Maryland Certified SREC Program 101

Maryland's Brighter Tomorrow Act (SB 783) (2024) established a Certified SREC program with a start date of January 1, 2025. This legislation awards Certified SRECs with a 150% compliance value. This means that when Maryland utilities purchase one Certified SREC, they can utilize a 1.5x multiplier for its compliance value. For example, if a utility purchases two Certified SRECs, they can retire those Certified SRECs at the equivalent value of three non-certified SRECs.

This 1.5x multiplier on the compliance side may increase the value of these credits in the market. There is no guarantee that Certified SREC pricing will equate to 1.5x the spot market price of a non-certified SREC. Certified SREC pricing may rise above the applicable year's Solar Alternative Compliance Payment (SACP) because utilities can apply the 1.5x multiplier to their compliance mandates. As a reminder, the SACP is the fee (equating to 1,000 kWh of solar energy) that utilities must pay when they do not meet the state's solar renewable energy requirements.

System eligibility requirements, additional documentation requirements, and program registration fees are provided below. As additional instructions and updates are provided by the Maryland Public Service Commission, Sol Systems will provide additional information.

System Eligibility Requirements

Located in Maryland and interconnected between July 1, 2024, and January 1, 2028
Falls into one of these categories:
- Residential and small commercial systems up to 20 kW-AC
  - The first 300 MW of systems to register are eligible
- Net-metered, commercial systems up to 2 MW-AC
- Systems between 20 kW-AC to 5 MW-AC installed on rooftops, parking canopies, and brownfields
  - The first 270 MW of systems between 20 kW-AC to 5 MW-AC to register are eligible
Systems in the program will have 15 years of Certified SREC eligibility, after which they will generate regular, non-certified SRECs again

Additional Registration Documents

For systems over 1 MW-AC:

Documentation showing prevailing wage compliance or a qualified Project Labor Agreement

For parking canopy & rooftop systems above 20 kW-AC (not yet finalized by MD PSC):

Final building permit approval

For brownfield systems (not yet finalized by MD PSC):

Environmental qualification documentation (brownfield designated site)
Final building permit approval

Registration Fees

A one-time registration fee is required by the Maryland Public Service Commission to join the Certified SREC program:

Systems under 20 kW-AC: $50 fee
Systems over 20 kW-AC: $200 fee

This fee is required by the Maryland Public Service Commission to cover costs associated with administering the program. Upon your system's acceptance into the program, Sol Systems will recover the paid registration fee by deducting the amount from your SREC payments until it is paid in full.