Under the definitions of Tier 1, Tier 2, and Tier 3, there is a statement that reads: "The default contract length for renewable energy procurement is 10 years. Contract lengths less than 10 years may be pro-rated." It is unclear to me, and others I've checked with, what this sentence means and what exactly it applies to (for example, I would assume it does not apply to Tier 1, which has nothing to do with renewable energy procurement).
Can someone explain how this statement relates to how a project team is supposed to ask for quotes and document credit compliance (assuming for Tier 2 and Tier 3)?
Marcus Sheffer
LEED Fellow7group / Energy Opportunities
LEEDuser Expert
5867 thumbs up
February 6, 2021 - 11:27 am
Hi Bryna!
First of all Tier 1 could be attained with a renewable energy procurement contract if a third party owns the system.
Under Tier 2 you either sign a 10 year contract (if you can) or you could purchase 10 year's worth all at once (or some sort of derivation of contract term).
Under Tier 3 you could also be buying into say a community solar project or some other third party arrangement to buy landfill gas for example.
In short I think that it means that if you have any sort of contract (which is likely unless you are purchasing a system outright) it must cover a minimum 10 year term.
Hashir Usman
February 19, 2021 - 9:39 am
Hi Marcus, the contract limit is not 15 years now? In the Addenda it shows that for offsite renewable energy procurement, the contract should be of min. 15 years.