SREC Delaware Procurements
Each year the SREC Delaware program is open for bids during a two-week procurement window. The SREC Delaware Program only accepts bid applications during this two-week window. During each procurement, participants submit bids for the price they would be willing to accept per SREC. At the end of the two-week window, the Program Administrator verifies that all bids are valid, and then accepts the lowest valid bids in each tier until the tier is full. Please see our About page for more information on the SREC Delaware Program.
2018 SREC Procurement
The 2018 SREC Delaware Procurement was announced on June 20, 2018, and was open for bids from July 23, 2018, at 9:00 am EST to August 3, 2018, at 5:00 pm EST. The 2018 procurement consisted of nine tiers, five (5) for new systems and four (4) for existing systems.
Contract
The 2018 SREC Delaware Procurement Program awarded 20-year contracts to successful bidders. During years 1-10, successful bidders will be paid at their bid price for SRECs transferred under the contract. During years 11-20, successful bidders will be paid the lower of the bid price or the administrative price of $20 for SRECs transferred under the contract. Successful bidders will be paid any applicable bonuses in addition to the bid price or administrative price.
Details
- The 2018 SREC Delaware Procurement had nine tiers. Bids were automatically assigned to a tier based on the attributes of the facility. Delmarva Power intended to procure a minimum of 15,000 SRECs and a maximum of 20,000 SRECs through the 2018 procurement.
- Delmarva intended to procure the first 10,000 SRECs from the N-1, N-2, and N-3 tiers. Delmarva intended to procure 5,000 SRECs from a pool of Tier N-5, E-1, E-2, and E-4. After securing 15,000 SRECs, Delmarva had the option to procure an additional 5,000 SRECs with the lowest bids from any tier, at their discretion.
- The chart below describes the nine tiers, and the maximum number of SRECs in each tier.
New Systems
(systems with final interconnection approval after June 10th, 2016)
| Tier | Tier Description | Maximum SRECs in Tier |
|---|---|---|
| N-1 | Less than or equal to 50 kW (Customer-Owned) | 4,400 |
| N-2 | Greater than 50 kW but less than or equal to 500 kW | 2,300 |
| N-3 | In-state systems greater than 500 kW but less than or equal to 2 MW | 3,300 |
| N4 | In-state systems greater than 2 MW and out-of-state systems greater than 500 kW | 0-5,000 |
| N-5 | Less than or equal to 50 kW (Not Customer-Owned) | 5,000* |
Existing Systems
(systems with final interconnection approval before June 10th, 2016)
| Tier | Tier Description | Maximum SRECs in Tier |
|---|---|---|
| E-1 | Less than or equal to 50 kW (Customer-Owned) | 5,000* |
| E-2 | Greater than 50 kW but less than or equal to 2 MW | 5,000* |
| E-3 | Greater than 2 MW (in-state systems) and all out-of-state systems regardless of nameplate capacity | 0-5,000 |
| E-4 | Less than or equal to 50 kW (Not Customer-Owned) | 5,000* |
*Indicates a pooled tier
Changes from 2017 Procurement
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The maximum system size for the N-1 and E-1 Tiers was increased from 25 kW to 50 kW. The maximum system size for the N-2 Tier was increased from 200 kW to 500 kW.
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Tiers N-5 and E-4 were added for systems that are not customer-owned.
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There is a new requirement that all systems in the N-3 tier must be sited in-state.
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The SREC price for the last 10 years of the contract was reduced from $35 to $20. If the bid price is below $20, then the bid price will be paid in the last 10 years of the contract.
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There is now a bidding limitation for Tier N-2. The SEU will not award more than 50% of SRECs in Tier N-2 to a single Owner unless Tier N-2 is undersubscribed due to that limitation.
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There is an increase in the minimum number of SRECs Delmarva power will buy from 10,000 SRECs to 15,000 SRECs.
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If Tiers N-1, N-2 or N-3 are undersubscribed because of insufficient bids then banked SRECs held by the Delaware SEU can be used to fill these undersubscribed tiers at the lowest winning bid price.
Results
The 2018 SREC Delaware Procurement Results were announced on August 17, 2018. A total of 18,236 SRECs were purchased through 2018 procurement. The high, low, and weighted average by tier was:
| N1 | N2 | N3 | Pool N4, E3 | Pool N5, E1, E2, E4 | Overall Procurement | |
|---|---|---|---|---|---|---|
| High | $54.54 | $50.00 | $49.98 | $10.87 | $52.38 | $54.54 |
| Low | $19.00 | $18.47 | $24.00 | $10.87 | $9.95 | $9.95 |
| Weighted Average | $38.14 | $33.78 | $27.22 | $10.87 | $29.67 | $28.75 |
Documents & Resources
- Click here to view a recording of the instructional webinar that took place on July 17, 2018, at 2:00 PM.
- Click here to view the presentation used during the 2018 webinar.
- Click here to view the 2018 procurement filing.
- Click here to view the 2018 Transfer Agreement.
Other Procurements
Each procurement is unique. For information about other SREC Delaware Procurements, please click the year below: