Two major thoughts for the day. If you have additional insight, please send us a note. Everyone should think about joining me at the Midwest Solar Expo next Tuesday and Wednesday in Minneapolis.
Florida Reaffirms The Law. On Friday morning, the Florida PSC voted unanimously to approve the declaratory statement requested by Sunrun. The request, which included a solar lease template, was to ensure that Sunrun wouldn’t be considered a utility if they marketed and contracted in Florida using this structure. More importantly, this was a preemptive defense before entering the market. What Sunrun and others couldn’t do is come into Florida, sell a lot of leases and invest millions just to face a complaint by one of the investor-owned utilities. Just the process of defending the structure without this declaratory statement is a corporate risk that nobody could take.
The Market Potential in Florida. It’s been 10 years since the PSC in Florida asked for a report to be issued on the technical potential for solar in Florida. Navigant reports showed that rooftop solar had a 52GW technical potential at 2008 solar module efficiencies. With barely any capacity installs since the report, Florida’s technical potential is still intact, maybe greater than it was a decade ago. A sidenote, Florida will have higher than every other State adoption. Every Floridian wants solar on their home and showing off to our neighbors is everything for the Floridian mentality. Even though our energy rates are low, don’t be surprised how quickly the market grows in Florida. This market could give California a run for its money.
Consumer Scare Tactic. An interesting quote from the Office of Public Counsel, OPC, the entity that represents the consumer at PSC proceedings. They say that the consumer will not be represented by OPC since Sunrun (and others) will not be considered a utility. What they fail to mention is that the DBPR (licensing agency) represents consumers for all licensed contracting work which this falls under.
SunPower’s New Power. It’s been several days since SunPower announced the acquisition of SolarWorld. Most of the coverage is about 201 tariffs and we first wrote about the potential this has on their business lines. Now that the CEO has given interviews, there is another topic that hasn’t been discussed. SolarWorld USA is the sole petitioner of the AD/CVD cases and the co-petitioner of the 201 case. SolarWorld USA is now SunPower which means that any global settlement talks are now represented by SunPower folks. Trump mentioned global settlements when he signed 201 tariffs and those could be ongoing with a new team in the room. A sidenote, Tom Starrs (of SunPower) is the Chairman of SEIA and director at SEPA and is based in Oregon according to his Linkedin profile. Has SEIA started to lobby its board chair to settle the tariffs?
Tom Werner’s Focus. With all of the moving parts, it is important to remember that Tom Werner’s fiduciary duty is to his shareholders, not the solar industry. I am optimistic, however, that pendulum of success swings farthest when the market thrives. Removing barriers to silicon trade could make SunPower’s supply chain more efficient since Hemlock is seeking access to the China market once again. Definitely, a lot more to come on this story.
- SolarWakeup: Florida Public Service Commission OKs Sunrun’s Petition – So It’s Full Speed Ahead
- Miami Herald: State regulators give major residential solar company good news in the Sunshine State
- Axios: Trump’s solar tariffs are stoking global competition
- Crain’s Detroit: Solar firms complain to state over DTE’s refusal to strike power contracts
- SolarWakeup: Bipartisan Tariff Repeal Bill Introduced In Congress – Any Chance It Passes?
- Vox: 7 things we’ve learned about Earth since the last Earth Day
- SolarWakeup Podcast: The Energy Show – Regional Energy Policy Leadership with Tim McRae
- Utility Dive: New York advances REV, moves to bring more energy storage online
Opinion
Have a great day!
Yann