established by OIML.

“(3) For residential solar thermal systems, the systems shall be SRCC OG-300 system certified and the energy output shall be determined by the SRCC OG-300 annual rating protocol or by an onsite energy meter that meets performance standards established by OIML.”

Section 4(b) of D.C. Law 18-303 provided that the act shall expire after 225 days of its having taken effect.

Editor's Notes

Applicability of D.C. Law 19-36: Section 3 of D.C. Law 19-36, as amended by D.C. Law 20-245, § 3, provided that the act (a) shall apply as of July 12, 2011; and (b) shall not apply to contracts entered into before August 1, 2011, provided that, for a contract entered into before August 1, 2011, the act shall apply to an extension or renewal of that contract executed on or after August 1, 2011.

§ 34–1433. Renewable energy credits.

(a) Energy from a tier one renewable source:

(1) Shall be eligible for inclusion in meeting the standard regardless of when the generating system or facility was placed in service; and

(2) May be applied to the percentage requirements of the standard for either tier one renewable sources or tier two renewable sources.

(b) Energy from a tier two renewable source shall be eligible for inclusion in meeting the renewable energy portfolio standard through 2017 if it is generated at a system or facility that existed and was operational as of January 1, 2004.

(1) Receive renewable energy credits; and

(2) Accumulate renewable energy credits under this chapter.

(d) On or before December 31, 2006, an electricity supplier shall receive 120% credit toward meeting the renewable energy portfolio standard for energy derived from wind or solar sources.

(e) After December 31, 2006, and on or before December 31, 2009, an electricity supplier shall receive 110% credit toward meeting the renewable energy portfolio standard for energy derived from wind or solar sources.

(f) On or before December 31, 2009, an electricity supplier shall receive 110% credit toward meeting the renewable energy portfolio standard for energy derived from methane under § 34-1431(14)(D).

(g)(1) An electricity supplier may not use the incineration of solid waste to meet more than 20% of the standard for tier two renewable sources for a given year.

(2) After December 31, 2012, the incineration of solid waste shall not be eligible to generate renewable energy credits.

(h)(1) An electricity supplier shall receive credit toward meeting the standard for electricity derived from the biomass fraction of biomass cofired with other fuels.

(2) Credits that a renewable on-site generator surrenders to its electricity supplier to meet the standard and that the electricity supplier relies on in submitting its compliance report shall not be resold or retransferred by the renewable on-site generator.

(3) The renewable on-site generator may retain or transfer any credits in excess of the amount needed to satisfy the standard for the renewable on-site generator’s load.

(4) A renewable on-site generator that satisfies the standard applicable to the renewable on-site generator’s load under this subsection shall not be required to contribute to a compliance fee recovered under § 34-1435.

(5) The Commission shall adopt regulations or orders governing the application and transfer of credits under this subsection.

(i) A tier one renewable source or tier two renewable source that creates a renewable energy credit shall comply with all applicable environmental and administrative requirements, including air quality, water quality, solid waste, and right-to-know provisions, permit conditions, and administrative orders.

§ 34–1434. Reporting requirements and compliance fee.

(a) Each electricity supplier shall submit an annual compliance report to the Commission, by a date and in a form prescribed by the Commission.

(b)(1) Each report shall include clear and concise information that:

(A) Demonstrates that the electricity supplier has complied with the applicable standard under § 34-1432 and includes the submission of the required amount of renewable energy credits; or

(B) Demonstrates the amount of electricity sales by which the electricity supplier fails to meet the applicable renewable energy portfolio standard.

(1A) In calendar years 2019, 2020, 2021, and 2022 each report shall also include:

(A) The number of contracts that are exempt from changes to the renewable energy portfolio standard pursuant to section 4 of the Renewable Portfolio Standard Expansion Amendment Act of 2016, effective October 8, 2016 (D.C. Law 21-154; D.C. Official Code § 34-1434, note) , the length of each exempt contract, and the amount of electricity associated with each exempt contract; and

(B) The number of contracts that are exempt from changes to the renewable energy portfolio standard pursuant to section 101(b)(2) of the CleanEnergy DC Omnibus Amendment Act of 2018, passed on 2nd reading on December 18, 2018 (Enrolled version of Bill 22-904), the length of each exempt contract, and the amount of electricity associated with each exempt contract.

