CASE NO. 9710 


A public comment hearing in the above-entitled matter is scheduled for Wednesday, November 1, 2023 at 7:00 p.m., via virtual platform, concerning Porter Mill, LLC’s application for a Certificate of Public Convenience and Necessity (CPCN) from the Maryland Public Service Commission. 

If you would like to speak at the hearing, please send an email to [email protected] by Monday, 12:00 Noon on October 30, 2023. Otherwise, anyone wishing to observe the live stream of the hearing may do so via the Public Utility Law Judge Division’s YouTube Channel, Any questions about the hearing should be directed to [email protected].  

Written comments on the proposed Project may be submitted electronically through the Commission’s website at, or by first-class mail with the Commission’s Chief Clerk, Jamie Bergin, Maryland Public Service Commission, 6 St. Paul Street, 16th Floor, Baltimore, MD 21202, and must reference Case No. 9710. Pursuant to the Commission’s March 13, 2020 Notice of Waiver and Relaxed Filing Requirements, no paper copies need be submitted if the filing is public in nature and no more than 25 pages in length. The Commission encourages parties to use the Commission’s “e-file” system for filing. Instructions for e-filing are found under the “Tools” section of the Commission’s website under the “Make a Public Comment” tab, which can be accessed via the following link:



CASE NO. 9499


A second virtual public comment hearing in the above-entitled matter is scheduled for Thursday, November 4, 2021, at 6:30 p.m. concerning Morgnec Road Solar, LLC’s CPCN application.  Morgnec Road Solar, LLC proposes to construct a solar photovoltaic generating facility on two parcels totaling approximately 253.16 acres in Kent County near the Town of Chestertown (Tax Map 37, Parcels 40 and 174) and accompanying interconnection facilities necessary to interconnect the project to the Chestertown Substation.

The hearing will include a presentation by the Applicant.  The public comment hearing will be conducted via virtual meeting live streamed on the Public Utility Law Judge Division’s YouTube Channel.  If you would like to speak at the hearing, please send an email to [email protected] by 12:00 Noon on November 1, 2021. Otherwise, you may watch the public hearing on the Public Utility Law Judge Division’s YouTube Channel, which is available via the following link: Please direct any questions about the public hearing to [email protected].

Written comments on the proposed project may be submitted electronically or by first-class mail on or before November 10, 2021 and may be filed electronically through Commission’s website at or sent by first-class mail to Commission’s Executive Secretary, Andrew S. Johnston, 6 Saint Paul Street, Baltimore, Maryland 21202-6806, referencing Case No. 9499.


The Foxglove Solar project (“Project”) is a 75 MW solar facility proposed by Foxglove Solar, LLC. The
proposed project is approximately 668 acres located south of Marlboro Road, north of Vaucluse Road, and
bisected by Hites View Road, and generally west of Stephens City in Frederick County.

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Retail Solar PPA

Solar Panels

What Is A Sleeved PPA?

As a large organization, a Power Purchase Agreement (PPA) is often the most accessible and effective way for an organization to procure large amounts of renewable energy. The two most common types of PPAs are sleeved PPAs, also called a direct PPA or retail PPA, and Virtual Power Purchase Agreements (VPPAs). According to the Business Renewables Center, about 20% of large-scale corporate renewable energy deals are sleeved PPAs. 

In a sleeved PPA, an intermediary utility company handles the transfer of money and energy to and from a renewable energy (RE) project on behalf of the buyer. The utility takes the energy directly from the RE project and “sleeves” it to the buyer at its point of intake, for a fee. If the purchased renewable energy isn’t enough to meet the buyer’s energy needs, the utility is also responsible for supplying the additional power required. 

A Sleeved (Direct) vs. Virtual PPA

If you’ve weighed the risks and benefits of a VPPA for your renewables purchase and are uncomfortable with the level of risk, a sleeved PPA may be a good option to explore. Unlike a VPPA, in a sleeved PPA:

  • The buyer does not need to be intimately familiar with wholesale power market dynamics; and 
  • The buyer is not subject to wholesale power market price fluctuations because the utility bears the market risk

Additionally, a sleeved PPA is the best renewables purchase option available when:

  • The buyer is not set up to be able to purchase balancing power — power that’s needed when renewable energy isn’t available due to weather conditions or time of day
PPS Direct Retail

Some very large and sophisticated organizations have set up mini utility models to avoid having to purchase balancing power, but this requires a large investment of both capital and time to gain expertise.

