FirstEnergy Corp. (NYSE: FE) on Oct. 3 announced a Request for Proposal (RFP) to purchase both Ohio-compliant Solar Renewable Energy Credits (SRECs) and Renewable Energy Credits (RECs) for its Ohio utilities – Ohio Edison, Cleveland Electric Illuminating and Toledo Edison.
This will help meet the companies’ 2016 renewable energy targets established under Ohio’s alternative energy law. SRECs and RECs sought in this RFP must be able to be utilized by the companies for compliance with its 2016 renewable energy obligations in accordance with rules and procedures put forth by the Public Utilities Commission of Ohio (PUCO), be deliverable through PJM-EIS GATS, and generated between Jan. 1, 2014, and Dec. 31, 2016. FirstEnergy is seeking 6,500 SRECs and 230,000 RECs.
One SREC represents the environmental attributes of one megawatt hour of generation from a solar renewable generating facility qualified by the PUCO. One REC represents the environmental attributes of one megawatt hour of generation from a PUCO-qualified renewable generating facility. The cost of the RECs is recovered from utility customers through a monthly charge filed quarterly with the PUCO.
No energy or capacity will be purchased under the RFP. The number of individual bidders is not limited. Participants in the RFP must meet and maintain specific credit and security qualifications, and must be able to prove their SREC or REC generating facilities are certified or in the process of becoming certified by the PUCO.
The RFP is a competitive process managed by Navigant Consulting Inc., an independent evaluator and a global consulting firm with expertise in energy markets, renewables and competitive procurements. Based on the RFP results, the Ohio utilities will enter into agreement(s) with winning suppliers to purchase the necessary quantities of RECs and SRECs.
The FirstEnergy Ohio utilities have established a website to provide bidders with a central source of documents, data and other information for the RFP process. This information is available at www.FEOhioRECRFP.com.
To participate in the RFP, potential bidders are encouraged to submit credit applications by Oct. 31, 2016, and proposals are due Nov. 7, 2016 by 5 p.m. EPT.
The RFP Manager is Dan Bradley, Managing Director, Navigant Consulting. He can be reached at manager@FEOhioRECRFP.com.