(2) Each report shall also include any other information that the Commission by regulation or order may consider relevant.

(c) If an electricity supplier fails to comply with the renewable energy portfolio standard for the applicable year, the electricity supplier shall pay into the Fund a compliance fee of:

(1) Five cents for each kilowatt-hour of shortfall from required tier one renewable sources;

(2) One cent for each kilowatt-hour of shortfall from required tier two renewable sources; and

(3) For each kilowatt-hour of shortfall from required solar energy sources, the following amounts:

(A) Fifty cents in 2016 through 2023;

(B) Forty-eight cents in 2024;

(D) Forty-four cents in 2026;

(E) Forty-two cents in 2027;

(F) Forty cents in 2028;

(G) Thirty-eight cents in 2029;

(H) Thirty-six cents in 2030;

(I) Thirty-four cents in 2031;

(J) Thirty-two cents in 2032;

(K) Thirty cents in 2033 through 2041; and

(L) Ten cents in 2042 and thereafter.

(c-1) A compliance fee required pursuant to subsection (c) of this section shall be paid to DOEE for deposit into the Fund between October 1 and November 1 following the year the electricity supplier failed to comply with the renewable energy portfolio standard.

(d) Beginning on March 1, 2010, and annually thereafter, energy companies that sell electricity in the District of Columbia shall file an energy portfolio report for the preceding calendar year with DOEE, which shall include a breakdown of the average cost per kilowatt hour of electricity that the company sold in the District of Columbia by source of generation, to include coal, gas, oil, nuclear, solar, land-based wind, off-shore wind, and other renewable sources. The breakdown of cost should also include the average capital cost per kilowatt, as well as the average fixed and variable costs associated with operations and maintenance per megawatt.

(e) Repealed.

(f) The DOEE shall publish on its website at least annually a report that describes progress towards the solar generation goals provided in the renewable energy portfolio standard and a comparison with other sources of energy used in the District. Each report shall detail the equitable distribution of resources consistent with the policy findings in § 34-1501.01.

(Apr. 12, 2005, D.C. Law 15-340, § 6, 52 DCR 2285; Oct. 22, 2008, D.C. Law 17-250, § 301(c), 55 DCR 9225; Oct. 20, 2011, D.C. Law 19-36, § 2(b), 58 DCR 6837; Dec. 13, 2013, D.C. Law 20-47, § 3, 60 DCR 15138; Oct. 8, 2016, D.C. Law 21-154, § 2(c), 63 DCR 10138; Oct. 8, 2016, D.C. Law 21-160, § 6043(b), 63 DCR 10775; Mar. 22, 2019, D.C. Law 22-257, § 101(c), 66 DCR 1344; Mar. 10, 2023, D.C. Law 24-314, § 2(b), 70 DCR 606.)

Section References

This section is referenced in § 34-1435 and § 34-1436.

Effect of Amendments

D.C. Law 17-250 rewrote subsecs. (c)(1) and (3); and added subsecs. (c)(4), (5).

D.C. Law 19-36 rewrote subsec. (c)(3); redesignated subsec. (c)(4) as subsec. (d); redesignated subsec. (c)(5) as subsec. (e); and repealed newly designated subsec. (e).

The 2013 amendment by D.C. Law 20-47 added (f).

Applicability

For a technical correction to section 3 of D.C. Law 24-314, see section 8002(f) of D.C. Law 25-50.

Section 4 of D.C. Law 24-314 provided that this act shall apply as of March 1, 2023, or as of the effective date of this act, whichever occurs later.

Emergency Legislation

For temporary (90 day) amendment of section, see § 301(c) of Clean and Affordable Energy Emergency Act of 2008 (D.C. Act 17-508, September 25, 2008, 55 DCR 10856).

For temporary (90 day) amendment of section, see § 2(b) of Distributed Generation Emergency Amendment Act of 2011 (D.C. Act 19-126, August 1, 2011, 58 DCR 6766).

For temporary (90 day) amendment of section, see § 2(b) of Distributed Generation Congressional Review Emergency Amendment Act of 2011 (D.C. Act 19-192, October 18, 2011, 58 DCR 9154).

