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Commercial Solar Starts To Thrive in Wisconsin

By Frank Andorka, Senior Correspondent

Commercial solar, one of the most underserved segments of the solar industry, is taking off in Wisconsin, according to a report by the Milwaukee Journal-Sentinel.

The driver of the push is falling solar prices, which takes the decision to add solar out of the realm of “it’s a nice thing to do” and into the realm of “from a business perspective, this is a must do.” In other words, the money-saving aspect of it has become so overwhelmingly compelling that there’s now an undeniable business case for it.

As Larry Schmidt Jr., chief financial officer of Lakeland Supply, told the paper:

I’m a numbers guy, and I wouldn’t be doing it if the numbers didn’t make sense. Obviously we want to be conscious of our energy use and things like that, but this definitely makes sense even if you say ‘I don’t care about our Earth.’ This is a financial decision, too.

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Lakeland Supply put around 500 solar modules on its roof, which will supply the building with 61% of its electricity needs. But they aren’t the only ones. The paper writes:

The most current data from the Public Service Commission of Wisconsin shows that between 2008 and the third quarter of 2017, the number of solar photovoltaic installations on commercial and industrial buildings in the state increased almost ninefold, to 1,030 from 118.

The Journal-Sentinel attributes the majority of the segment’s growth to falling module prices, which makes it more economically feasible for companies to move ahead with solar projects. They also say falling payback times – the amount of time it takes for businesses to recoup their investment – has provided a business rationale for putting solar modules on the roof.

Ten years ago, a story like Wisconsin’s would have been nearly unheard of, but with the success of other Midwestern states like Minnesota and Illinois, the growth of Wisconsin’s solar market now almost seems inevitable. And what makes them stand out from their Midwest competitors is that it’s the commercial segment that seems to be leading the way.

More:

Here’s why more Wisconsin companies are adding rooftop solar energy panels

SEIA Updates Residential Guide To Solar, Emphasizing Consumer Protection (As It Should)

By Frank Andorka, Senior Correspondent

It’s easy to talk consumer protection, but it’s another thing to actually do something about it. The Solar Energy Industries Association (SEIA) has taken it upon itself to be the most vocal advocate for consumer protection in the solar industry – and now they’ve got a residential consumer guide to match the rhetoric.

The national solar organization has updated its SEIA Residential Consumer Guide to Solar Power to reflect a focus on creating a positive buying experience for residential solar consumers with a one-stop guide to the ins and outs of purchasing residential solar, including what red flags should send residential consumers running for the hills.

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Any solar consumer can download the guide from SEIA’s website and includes the basics of solar energy and ownership options available to them – but goes one step further to include key questions consumers should ask solar installers before signing a contract. The guide is a result of a joint effort of the leading companies across the solar industry and goes hand in hand with SEIA’s existing Solar Business Code by which all SEIA members abide.

“The residential solar market is expanding into new states at a rapid pace, and because of that it’s critical that potential solar customers have the tools they need to fully understand solar transactions,” said Tom Kimbis, SEIA’s executive vice president. “By demystifying the buying decision solar can find its way onto millions of new American homes.”

But the guide doesn’t just stop with questions to ask about the system as it will serve the homeowner – it also includes questions about what consumers need to know before they sell the home with solar modules on it. It also addresses solar + storage, which is a new consideration for most solar consumers. SEIA’s decision to lead on the solar + storage issue shows how closely they are monitoring the market and trying to protect consumers throughout the solar-purchasing process.

“My company has been involved with solar installations since 1980,” said Ed Murray, president of Aztec Solar, based in Rancho Cordova, Calif. “The new SEIA consumer protection guide shows the strong commitment of our industry as solar has become a mainstream energy choice for Americans.”

Other industries I’ve worked in talk about consumer protection – the solar industry is the first I’ve seen try to do something to marginalize the bad actors before they have a chance to give the industry a black eye – an effort for which they should be applauded.

