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May 23,2025

CERC: New Rules Support Renewable Energy through Virtual Power Purchase Agreements

CERC has issued draft guidelines for Virtual Power Purchase Agreements (VPPAs) to help meet Renewable Consumption Obligations (RCOs) without physical power delivery. The rules include contract standardization, financial settlements, and certificate tracking. Following a 2023 government directive under the Energy Conservation Act, designated consumers must meet clean energy targets or face penalties.

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