SB124 - Delaware Renewable Energy Portfolio Standards and Fuel Cells

• Allows energy output from Delaware-manufactured fuel cells powered by renewable fuels to count toward the Renewable Portfolio Standards (RPS) requirements for Commission-regulated electric utilities.

• Transfers RPS procurement responsibility to Commission-regulated electric companies (Delmarva Power & Light) for all energy delivered to their end-use customers beginning in 2012, with transition rules protecting existing supplier contracts.

• Establishes a regulatory framework requiring the Delaware Public Service Commission to approve tariff provisions for a 30 MW fuel cell project, with potential expansion to 50 MW total nameplate capacity.

• Requires fuel cell projects to maintain at least 80% of nameplate capacity from in-state manufactured units by the second anniversary of commercial operation or December 31, 2016, whichever is earlier.

• Permits Commission-regulated electric companies to use fuel cell output to fulfill up to 30% of Renewable Energy Credit (SREC) requirements at a 6:1 ratio, unless SREC unavailability would otherwise require alternative compliance payments.