5 Energy Regulations You Should Know

Renewable energy is a great way to harness natural energy and save on electricity bills. Roughly 90% of the nation's energy was supplied through firewood 150 years ago. It's important to note, however, that you must ensure that you follow the energy regulations in your state -- no matter how you're harnessing energy. Most renewable energy providers, whether it's solar, geothermal, biomass, biogas, or wind power, are aware of the regulations, but it would help if you were familiar with them as well. This summary shows the energy regulations you must adhere to when using renewable energy:

1. Renewable portfolio standard: Renewable energy is an easy way to save energy, but this regulation states that every electric utility must provide a specific percentage with an eligible renewable resource. Other electric providers must also offer a particular amount of electricity with an available renewable resource. Many of the states across the country have incorporated renewable portfolio standards because of their effectiveness and because they have an approach that looks at the market and helps achieve the electricity policy objective. You should expect to find variations in the renewable portfolio standard depending on the state you reside.
   
2. Public benefit fund for renewable energy: Energy companies understand this regulation, and they will willingly explain it to you as they would other laws. In a nutshell, these energy regulations refer to a pool of resources the state uses in clean energy projects. The funds are ideally created by charging a small amount on every customer's electricity rate. The green energy company you use will explain the different state policies that affect the economics of energy efficiency, renewable energy, as well as combined heat and power.
   These policies are vital because they make investments in renewable energy more attractive. They attempt to lower the risk, reduce the regulatory compliance costs, and reduce the cost barriers. Different states offer diverse programs that target specific markets and customer groups through a broad set of programs.
   
3. Output-based environmental regulations: These energy regulations seek to establish the limit per unit of emissions that come with energy output processes, that is electricity, thermal energy, and shaft power. This is vital for energy saving as it encourages fuel conservation efficiency and the use of renewable energy as a means to control air pollution. This policy looks explicitly at Combined Heat and Power (CHP) and the Environmental Guide to Action. CHP gives you an alternative to purchasing electricity from the local utility. The increased system efficiency has seen CHP produce the same amount of energy while using less fuel, producing lower emissions, and separate heat and power systems.
   
4. Net metering: This energy regulation states that every time a residential or commercial customer takes the initiative to generate their own renewable energy, they should receive compensation for the power they make. This is an energy reduction reward. The state ensures that the energy meters track to precision the amount of energy you generate and how much of this energy is returned to the electric grid. When the energy produced is not sufficient to meet your needs, energy is pulled from the network to supplement what you need. You will, therefore, receive an electric bill indicating how much power you produce, how much was returned to the grid, and how much you used from the network. If the amount you used from the grid surpasses the amount you sent to the grid, the bill will indicate how much you need to pay the electric company.
   
5. Feed-in tariffs: These regulations tend to encourage the development of renewable energy by sending the obligation of electric utilities to pay pre-established above-market rates for the renewable power they feed into the electrical grid. These tariffs provide renewable with an income from their project and vary depending on the source of energy used. They are most common in Europe, but California, Washington, Hawaii, and Vermont have established this feed-in-tariffs.

Energy regulations work in favor of the government and your favor as well. They bring a balance that encourages more residents and commercial customers to use renewable energy because of the positive impact it has on our environment.