Frequently Asked Questions

Question: Are there any fees associated with a Texas REC Account?
Answer: There are currently no fees associated with a REC Account.

Question: What is a Compliance Premium and how can it be used?
Answer: A Compliance Premium is awarded by the Program Administrator in conjunction with a REC that is awarded to a renewable energy Resource installed and certified after September 1, 2005 that is not powered by wind. Compliance Premiums may be traded or retired just like a REC for mandatory or voluntary use.

Question: When am I eligible to start earning RECs/Compliance Premiums?
Answer: You are eligible to earn RECs or Compliance Premiums after your facility has been certified by the Public Utility Commission of Texas (PUCT) as a Renewable Energy Credit Generator/Aggregator.

Question: How is my RPS requirement determined?
Answer: As the Renewable Energy Credit (REC) Trading Program Administrator, ERCOT determines the annual Renewable Portfolio Standard (RPS) requirement for each Retail Entity in Texas using the formulas set forth in Protocol Section 14, State of Texas Renewable Energy Credit Trading Program.

Question: When will my RPS requirement be available?
Answer: As set forth in subsection (n)(1) of P.U.C. SUBST. R.25.173, Goal for Renewable Energy, ERCOT will notify each Retail Entity of its total final adjusted RPS requirement for the previous Compliance Period by January 31st.

Question: When must I retire sufficient RECs/CPs to fulfill my RPS requirement?
Answer: As set forth in subsection (n)(2) of P.U.C. SUBST. R.25.173, each Retail Entity must submit to ERCOT a quantity of RECs/CPs equal to its Final RPS Requirement (FRR) for the previous Compliance Period by March 31st. This is done by retiring the RECs/CPs in the Retail Entity's REC trading account.

Question: Where are REC attributes defined?
Answer: Attributes of RECs, including how they are defined and how they are described by vintage year, quarter, technology type, resource, facility identification, quantity, and REC number, may be found in Protocol Section 14, State of Texas Renewable Energy Credit Trading Program.

Question: What is the useful life of a REC and Compliance Premium?
Answer: RECs and CPs have a useful life of three Compliance Periods. A Compliance Period is a calendar year beginning January 1 and ending December 31 of a year in which RECs are required to be retired by a Retail Entity. See the Protocol Section 14 for an example.

Question: Where can I find the current Capacity Conversion Factor?
Answer: The current Capacity Conversion Factor is located in the message board link on the Texas REC Trading Program home page.

Question: How can I get help in using the Texas REC Trading Program?
Answer: Texas REC User's Guide is available on the website, under the headings Public Reports and Help Guide.

Question: What if I still have questions after reviewing the Texas REC User's Guide?
Answer: Contact the ERCOT RPS Administrator via email, for REC Trading Account Holder assistance.



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