Renewable Energy Credits RFP
The target quantity for this RFP is 523,376 RECs, with a budget of $12,978,111.
The target technology preferences are 75% wind, and 0.5% photovoltaic, applied to the total quantity of RECs purchased for the 2012-13 planning year, including 600,000 RECs previously procured under long-term contracts.
Request for Proposals (Posted 3/21/12)
RFP Attachment B - REC Agreement
Draft REC Agreement (Posted 3/21/12)
Comments should be redlined in Microsoft Word and submitted by email to firstname.lastname@example.org
Comment Deadline: 4/16/12, 12:00 noon CPT
Draft Redline Against Final 2011 REC Agreement (Posted 3/21/12)
Final REC Agreement (Posted 4/25/12)
Final REC Agreement Redline Against Draft (Posted 4/25/12)
RFP Attachment C - Form of Pre-Bid Letter of Credit
Form of Pre-Bid Letter of Credit (Posted 3/21/12)
Requested Modifications should be redlined in Microsoft Word and submitted by email to email@example.com
Modification Submission Deadline: 4/16/12, 12:00 noon CPT
Pre-Bid Letter of Credit Submission Deadline: 5/3/12, 12:00 noon CPT
Acceptable Modifications to REC Pre-Bid Letter of Credit (Posted 4/17/12)
Pre-Qualification Application (Posted 3/7/12)
Instructions: Submit by email to firstname.lastname@example.org
Submission Deadline: 4/16/12, 12:00 noon CPT
Bid Participation Fee Payment Instructions (Posted 3/7/12)
Bidder Registration Form (Posted 3/21/12)
Submission Deadline: 5/3/12, 12:00 noon CPT
Supplier Fee Binding Agreement (Posted 3/21/12)
The Supplier Fee for the REC RFP has been set at $0.15/REC
Supplier Fee Agreements will be executed with winning bidders, no action is needed until after awards are announced
Bid Form (Posted 3/21/12)
Submission Instructions (Posted 3/21/12)
Bidder Practice Session Materials (Posted 5/2/12)
Submit Bid Form (Link will open a new window)
The binding bid submission window is now closed
Submit a Question
Is payment made on the actual RECs delivered or by the delivery schedule? That is, if more RECs are delivered than required will payment reflect the actual delivery?
The payment schedule is stated in Section 11(c) on page 6 of the REC Agreement:
For any Seller with a REC Contract with a total value of not more than $100,000, full payment will be made for all RECs Delivered during any Delivery Season on the payment date associated with that Delivery Season.
For any Seller with a REC Contract with total value exceeding $100,000, the maximum cumulative amount eligible for payment for any given Delivery Season shall not exceed a maximum of 25% of the contract value multiplied by the number of completed Delivery Seasons as of the invoice date. Payment will be limited to the actual, cumulative contract value associated with the Delivered RECs. For example, for an invoice rendered on December 10, 2012, Buyer shall make payments for RECs Delivered in an amount that shall not cause the cumulative payments to Seller to exceed 50% of the contract value of this REC Contract.
What is the required delivery schedule for RECs?
The REC delivery schedule is shown in Exhibit D to the REC Agreement, with definitions provided on page 5 of the contract:
10% of total quantity by last Business Day in August 2012
30% of total quantity by last Business Day in November 2012
60% of total quantity by last Business day in February 2013
100% of total quantity by July 15, 2013
How are Illinois small under 20KW PV solar generators able to sell their SRECs?
The current RFP is designed to purchase RECs is MWh increments. The Illinois Power Agency is currently engaged in a workshop process to determine guidelines for inclusion of distributed generation and REC aggregation in the 2013 Procurement Plan. Information on this process can be found here.
What are the damages if the seller fails to deliver the RECs?
Failure to supply contracted RECs would constitute an Event of Default under the REC Agreement, and would be subject to the terms of Article 5 of the Master Renewable Energy Certificate Purchase and Sale Agreement (Exhibit E to the REC Agreement), as modified by section 11(d) of the REC Agreement.
Please confirm that if the total value of RECs awarded to a winning bidder is less than $500,000, no performance assurance will need to be posted.
Assuming that no late deliveries have occurred, the amount of Performance Assurance to be posted will be calculated as 10% of the Remaining Contract Value (the value of undelivered RECs), rounded up to the nearest $10,000. If this calculation results in a value less equal to or less than $50,000, the amount of Performance Assurance to be posted will be $0. Therefore, if the value of awarded RECs is less than $500,000, 10% of the Remaining Contract Value would be less than or equal to $50,000, and no Performance Assurance would be required.
Do the Ameren Illinois Utilities hold accounts with the REC tracking systems (M-RETS, PJM Gats, etc.)? Will winning bidders transfer generated to RECs to the Utilities or retire them in the Utilities' name?
The Ameren Illinois Utilities do not hold accounts with the REC tracking systems. Suppliers will retire RECs on behalf of the Utilities. Suppliers will bear any costs associated with retiring the RECs.
What procedure will be used to retire RECs accepted in the AIU procurement?
In GATS, RECs are to be transferred to a RECs Reserve Sub-Account, and note a Reservation Reason of "For transfer to AMEREN", and use "EXPT" for the Reason Code. In MRETS, RECs are to be moved to a REC Retirement Sub-Account and not a Retirement Reason of "For transfer to AMEREN", and use "OTH" for the Retirement Type.
Is the Renewable Resource Budget of $12,978,111 specifically allocated to this procurement?
Yes, the budget has already been adjusted to account for prior long-term purchases, and the endire amount is available to spent for the procurement of residual REC requirements for the 2012-13 planning year.
Is pricing information for the Illinois REC market available?
The results of the most recent REC procurements for the Illinois Power Agency, from the February 2012 Rate Stability procurements, are posted to the ICC website.
Is there a specific photovoltaic target for the REC RFP?
The target photovoltaic quantity for the 2012-13 planning year is 0.5% of the total 1,123,376 annual REC quantity. 600,000 total RECs were purchased through the long-term renewable resources RFP in December 2010; certain information from the 2010 procurement is confidential, and releasing the quantities procured by technology could compromise the confidential information, therefore the specific wind and photovoltaic targets for the current REC procurement will not be announced.
Is the supplier fee estimate similar to NERA / ComEd's ($0.15/REC)?
The same supplier fee will be applied to both the Ameren and ComEd REC RFPs.
Would solar thermal resources qualify in the non-solar non-wind categories? If so, what conversion rate is used to convert solar therman BTUs to RECs?
Solar thermal resources are included in the definition of renewable energy resources stated in the IPA Act. The standard conversion rate for solar thermal BTUs to RECs is 3,412,000 BTU = 1 REC.
The REC RFP states that equal preference is given to resources within Illinois and Adjacent States, and if neither is available and/or cost-effective, resources from other regions can be considered eligible. Will solar-powered resources from other regions will be considered in this RFP?
Renewable resources from Other States are eligible to participate in the REC RFP. Whether bids from Other States will be selected will not be known until bids are received and evaluated. Results of past RFPs can be viewed on the ICC website.