Editor's Notes

Section 4 of Law 21-154 provides: For 5 years after October 8, 2016, section 2(c) shall not apply to any contract entered into before October 8, 2016; provided, that section 2(c) shall apply to an extension or renewal of such a contract.

§ 34–1435. Recovery of fees and costs.

(a) The Commission shall allow the local distribution company to recover actual dollar-for-dollar prudently costs incurred, including a compliance fee under § 34-1434, in complying with a mandated renewable energy portfolio standard. The electricity distribution company may also pass through its prudently incurred additional costs, if any, associated with complying with the standard, through the end of the year of standard offer service in which the requirement took effect.

(b) An electricity supplier may recover a compliance fee if:

(1) The payment of a compliance fee is the least-cost measure to ratepayers as compared to the purchase of tier one renewable sources, tier two renewable sources, or solar energy to comply with a renewable energy portfolio standard; or

(2) There are insufficient tier one renewable sources, tier two renewable sources, or solar energy available for the electricity supplier to comply with a renewable energy portfolio standard.

(1) May be in the form of a nonbypassable surcharge to current applicable customers; and

(2) Shall be disclosed on applicable customer bills.

§ 34–1436. Renewable Energy Development Fund.

(a) There is established a fund designated as the Renewable Energy Development Fund, which shall be separate from the General Fund of the District of Columbia and shall be used solely for the purposes set forth in this section. All fees, payment, investment earnings, or other funds received, and all interest on the funds, shall be deposited into the Fund without regard to fiscal year limitation and shall not any time be transferred to, or lapse into, or be commingled with the General Fund of the District of Columbia or any other fund or account of the District of Columbia, except as delineated in this section. The Fund shall be continually available for the uses and purposes set forth in subsection (c) of this section.

(b)(1) The Fund established by this section shall be administered by DOEE. The DOEE may receive and review applications for loans, grants, rebates, and other financial incentives for eligible projects from the Fund. Except as provided in subsection (c)(1)(F) of this section, loans, grants, rebates, and other financial incentives for eligible projects from the Fund shall be distributed in the following order:

(A) To qualifying applicants who are certified business enterprises as defined in § 2-218.02(1D);

(B) To qualifying applicants who are not certified business enterprises as defined in § 2-218.02(1D).

(2) On or before May 1 of every year, the DOEE shall provide the Council with a report detailing the number of qualified certified business enterprises that received loans, grants, rebates, and other financial incentives from the Fund. The report shall also include the eligible project or projects for which the certified business enterprise received funding.

(c)(1) The Fund shall be used for the purpose of:

(A) Supporting the creation of new solar energy sources in the District, including activities that support the use of solar energy sources, such as electrical upgrades, structural improvements, and the installation of electrical or thermal storage systems;

(A-i) Supporting projects or programs that increase climate change resilience in the District; provided, that each such project or program includes a solar energy component or uses solar energy generated in the District;

(B) Funding the Solar for All Program established by § 8-1774.16;

(D) Covering any costs to the District associated with implementing the Renewable Portfolio Standard Expansion Amendment Act of 2016 (D.C. Law 21-154);

(E) For the fiscal year beginning October 1, 2017, and ending September 30, 2018, supporting the DOEE operating budget;

(F) In Fiscal Years 2018, 2019, 2020, 2021, and 2022, transferring up to $7 million per year to the Green Finance Authority to support sustainable projects and programs that include support for the creation of new solar energy sources in the District, and associated administrative costs, if such transfer is included in an approved budget and financial plan;

(G) In fiscal year 2020, up to $250,000 for DOEE to engage an independent third party to conduct a comprehensive study to help DOEE and building owners better understand the potential for cost impacts and benefits to District residents and property owners, or owners of large buildings and affordable housing of the Building Energy Performance Standards Program, required pursuant to § 8-1772.21;

(H) Covering any costs to the District associated with implementing §§ 34-1431(10) and 34-1432(c)(9)-(31);

(I) In fiscal year 2020, up to $250,000 shall be provided to the District Department of Transportation to prepare the comprehensive clean vehicle transition plan required by § 50-921.24;

