On June 6, 2007, Oregon Governor Ted Kulongoski signed Senate Bill 838, adopting a renewable electricity portfolio standard for the state. SB 838 requires the state’s largest utilities to meet 25 percent of their electric load with new renewable energy sources by 2025. The bill includes interim targets of 5 percent by 2011; 15 percent by 2015; 20 percent by 2020; and 25 percent by 2025. Sources of energy that count toward the standard include wind, solar, wave, geothermal, biomass, new hydro or efficiency upgrades to existing hydro facilities. Utilities are not required to comply with the standard if doing so will result in retail electricity price increases of more than 4 percent. If none of a utility’s options for compliance are cost-effective, they can make an Alternative Compliance Payment (ACP) to help meet their renewable energy requirement. The level of the ACP will be determined by the Public Utility Commission and will be set to provide adequate incentive for the utility company to generate qualifying renewable electricity instead of using an ACP payment to meet the renewable portfolio standard. The ACP will be placed into an account that can be used in the future to acquire renewable energy, invest in conservation or, for consumer-owned utilities, research and development.

Press Release [1]
SB 838 [2]
Map of States with Renewable Portfolio Standards [3]