The Michigan Renewable Energy Certification System (MIRECS) issues, tracks and enables trading and retirement of credits through a unique, traceable serial number issued for every megawatt hour (MWh) of qualifying energy generated by facilities registered with MIRECS. The credit types include Michigan Renewable Energy Credits (RECs), Advanced Cleaner Energy Credits (ACECs) and Michigan Incentive Renewable Energy Credits (ICs). Energy Optimization Credits (EOCs) will be added at a later time. The system is set up to also support linkages with other state and regional renewable energy market programs.

Yes. The Michigan Renewable Energy Certification System was developed to serve as the tool to implement and verify compliance with the Michigan clean, renewable, and efficient energy act. MIRECS can also be utilized for transactions in the voluntary marketplace.

With the Registry, all participants in the Michigan market are able to take advantage of a trusted infrastructure to help manage their role in the market. Benefits include:

• Provides easy to use Web-based system
• Ensures highest levels of transparency, quality, security, accountability and protection against double counting
• Delivers full documentation, public reports & detailed audit trails for oversight
• Extends to meet specific state requirements
• Drives continued growth of clean energy generation and usage
• Offers proven, rapid client service and support
• Tracks Michigan compliance as well the voluntary eligibilities, including Green-e Energy and Low Impact Hydro Institute

MIRECS stores and publicly displays renewable energy generator and project information. MIRECS also facilitates independent third-party certification and auditing of renewable energy generator projects as well as certificate retirement records.

Once a generating asset is registered and appropriate certificate documentation, affidavits and attestations are uploaded, the MIRECS administrator will issue one Renewable Energy Credit or Advanced Cleaner Energy Credit for each megawatt-hour (MWh) of eligible energy reported to MIRECS. Applicable Incentive Renewable Energy Credits will also be issued at this time. The asset owner then uses MIRECS to transfer credits to another account holder or retire the credits.

MIRECS ensures the integrity of the credits through a transaction-based data structure designed to prevent double-counting and provide full audit trail capabilities. Additionally, MIRECS provides numerous publicly accessible reports that list Account Holders, the status of generators and projects, and information about both issued and retired certificates.

The Michigan Renewable Energy Certification System is powered by the most widely used, highest volume, and technically advanced environmental market infrastructure that has been developed over nearly a decade. With more than 2 billion certificates under management, APX market infrastructure sets the standard for ensuring integrity in environmental markets. As an independent and trusted provider of infrastructure solutions, APX is fully committed to the highest market transparency and a level playing field for all market participants and stakeholders. We do not make markets or take principal positions in environmental transactions, and are not a bank, brokerage or marketer.

Every generator has to provide documentation substantiating the generation of renewable energy. The documentation requirements can include metering records, official filings with the Energy Information Administration as well as independent reporting from qualified third parties.

One can have an account in the Michigan Renewable Energy Certification System. Obtaining an account requires completing the account registration process and paying the account registration fees.

A renewable energy project can be registered by anyone who has legal title to the project. Typically this would be a generator owner or a project developer.

The Registry accepts renewable and alternative energy generation technologies that are eligible under Michigan’s Clean, Renewable, and Efficient Energy act.

Generation data can be issued for generation up to one year prior to Generator approval in MIRECS. The lone exception to this is for facilities that register before March 31, 2010 as they will be able to load generation data going back to January 1 2009. No Credits will be issued for generation prior to January 1 2009.

A participant seeking to meet its Michigan PA295 compliance obligations must retire credits in its own account. Participants seeking to retire credits on a voluntary basis may do so through third parties, subject to certain terms and conditions. See Section 6 of the MIRECS Terms of Use to review these provisions.

The Michigan Public Service Commision requires that every Michigan Electric Service Provider retire Credits only for their own obligation.

The Michigan Renewable Energy Certification System is not an exchange. An exchange matches buyers and sellers in a transaction, and the Registry does not do this. Buyers and sellers may identify each other using reports and public documents provided by the Registry, but deal negotiation and financial transactions happen outside the Registry. Once the financial transaction occurs, the seller uses the Registry to transfer certificates into the buyer’s account. So the Registry is the system of record to complete the physical transaction, perform the transfer, and reflect the sale.

Currently, the Michigan Renewable Energy Certification System allows RECs to be transferred between the following registries:

• From NAR to MIRECS
• From NAR to NC-RETS
• From NAR to NYGATS
• From NC-RETS to NAR
• From NYGATS to NAR
• From NYGATS to GIS (Bundled)
• From MIRECS to NAR
• From PJM-GATS to MIRECS
• From PJM-GATS to NC-RETS
• From PJM to NYGATS
• From WREGIS to NAR
• From WREGIS to NC-RETS
• From ERCOT to NC-RETS – Instructions

Michigan Electric Service Provider Account: This  type of Account can hold, transfer (outgoing and incoming), and Retire  Credits.  A Michigan Electric Service  Provider Account can also register and maintain Assets and have Credits issued  to it for its Assets.  NOTE: A Michigan  Electric Service Provider Account is the only type of Account that can Retire  Credits for compliance with PA295.

