June 22, 2022 – The Rhode Island legislature has passed a revision to the state’s Renewable Portfolio Standards (RPS), which significantly increase the required percentage of renewables over the next decade.
The revised rules, which are expected to be signed into law by Governor McKee, accelerate the growth rate in RPS requirements from the existing 1.5% increase per year to an average of over 7% per year over the next decade. Those changes could equal an additional $0.003 to $0.005/kWh in electricity supply costs over the next few years alone.
How to Avoid the Increase:
You can avoid the increase by acting quickly and securing a new or renewal supply agreement.
Embedded within the bill’s language is an exemption for competitive electricity supply agreements put in place before July 1, 2022. The exemption specifies that any account under 3rd party supply as of that date will continue to be required to meet only the existing 1.5% per year increase in obligation throughout the term of the supply agreement.