A Renewable Portfolio Standard (RPS) is a state regulation that requires electric utilities to produce or procure a minimum percentage of their electricity from eligible renewable sources by a target date. Currently, 30 states plus DC have mandatory RPS policies. Requirements range from 10% to 100% by various target years. RPS policies have been a primary driver of renewable energy growth in the US, creating guaranteed demand for wind, solar, and other clean energy sources.
Renewable Portfolio Standard (RPS)
A state policy requiring utilities to source a specified percentage of electricity from renewable sources.
Related Terms
Renewable Energy
Electricity generated from naturally replenishing sources: wind, solar, hydro, geothermal, and biomass.
Net Metering
A billing arrangement where solar panel owners receive credit for excess electricity they send back to the grid.
Generation Mix
The combination of energy sources (coal, gas, nuclear, renewables) used to produce a state's electricity.