Maryland GRECs — $94.04 per credit in compliance year 2024

Maryland geothermal heat pump owners may earn Geothermal Renewable Energy Credits (GRECs). In compliance year 2024, post-2022 geothermal credits cleared at $94.04 per credit, according to the Maryland PSC. GRECs are tracked through PJM-GATS for qualifying thermal energy. Emergent Energy handles the full registration process — MD PSC certification, PJM-GATS enrollment, credit aggregation, and market sale — at no upfront cost. Use our GREC revenue calculator for a first estimate; we verify your specific system before quoting a number.

How much can a system earn?

In compliance year 2024, Maryland's 1,134 certified geothermal systems produced 53,721 GRECs in total — an average of about 47 GRECs per system per year, or roughly $4,400 at 2024 pricing. That average includes large commercial systems, so a single-family home typically earns less.

A residential system's output depends on how much heat it actually delivers. One GREC is issued per megawatt-hour of thermal energy, so a typical 4-ton home system generating 20–35 GRECs a year would earn roughly $2,000–$3,300. Commercial and institutional buildings, which deliver far more thermal energy, earn proportionally more.

We give you a real number for your specific system before you sign anything.

Which Maryland credit applies?

Not all Maryland geothermal systems earn the same credit. Systems placed in service after December 31, 2022 qualify for Maryland's dedicated geothermal carve-out, which cleared at $94.04 per credit in compliance year 2024. Older systems still earn ordinary Tier 1 renewable credits, which cleared at $25.17. We confirm which category your system falls into before quoting you a number.

Maryland GREC Program Key Facts

• Program established: 2012 (HB 1186), expanded 2021 (HB 1007)
• Eligibility: systems installed on or after January 1, 2023 earn dedicated GRECs; pre-2023 systems earn ordinary Tier 1 RECs
• Residential: must meet ENERGY STAR standards; not grid-connected
• Non-residential: commercial, multi-family, institutional — all eligible
• Tracking: PJM-GATS
• Credit basis: 1 GREC per MWh of thermal energy

The low-income carve-out

Maryland requires that 25% of its geothermal credit obligation come from systems serving low- and moderate-income households. In compliance year 2024 that requirement was 16,886 credits. Suppliers retired 276 — about 1.6% of what was required — and paid $1,661,000 in penalties instead. Low-income geothermal credits cleared at $94.47, the highest price of any non-solar resource in the Maryland program.

Three routes qualify: commercial buildings, multi-family housing that qualified as low- or moderate-income housing on the installation date, and institutions primarily serving low-income individuals — schools where a majority of students are eligible for free and reduced-price meals, hospitals where a majority of patients are on Medicaid or financial assistance, and comparable facilities.

Documentation requirements differ significantly between these routes. Talk to us before assuming your building qualifies.

Eligibility Requirements

How Emergent Energy Handles Maryland GREC Registration

See the complete registration process explained step by step.

1. Confirm system specs and installation documentation
2. Submit MD PSC application for geothermal facility certification
3. Register with PJM-GATS and obtain MD state certification number
4. Manage monthly GREC issuance and aggregation
5. Execute market sales and remit payment

Have questions? See our GREC FAQ →