Pennsylvania Solar & Renewable Energy Credits
Monetize your eligible generation through PA Tier II REC aggregation, PJM-GATS tracking, and brokerage to compliance buyers.
Revenue Generation
Turn your eligible energy generation into a revenue stream through Tier II REC sales to compliance buyers.
AEPS Compliance
Support Pennsylvania's Alternative Energy Portfolio Standard while monetizing your generation assets.
Full-Service Brokerage
From PUC qualification to PJM-GATS tracking and sale — we manage the entire process.
What Are PA SRECs and Tier II RECs?
Pennsylvania's Alternative Energy Portfolio Standard (AEPS), enacted in 2004, requires Electric Distribution Companies (EDCs) and Electric Generation Suppliers (EGSs) to source a percentage of their electricity from qualifying alternative energy resources. The standard includes two tiers:
- Tier I covers solar photovoltaic, wind, geothermal, and other renewable sources — generating Solar Renewable Energy Credits (SRECs).
- Tier II covers combined heat and power (CHP), waste coal, distributed generation, demand-side management, and large hydroelectric — generating Tier II Alternative Energy Credits (AECs).
Each credit represents one megawatt-hour (MWh) of qualifying generation and is tracked through the PJM Generation Attribute Tracking System (PJM-GATS).
How Facilities Generate and Monetize PA RECs
Facilities with qualifying generation assets — CHP systems, on-site solar, waste-heat recovery, or distributed generation — can register their output with the PA Public Utility Commission (PUC) and begin creating RECs in PJM-GATS. These credits are then sold to EDCs and EGSs who need them to meet their annual AEPS compliance obligations.
The monetization process involves:
- Qualifying your generation asset through the PA PUC
- Registering the facility and generator in PJM-GATS
- Creating RECs based on metered generation data
- Aggregating credits across facilities for better market positioning
- Brokering sales to compliance buyers at competitive market rates
Current Pricing Context
PA Tier II REC prices typically range from $0.10 to $2.00 per MWh, depending on supply-demand dynamics, the compliance year, and legislative activity around potential AEPS updates. The proposed PRESS legislation — which would increase Pennsylvania's renewable energy requirements significantly — could materially affect Tier II AEC demand and pricing in future compliance years.
How Emergent Energy Manages Your RECs
Through our REC brokerage practice, Emergent Energy provides full-lifecycle management:
- Qualification: We guide facilities through PA PUC registration and generator qualification.
- Tracking: We manage your PJM-GATS account, ensuring credits are created accurately and on time.
- Aggregation: We combine credits from multiple generators for better market positioning and pricing power.
- Brokerage: We negotiate and execute sales to compliance buyers, maximizing the value of each credit.
- Reporting: We provide transparent reporting on credits generated, sold, and revenue earned.
Frequently Asked Questions
What are Pennsylvania Tier II RECs and how are they different from SRECs?
Pennsylvania Tier II Renewable Energy Credits (RECs) are generated by qualifying resources under the state's Alternative Energy Portfolio Standard (AEPS), including combined heat and power (CHP), waste coal, distributed generation, and large hydro. Unlike Solar RECs (SRECs), which come specifically from solar photovoltaic systems under the Tier I solar carve-out, Tier II RECs cover a broader range of alternative energy sources. One Tier II REC represents one megawatt-hour (MWh) of qualifying generation.
How much are PA Tier II RECs worth?
PA Tier II REC prices typically range from $0.10 to $2.00 per MWh, depending on supply-demand dynamics, the compliance year, and buyer demand from Electric Distribution Companies (EDCs) and Electric Generation Suppliers (EGSs). Prices fluctuate based on the AEPS requirement and the volume of qualifying generation available in the PJM-GATS tracking system.
How does Emergent Energy help facilities monetize PA SRECs and Tier II RECs?
Emergent Energy manages the full lifecycle of REC monetization: qualifying your generation through the PA PUC, registering and tracking credits in PJM-GATS, aggregating credits across multiple facilities, and brokering sales to compliance buyers (EDCs and EGSs). We handle the paperwork, timing, and market intelligence so facility operators can focus on operations while generating additional revenue from their energy assets.
Get in Touch
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sales@emergentenergy.us
Phone
215-645-7141
Location
831 Lincoln Ave Unit D-10
West Chester, PA 19380