If you wish to enter a price offer for 4 Total Tranches Supplied, you must also enter bids for 1, 2, and 3 Total Tranches Supplied.

However, there are no restrictions on the dollar amounts of the prices that you enter into the cells of the Bid Proposal Spreadsheet. If you bid on 4 Total Tranches Supplied, your bids for one, two or three tranches could be more or less than your bid for 4 tranches. Please keep in mind that there are strict rules governing the cells that must be filled out in order for your Bid Proposal Spreadsheet to be accepted.

If you wish to enter a price offer for 4 Total Tranches Supplied, you must also enter bids for 1, 2, and 3 Total Tranches Supplied.

However, there are no restrictions on the dollar amounts of the prices that you enter into the cells of the Bid Proposal Spreadsheet. If you bid on 4 Total Tranches Supplied, your bids for one, two or three tranches could be more or less than your bid for 4 tranches. Please keep in mind that there are strict rules governing the cells that must be filled out in order for your Bid Proposal Spreadsheet to be accepted.

Through the Alternate Energy Credits (“AEC”) RFP, PPL Electric purchases AECs necessary to meet the AEPS Obligation associated with its purchases of Block Energy Supply under its Default Service Procurement Plan (“DSPP”). In the AEC RFP, AECs will be procured through multiple solicitations that mirror the purchases of Block Energy Supply under the DSPP. In each solicitation, the vintage of the AECs must enable PPL Electric to comply with the Pennsylvania Alternative Energy Portfolio Standards for retail sales of energy during the supply period covered by the Block Energy Supply. In each solicitation, PPL Electric seeks to procure the following categories of AECs: Tier 1, Tier 2, and Photo-voltaic (a subset of the Tier 1 AECs). Before each solicitation, PPL Electric will announce the amount that it seeks to purchase in each category.

For example, in the first solicitation, PPL electric purchased 50 MW of Block Supply for a delivery period beginning January 1, 2011 through May 31, 2011. Correspondingly, PPL Electric sought to purchase 4,965 Tier I (Non-Solar) AECs, 34 Tier I (Solar) AECs, and 10,331 Tier II AECs. The AEPS Act permits EDCs and EGSs to bank AECs created in one reporting year for use in either or both of the two subsequent reporting periods. See 73 P.S. § 1648.3(e)(6). As such, any AECs procured pursuant to the AEC RFP in the first solicitation must be based on renewable energy generated between June 1, 2008 through May 31, 2011.    

This is correct. In each of the solicitation 5 and solicitation 6, PPL Electric will seek to procure a total of 84,613 Tier I (non-solar AECs), 1,880 Tier I (Solar AECs), and 129,645 Tier II AECs for a delivery period of 5 years beginning in January 1, 2011. The AECs will be delivered throughout the 5 year period to meet the prescribed requirements within the Pennsylvania Alternative Energy Portfolio Standards Act (“AEPS Act”) at 73 P.S. §§ 1648.1-1648.8. The quantities of AECs required to comply with AEPS requirements for a compliance year gradually increases during the 5 year delivery period.

Through the Alternative Energy Credits (“AEC”) RFP, PPL Electric purchases AECs necessary to meet the AEPS Obligation associated with its purchases of Block Energy Supply under its Default Service Procurement Plan (“DSPP”). In the AEC RFP, AECs will be procured through multiple solicitations that mirror the purchases of Block Energy Supply under the DSPP. In the fifth solicitation and the sixth solicitation, PPL Electric is soliciting bids to block energy supply for the period January 1, 2011 through December 31, 2015. As such, PPL Electric will also solicit bids to supply Tier I (solar), Tier I (non-solar) and Tier II AECs that comply with the Pennsylvania Alternative Energy Portfolio Standards for retail sales of energy during the supply period covered by the Block Energy Supply of January 1 through December 31, 2015.  

The PLC (MW) for the Residential Customer Group as provided in the Full Requirements RFP Rules is for the entire Residential Customer Group.

Please note that these numbers are 'forecasts' or projections of PLCs, and will change to match actual peak load contributions once actual supply begins at the commencement of the supply period. For historical PLC data please see the Rate Category & Load Data from 2001 to present found here.

Please also see Data/General FAQ-4 and FAQ-10 for additional information.

