Establishes a Federal renewable electricity standard for retail electricity suppliers.
Aims to create competition among renewable electricity generators to provide clean electricity at lower prices.
Recognizes the U.S. has abundant renewable resources (wind, solar, hydropower, geothermal) that can significantly reduce greenhouse gas emissions.
Defines key terms related to renewable electricity, including “base quantity of electricity,” “environmental justice community,” and “Federal renewable electricity credit.”
Requires retail electricity suppliers to submit Federal renewable electricity credits representing a specified quantity of renewable electricity for compliance from 2025 to 2034.
Sets annual compliance targets for renewable electricity credits, increasing from 20% in 2025 to 70% by 2034.
Mandates that a portion of credits must come from distributed generation and impacted communities, with specific percentages for different time periods.
The Commission is tasked with creating regulations to implement the standard by January 1, 2026, considering equity and environmental justice.
Allows for alternative compliance payments to be made by retail electricity suppliers, with funds directed to state programs for renewable energy and efficiency.
Establishes penalties for non-compliance and outlines enforcement mechanisms.
Clarifies that states retain the authority to adopt more stringent renewable energy requirements and incentives.