  • The buyer is in a regulated electricity market that does not have a Regional Transmission Organization (RTO) or Independent System Operator (ISO) — like the Southeastern U.S.
  • The buyer is in a deregulated energy market, like Maryland or Pennsylvania,  where the sleeved PPA mirrors an electricity supply contract.

Sleeved PPAs in Regulated vs. Deregulated Markets

Given their nature, sleeved PPAs are much more common in deregulated markets, but they can also exist in regulated wholesale power markets as well.

How Sleeved PPAs Work in Deregulated Markets

If you operate in a deregulated electricity market, a sleeved PPA — also referred to as a Direct PPA or Retail PPA — is a great tool for purchasing renewable energy to meet corporate sustainability goals. They’re particularly advantageous for organizations with large, fragmented loads or limited onsite opportunities. By sleeving your PPA with a utility supplier, you gain key benefits while reducing your organization’s exposure to market risks:

  1. The utility assumes the market (price), volume and shaping, and basis  risks
  2. Reliability of power supply – power when the renewable project is not producing
  3. Long term, fixed rate for power
  4. Control over power-pricing relationship vs. paying a tariff set by the utility
  5. Easier verification that energy is procured from a particular renewable source
  6. No upfront costs or capital expenditure requirements
  7. Option to claim additionality — indicating that your organization is driving the construction of new RE projects

Sleeved PPAs generally have few drawbacks, with the most common ones being:

  • The contract involves three parties — Energy Buyer, Utility, RE Project
  • The buyer must pay the utility a fee for management, sometimes called a ‘sleeving fee’

Sleeved PPAs in Regulated Markets

The most common way a buyer can enter into a sleeved PPA within a regulated power market is through a Green Tariff. With a Green Energy Tariff, the utility supplies the customer with up to 100% renewable power from projects controlled by the utility. Green Tariffs come in many forms, so take time to look at a Green Energy Tariff comparison, to familiarize yourself with the differences between each.

The most common type of Green Energy Tariff explained

The most common type of Green Tariff in the utility scale renewables market is the type where the utility passes the terms and structure of a PPA with a RE project through to a customer. In most cases, they avoid shifting costs and risks to non-participating customers. And typically, the customer can purchase Renewable Energy Credits (RECs) and other environmental attributes from the contracted RE projects. Unlike deregulated markets, when entering into a sleeved PPA through a Green Energy Tariff, the buyer gives up much more control to the utility.

Explore Your PPA Sleeving Options

If your company is looking for a risk-averse solution to meeting its sustainability goals, a direct PPA is worth exploring. Learn more about how you can meet your energy needs while simultaneously reducing your collective carbon footprint. Contact Urban Grid Solar today.

Virtual Solar PPA (VPPA)

Solar Power from the Sun

A Virtual Power Purchase Agreement (VPPA), also known as a Synthetic PPA, or Contract for Differences, is a popular type of renewable energy contracting structure that provides a financial hedge against future energy fluctuations.

The VPPA structure supports bringing new, clean renewable energy onto the grid on behalf of the offtaker, and opens the door for meeting an organization’s sustainability goals as well as additional marketing opportunities. While the Virtual PPA can be a complicated undertaking, working with a partner like Urban Grid will help ensure your organization achieves their renewable energy goals, while limiting exposure to unnecessary risks.

What is A Virtual PPA?

A Virtual PPA is a contract structure in which a power buyer (or offtaker) agrees to purchase a project’s renewable energy for a pre-agreed price. In this agreement, the utility-scale solar project receives the market price at the time the energy is sold. If the market price is greater than the fixed VPPA price, the offtaker/buyer receives the difference. If the market price is less than the fixed VPPA price, the offtaker/buyer pays the project to make up the difference. In this way, a Synthetic PPA acts as a financial hedge against volatile electricity prices. Typically, the buyer receives the project’s Renewable Attributes, or Renewable Energy Certificates (RECs). Because there is no physical delivery of power, the VPPA is a great option for large electricity consumers with a fragmented/distributed electric load to support  the development of new renewable energy resources.
Virtual Solar PPA (VPPA)

Benefits of a Synthetic PPA


A Synthetic PPA guarantees the project a fixed price for its output, which is critical for developers that are looking to finance new projects. The energy and bundled RECs acquired through a VPPA are directly attributable to new “additional” renewable energy facility which is adding new clean energy to the grid and displacing fossil fuels. The project would not happen “but for” the VPPA and it is thus truly “additional” and impactful. As corporate renewable energy procurement and reporting on energy use and emissions faces increasing scrutiny, procuring bundled RECs will be the best practice for meeting corporate renewable energy goals.


