PPL EnergyPlus, the energy marketing and trading subsidiary of PPL Corp., has signed an agreement to purchase New Jersey solar renewable energy certificates (RECs) from SunPower Corp., a manufacturer of high-efficiency solar cells, solar panels and solar systems, over the next 10 years.
The agreement is a result of changes to New Jersey's solar power incentive program, which has transitioned this year from reliance on state rebates or grants to a market-based system relying primarily on solar RECs. Under the agreement, PPL EnergyPlus will purchase solar RECs issued as a result of solar power generated at SunPower installations in the state. SunPower expects to use revenue from the sale of the solar RECs to finance the construction of approximately 2.5 MW of new solar power projects in New Jersey by 2010.
Solar RECs are tradable certificates representing all the renewable energy benefits generated from a solar electric system, the companies explain. Each time a solar system generates one megawatt hour of electricity, a solar REC is issued that can then be sold or traded.
SOURCE: SunPower Corp.