This report submitted to the Senate Committee on Natural Resources and Energy, and the House Committee on Energy and Technology, as required by Act 53 of 2017, discusses the exemption and makes recommendations about how to address any issues arising from the exemption. The Commission has identified two significant concerns arising from the exemption. First, Section 8005a allows utilities to be exempt from the standard-offer program “regardless of whether the provider owned the energy's environmental attributes.” The second issue is that exemptions shift the cost of the standard-offer program from the customers of the exempt utility to customers of the participating utilities.