Community Renewable Generation Program FAQs< Return to all categories
Q: If we specify a minimum capacity in the bid for a Project, are we required to build the Project at that minimum capacity? For example, if we specify a 1.5 MW minimum capacity, can we build a 2 MW Project knowing that we will receive revenue from the sale of RECs associated with only 1.5 MW?
A bidder specifies a “minimum capacity” in kW (AC rating) with its Bid on a Project. The Seller commits to accepting for a Project an award either at the Minimum Capacity specified with the Bid for that Project or at the Project Size. In your example, if the Project is selected at a Minimum Capacity of 1.5 MW, the Proposed Nameplate Capacity of the project under the REC Contract will be 1.5 MW. As stated in Section 5. Energization of the Project, subpart (e) of the REC Contract, “If the Actual Nameplate Capacity upon Energization is different from the Proposed Nameplate Capacity and such Actual Nameplate Capacity is greater than 2,000 kW or outside the greater of: +/-5kW or +/-25% of such Proposed Nameplate Capacity, then an Event of Default shall be deemed to have occurred.”12-03-2019
Q: If a bidder presents a proposal for a project where not all non-ministerial permits have been obtained and the project is approved by the Commission, what happens if a permit falls through and the project is not built? Does the bidder forfeit the performance assurance posted to satisfy the collateral requirement?
The Collateral Requirement is posted upon contract execution in an amount of 1/15th of Maximum Contract Value under the applicable supplier contract(s) and remains in place throughout the term of the contract. Under the REC Contract, a Seller can request an extension as described in 5. Energization of the Project. However, if the Project is not built, the Collateral Requirement will be forfeited.10-30-2019