District of Columbia to Procure Renewable Energy for Standard Offer Service Portfolio

The District of Columbia Public Service Commission approved a pilot program to procure renewable energy through a long-term power purchase contract to supply five percent of the district’s standard offer service, or SOS, procurement portfolio, according to an April 8 press release. The commission directed Potomac Electric Power Company, which administers the SOS program, to file a revised request for proposal and a draft final agreement within 30 days.

The agency said that measure is consistent with the district’s commitment of a 50 percent emissions reduction and 100 percent Renewable Energy Portfolio Standard in 2032. The SOS program provides default electric service for residential and commercial consumers who do not choose a competitive supplier.

A solicitation for the power purchase agreement is anticipated in September 2020, with energy supply from the purchase expected to serve the SOS load on June 1, 2024. Within 90 days of the end of the first year that the supply from the procurement, the agency will begin an assessment of the benefits, costs, and risks to SOS customers. The information will be used to analyze the feasibility of expanding the percentage of the SOS load to be served by renewable energy contracts beyond the initial five percent.

Currently, Potomac Electric buys electricity from wholesale suppliers through a competitive bidding process regulated by the commission. In April 2019, the commission established the pilot to procure renewable energy through long-term agreements for electricity generated by solar or wind power facilities located within the PJM Interconnection region with a target quantity of five percent of the SOS load.