SPI Host Says, Forget Net Metering. Rate design is a false flag meant to lure solar advocates into a discussion of how we move into a large solar integration conversation. By changing the conversation from simple net metering to a complicated discussion about fixed charges, SEPA is saying to you, forget net metering. Last year ~3GW was distributed versus almost 10GW in utility scale. Gutting net metering is a fight to take energy choice away from the largest source of energy demand, the buildings across America so that more rate base can be invested. The larger point is that almost $4million from the trade shows we all attend goes to fund this rhetoric and I’m a bit tired of the status quo. Fighting for net metering means that all solar has a chance and grows across all of the value chains and we can’t have half of our trade show money going to values that don’t align with 90%+ of the solar industry because what does it say about our values if we don’t spend it on likeminded ventures.
A Runaway American Dream. The era of Chris Christie is over, Governor Phil Murphy is in the house now! NJ is going big with an enhanced RPS, SREC fixes and a community solar program. All of that on top of the PJM market will likely create some new development opportunities in Jersey. I look forward to seeing how this plays out over the next few years.
Exhibit A. For the past week, you (the readers) have been clicking on the South Carolina story of the day which caused Frank to have to cover the daily play by play. That’s the interesting part of the second story, we don’t control the topic, you do! But look at what happened in South Carolina where solar advocates, including Sunrun which has been reaching across the proverbial aisle as much as anyone, asked for a cap increase while utilities were busy losing billions on unbuilt power plants. After losing the vote, utilities pushed for a crazy rule that required the NEM cap increase to be approved by 2/3 of the House. What picture am I missing?
Exhibit B. Germany had a renewable energy auction and solar won all of the contracts with an average rate of 4.67 euro cents per kWh. In dollars that’s about 6 cents per kWh and Germany doesn’t have an ITC and has higher income taxes. Germany also has a similar irradiance level as Washington State or Southern Alaska. That’s the problem with ratebased solar power, the private sector can do the exact same thing but better and cheaper without a double digit return. If I were a regulator, I would require any rate based renewable energy or energy storage to have to compete with an open RFP. Get the picture?
Exhibit C. Here’s the bigger picture. (TL;DR) The monopoly system doesn’t work anymore. The market is moving on to consumer and retail choice. Produce your own, procure responsibly; cheaply or do nothing and go with the wires provider. Nuclear is a good example, the utility sector is pushing to build new and consumers through legislators supported this. Then it required money so they approved advanced cost recovery. Then the delays happened, bankrupt suppliers and whistleblowers. Now solar with storage is less than 5 cents per kWh in sunny areas. Time to move on and let the market handle the 21st century. Picture that.
- SEPA: The stories we aren’t telling – Focus on net metering misses the bigger picture
- SolarWakeup: Back To The Future – New Jersey Starts Its Solar Return
- SolarWakeup: Are We Harping On South Carolina Net Metering? Yes, Because YOU Are
- PV-Tech: Solar notches up clean sweep in German renewable tender
- Post and Courier: Hicks column – Utilities’ solar power-play should make S.C. rethink Santee Cooper sale
- Winston-Salem Journal: Court to see if Greensboro church’s solar panels break electricity monopoly
- Think Progress: Massachusetts court rules in favor of attorney general in Exxon climate change case
- Courier Journal: Solar bill burns out on the last day of the Kentucky legislature
Opinion
Have a great day!
Yann