Developers submitted 196 bids, more than four times what the state Legislature had hoped to get.
Electricity generated by solar and other alternative energy sources is fed back into Vermont's electrical grid. The new program established a minimum price that state utilities would pay to renewable energy producers - providing them with a clear picture of the cash flow they would generate in coming years.
Burning landfill methane will pay 12 cents per kilowatt-hour, for example. Solar energy - as one of the cleanest energy sources - will be bought for 30 cents per kilowatt-hour.
Vermont is one of the greenest states. Despite its low population - only 621,000 - Vermont has the same strict auto emissions standards as California. And Vermont already has strong incentives in place for the development of renewable energy projects. Wind energy and photovoltaic equipment, as well as solar water heating systems, are exempt from the state's 6 percent sales tax.
The new program caps solar energy projects at 50 megawatts.
