“Wind”certificate(REC)
e.g.thisWashingtonwindfarm:
Systempoweraka“Unspecifiedpower,”brownpower,orfossil
“Wind”
certifica
te
(REC
)
EnergyWholesaler
MCEentersintoPCC2arrangementknowingthewindenergywouldnotbe
deliveredtoCalifornia,butadvertisesthatthebrownpoweritdeliverstoconsumers,
inthisexample,is“wind”fromWashington.PCC2arrangementcostsabout1/3ofPCC1.
buys
creates
creates
SomeotherconsumeroutsideofCaliforniapurchases&takesdeliveryoflow-costenergyw/oREC;energynowknownas“nullpower”
energy energy
MCE
PCC2akaBucket2,Category2,orfirm-and-shape
energy
lowcost
ResourcemustbeoutsideofCA.
