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The second event of a three-part Solar Opportunities Series, Fresh Energy’s community solar event introduced community leaders and institutions to this promising new solar-development model, providing an objective update on the detailed rules currently being written. Learn more at fresh-energy.org/solarseries.
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Community Shared Solarin Minnesota
Solar Opportunity Series | October 24, 2013
Ross Abbey, Fresh Energy
www.fresh-energy.org
Policy background
Policy background
Framework Legislation
1) Policy purpose
2) Utility bargain
3) Basic project model
4) Project flexibility
5) Policy benefits
1) Policy purpose
Supplement net metering with a mechanism that allows all other
customers to solar self-generate, too.
1) Policy purpose
2) Uti l ity bargain
• Self-generators must cover their full utility costs*
• We solve the utility’s revenue erosion concern
• We make the utility a monopoly buyer
2) Uti l ity bargain
Yet . . .
• Subscriber is also treated as a self-generator
• Allows for expansion of self-generationo Removes co-location requirement
o Reduced initial cost barrier
o Authorized third-party ownership
• Commission will regulate
3) Basic project model
Subscribers(Beneficial
Owners)
Util ityHost /Facil ity Mgr
Capital($/kW)
On-bil l compensation
(¢/kWh)
Electricity
4) Project f lexibil ity
Photo: Minneapolis, MN (40 kW, 2010) Photographer: Ray Colby
4) Project f lexibil ity
St. Paul, MN (28 kW, 2012) | Copyright: Sundial Solar
4) Project f lexibil ity
Marshall, MN (30 kW, 2007) | Copyright: Innovative Power Systems
4) Project f lexibil ity
Pine City, MN (21 kW, 2012) | Copyright: Dan Williams / Powerfully Green
4) Project f lexibil ity
Minneapolis, MN (40 kW, 2012) | Copyright: Ray Colby / Sundial Solar
4) Project f lexibil ity
Blaine, MN (9 kW, 2009 & 2012) | Copyright: Sam Villella
5) Policy benefits
Solar for Everyone(?)
5) Policy benefits
Figure 7 (LBNL, Tracking the Sun V, 2012)
Yet . . . challenges remain
• Unproven track record, customer awareness
• Administrative and subscriber-acquisition costs
• Xcel proposal – ironing out the kinks
• Taxation, Security Exchange Commission rules
• Local permitting and land-use regulations
PUC implementation
Xcel Energy proposal
• A good step forward
• Positive program-design elements
• Key areas to consider:1) Limitation on cumulative generating capacity, number of facilities
2) Project-approval queue, eligibility requirements
3) Compensation for solar production
4) sREC treatment
5) Fee structure
