Maine Net Energy Billing: Market Update
By Jack Martell
The Maine Net Energy Billing (NEB) program, a state driven renewable energy savings incentive program, has experienced significant adoption in the past 12 months from Maine energy users. This trend does not come as a surprise, particularly because the program offers guaranteed savings and incentives to participating off-takers, all while supporting the development of local renewable energy resources.
Freedom Energy Logistics has helped many of our commercial clients navigate enrollment into this lucrative program, assisting with project placement, contract negotiation and credit allocation. Participating clients realize significant financial benefits of up to 15% savings off their energy spend including T&D costs.
Since the NEB program’s expansion in 2019, many policy makers and representatives have pointed to potential short comings of the program. While there is no doubt the program has done what was intended, as evidenced by the over $100 million in solar investment in Maine over the past 18-months, there are certain financial aspects of the program that have triggered a legislative review to take place over the next few weeks. One issue is whether the program’s incentives that have enticed significant solar investment to the state are too lucrative and should be reduced. Those involved with the program expect some public policy revisions may take place over time; however, many also believe there is a continued need for consistent policies to support planning and ongoing investment to achieve the state’s renewable aspirations and development goals.
While the results of this near-term legislative review are not expected to put an end to the program, it may have implications to those wishing to enter the program and realize the benefits in the future.
What does this mean for those already enrolled?
If you have already enrolled in the NEB program through Freedom Energy Logistics’ development partners, your participation has been reserved under the current rules. This means that your savings percentage is fixed, and the tariff credit structure is expected to remain. Under the current rules, there is no cap to the credit value you can receive, meaning your savings are likely to grow over time.
Early enrollment is expected to result in the best savings opportunity and most lucrative tariff credit value for the generation you are receiving.
Not yet enrolled?
If your business is not yet enrolled in the net energy billing program, there is still time to take advantage. Freedom represents numerous projects across various stages of development that are open to off-taker enrollment. We recommend acting as quickly as possible, while also being considerate of the commitment, to ensure your business takes advantage of this significant cost saving opportunity.
Please reach out to your Freedom Energy Logistics representative or the Renewable Energy team to learn more.
About Freedom Energy Logistics: Founded in 2006, Freedom Energy Logistics is a leading energy advisory. The private company offers comprehensive energy supply management and renewable energy solutions supporting energy goals and sustainability objectives for businesses and organizations throughout the U.S. Freedom’s team of energy experts has worked with and delivered energy saving, environmentally responsible solutions for some of the largest commercial and industrial companies, municipalities, universities, healthcare facilities, and businesses. With its headquarters located in Auburn, NH, Freedom Energy also has employees serving clients locally throughout the regions. Freedom Energy has been twice named to the Inc. 5000 list of fastest growing companies in America; recognized as one of the Fastest-Growing Family Businesses in NH by Business New Hampshire Magazine. Stay Work Play’s Coolest Company for Young Professionals; and received multiple Business Excellence Awards from New Hampshire Business Review. For more information, visit www.felpower.com.