Overview of Massachusetts REC Program
What is a REC? Renewable Energy Certificates (RECs) are created from every megawatt hour of electricity produced by a solar generator. A 10 kW system produces about 12 SREC’s a year. RECs are sold separately from electricity and are created regardless whether the electricity is used on site or sold elsewhere
Who buys RECs? Electricity suppliers must buy RECs to meet the Massachusetts RPS requirements. There is no ceiling or floor to the pricing of the RECs, it is a demand and supply market where the demand is set by the State and the price is set by the market
How do you sell your RECs? Since individual solar owners do not produce enough RECs to sell directly to buyers an intermediary must exist. Solar Farm Bank (SFB) is the link that connects buyer and sellers. SFB is paid a commission of the sale of the REC(s) which is predicated on the size of your system.
How do I put my production into the system? The States of Massachusetts require that you have a Third Party Independent Verifier to submit your production figures. They do charge a fee usually in proportion to the size of the system. They verify and confirm your production and then record and report that production to NEPOOL-GIS.
Massachusetts REC Program Logistics
- SFB will process your PV System’s paper work and will register your account.
- SFB will contact your Third party Independent Verifier and have them add you to SFB’s NEPOOL-GIS Platform
- Your solar electricity generation is reported by the Third Party Independent Verifier to the SFB’s NEPOOL-GIS New Hampshire Vermont account and then transfers the data to SFB’s GIS account.
- SFB will be minted quarterly in GIS on a one quarter delay for sale
Quarterly REC Creation Dates
|Q1||Jan – Mar||July 15th|
|Q2||Apr – Jun||October 15th|
|Q3||Jul – Sep||January 15th|
|Q4||Oct – Dec||April 15th|
Solar Farm Bank Aggregation Logistics
- Print, read and sign the form for enrollment, review (fill in) the worksheet and return to SFB
- SFB prepares sets up your REC account
- Once set up you will submit you’re reading to the Third Party Independent Verifier who will then report to both NEPOOL-GIS and SFB
- SFB canvasses in the commodities market, public auctions and directly to secure the strongest value for your REC(s).
- Payment is made by check directly to you for the completed sale.