The Basics of RPS | An RPS calls for retail sellers of electricity to provide a percent of their electricity from renewable sources (such as wind, solar or wood chips). Some state RPS programs have establish a market-based credit trading system allowing utilities to borrow and "bank" credits, called Renewable Energy Credits or RECs, for renewable energy generated to provide additional flexibility. Renewable energy generated to satisfy a state standard would count toward the federal standard. While states have demonstrated that standards can be effective, a national RPS is needed to harness the price stability, energy security, economic development and environmental benefits of renewable energy for the entire country.
| | Update- March 2007
A recently introduced House bill, HR 969, originally co-sponsored by Tom Udall (D-NM), Todd Platts (R-PA), Frank Pallone (D-NJ), Diana DeGette (D-CO), and Mark Udall (D-CO) is aimed at reducing air pollution that contributes to climate change by supporting renewable energy generation. The bill requires 20% of the energy production in the U.S. to come from renewable sources by 2020. New standards would start in 2011, with 2% of energy coming from renewable sources, with annual increases of 2% to follow. Renewable sources would include wind, biomass (but not municipal solid waste), solar, geothermal, low-impact hydro, and wave or tidal energy |
