Published Thursday, 11 June 2009
Mrs Shepherd, a former member of the Women's Coalition, already serves on the Commission and her new post carries a salary of £50, 000 a year.
She will take up the job as Chair next month, replacing Roger Poole who announced he would step down as the head of the body in April.
The Trinity college graduate, who is a member of the Institute of Directors and the NI Chamber of Commerce, became a member of the commission in May 2008.
Making the announcement, Secretary of State Shaun Woodward said "Rena will provide strong leadership to the Commission and as a serving Commissioner is fully aware of all the challenges her new role brings.
"Northern Ireland has enjoyed peaceful parading seasons in recent years and the Parades Commission has played an important role in helping to deliver that.
"Rena's appointment brings stability for the months ahead and the Parades Commission remains the final arbiter in parading matters."