Production Incentives for Renewal Energy Buybacks

Xcel Energy, an investor-owned utility offering services in eight states, will purchase 100% of the electricity and associated renewable energy credits (RECs) generated by its Wisconsin customers using qualifying renewable energy systems. The purchase will take the form of a 10-year, fixed rate contract between the customer and the utility. Distributed generation systems must use a renewable resource and have an initial placed in service date of no earlier than January 1, 2008.  Eligible renewable resources are: solar thermal electric, photovoltaics, wind, biomass, geothermal electric, anaerobic digestion, small hydroelectric, tidal energy, wave energy, fuel cells using renewable fuels. Predetermined purchase prices have been set for wind systems at $0.0660/kWh and biomass/biogas systems at $0.073/kWh while rates for other technologies will be negotiated on a case-by-case basis between the utility and the customer generator. Contact: Xcel Energy Services, Regulatory Policy, 10 East Doty, Suite 511, Madison, WI 53703; 608-280-7308; Fax: 715-839-2602;

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