Non-profit Wholesale Power Provider  Account:  A non-profit entity that  supplies wholesale electric power to one or more Michigan electric service providers that  maintain a Michigan Electric Service Provider Account.  This type of Account can hold, transfer  (outgoing and incoming), and Retire Credits.   This Account type can also register and maintain Assets and have Credits  issued to it for its Assets.

General Account:  This type of Account can hold, transfer  (outgoing and incoming), and Retire credits.   A General Account can also register and maintain Assets and have Credits  issued to it for its Assets.

Project Account:  This type of Account can register Assets  and have Credits issued to it for its Assets.   A Project Account can hold, transfer (only outgoing transfers), withdraw  and retire Credits.  A Project Account cannot  receive transfers from other parties.

Retail Purchaser Account:  This type of Account is for retail  purchasers of Credits.  A Retail  Purchaser Account can hold, accept incoming transfers, and retire Credits.  They can also register and maintain Assets  that are under 1MW in capacity and have Credits issued in their Account.  A Retail Purchaser Account cannot make  outgoing transfers.

Qualified  Reporting Entity (QRE)/ Verifier Account: An Account Holder with a  QRE Account is assigned to an Asset and is responsible for verifying generation  or storage information from that Asset.   MIRECS tracks the specific types of Assets for which QRE’s are approved  to provide services, ensuring that they are suitably qualified and  accredited.  The QRE Account cannot hold  Credits.

Program Administrator Account: This  type of Account is provided to administrators of compliance and voluntary  programs that utilize MIRECS and/or have eligibilities noted for certain  Credits.  It will allow Program  Administrators to review eligibilities and compliance reports.  Asset details will only be displayed in a Program  Administrator Account if the Account Holder registering that Asset has listed  it as eligible according to the specific program/certification.

More details on the different account types can be found in the Operating  Rules and Terms of Use.

The Terms of Use is a standard document common to all users of MIRECS. This document cannot be customized for each user as all changes to the Terms of Use will need to be applicable to all current Registry subscribers.

MIRECS was established by the Michigan Public Service Commission (Commission or MPSC) under authority conferred by 2008 PA 295. MIRECS is administered by APX, pursuant to a contract with the State of Michigan, Department of Energy, Labor & Economic Growth. The Michigan Public Service Commission is the effective governing body. The Commission has delegated day-to-day administration of the contract to the Electric Reliability Division.

Entities are encouraged to communicate about any MIRECS issues by contacting APX. APX discusses all MIRECS substantive and policy issues with the Commission Staff. As indicated in the MIRECS Terms of Use, Section 26, Electric Reliability Division Staff is available to assist parties in the informal dispute resolution process, if necessary. In addition, Account Holders will be invited to participate in a MIRECS Stakeholder Advisory Group, for the purpose of facilitating communications and providing recommendations for system changes and improvements.

Dispute resolution procedures are described in the MIRECS Terms of Use, Section 26, Governing Law and Dispute Resolution. The procedure begins with informal dispute resolution efforts with APX. Commission Staff will assist at the request of either party. If the informal effort is unsuccessful, the process calls for formal mediation, then arbitration, if necessary.

If RECs originate in a Compatible Tracking System, all applicable Michigan incentive credits will be assigned upon importation into MIRECS. The creation of incentive RECs is dependent upon proper documentation and authentication data being supplied by the originating registry. If this data is not transferred with the RECs, it will be the responsibility of the REC owner to provide affidavits and the data necessary to validate the particular Michigan incentive credit(s).

No. Users are free to develop their own or utilize third party software that will be used in conjunction with the MIRECS system, MIRECS data, and MIRECS reports. However, such user-developed or third party software used in conjunction with MIRECS shall not, in any way, interfere with, put at risk, corrupt, injure, impair, or degrade the operations of the APX developed MIRECS system. Staff is working with APX to clarify the language.

Yes. The Account Holder will have access to the dispute resolution procedures contained in Section 26 of the Terms of Use. In addition, Staff is exploring with APX the possibility of expanding the time window for payment before the immediate access termination may be triggered.

Yes. The MIRECS dispute resolution procedures may be used.

The Michigan Renewable Energy Certification System strikes a balance between respecting the privacy of certain account holders and providing the public with complete Registry transparency. As a result, MIRECS provides a number of publicly accessible reports that provide comprehensive information about the renewable projects without requiring account holders to disclose their presence or their credit inventory. The Public Reports provide comprehensive information about all renewable energy projects.

Any account holder in possession of credits, including their own, can retire the credits.

The definition of Qualifying Michigan Equipment is the construction of equipment directly relating to the renewable energy systems. The ancillary equipment used to operate or access a generating station or substation should not be included in this calculation.

APX is the leading infrastructure provider for environmental and energy markets in renewable energy and greenhouse gases including renewable energy certificates (RECs), energy efficiency and conservation certificates, carbon offset certificates such as voluntary emissions reductions (VERs), and greenhouse gas emission allowances. For more information, please visit the APX page.