Renewable Portfolio Standard Reporting


Contact

Jennifer Taylor, Esq.
Deputy Director, Intergovernmental Relations
702-486-7859

Renewable Portfolio Standard Reporting

Renewable Portfolio Standard Background

Nevada's Renewable Portfolio Standard ("RPS"), NRS 704.7801, was initially adopted by Nevada’s Legislature in 1997.  Nevada was the second state in the nation to adopt an RPS.  The RPS has been modified nearly every subsequent legislative session.  It establishes the percentage of electricity sold by an electric utility to retail customers that must come from renewable sources. More specifically, electric utilities are required to generate, acquire or save with portfolio energy systems or energy efficiency measures, a certain percentage of electricity annually.

Amendments in 2019 which increased the RPS also included legislative findings that this increased RPS supports the state’s policies to: 

Encourage and accelerate the development of new renewable energy projects for the economic, health and environmental benefits provided to the people of Nevada;

Become a leading producer and consumer of clean and renewable energy with a goal of achieving by 2050 an amount of energy production from zero carbon dioxide emission resources that is equal to the total amount of electricity sold by providers of electric service in Nevada; and

Ensure that the benefits of the increased use of portfolio energy systems and energy efficiency measures are received by the residents of Nevada. 

Entities Covered

RPS compliance is required from “electric utilities”, defined as any public utility that is in the business of providing electric service to customers, holds a certificate of public convenience and necessity, and which had a gross operating revenue of $250,000,000 of more in the past seven calendar years.  Public utilities, including cooperative associations, nonprofit corporations, and nonprofit associations now also fall into RPS compliance requirements at certain levels of electricity generation. 

The 2019 amendments to the RPS also require compliance by “providers of electric service”, defined to mean any person or entity that is in the business of selling electricity to retail customers for consumption in Nevada, regardless of whether the person or entity is otherwise subject to regulation by the PUCN. 

    Standards Commencing in 2019

    The percentage of electricity sold by a provider to its retail customers from renewable sources increased to the following percentages beginning in 2020: 

    1. For calendar year 2020, not less than 22 percent of the total amount of electricity sold by the provider to its retail customers in Nevada;

    2. For calendar year 2021, not less than 24 percent of the total amount of electricity sold by the provider to its retail customers in Nevada;

    3. For calendar year 2022 and 2023, not less than 29 percent of the total amount of electricity sold by the provider to its retail customers in Nevada;

    4. For calendar year 2024 through 2026, not less than 34 percent of the total amount of electricity sold by the provider to its retail customers in Nevada;

    5. For calendar year 2027 through 2029, not less than 42 percent of the total amount of electricity sold by the provider to its retail customers in Nevada;

    6. For calendar year 2030 and for each calendar year thereafter, not less than 50 percent of the total amount of electricity sold by the provider to its retail customers in Nevada.

    In addition, energy efficiency measures can currently be used to comply with RPS requirement but that credit option is eliminated by 2025.  Specifically, in 2013 and 2014, up to 25 percent of RPS compliance may come from energy efficiency measures.  Between calendar years 2015 and 2019, up to 20 percent of the annual RPS requirement can come from energy efficiency measures.  During each calendar year 2020 to 2024, not more than 10 percent of RPS compliance may be based on energy efficiency measures.  For calendar year 2025, and each calendar year thereafter, no portion of that amount may be based on energy efficiency measures. 

      Regulatory Review and Compliance

      Each year, providers of electric service must submit a report to the PUCN providing evidence of their compliance with the RPS. The PUCN determines if the provider has met the requirements and, for a utility or provider of a new electric resource that fails to meet the RPS, the PUCN may impose a fine, provide an exemption or take other administrative action.  The PUCN also adopts regulations that establish a system of portfolio energy credits that may be used by a provider to comply with the RPS.  Under the 2019 amendments to the RPS, the PUCN also reviews requests related to ratemaking around certain utilities’ and renewable energy facilities. 

      The Governor’s Office of Energy is now tasked with receiving RPS compliance reports from electric service providers subject to 704.787, such as the Colorado River Commission, to detail information relating to the actions taken by the provider to comply with its portfolio standard.  These compliance reports shall be submitted to the Office of Energy on or before July 1 of each year and must contain information delineated in NRS 704.7825, the same information provided by all providers of electric service to the PUCN, including:     

      1. The amount of electricity which the provider generated, acquired or saved from portfolio energy systems or efficiency measures during the reporting period and, if applicable, the amount of portfolio energy credits that the provider acquired, sold or traded during the reporting period to comply with its portfolio standard;

      2. The capacity of each renewable energy system owned, operated or controlled by the provider, the total amount of electricity generated by each such system during the reporting period and the percentage of that total amount which was generated directly from renewable energy;

      3. Whether, during the reporting period, the provider began construction on, acquired or placed into operation any renewable energy system and, if so, the date of any such event;

      4. Whether, during the reporting period, the provider participated in the acquisition or installation of any energy efficiency measures and, if so, the date of any such event; and 

      5. Any other information that the Commission by regulation may deem relevant.

      More Information

      For more information about the Renewable Portfolio Standards, the following links will take you to recent legislation, statutes and regulations.