Organizations exploring the VPPA structure are typically focused on sustainable business practices, reducing carbon footprint, and investing in renewable energy. Just as with any investment, the impact of these “green” initiatives is important in evaluating their true return of investment. For example, purchasing unbundled RECs is a low impact solution for achieving renewable energy goals. These RECs are easily attainable, may come from new or existing resources anywhere in the county, from any “renewable” energy resource. Signing a Synthetic PPA with a new solar project is substantially more impactful as the long-term contractual commitment to buy the project’s energy enables the development of the project and the inclusion of the Bundled RECs recognizes the clean power production. This enables organizations to claim that their renewable energy purchase has a direct and meaningful impact on the addition of a new renewable energy project. This impact translates to significant marketing and branding opportunities and organizations are certainly jumping on board.

Positive Net Present Value

Unlike a traditional Unbundled REC purchase, which always costs money, the VPPA swap provides RECs at a price determined by the net difference between the fixed VPPA Price and the wholesale market price. A positive difference between the market price and the fixed VPPA price can lead to significant positive cash flows. In many earlier VPPAs, the fixed VPPA price was at or above the market price, and the buyer had to look to price forecasts to determine if the project would eventually provide a positive NPV. Now, there are markets and projects where it is possible to secure a fixed VPPA price which is below the current market price, meaning that the Virtual PPA will generate positive cash flow beginning day one.

Ability to Offset Dispersed Load

VPPAs are flexible and can help companies aggregate their load to a single renewable energy project under a single PPA, regardless of where their individual facilities are located. The VPPA is a separate financial contract that, in fact, does not affect the traditional electricity supply for an organization directly. The organization continues to purchase electricity from the utility, in addition, enters the VPPA for renewable energy.


By entering a long term Synthetic PPA, the buyer is locking in a price for Bundled RECs based on the wholesale market price of electricity. If wholesale prices rise, then the buyer’s conventional energy supply costs will also likely rise. The buyer will likely make money on the VPPA deal and the profits made can offset higher conventional energy costs. Conversely, if the VPPA price is greater than the wholesale market price, the buyer will be paying the net difference to the project to provide their required fixed revenue stream, but they will also likely realize lower conventional energy costs. In this regard, the VPPA acts as a hedge against rising conventional energy costs.

VPPA Structure: Legal, Accounting and Regulatory

Power purchase agreements, especially VPPAs, can raise internal accounting issues. While we cannot provide accounting advice in this blog, there have been numerous VPPA’s structured and executed by all types of organizations. We recommend discussing the accounting impacts with your accountant early on to ensure proper internal accounting treatment.

Another important regulatory consideration to ensure you understand when evaluating a VPPA is the impact of the Dodd-Frank Act. Because a VPPA is a fixed for floating swap, it is subject to Dodd-Frank, which requires registration and reporting of the transactions. In most cases, the renewable energy project owner will perform these tasks on your behalf, but it is important to confirm this in the negotiation of the VPPA. If you are a financial services firm, you may be subject to additional obligations for filing under Dodd-Frank. Again, we recommend involving your internal legal and accounting team early in the process to answer these questions. A good VPPA partner can help with understanding the contract structure and how it’s unique terms may impact your organization.

Advancing Renewable Energy Is Good Business Leadership

If your company is looking for impactful ways to reduce your collective carbon footprint, that also includes financial and marketing benefits, the Virtual PPA may be a workable option for a growing number of companies.

Interested in learning more about how your company can make a difference with renewable energy? Contact Urban Grid Solar.

Spring Grove Solar II, LLC: Permit By Rule

The Spring Grove Solar II project (“Project”) is a 150 MW solar facility proposed by Spring
Grove Solar II, LLC. The Project is located east of Spring Grove, Virginia, and spans Route
10, and is generally bound by Hollybush Rd (Route 618) and Swanns Point Road (Route
610) in Surry County. It is located on approximately 1,650 acres of multiple parcels.

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The Alton Post Office project (“Project”) is a 75 MW solar facility proposed by Alton Post Office Solar, LLC.
The Project is located along Route 711 (Alton Post Office Road) and Route 699 (Mt Carmel Road)
approximately one mile north of the North Carolina border in Halifax County, Virginia.

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Procuring Utility-Scale Solar Projects (Can You Really Afford Not To?)