(J) In fiscal year 2020, up to $250,000 shall be provided to the Department of General Services to be used to prepare the strategic energy management plan required by § 8-1772.22;

(K) Covering any costs to the District associated with implementing the Local Solar Expansion Amendment Act of 2022 (D.C. Law 24-314);

(L) Beginning in fiscal year 2026, transferring funding, in an amount to be determined by DOEE in its discretion, to the Energy Assistance Trust Fund for the purpose of expanding access to the District's low-income utility assistance programs;

(M) Beginning in fiscal year 2025, supporting programming to increase awareness of the Solar for All program and to increase the number of residents enrolled in the District's low-income utility assistance programs, in an amount no greater than $150,000 per year; and

(N) Beginning in fiscal year 2025, providing up to $100,000 per year to fund the triennial study of local solar policy benefits and costs required under § 34-1436.01, which may be used by the contractor selected pursuant to § 34-1436.01 at any time during the 3-year period of the study.

(2) The Fund may be used to supplement programs supporting the creation of new solar energy sources in the District through the Sustainable Energy Utility contract established by subchapter II of Chapter 17N of Title 8.

(c-1) For the purposes of subsection (c)(1)(G) of this section, the study shall include case studies for different property types of buildings and the DOEE shall seek the advice of the Building Energy Performance Standards Task Force, established pursuant to § 6-1451.09(h), in creating the specifications for the study.

(d) Proceeds for the Fund shall be collected from the following:

(1) Compliance fees paid under § 34-1434;

(2) Payments received in repayment of a loan;

(3) Investment earnings of the Fund; and

(4) Any other money from any other source accepted for the benefit of the Fund.

(e) The DOEE shall establish the eligibility criteria for projects supported by the Fund. The DOEE may allow the use of money of the Fund for administrative expenses related to the Fund and project review and oversight.

(f) The DOEE shall provide to the Council a quarterly report detailing:

(1) Expenditures from the Renewable Energy Development Fund; and

(2) The performance of programs or projects funded by the Renewable Energy Development Fund.

(g) Any compliance fees paid into the Fund by an electricity supplier that were charged to the District of Columbia government through a cost recovery surcharge authorized in § 34-1435(c) shall be transferred from the Fund to the General Fund of the District of Columbia and used to cover any surcharge owed by the District of Columbia government.

(Apr. 12, 2005, D.C. Law 15-340, § 8, 52 DCR 2285; Oct. 22, 2008, D.C. Law 17-250, § 301(d), 55 DCR 9225; Sept. 24, 2010, D.C. Law 18-223, § 1112, 57 DCR 6242; Oct. 20, 2011, D.C. Law 19-36, § 2(c), 58 DCR 6837; Feb. 26, 2015, D.C. Law 20-155, § 6063, 61 DCR 9990; Oct. 8, 2016, D.C. Law 21-154, § 2(d), 63 DCR 10138; Oct. 8, 2016, D.C. Law 21-160, § 6043(c), 63 DCR 10775; Dec. 13, 2017, D.C. Law 22-33, § 9012, 64 DCR 7652; Aug. 22, 2018, D.C. Law 22-155, § 605(e), 65 DCR 7159; Mar. 22, 2019, D.C. Law 22-257, § 101(d), 66 DCR 1344; July 12, 2022, D.C. Law 24-147, §§ 119, 122, 69 DCR 003386; Sept. 21, 2022, D.C. Law 24-167, § 6022, 69 DCR 009223; Mar. 10, 2023, D.C. Law 24-314, § 2(c), 70 DCR 606.)

Section References

This section is referenced in § 47-1508.

Effect of Amendments

D.C. Law 17-250 added subsec. (f).

D.C. Law 18-223, in subsecs. (b) and (c), substituted “loans, grants, rebates, and other financial incentives” for “loans and grants”.

D.C. Law 19-36, in subsec. (a), substituted “account of the District of Columbia, except as delineated in this section” for “account of the District of Columbia”; and added subsec. (g).

The 2015 amendment by D.C. Law 20-155 substituted “may receive” for “shall receive” in (b); and added the last sentence in (c).

