Renewable Energy Portfolio Standard (RPS) Report

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Summary

The 2026 Renewable Energy Portfolio Standard Report (covering compliance year 2025) shows that the District is successfully creating its own localized energy independence. The local market vastly exceeded its solar capacity targets this year, even after a mandated program cleanup decertified 2,206 legacy out-of-state systems.

Despite this purge, the District's total certified solar capacity reached 373.7 megawatts (MW) at the end of 2025. This easily surpassed the estimated 293.3 MW required to meet the 4.30% solar carve-out. As of year-end 2025, there were 19,915 RPS-certified solar energy systems located strictly within the District.

Shifts in Capacity, Compliance, and Costs

When looking at where the power is generated, the data tells an interesting story about the scale of local projects. While Wards 4 and 7 boast the highest sheer volume of individual residential systems, Ward 5 actually generates the most solar capacity at 66.3 MW (21.2% of the District’s total). Ward 8 follows closely, producing the second-highest capacity in the city at 60.4 MW. Several large community renewable energy facilities (CREFs) are in Wards 5 and 8, significantly impacting the amount of power generated in those wards.

This rise in local capacity has stabilized the market. Because the District is no longer undersupplied, compliance penalty fees paid by electricity suppliers dropped by more than 96% from $3.9 million in 2024 to just $145,730 in 2025. Suppliers were able to successfully purchase actual solar renewable energy credits (SRECs) at an average price of $407, safely below the $460 compliance fee threshold.

However, these achievements come with rising costs. Driven by the District's ambitious climate targets, SREC prices remain considerably higher than anywhere else in the country. Currently trading around $370 as of April 2026, District SRECs are by far the highest among the Mid-Atlantic states. While this provides a financial incentive for local solar development, the total estimated cost of RPS compliance climbed by $51.4 million to $272.6 million for 2025, up from $221.2 million in 2024.

These mounting SREC payouts are ultimately funded by all customers. According to a 2025 report from the Lawrence Berkeley National Laboratory, SREC compliance accounted for more than 15% of a typical electric bill in 2024.

Expanding Community Access

Community solar continues to scale up, actively bringing renewable energy access to residents who might not have the ability to install their own rooftop panels. CREFs grew from 424 facilities in 2024 to 457 by the end of 2025. These facilities now generate 72.7 MW of capacity for 11,892 District subscribers.

Download the 2026 RPS Report