Load-Based Policy
From Open Risk Manual
Definition
Load-Based Policy (also called consumption-based or demand-based policies) are regulatory requirements or programs that address Delivered Renewable Energy or delivery of individual generation attributes (e.g. Direct GHG Emissions) to consumers or load.
Compliance requires an instrument or method for allocating, attributing, assigning, and tracking generation attributes to load. REC retirement is required for renewable energy used for compliance (Delivered Renewable Energy) in the United States.
Renewable energy used for compliance is delivered by law or regulation; it is included in Standard Delivery Renewable Energy and is not Voluntary Renewable Energy.
The point of regulation can be the utility, LSE, importer, or consumer.
Examples
- power source disclosure (PSD)
- clean energy standards (CES)
- RPS programs, and
- clean transportation programs that credit use of renewable energy to charge electric vehicles (e.g. Low Carbon Fuel Standards).