Applicability

For a technical correction to section 3 of D.C. Law 24-314, see section 8002(f) of D.C. Law 25-50.

Section 4 of D.C. Law 24-314 provided that this act shall apply as of March 1, 2023, or as of the effective date of this act, whichever occurs later.

Emergency Legislation

For temporary (90 days) amendment of this section, see § 6022 of Fiscal Year 2023 Budget Support Emergency Act of 2022 (D.C. Act 24-470, July 13, 2022, 69 DCR 008707).

For temporary (90 days) amendment of this section, see § 9012 of Fiscal Year 2018 Budget Support Congressional Review Emergency Act of 2017 (D.C. Act 22-167, Oct. 24, 2017, 64 DCR 10802).

For temporary (90 days) amendment of this section, see § 9012 of Fiscal Year 2018 Budget Support Emergency Act of 2017 (D.C. Act 22-104, July 20, 2017, 64 DCR 7032).

For temporary (90 day) amendment of section, see § 301(d) of Clean and Affordable Energy Emergency Act of 2008 (D.C. Act 17-508, September 25, 2008, 55 DCR 10856).

For temporary (90 day) amendment of section, see § 1112 of Fiscal Year 2011 Budget Support Emergency Act of 2010 (D.C. Act 18-463, July 2, 2010, 57 DCR 6542).

For temporary (90 day) amendment of section, see § 2(c) of Distributed Generation Emergency Amendment Act of 2011 (D.C. Act 19-126, August 1, 2011, 58 DCR 6766).

For temporary (90 day) amendment of section, see § 2(c) of Distributed Generation Congressional Review Emergency Amendment Act of 2011 (D.C. Act 19-192, October 18, 2011, 58 DCR 9154).

For temporary (90 days) amendment of this section, see § 6073 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) amendment of this section, see § 6063 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) amendment of this section, see § 2032 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Short Title

Short title: Section 1111 of D.C. Law 18-223 provided that subtitle L of title I of the act may be cited as the “Renewable Energy Development Amendment Act of 2010”.

See note to § 32-1301.

Editor's Notes

§ 34–1436.01. Triennial study of local solar policy benefits and costs.

(a)(1) The People's Counsel shall commission a recurring study to assess the benefits and costs of the solar requirements in this chapter as well as the technical and economic potential of solar energy generation in the District. The study shall address, at a minimum, the:

(A) Benefits of locally produced solar energy to the District's electrical grid and the District's clean energy goals (including the Solar for All program);

(B) Need for and potential costs of system upgrades and programs by ward; and

(2) The study shall also compare the District's local solar energy policies to policies supporting the expansion of solar resources in other jurisdictions.

(b)(1) By no later than October 1, 2027, the People's Counsel shall submit a complete copy of the study, and, based on the results of the study, offer recommendations regarding legislative and regulatory changes to ensure that ratepayers are not unduly impacted ("initial submission").

(2) The People's Counsel shall submit updated findings and recommendations every 3 years after the initial submission.

(Apr. 12, 2005, D.C. Law 15-340, § 8a; as added Mar. 10, 2023, D.C. Law 24-314, § 2(d), 70 DCR 606.)

Applicability

For a technical correction to section 3 of D.C. Law 24-314, see section 8002(f) of D.C. Law 25-50.

Section 4 of D.C. Law 24-314 provided that this act shall apply as of March 1, 2023, or as of the effective date of this act, whichever occurs later.

§ 34–1437. Renewable electricity tracking system.

(a) The Commission shall select a market-based renewable electricity tracking system to facilitate the creation and transfer of renewable energy credits.

(b) The Commission may designate the DOEE to administer the electricity tracking system. The Commission or the DOEE may contract with a for-profit or a nonprofit entity to assist in the administration of the electricity tracking system required under this section.

(c) To the extent practicable, the tracking system shall be the generation attributes tracking system developed by PJM Interconnection.

§ 34–1438. Application of renewable energy credits.

(a) An electricity supplier may use accumulated renewable energy credits to meet the renewable energy portfolio standard by submitting them to the Commission as evidence of compliance.

(b) A renewable energy credit may be sold or otherwise transferred.

