Amendment ID: S2477-123-R1

Redraft Amendment 123

Lowering cost

Mr. Tarr moves that the proposed new draft be amended by inserting after section _ the following new section:-

SECTION_. Subsection (h) of section 83C in chapter 188 of the acts of 2016 is hereby amended by striking in its entirety and inserting in place thereof the following:-“(h) A distribution company shall sell any energy and capacity purchased under a long-term contract in the wholesale market through a competitive bid process in order to minimize the costs to ratepayers under the contract. A distribution company may elect to retain renewable energy certificates to meet the applicable annual renewable portfolio standard requirements under said section 11F of said chapter 25A. If renewable energy certificates are not so used, such companies shall sell such purchased renewable energy certificates through a competitive bid process to minimize the costs to ratepayers under the contract; provided, however the department of energy resources shall conduct periodic reviews to determine the impact on the energy and renewable energy certificate markets of the disposition of energy and renewable energy certificates under this section. The department may issue reports recommending legislative changes if it determines that said disposition of energy and renewable energy certificates is adversely affecting the energy and renewable energy certificate markets.” ;

And moves to further amend by inserting after section _ the following new section:-

“SECTION _. Subsection (h) of section 83D in chapter 188 of the act of 2016 is hereby amended by striking in its entirety and inserting in place thereof the following:-“(h) A distribution company shall sell any energy and capacity purchased under long-term contracts or delivery commitments in the wholesale market through a competitive bid process in order to minimize the costs to ratepayers under the contract. A distribution company may elect to retain renewable energy certificates to meet the applicable annual RPS requirements under said section 11F of said chapter 25A. If the renewable energy certificates are not so used, such companies shall sell such purchased renewable energy certificates attributed to new class I RPS eligible resources through a competitive bid process to minimize the costs to ratepayers under the contract; provided, however, a distribution company shall retain renewable energy certificates that are not attributed to Class I RPS eligible resources. The department of energy resources shall conduct periodic reviews to determine the impact on the energy and renewable energy certificate markets of the disposition of energy and renewable energy certificates under this section. The department may issue reports recommending legislative changes if it determines that said disposition of energy and renewable energy certificates is adversely affecting the energy and renewable energy certificate markets.”