Obama sets 20pc mandate for government renewables use

Washington, 5 December (Argus) — President Barack Obama today directed federal agencies to obtain 20pc of their electricity from renewables by fiscal year 2020, a move that could make the government a buyer of renewable energy certificates (RECs)

The new target, included in a presidential memorandum, would almost triple the government renewable energy usage from the current 7pc.

“The federal government must lead by example,” Obama said.

The government-wide targets may be met in several ways. Obama said priority should go to installing new renewable energy facilities on federally owned sites, with the projects funded by the agencies involved. Alternately, renewably energy could be contracted or bought, or targets can be met through REC purchases. The RECs must come from “new” generation, which the memo defines as sources “placed into service within 10 years prior to the start of the fiscal year.”

Obama's memo sets interim targets of 10pc by 2015, 15pc in 2016-2017 and 17.5pc in 2018-2019.

The president also directed several agencies, led by the Department of Energy, to develop recommendations for procedures for tracking the sale of RECs by government facilities. This includes REC transfers between agencies.

To encourage more new renewable energy capacity in favor of REC purchases, renewable energy consumption can be double-counted if produced and used on-site at federal facilities, including those on federal or Indian lands.

In addition to mandating increased renewable energy use, the memo calls for improved building performance and energy management practices.

The memo follows a 2009 executive order that resulted in establishment of a greenhouse gas reduction target for federal agencies of 28pc from fiscal year 2008 levels by 2020. It also dovetails with efforts already underway, such as the Defense Department's 25pc by 2025 renewable energy target.

US senator Tom Udall (D-New Mexico), sponsor of legislation to create a national 25pc by 2025 renewable electricity standard (RES), said the president's action today helps “make the case” for a national standard. “The United States should lead the world in clean-energy jobs, innovation and in efforts to fight global warming. A national RES is critical to get us there,” he said.

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