Even before the introduction of the RE100, internal and external stakeholders have been pushing organizations to minimize their impact on the environment by embracing renewable energy options like utility-scale solar power. Today, companies are continuing to use renewable energy growth to differentiate themselves as leaders with a brand-shaping sustainability commitment. But as more and more corporations and institutions set goals for procuring renewable energy, those who fail to act will be at a reputational, branding, and economic disadvantage. For those considering corporate renewable energy procurement, now is the time to turn commitments into action. Utility-scale solar power projects are the most impactful and often economically beneficial way to reach sustainability goals. 

What Does Procuring Utility-Scale Solar Power Cost?

As a developer of utility-scale solar projects, we  are often asked the question, What will a Solar Power Purchase Agreement (PPA) cost? For renewable energy buyers, the simple answer is there is no upfront capital cost. Under a Solar PPA:

  • The solar project development is handled by a utility-scale solar developer, like Urban Grid Solar
  • Engineering, equipment, and construction costs are covered by the project developer and/or the long term owner. Operation and maintenance costs of the utility-scale solar project are the responsibility of the project owner/operator 

As with any contractual agreement, utility-scale solar costs include  transactional fees, including legal and accounting costs, for which the buyer is responsible. A renewable energy PPA ensures a fixed price for a solar project’s energy, and often the accompanying environmental attributes and renewable energy credits (RECs).    

How Are Solar PPA Prices Set?

In the construction of a utility-scale solar power project, there are three main drivers that contribute to solar PPA prices:

  • Cost to Build
    The cost of building utility-scale solar projects is falling due to ever-improving technology.
  • Cost to Develop
    Solar project development costs are driven by land costs, local approval costs, and interconnection costs. These costs will vary by location, time, money, and effort the developer must put into the approval process.
  • Cost to Finance
    Due to historically low interest rates,  investors are seeking yield in new investments. Many large institutions including  pension funds, private funds and insurance companies, with lower costs of capital are seeking  the relatively higher returns of solar investments.   

Why Enter A Solar Power Purchase Agreement Now?

There are many benefits of utility-scale solar  power purchase agreements that make it a smart decision from both a financial and environmental perspective. 

The Price of Utility Scale Solar Power Is Falling

The cost of solar energy generation continues to fall and in most areas and can now compete on cost with fossil fuels. Utility scale solar power has also become increasingly competitive with wind on a levelized cost of energy basis in many traditional wind states.  

The primary benefit of a Solar PPA is that it provides a fixed, predictable cost of electricity for 10+ years.  Many current project’s PPA rates are at or below competitive market rates. A retail PPA locks in a potential savings over the contract term and a VPPA often models a positive net present value.

Renewable Energy PPAs Can Act as a Hedge Against Rising Energy Costs

With solar PPA prices falling and the cost of fossil fuels increasing, power purchase agreements can act as a hedge against rising energy costs. The closer the utility-scale solar project is to a conventional energy supply source, the more tightly correlated the hedge. If the RECs purchased from a utility-scale solar project are bundled (can be traced back to its project), the buyer is able to claim additionality — meaning that their purchase directly contributed to the increase of renewables beyond what would have otherwise occurred.  This is an unquestionable display of sustainability leadership.  

There Are Significant Competitive and Reputational Advantages

To date, over 200 Corporations have joined the RE 100 and made the commitment to go 100% renewable. Third-party reporting and benchmarking programs are growing, and the number of companies from around the world that are setting science-based carbon reduction targets has surpassed 500. These companies are making this move not only to improve their bottom line, but also because they realize that sustainability measures can impact their competitive advantage and brand reputation. Many companies are going as far as calling out others within their industry and encouraging them  to follow their lead in becoming more sustainable.  

Given the potential economic upside, pressure from investors, consumers and even competitors, and the potential for improved talent attraction, it is no wonder many companies are finding that they can no longer afford not to procure utility-scale solar power. 

If you’re interested in exploring utility-scale solar options, please give us a call at  (866) 256-0912, or contact us online today.

Urban Grid Closes $100 Million Senior Secured Term Loan Facility Provided by Crayhill Capital Management

Richmond, VA, September 5, 2019 – Urban Grid, a leading developer of solar projects throughout the United States, today announced that it has closed a senior secured term loan facility (the “Facility”) for up to $100 million with Crayhill Capital Management LP (“Crayhill”), a New York-based private credit manager and asset-based lender.

