Over the past few years many states have enacted Renewable Portfolio Energy Standards (RPS) requiring a percentage of energy consumed in the state to come from renewable sources.  To date, just over half of the states have enacted this kind of legislation. 

Massachusetts added itself to the list in July of 2008 by signing into law the Green Communities Act (Act).  The Act establishes an RPS standard that will increase over the next several years with the goal of achieving 25% by 2030.  The Act divides renewable energy sources into two classes.  Class I are those that began operation after December 31, 1997.  Class II sources are those that began operation before that date.  The focus being on Class I sources, the RPS required that utilities and other electricity suppliers obtain renewable power from these sources.  As shown in the chart below, the minimum percentage is set to increase by one percent each year to achieve the goal of 25% by the year 2030.  Because of this increasing standard, electric utilities will be looking to add renewable sources to their portfolios, either by direct investment or by purchasing the electricity from outside suppliers.

Rodman & Rodman, P.C. has a keen interest in assisting businesses in the renewable energy sector.  We have assisted clients in.the planning and execution phases of various projects. We can assist you with determining the viability of your renewable energy project, assist you with the complexities of the various federal and state tax credits and incentives that exist, and provide accounting and compliance support with regulatory agencies.