Skip to main content
U.S. Department of Energy
Office of Scientific and Technical Information

Wait, Cities Can Do What? Achieving City Energy Goals through Franchise Agreements

Journal Article · · Energy Policy

A growing number of municipalities have developed clean energy goals and policies to reduce their carbon emissions among other objectives. One emerging pathway municipalities have used to achieve clean energy goals is through including these objectives in electric franchise agreements. An electric franchise agreement is a negotiated contract between a municipality and an electric service provider which among other stipulations grants the utility the right to serve customers in the municipality's jurisdiction. This is the first nationwide assessment of the municipal opportunity to pursue franchise agreements with electric service providers, along with the potential impact of these agreements on achieving clean energy goals. We conclude that municipalities across at least 30 states have the authority to pursue franchise agreements. Our bounding scenarios suggest widespread deployment of renewable energy via franchise-driven partnerships could result in 164 – 911 TW h of renewable energy potentially serving 15.8 – 87.7 million households. Though there is immense opportunity to leverage franchise agreements to achieve renewable energy objectives, future deployment will be dependent on the negotiations between an electric service provider and individual municipalities.

Research Organization:
National Renewable Energy Laboratory (NREL), Golden, CO (United States)
Sponsoring Organization:
USDOE Office of Energy Efficiency and Renewable Energy (EERE), Solar Energy Technologies Office (EE-4S)
DOE Contract Number:
AC36-08GO28308
OSTI ID:
1660042
Report Number(s):
NREL/JA-6A20-77270; MainId:26216; UUID:4c2fce3c-3c16-40ba-aa43-abcaa2835708; MainAdminID:13810
Journal Information:
Energy Policy, Journal Name: Energy Policy Vol. 144
Country of Publication:
United States
Language:
English

Similar Records

Hand me the franchise agreement: municipalities add another policy tool to their clean energy toolbox
Journal Article · Thu Dec 10 23:00:00 EST 2020 · Solar Energy · OSTI ID:1760669

Municipal Franchise Agreements and Energy Objectives
Dataset · Tue Dec 03 23:00:00 EST 2019 · OSTI ID:1577346

Electric utility franchise guide
Technical Report · Thu Dec 31 23:00:00 EST 1987 · OSTI ID:6116114