PROCUREMENT GUIDANCE
PROCUREMENT GUIDANCE MENU

Procurement Guidance Menu

Developing a Strategy

Identify Your Options

This website focuses on five renewable energy procurement options: on-site solar, community solar, green tariffs, physical power purchase agreements, and virtual power purchase agreements. Additional options, such as the use of energy savings performance contractors (ESCOs), are not currently included, but may be added over time. For further details on each of these five options, see these summaries created by the EPA.

The economics of renewable energy procurement have evolved significantly in recent years due to changes in federal incentives, technology costs, and market conditions. Federal tax credits and related incentive programs can affect project economics, while evolving compliance requirements and market conditions may influence project timelines and pricing. Cities should evaluate each procurement pathway using current cost data and consider how these factors may affect project feasibility.

Different procurement pathways are affected differently by incentive eligibility, market exposure, and compliance requirements. Cities should consider how federal incentives, wholesale market dynamics, and supply-chain rules may influence costs, risks, and timelines for each option.

This website is intended to help you clearly identify which options are available to your city. However, cities served by municipal utilities or community choice aggregation may have a different set of options. For additional information, see the Cadmus Group’s Pathways to 100 report.

Beyond the desktop research mentioned above, we would strongly recommend you reach out to other cities in your region to understand their decision-making processes. If you are unable to connect with a nearby city, the City Stories section of this website, C40’s Clean Energy Business Model Manual, and the Renewables Accelerator team can all provide insights into what renewable energy projects other cities have completed.

Potential Renewable Procurement Options:

Community Solar

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On-Site Solar

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Off-Site Physical PPA

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Virtual PPA

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Green Tariff

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