DE SREC Procurement Program
Overview
Call-in for this webinar is (917) 338-1451 PIN: 361734#
Audio also available on your computer
www.SRECDelaware.com
srecdelaware@srectrade.com
(877) 466-4606 x100
Webinar Program
• Basic Program Overview
• Sample Facility Application
• Questions and Answers
– All questions will be asked through the chat feature
– Questions may be asked at any time, answers will
be provided at the end of the presentation
Basic Requirements
• Existing projects – Must have an “Accepted Completed
Solar System Interconnection Application” dated Dec 1,
2010 or later.
• Proposed projects – Must commence operation within
12 months of the award date.
• All projects – Must not have received supplemental
funding from a public source, other than grants
associated with the Delaware Green Energy Program
(“GEP”) or grants in lieu of the investment tax credit.
Timeline
April
2nd
Solicitation
opens – all
tiers
April 6th
or when
filled
Tier 1 & 2A
close
April
13th
Tier 2B & 3
close
April
23rd
•Results
announced
for all tiers
Tiers
Tier
Size (kW)
Number of
SRECs/year
Percentage of
Total SRECs
1
<50
2,972
13.4%
2a
50 – 250
2,000
9.1%
2b
250 – 500
2,000
9.1%
3
500 – 2,000
4,500
20.4%
4*
>2,000
10,600
48%
*The procurement of SRECs for Tier 4. for the 2011 compliance year was satisfied in full with the purchase
of SRECs from the Dover Sun Park Project. Accordingly, the process for procuring SRECs from Tier 4 projects is
not included in the initial pilot SREC Procurement Pilot Program.
Tiers
Tier
Size (kW)
Number of
SRECs/year
Percentage of
Total SRECs
Systems less than 250kw can waive their right to an administratively set
price and bid in Tier 2b, but can’t bid twice.
2b
250 – 500
2,000
9.1%
3
500 – 2,000
4,500
20.4%
4*
>2,000
10,600
48%
*The procurement of SRECs for Tier 4. for the 2011 compliance year was satisfied in full with the purchase
of SRECs from the Dover Sun Park Project. Accordingly, the process for procuring SRECs from Tier 4 projects is
not included in the initial pilot SREC Procurement Pilot Program.
Pricing
Tier
Size (kW)
Years 1-10
Years 10-20
1
<50
$260/SREC Base,
$235/SREC
Alternative*
$50
2a
50 – 250
$240/SREC Base,
$175/SREC
Alternative*
$50
2b
250 – 500
Bid Price
$50
3
500 – 2,000
Bid Price
$50
*projects that received a GEP grant before December 10, 2010
Award Process - Tier 1 and 2A
Not Filled by
April 6th?
Tier Filled On
or Before
April 6th?
• Tier remains open from April 2nd, 8:00 AM EST until filled, all bids accepted.
• Tier remains open until April 6th at 5:00 PM EST.
• All bids entered into lottery.
Lottery Step 1
• All DE equipment & labor projects randomly sorted.
• Start at top of random list until tier filled.
Lottery Step 2
• If space remains after step 1, all DE equipment OR DE labor randomly sorted.
• Start at top of random list until tier filled.
Lottery Step 3
• If space remains after step 2, remaining projects randomly sorted.
• Start at top of random list until tier filled.
Award Process - Tier 1 and 2A
There is no competitive advantage to
submitting Tier 1 and 2A applications at
8:01 on April 2nd!
Submitting applications earlier in the week does give bidder more
time to resolve any issues with bid or receipt of bid deposit.
Award Process – Tier 2B and 3
• Tier remains open from April 2nd at 8:00 AM EST to April 13th at 5:00 PM EST
Bid Period
• All bids sorted by price
April 13th
Highest Bid
Oversubscribes?
• Highest bid given option to reduce quantity
• If they decline, move to next higher bid
Tied Highest
Bid?
• In case of bidding tie, all tied parties given 5 day period to reduce bid
• If reduced bids produce winner, auction closes
Highest Bid
Still Tied
• Projects sorted by DE equipment & labor, DE equipment OR labor, or neither
• Random lottery starting with DE equipment & labor and moving down until filled
Application Requirements
• Owner representative for all projects less than
100kw
• Bid deposit of $100/kw for projects not yet built wire deposit, letter of credit, or bid bond.
• Performance credit support for all Tier 3 projects
– Years 1-10, 5% of value of 1st year SREC quantity
– Years 11-20, 10% of value of year 10 SREC quantity