Open Energy Creates Competition With Its Commercial Financing Exchange

By Frank Andorka, Senior Correspondent

Commercial solar is the most challenging segment of the solar industry in which to find low-cost financing. Open Energy, a commercial financing provider, is trying to fix that problem by creating the first lending exchange for commercial scale solar developers and installers.

Called The Open Energy Finance Exchange, it allows more than 60 lenders to compete to fund a project, driving down costs and improving terms for project developers. The exchange reportedly will provide access to $5 billion in capital.

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The key to the exchange is the loan quote tool, which helps project developers get financing estimates, which provides them a better idea of how much money might be available to them with a PPA-based project or a direct-owned system and can plan accordingly. The quote is the first step for developers to access the Open Energy Finance Exchange and applies to power purchase agreement-based and direct owned projects from 50 kW to 50 MW.

According to the company, there are already more than $75 million worth of deals active on the exchange, with $35 million already matched successfully. By the end of the year, Open Energy targets $250 million of solar financing matched between lenders and developers.

Open Energy CEO Graham Smith said:

We want to take the search for finance off the developer’s plate and bring the market to them. The commercial solar market continues to have an immense potential but numerous obstacles, such as the time taken to source financing and a lack of financing choices, has hindered its growth. Over the last few years, we have worked hard to expand commercial solar financing and now we are taking the next step in growing the market with the Finance Exchange. With direct access to significantly more financing, we believe we can help the market truly take off.

Thanks to more difficult risk profiles and market fragmentation, the commercial market is still struggling to find its financing footing. The innovation of the Open Energy Finance Exchange is a welcome addition to the segment.

Utility Monopolies Screw SC Solar After Sneaky Shift On Bill

By Frank Andorka, Senior Correspondent

What Happened: Damn, that was cold – although you have to admire solar’s opponents in South Carolina for employing an obscure legislative sleight of hand to kill a bill that would have eliminated residential net metering caps.

After the utilities raised all holy hell about how removing net metering caps would COMPLETELY DESTROY THEIR BUSINESS RIGHT NOW, the cowards in the South Carolina House of Representatives reclassified the bill as a tax increase, which mean it needed a 2/3 majority instead of a simple majority.
So…solar advocates in South Carolina can kiss the expected industry expansion goodbye, at least for now.

SolarWakeup’s View: Those of you who know me recognize me as one of the most cynical human beings in the world, especially when it comes to the Wild-West world of politics. But even my breath was taken away by how brazenly South Carolina’s utility monopoly stole a solar-expansion bill out from under the industry with an obscure legislative maneuver that twisted the bill’s purpose into something unrecognizable, even to its own sponsor.

Remember that article I wrote all the way back on Friday? About how the South Carolina House of Representatives had voted to lift residential solar net metering caps, a move destined to expand the state’s burgeoning solar industry and bring it more in line with its northern neighbor? Remember how I suggested that we not celebrate quite yet because it still had to pass the Senate before becoming law?

Little did I know the utility monopolies would buy their way back into the House to kill it there before it even had a chance to be debated in the upper house.

Through a legislative sleight of hand, the bill – which passed with a majority just last Friday – magically became a “tax increase” bill, which requires a vote of 2/3 of representatives instead of a majority. As a result, another vote was taken, and the bill failed to get to 2/3 by nine votes.

I mean…wow. Just. Wow.

The gobsmacking chicanery in South Carolina highlights a question that is central to whether solar will continue to thrive in this country: Will we continue to let state-supported utility monopolies continue to keep the United States from modernizing and updating our electric-generation system? Or will the people – who, as I wrote about yesterday, want a distributed-generation solar future – finally say, “Enough is enough.”?

It’s time to hold state representatives who decide to side with utility monopolies over their constituents accountable. Let’s vote the bastids out.

More:

South Carolina House kills pro-solar bill after last-minute rule change

The Latest: Solar Energy Bill Killed in Legislative Surprise

South Carolina Sends Solar Soaring With Cap Removal

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