National Grid to roll out Renewable Energy Growth program in June

(Updated, 5:15 p.m. and 12:41 p.m.)
PROVIDENCE – National Grid on Thursday released details about a state program aimed at adding 160 megawatts of renewable energy into Rhode Island’s electric grid over the next five years.
The initiative, called the Renewable Energy Growth program, or REG program, will begin rolling out June 15 when the state is slated to begin accepting applications for small solar projects, at or less than 25 kilowatts, according to a press release. The future projects would feed back into National Grid’s distribution system and project owners would receive payments for their generation.
The R.I. General Assembly passed the REG program as a piece of legislation last June.
Timothy F. Horan, president of National Grid Rhode Island, said in a statement that he expects the program will “open renewable energy opportunities to more Rhode Islanders.”
“The program is designed to lead to the reduction of greenhouse gas emissions, provide the state with greater energy diversification and help meet energy demand during periods of peak usage,” Horan said.
National Grid estimates the 160 megawatts of renewable energy added to the grid over five years could be enough electricity to power 30,000 homes per year, according to the release.
The R.I. Office of Energy Resources and R.I. Commerce Corp. advocated for the passage of the program, referencing a study done by The Brattle Group, which suggests the program could result in nearly 250 net jobs and a net increase in average annual economic output of more than $30 million, according to PBN archives.
Marion Gold, commissioner of the R.I. Office of Energy Resources, said in a statement that she is excited to see the program launch.
“The Renewable Energy Growth Program will increase clean energy generation in Rhode Island and put individuals, including general contractors and electricians, to work in the state’s renewable energy sector,” Gold said.
This year, the state is allowing a total of 25 megawatts worth of projects with 3 megawatts designated specifically for small solar projects, according to the release. Applications for other qualifying projects can be submitted during a two-week enrollment period beginning Aug. 3.
Large projects, exceeding 250 kilowatts, would compete based on price, while others would receive a preset rate for the power generated.
The REG program doesn’t include any upfront incentives to build the renewable energy projects, according to a National Grid spokesman, but the utility pays for the produced energy on the back end, which is based on a sliding scale depending on ownership and project size.
Chris Kearns, chief of program development at the Office of Energy Resources, said projects accepted into the REG program would become ineligible for the Renewable Energy Fund grant program, which is another state-run program that offers varying sized grants for renewable energy projects.
A federal 30 percent tax credit and sales tax exemption savings are calculated into the rate at which National Grid pays participants for the power, Kearns added.

A full breakdown of those payment metrics can be found HERE.

For more information about the program, applications and rules visit www.ngrid.com/regrowth.

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