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According to the New Jersey Clean Energy Program Website you will need to sell your 2009 vintage SRECs by the end of the 2009 true up period. The 2009 SRECs will not be eligible to be used for compliance during the 2010 Energy year. There is confusion in the marketplace that the 2009 vintage SRECs were eligible for a 2 year life. If you do not sell your SRECs by September of 2009 they may drop in value significantly. In the past SREC prices collapsed for the 2008 vintage SRECs at the end of the summer of 2007 because the 2008 vintage SRECs only had a one year life and the buyers pulled out of the market towards the end of the true-up period.
The Rule on 2 year SREC life is in effect for energy generated on or after June 1, 2009. The rule can be found at N.J.A.C. 14:8-2.8(b)1,
1. “For solar RECs based on energy generated on or after June 1, 2009, a solar REC used for compliance with this subchapter shall be based on energy that was generated either during the reporting year for which the REC is submitted, or during the reporting year immediately preceding the reporting year for which the REC is submitted. Please note that the RPS Reporting Year runs from June 1 through May 31st of the following year and is classified by the year in which it ends. ONLY SRECs based on energy generated on or after June 1, 2009 are eligible for the 2 yr SREC life. SRECs issued based upon energy generated on or after June 1, 2009 would thus be eligible for RPS compliance in Reporting Years 2010 or 2011. SRECS issued based on energy generated between June 1, 2008 and May 31, 2009 are only eligible for RPS compliance in Reporting Year 2009.”
You can access rule proposals and links to current rules from the Board’s Website at:
http://www.bpu.state.nj.us/bpu/agenda/rules/
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