THE Department of Energy (DoE) has released the rules for participants eligible for the opt-in mechanism of the Green Energy Auction program (GEA), which is designed to reduce feed-in tariff charges to end-users.
“The DoE through the GEAC (Green Energy Auction Committee) shall determine the opt-in participants for each auction round and subsequently provide the list of opt-in participants to Transco (National Transmission Corp.) and market operator,” the DoE said in a draft circular.
Participants in the Renewable Portfolio Standards (RPS) program exercising opt-in are required to submit to Transco and the market operator the capacity offered for opt-in, alongside a board resolution or secretary’s certificate indicating authority to opt in.
“The corresponding Opt-In energy shall be determined by multiplying the percentage of the Opt-In Capacity by the total energy generated by the winning bidders in a particular GEA round,” according to the circular.
RPS participants are required to file their intent to opt in with the DoE 60 days from the posting of the Notice of Award. This is to be considered in the determination of GEA capacity for the next auction round.
An Opt-In Participation Agreement (OPA) is to take effect after the execution of the Renewable Energy Payment Agreement by the winning bidder.
The start date of the agreement will be determined by the market operator or Transco and the Opt-In participant. — Sheldeen Joy Talavera