Regulatory & Program
Illinois Shines clarifies REC payment forfeiture rules for small subscriber shortfalls
Illinois Shines · Oct 2
What happened
Illinois Shines outlined enforcement terms under Section 2.6(C) of its 20-year REC contract regarding small subscriber mix thresholds. Projects falling below a 50 percent subscription mix on the first business day of both June and December will have their subscribed capacity deemed at zero percent, resulting in returned RECs and forfeited delivery year payments. Projects showing a verified June mix under 50 percent will not receive scheduled REC payments in October or January.
Why it matters
Asset owners and subscriber management teams face direct REC revenue withholding if small subscriber ratios drop below 50 percent by June. A continued shortfall through December results in a total loss of REC revenue for the delivery year, alongside the return of delivered RECs. Operators must monitor acquisition and churn closely to maintain required thresholds ahead of biannual review dates.
Original source
Illinois Shines
Small Subscriber Requirements and Invoicing Under the 20-Year REC Contract
