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Energy and Environment Cabinet

Wind turbines

Division of Renewable Energy

The Division of Renewable Energy's mission is to provide leadership to maximize the benefits of renewable energy through awareness, technology development and partnerships. The division has oversight in implementing Strategy 2 (renewables) of Kentucky’s comprehensive energy strategy.  The division works with the Division of Efficiency and Conservation in the management of ARRA funds for renewable energy projects.

Renewable energy is an environmentally responsible alternative to fossil fuels.  There are several sources of renewable energy including solar, wind, landfill gas, geothermal, biomass and hydroelectric power.

Tax Incentives for Renewable Energy
Tax credits are available for solar water heating, solar photovoltaic, small wind turbine systems and geothermal heat pumps.

Interconnecting and Selling Renewable Power

Each utility and distributor regulated by the Public Service Commission (PSC) has filed a net metering and interconnection tariff with the PSC. If you are served by a municipally-owned utility, please contact a representative.

Qualifying Facilities -- Renewable electricity systems that exceed the net metering cap of 30 kilowatts can be considered a Qualifying Facility.  There are specific considerations for selling power from these facilities.

TVA Green Power Providers -- Customers of the TVA with renewable energy systems may be able to sell power to TVA at a premium.

Renewable Energy Credits
A Renewable Energy Credit (REC) is equivalent to one megawatt-hour of electricity produced by a renewable energy resource.  A REC represents the environmental and social benefits of renewable energy and can be sold separately from the electricity produced. RECs provide a second revenue stream for owners and a means for people to purchase the environmental and social benefits of renewable energy without purchasing the actual electricity.

REC tracking systems enable those who generate RECs to register them for sale. For more information, visit Generation Attributes Tracking System (PJM-GATS) and Midwest Renewable Energy Tracking System (MISO-MRETS)

REC auctions enable owners and buyers to trade RECs. For more information, visit
PJM EnviroTrade and SREC Trade.