A Central American country signs the Paris Agreement to align actions and policies to keep global temperature rise below 1.5°C. The country’s environmental agency develops a nationally determined contribution plan that includes domestic, economy-wide, and sector-specific policies. The power generation sector is most comprehensively covered by the plan.
Which policy included in the plan targets the power generation sector?
A Renewable Portfolio Standard (RPS) is a regulation that mandates increased production of energy from renewable sources such as wind, solar, biomass, and geothermal. This policy directly targets the power generation sector by requiring utilities to produce a certain percentage of their electricity from renewable sources. This aligns with the goal of the nationally determined contribution plan to address the power generation sector comprehensively.
Perhaps the sector where spe-cific policies have had the largest impact so far is in power generation. Renewable Portfolio Standards (RPSs) are an umbrella term for a range of quota-based regulations that aim to increase the supply of renewable electricity by requiring commercial power producers to source a specific portion of supply from renewable energy sources, such as wind or solar power.