Renewable and Efficiency Portfolio Standard
A renewable and efficiency portfolio standard (REPS) would require electric utilities to generate a minimum share of their power from clean, renewable sources and energy efficiency.
A strong REPS will create a long-term, stable market for renewable energy and efficiency. Such policies have been passed by 28 states and have proven to be a powerful tool for driving investment in clean energy and successfully creating green jobs. Four of Kentucky’s neighboring states - Ohio, West Virginia, Missouri and Illinois - have passed such a standard.
We recommend Kentucky pass a REPS standard that will:
- Require utilities to generate at least 12.5% of their retail sales from renewable energy sources by 2020, including at least 2% from solar. (Renewable sources would count, but not “alternative”.)
- Require utilities to achieve an annual energy efficiency goal that ramps up to 2% of the previous 2-year’s retail sales by 2020.
- Give the KY Public Service Commission the role of ensuring compliance with these targets; may also result in non-compliance penalties paid into the Energy Efficiency/Clean Energy Trust Fund (see below).
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