The Facility is backed by and will finance the late-stage development of more than 5 GWp of utility-scale solar projects under development by Urban Grid. The Facility is designed to finance the significant capital expenditures required by projects prior to construction. Urban Grid has a successful track record of delivering quality solar projects, including two recent projects purchased by Dominion Energy that provide over 340 MWp of renewable power to a new datacenter in Virginia operated by Facebook.

“The capital solution provided by Crayhill, coupled with their deep experience in utility-scale solar development and financing, will allow us to expand, build and monetize our development portfolio,” said Frank Depew, CEO of Urban Grid. “This facility allows our growing team of solar development experts to focus exclusively on delivering high-quality solar projects to our institutional clients.”

“Crayhill is excited to partner with Urban Grid’s experienced team to finance its development portfolio and fuel the next evolution of its growth strategy,” said Josh Eaton, Managing Partner of Crayhill Capital. “Strong demand for solar assets from institutional investors, along with government tax incentives scheduled to be phased out over the next few years, create a favorable environment to provide bridge capital solutions for entire solar development portfolios. Crayhill’s expertise in providing asset-based capital solutions, combined with our extensive experience in solar project financing, is well suited to help Urban Grid successfully scale its business.”

“Raising significant capital from Crayhill further validates Urban Grid’s vision of powering U.S. states through sustainable solar energy developments,” said Mark Jones, CEO for PP Asset Management, a significant investor in Urban Grid. “It enables scaling of our development platform from PJM centric states into new service territories. Following a successful relationship with the Crayhill team in the UK, we are excited these prestigious investors believe in Urban Grid’s credentials, capability and our collective commitment to be the leading U.S. solar developer.”

About Urban Grid

Urban Grid is a leading developer of utility-scale solar power plants. Founded in Richmond, Virginia, in 2011, with offices in Virginia, Washington, DC, and Maryland, Urban Grid has completed the development of approximately 400 MWp of solar projects and currently has more than 5 GWp of solar projects under development. Our team has a proven track record of delivering solar energy solutions for corporate, utility, and municipal clients to meet their sustainability and renewable energy goals.

About PP Asset Management

PP Asset Management is family-owned investment company based in London. We specialize in providing early-stage private equity capital financing to sophisticated renewable energy developers. Following a successful launch into subsidized U.K. solar in 2010, we have since backed solar development teams in the Republic of Ireland (JBM Solar), USA (Urban Grid) and into zero-subsidy solar in the U.K. (JBM U.K.). For more information, please contact or e-mail Adam Swarbrick at [email protected].
About Crayhill Capital Management

Crayhill Capital Management LP is a New York-based alternative asset management firm that specializes in asset-based private credit opportunities. The firm was launched in August 2015 and is registered with the U.S. SEC as an investment adviser. Crayhill strives to deliver capital solutions through tailored financing structures. Its asset-based investment strategies draw on deep sector expertise and relationships throughout the structured finance and specialty finance markets. For more information, please visit or email [email protected].

Crayhill Capital Management Media Contact:
Zach Kouwe – Dukas Linden Public Relations
[email protected]

Urban Grid Media Contact:
Leah Garvey
[email protected]

What Is Utility-Scale Solar? An Overview

Answers to the question“what is utility-scale solar?” vary greatly within the solar project development industry. While there is no official utility-scale solar definition, most, if not all, large scale solar projects share common characteristics.

What is Utility-Scale Solar Power?

The primary defining characteristic of utility-scale solar projects are that they sell the power they generate directly into the electric grid. Often, utility-scale solar projects are described as being “in front of the meter” as opposed to distributed generation systems, which are “behind the meter” — i.e. a system that is paired with the energy load of a facility and supplies that facility directly with power. Beyond these key features, what is considered utility-scale solar is highly nuanced and determined by a number of factors including size, location, interconnection type and voltage, state policy, and where the solar power is ultimately sold and how.

Differences in Utility-Scale Solar Definitions

A good example of the challenge in defining utility-scale solar is “Community Solar.” Community solar connects “in front of the meter” and often has a larger system size than traditional Distributed Generation, but is still not considered utility-scale. In many markets, community solar falls under the state’s net metering program, just like “behind the meter” projects.

The Solar Energy Industries Association (SEIA), a leading trade group for solar developers, defines a solar project as utility-scale if it generates greater than 1 megawatt (MW) of solar energy. The National Renewable Energy Laboratory uses a 5 MW threshold to qualify utility-scale solar projects. Unfortunately, the size-based definitions used by SEIA and NREL do not provide a full answer, as most of the time, size requirements for utility-scale solar projects depend upon the market in which the project is being built. In some markets, the threshold is 2 MW and up, in others it’s as high as 25 MW and up.

