Sec. 43.
(1) One advanced cleaner energy credit shall be granted to the owner of an advanced cleaner energy system for each megawatt hour of electricity generated from the advanced cleaner energy system. However, if an advanced cleaner energy system uses both an advanced cleaner energy technology and an energy technology that is not an advanced cleaner energy technology to generate electricity, the number of advanced cleaner energy credits granted shall be based on the percentage of the electricity generated from the advanced cleaner energy technology. If a facility or system, such as a gasification facility using biomass as feedstock, qualifies as both an advanced cleaner energy system and a renewable energy system, at the owner's option, either an advanced cleaner energy credit or a renewable energy credit, but not both, may be granted for any given megawatt hour of electricity generated by the facility or system.
(2) An advanced cleaner energy credit expires at the earliest of the following times:
(a) When substituted for a renewable energy credit under section 27 or an energy optimization credit under section 77.
(b) 3 years after the end of the month in which the advanced cleaner energy credit was generated.
(3) Advanced cleaner energy credits may be traded, sold, or otherwise transferred.
(4) The commission shall establish an advanced cleaner energy credit certification and tracking program. The certification and tracking program may be contracted to and performed by a third party through a system of competitive bidding. The program shall include all of the following:
(a) A process to certify advanced cleaner energy systems, including all existing advanced cleaner energy systems operating on the effective date of this act, as eligible to receive advanced cleaner energy credits.
(b) A process for verifying that the operator of an advanced cleaner energy system is in compliance with state and federal law applicable to the operation of the advanced cleaner energy system when certification is granted. If an advanced cleaner energy system becomes noncompliant with state or federal law, advanced cleaner energy credits shall not be granted for advanced cleaner energy generated by that advanced cleaner energy system during the period of noncompliance.
(c) A method for determining the date on which an advanced cleaner energy credit is generated and valid for transfer.
(d) A method for transferring advanced cleaner energy credits.
(e) A method for ensuring that each advanced cleaner energy credit transferred is properly accounted for.
(f) Allowance for issuance, transfer, and use of advanced cleaner energy credits in electronic form.
(g) A method for ensuring that both a renewable energy credit and an advanced cleaner energy credit are not awarded for the same megawatt hour of electricity.
(5) An advanced cleaner energy credit purchased from an advanced cleaner energy system in this state is not required to be used in this state.
History: 2008, Act 295, Imd. Eff. Oct. 6, 2008
Last modified: October 10, 2016