ND PSC approves selling renewable credits

NORTH DAKOTA - North Dakota regulators endorsed most of an Xcel Energy Inc. plan for selling its renewable energy credits and sharing the money with its electric customers in the state.

Xcel, which is based in Minneapolis, provides electric service to about 87,000 North Dakota customers, including the cities of Fargo, West Fargo, Minot and Grand Forks. Public Service Commissioner Brian Kalk said credit sales could shave less than $2 a year from residential customers' bills, although the size of the benefit will depend on what price the credits fetch.

"That is one of the keys, that our consumers need to be benefiting from these types of projects," Kalk said.

Xcel accumulates credits based upon the amount of electric power it generates from renewable energy sources, such as wind and solar. North Dakota now expects to get about 300,000 credits annually, and the yearly number is expected to grow to 450,000 by 2015, according to Public Service Commission filings.

Xcel, which sells electricity in eight states, may use the credits to meet state directives that a set percentage of its electric sales be generated by renewable sources. It may also sell them to other utilities that need help in meeting renewable energy mandates.

North Dakota law sets a goal for utilities to generate 10 percent of their electric sales from renewables by 2015. But it is not a mandate, which means Xcel has no reason to redeem its credits in North Dakota.

During a meeting Wednesday, the state Public Service Commission supported allowing Xcel Energy to sell its North Dakota credits as it saw fit, as long as 90 percent of the profits were returned to its electric customers in the state.

Xcel proposed an 85-15 split, but the commissioners favored a 90 percent share for North Dakota customers because the utility made a similar agreement with the South Dakota Public Utilities Commission.

"If there are people in Wisconsin and Minnesota that want to pay our companies for renewable energy credits to meet their obligations, and we can apply that to our customers' bills, I'm all for that," PSC Chairman Kevin Cramer said.

Any benefit from credit sales will be shown on a part of ratepayers' bills that is adjusted regularly to reflect changes in the cost of fuel Xcel buys to generate electricity, the North Dakota regulators said.

Related News

california wild fire

California Utility Cuts Power to Massive Areas in Northern, Central California

LOS ANGELES - California utility Pacific Gas and Electric Co. (PG&E) has cut off power supply to hundreds of thousands of residents in Northern and Central California as a precaution to possible breakout of wildfires.

PG&E confirmed that about 513,000 customers in many counties in Northern California, including Napa, Sierra, Sonoma and Yuba, were affected in the first phase of Public Safety Power Shutoff, a preemptive measure it took to prevent wildfires believed likely to be triggered by strong, dry winds.

The utility said the decision to shut off power was "based on forecasts of dry, hot and windy weather including potential…

READ MORE

Turkish powership to generate electricity from LNG in Senegal

READ MORE

ermineskin electricity

Ermineskin First Nation soon to become major electricity generator

READ MORE

Enel Green Power Espana

Enel kicks off 90MW Spanish wind build

READ MORE

ontario legislature

Ontario Government Consults On Changes To Industrial Electricity Pricing And Programs

READ MORE