How Urban Grid Defines Utility-Scale Solar Design

For Urban Grid, utility-scale solar projects are 20MW or greater in size, which is enough energy to power thousands of homes or major manufacturing facilities. Our definition of utility-scale solar is driven primarily by the business opportunity. Unlike “behind the meter” projects that can offset the retail electricity rate, projects 20 MW and above are almost always required to compete in the wholesale power markets with other “merchant” generators like coal and natural gas.

The Two Types of Wholesale Electricity Markets

Another key factor that helps us define utility-scale solar is the market design. At a high level, there are two types of wholesale electricity markets: Regulated Markets and Deregulated Markets.

Regulated Wholesale Power Markets

Regulated power markets, like those in the Southeast, are constrained by vertically integrated monopoly utilities. In these markets, utilities generally own and operate all of the generators, transmission lines, and distribution networks which take electricity from the power plants and deliver them to homes and businesses. In some cases, the utilities will buy power directly from renewable energy projects.  In regulated markets, the utilities, and to a certain extent the Public Service Commission, sets the definitive markers for utility-scale versus not utility-scale solar.

Deregulated Wholesale Power Markets

Deregulated power markets are competitive, organized electricity markets. The power that’s generated becomes part of the wholesale electricity market where it is traded like any other commodity. These electricity grids, also known as Regional Transmission Organizations (RTOs) or Independent System Operators (ISOs) are considered to be interconnected, which allows for broad-based trading of electricity across geographies. In these markets, there is opportunity for  financially settled Virtual Power Purchase Agreements and other unique offtake structures for utility-scale renewables. Territories such as PJM and MISO stretch across multiple states and allow power generators to sell energy at the market price for that electricity. Because of this structure, utility-scale solar projects like those that Urban Grid develops must be of a certain size, and be built efficiently so as to reduce the cost of the energy to a point where it’s competitive with other generators in that market.

Power Purchase Agreements

Utility-scale solar power projects require a certain kind of contracting mechanism in order to achieve the financing necessary to get constructed. As part of the solar project development process, utility-scale solar developers enter into a renewable energy contract called a Power Purchase Agreement (PPA) with utility, commercial, industrial and institutional customers. The PPA provides price and revenue certainty for the project’s energy over a fixed amount of time, with contracts usually spanning 12 to 20 years.

Virtual Power Purchase Agreements

Increasingly, corporations have moved to PPA’s to take advantage of the low cost of utility-scale solar. Most of these agreements are in the form of a Virtual Power Purchase Agreement (VPPA), also known as a Synthetic PPA. In a VPPA, the power purchaser (offtaker) enters into a financial contract for differences based on the project’s solar energy at an agreed-upon price (strike price). The energy is then sold at market prices. If the market price is greater than the fixed VPPA price, the offtaker receives the difference. However, if the market price is less than the fixed VPPA price, the offtaker pays the project to make up the difference. Under this contract structure, a VPPA can act as a financial hedge against unpredictable electricity prices.

Unlike in a sleeved or retail  PPA, with a VPPA, there is no physical delivery of power to the offtaker. However, the offtaker can choose to receive and retire the project’s Renewable Energy Credits  (RECs) allowing them to make claims regarding their sustainability efforts. The retirement of bundled RECs also provides the opportunity to claim additionality, i.e responsibility for the direct addition of new renewable energy to the grid.

Retail Power Purchase Agreements (PPA)

The Retail PPA is a structure that is only suitable in deregulated retail electricity markets, such as Maryland and DC, in which customers can shop around for energy plans from retail energy providers. This consumer choice has led to an increased demand for renewables which can be purchased with a Retail PPA. In this scenario, the buyer enters an agreement with their retail electricity supplier and takes delivery and title to a renewable project’s energy. In many cases, the buyer also receives the RECs as part of the agreement. In other cases, the project sells the RECs on the market separately to improve the PPA’s economics.

The Future of Utility-Scale Solar Power

According to the SEIA, there are over 100,000 MW of utility-scale solar projects currently in operation, or under development. Due to government and corporate sustainability targets (like the RE 100), continued  declines in the cost of solar, and the spread of solar-plus-storage, we expect to see utility-scale solar capacity grow by double digits between now and 2020.