§ 7-704.2. Powers and duties of Commission
West's Annotated Code of MarylandPublic UtilitiesEffective: October 1, 2022
Effective: October 1, 2022
MD Code, Public Utilities, § 7-704.2
§ 7-704.2. Powers and duties of Commission
(a)(1) The Commission shall determine the offshore wind energy component of the renewable energy portfolio standard under § 7-703(b)(12) through (25) of this subtitle based on the projected annual creation of ORECs by qualified offshore wind projects.
(ii) a mechanism to adjust the renewable energy portfolio standard obligation in a given year to accommodate a shortfall of ORECs in one or more earlier years that is the result of the variation between the quantity of ORECs calculated from the renewable energy portfolio standard obligation and the quantity of ORECs approved in the Commission order for the same years; and
(b) The Commission shall adopt regulations establishing an escrow account under Commission supervision and defining rules that facilitate and ensure the secure and transparent transfer of revenues and ORECs among the parties.
(c)(1) Each electric company shall purchase from the escrow account established under this section the number of ORECs required to satisfy the offshore wind energy component of the renewable energy portfolio standard under § 7-703(b)(12) through (25) of this subtitle.
(2)(i) Subject to any escrow account reserve requirement the Commission establishes, if there are insufficient ORECs available to satisfy the electric companies' OREC obligation, the overpayment shall be distributed to electric companies to be refunded or credited to each distribution customer based on the customer's consumption of electricity supply that is subject to the renewable energy portfolio standard.
(ii) distribute the proceeds received from the sales to PJM Interconnection markets, under item (i) of this paragraph to electric companies to be refunded or credited to each distribution customer based on the customer's consumption of electricity supply that is subject to the renewable energy portfolio standard.
(d)(1) If, within 2 years before the expiration of an OREC term, a qualified offshore wind project is anticipated to receive PJM revenues greater than the project operating costs for the 5 years immediately following the expiration of the term of the OREC pricing schedule, the Commission may extend the term of the OREC pricing schedule for an additional 5 years at an OREC price that equals one-half of the sum of:
(2) If, within 2 years before the expiration of an additional 5-year term extended under paragraph (1) of this subsection, a qualified offshore wind project is anticipated to receive PJM revenues greater than the project operating costs for the 5 years immediately following the expiration of the additional 5-year term, the Commission may extend the term of the OREC pricing schedule for an additional 5 years at an OREC price that equals one-half of the sum of:
(e) A debt, obligation, or liability of a qualified offshore wind project, or an owner or operator of a qualified offshore wind project, may not be considered a debt, obligation, or liability of the State.
Credits
Added by Acts 2013, c. 3, § 1, eff. June 1, 2013. Amended by Acts 2013, c. 43, § 5; Acts 2017, c. 62, § 6; Acts 2019, c. 757, § 1, eff. Oct. 1, 2019; Acts 2022, c. 578, § 1, eff. Oct. 1, 2022.
MD Code, Public Utilities, § 7-704.2, MD PUBLIC UTIL § 7-704.2
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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