(c) Except as authorized under section (d) of this section, a renewable energy credit shall exist for 3 years from the date created; provided, that a renewable energy credit from a solar energy system meeting the requirements of § 34-1432(e)(1) shall exist for 5 years from the date created.

(d) A renewable energy credit may be diminished or extinguished before the expiration of 3 or 5 years pursuant to subsection (c) by:

(1) The electricity supplier that received the credit;

(2) A nonaffiliated entity of the electricity supplier:

(A) That purchased the credit from the electricity supplier receiving the credit;

(B) To whom the electricity supplier otherwise transferred the credit; or

(3) Demonstrated compliance by the generating facility with the requirements of § 34-1433(i).

§ 34–1439. Rules, duties, and powers of the Commission.

(a) The Commission may impose an administrative fee on a renewable energy credit transaction, but the amount of the fee may not exceed the Commission’s actual direct cost of processing the transaction.

(b) On or before May 1 of each year, the Commission shall provide a report to the Council on the implementation of this chapter, including:

(1) The availability of tier one renewable sources;

(2) Certification of the number of renewable energy credits used by electricity suppliers to meet the requirements of § 34-1432;

(3) The amount of compliance fees paid pursuant to § 34-1434(c) in the previous calendar year;

(4) The amount of compliance fees estimated to be paid pursuant to § 34-1434(c) in the current calendar year;

(5) The total amount of the District's electric supply that was exempt from changes to the renewable energy portfolio standard pursuant to section 4 of the Renewable Portfolio Standard Expansion Amendment Act of 2016, effective October 8, 2016 (D.C. Law 21-154; D.C. Official Code § 34-1434, note) for the previous year;

(6) The total amount of the District's electric supply that is estimated to be exempt from changes to the renewable energy portfolio standard pursuant to section 4 of the Renewable Portfolio Standard Expansion Amendment Act of 2016, effective October 8, 2016 (D.C. Law 21-154; D.C. Official Code § 34-1434, note) for the current calendar year and each subsequent year that the exemption applies;

(7) The total amount of the District's electric supply that was exempt from changes to the renewable energy portfolio standard pursuant to section 101(b)(2) of the CleanEnergy DC Omnibus Amendment Act of 2018, passed on 2nd reading on December 18, 2018 (Enrolled version of Bill 22-904) ("CleanEnergy Act") for the previous calendar year;

(8) The total amount of the District's electric supply that is estimated to be exempted from changes to the renewable energy portfolio standard pursuant to section 101(b)(2) of the CleanEnergy Act for the current calendar year and each subsequent year that the exemption applies; and

(9) Any other such information the Commission considers necessary or appropriate.

(b-1) Beginning in July 2019, and every 6 months thereafter, the Commission shall publish on its website the total amount of solar energy from solar energy systems meeting the requirements of § 34-1432(e)(1) for which interconnection requests have been submitted in the previous 6 months.

(d) The Commission shall establish standards, by order or regulation, to account for customer generation from eligible renewable resources for compliance with § 34-1432.

(Apr. 12, 2005, D.C. Law 15-340, § 11, 52 DCR 2285; Feb. 26, 2015, D.C. Law 20-155, § 2112, 61 DCR 9990; Mar. 22, 2019, D.C. Law 22-257, § 101(f), 66 DCR 1344.)

Effect of Amendments

The 2015 amendment by D.C. Law 20-155 substituted “May 1” for “April 1” in (b).

Emergency Legislation

For temporary (90 days) amendment of this section, see § 2112 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) amendment of this section, see § 2112 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) amendment of this section, see § 2112 of the Fiscal Year 2015 Budget Support Second Congressional ReviewEmergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

§ 34–1440. Applicability.

(a) The definitions added to § 34-1431 by D.C. Law 20-245 (“amendment act”) shall apply to District of Columbia Standard Offer Service wholesale supply contracts effective on or after June 1, 2015.

(b) The definitions added by the amendment act shall apply after December 31, 2017, to renewable energy credits included in PJM’s Generator Attributes Tracking System that were or are generated by a facility that is certified by the commission as a Tier 1 energy source before April 30, 2015, and purchased by an electricity supplier pursuant to a contract executed before April 30, 2015.