Through the Alternative Energy Credits (“AEC”) RFP, PPL Electric purchases AECs necessary to meet the AEPS Obligation associated with its purchases of Block Energy Supply under its Default Service Procurement Plan (“DSPP”).  In the AEC RFP, AECs will be procured through multiple solicitations that mirror the purchases of Block Energy Supply under the DSPP. 

For example, in the second solicitation, PPL Electric solicited bids to supply Tier I (solar), Tier I (non-solar) and Tier II AECs for the period January 1 through August 31, 2011.   These AECs must comply with the Pennsylvania Alternative Energy Portfolio Standards for retail sales of energy during the supply period covered by the Block Energy Supply of January 1 through August 31, 2011. In particular, 5/8 of the target AEC quantities of each AEC category will be used for the compliance period June 1, 2010 through May 31, 2011, and 3/8 of the target AEC quantities of each AEC category will be used for the compliance period June 1, 2011 through May 31, 2012.

The AEPS Act permits EDCs and EGSs to bank AECs created in one reporting year for use in either or both of the two subsequent reporting periods. See 73 P.S. § 1648.3(e)(6). As such, in the October 2009 solicitation, 5/8 of the AECs procured must be based on renewable energy generated between June 1, 2008 through May 31, 2011 and the remaining 3/8 of the AECs procured must be based on renewable energy generated between June 1, 2009 through May 31, 2012.

(Note: this response is not applicable to the July 2010 solicitation and all future solicitations. Please refer to the document “AEC Revised Delivery Schedule” posted to the supplier documents page for related information.)

The AEC procurement target quantities provided in the RFP Rules are correct and match the renewable obligation associated with a 50 MW block.

Please note that the AEPS Act requires that the Tier I and Tier II compliance requirements be based on electric energy sold to retail electric customers, not the total generation used by an EDC or EGS to meet customer demand.  (see AEPS Act at 73 P.S. § 1648.3(b)).

As such, in order to calculate the AEC quantities, you will first need to apply an 8.04% loss factor to energy quantities, which is the loss factor to the retail meter. AEPS requirements are then applied to the energy quantities.

For example, for the AEPS Tier II requirements, the requirement is 6.2 percent of the total retail sales of electricity to all retail electric customers for the period. 50 MW of block supply corresponds to approximately 400,800 MWh for the period January 1, 2011 through November 30, 2011. The total retail sales of electricity to all retail electric customers for the 11-month period based on a 50 MW block supply is estimated to be approximately 368,576 MHW (400,800 MWh x (100%-8.04%)). The total AEC quantities is 22,850 (ie., 6.2% x 368,576 MWh).

Under the terms of the AEC SMA, there is a specific amount that has to be delivered each month of the delivery period (the “Monthly Settlement Quantity”). The Monthly Settlement Quantity must be transferred to PPL Electric’s GATS account within 40 calendar days of each month of the delivery period, and within 50 calendar days of the last month of the delivery period.

The seller is required to transfer AECs to PPL Electric’s PJM-EIS GATS account during the delivery period in generally equal amounts each month. As stated in Article 1 of the AEC SMA, ‘Monthly Settlement Quantity’ means, with respect to any calendar month during the Delivery Period except the last month, the product of (i) the hours in that month divided by the total number of hours in the Delivery Period; and (ii) the Specified Amount. For the last month in the Delivery Period, the Monthly Settlement Quantity means the Specified Amount less the sum of all Monthly Settlement Quantities for the previous months in the Delivery Period.

Please consult section 2.3(c) and 2.3(d) of the AEC SMA for more information.

(Note: this response is not applicable to the July 2010 solicitation and all future solicitations. Please refer to the document “AEC Revised Delivery Schedule” posted to the supplier documents page for related information.)

On March 11, 2009, PPL Electric filed its process to establish the Alternative Energy Credits (“AEC”) RFP under a Joint Petition for Settlement and submitted its petition along with statements in support by parties in the proceeding. On June 30, 2009, the Pennsylvania Public Utility Commission (“Commission”) approved the Joint Petition for Settlement.  Any modification to this process approved by the Commission would require a petition to the Commission, would be subject to comment by all the parties to the Settlement, and would require approval by the Commission.

On November 16, 2009, PPL Electric filed a petition to eliminate the requirement that an applicant demonstrate that its, or its guarantor’s, debt rating be available from S&P, Fitch, or Moody’s for the AEC RFP. On December 17, 2009 the Commission approved PPL Electric‘s petition.   PPL Electric does not intend to file a petition to amend the bidding format in the AEC RFP.