In its own words: DOER always intended SREC I projects to be eligible beyond 40 quarters
As noted in yesterday's post, DOER is proposing to shorten SREC I eligibility for existing solar projects. This change will have significant financial implications for many solar system owners across the Commonwealth. It also runs counter to the plain language of the regulations and DOER's own interpretation of the SREC I program rules, as evidenced by written materials produced by DOER staff in the years since the SREC I program took effect. This includes we DOER's own interpretation of the regulations provided in presentations, Q&As, webinars, and other written materials.
For example, in DOER’s “Answers to Questions from the 12-18-2009 Webinar,” downloadable here, the following appears on page 2: “Q: Is there a limit to the number of years a project will generate SRECs, beyond the opt-in term?” A: "There is no pre-set number of years during which a project will generate SRECs…”. “Q: Do projects generate SRECs beyond the opt-in term, which can be sold on the market (not in the auction)?” A: “Yes. However, the generation of SRECs will end eventually. That end will not occur before the Opt-In Term of all PV projects has ended.” In a DOER SREC presentation from 12-18-2012, downloadable here, on page 22, see: Q: “How long will my project generate SRECs?” A: “Your project will generate SRECs from the time it is qualified until the program ends.”
In short, DOER has made clear on multiple occasions (in writing) that SREC I eligibility was not limited to the first 40 quarters. The proposed regulatory changes therefore not only mischaracterize the intent of the regulations as currently drafted, they represent a reversal of DOER's long-standing, publicly communicated position.
A summary of the regulations as they pertain to unrestricted SREC I eligibility along with written materials from DOER that confirm this interpretation has been assembled here.