A Renewable Portfolio Standard for Geothermal (GSHP) technology

Virginia is the second state in the Union to establish a Geothermal carve-out in their Renewable Portfolio Standard (RPS); investors in Geothermal technology located within the state now have the opportunity to monetize their investment through selling environmental attributes.

VA SB 508 is the specific law that implements this change, and is second of its kind - following Maryland's model for the creation of Geothermal specific RECs which was established with MD HB 1007 at the start of 2023.

Phase I & Phase II Utilities, in this case Appalachian Power Co. and Dominion Energy, are required to purchase environmental attributes like GRECs in order to avoid paying a fine for non-compliance; the Alternative Compliance Payment (ACP) typically acts as a pricing mechanism for specific types of renewable energy certificates.

The ACP established by SB 508 for VA GRECs: $45.00/mWh of energy savings

If you made or are planning to make a Geothermal investment in VA after August 16th, 2022: you qualify to create and sell VA GRECs through Flett Exchange!

RPS Requirements for 2025: Phase I (14%) & Phase II (26%) of previous year’s energy sold must be from renewable generators
Flett Exchange's role in this market:

Streamlined certification process with PJM GATS, aggregate GRECs and sell them on behalf of customers

Navigating regulatory environments; Virginia is likely to soon make changes to the certification process for Geothermal projects

Helping buyers fulfill their RPS requirements.

Registration Process

How to get paid for your Virginia GRECs with Flett Exchange

Commonwealth residents who have installed a geothermal heat pump can streamline the registration, generation, and management of their GRECs by registering for a GREC Manager account. The registration of your account is a complementary service when you sign up for the managed account option.

Process and Timeline for you to get paid:

Your Tasks:

1. Register for Flett Exchange GREC Manager, and provide your Installer's contact information

2. Sign the Schedule A document, and customer affidavit emailed to you upon registration; this allows us to manage your facility within the PJM GATS system

How does GREC generation work, and what are my expected yearly cash flows? GREC Generation Timeline > 10 mins REC Manager signup & signature on Schedule A, customer affidavit 1-3 days Flett Exchange gathers system registration docs from your installer 1-3 weeks REC calculation & affidavit submission to PJM GATS As of 01/2026, the Virginia State Corporation Commission (VA SCC) will allow Geothermal GSHPs to self-certify as renwable generators in PJM GATS. The registration process, applicable affidavits, and technical calculations for year MWH savings is done on a tiered basis and varies by HVAC equipment size and specific building heating/cooling load

Get Started with Flett Exchange

Start earning money from your geothermal energy production today. Our team will handle all the paperwork and reporting.

Register

Questions? Call us at +1 (201) 209-0234 or email us.