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Published on March 12th, 2014 | by Glenn Meyers

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NREL examines solar policy pathways for states

The following report from NREL concerning issues in state solar energy policies should prove timely and useful to those involved with commercial and residential renewable energy products.

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The Energy Department’s National Renewable Energy Laboratory (NREL) has published a report that aligns solar policy and market success with state demographics. By organizing the 48 contiguous states into four peer groups based on shared non-policy characteristics, the NREL research team was able to contextualize the impact of various solar policies on photovoltaic (PV) installations.

“Although it is widely accepted that solar policies drive market development, there has not been a clear understanding of which policies work in which context,” lead author Darlene Steward said. “This study provides much-needed insight into the policy scope and quality that is needed to spur solar PV markets across the United States.”

The report, “The Effectiveness of State-Level Policies on Solar Market Development in Different State ContextsPDF,” includes statistical and empirical analyses to assess policy impacts in different situations. In addition, four case histories augment the quantitative analytics within each state grouping, specifically:

Expected leaders. In Maryland, a comprehensive policy portfolio with equal emphasis on all policy types is driving recent market development. Rooftop rich. In North Carolina, strong interest in clean energy-related policy distinguishes it from other states. Motivated buyers. Delaware’s experience illustrates how targeted market preparation and creation policies can effectively stimulate markets. Mixed. In New Mexico, the leading state for installed capacity in its peer group, policy diversity and strategic implementation have proven to be critical in effectively supporting the market.

The analysis shows that the effectiveness of solar policy is influenced by demographic factors such as median household income, solar resource availability, electricity prices, and community interest in renewable energy. The data also show that it’s the number and the make-up of the policies that spur solar PV markets. Follow-on research expected for release this summer identifies the most effective policy development strategies for each state context and provides strategies for states to take action.

As part of a larger effort to determine the most successful policy strategies for state governments, this report builds on previous research investigating the effect of the order in which policies are implemented. The policy stacking theory, which is outlined in the “Strategic Sequencing for State Distributed PV PoliciesPDF” report, aims to draw private investors to develop PV markets.

Source: AAAS EurekAlert

 




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About the Author

is a writer, producer, and director. Meyers is editor and site director of Green Building Elements, a contributor to CleanTechnica, and founder of Green Streets MediaTrain, a communications connection and eLearning hub. As an independent producer, he's been involved in the development, production and distribution of television and distance learning programs for both the education industry and corporate sector. He also is an avid gardener and loves sustainable innovation.



  • Daniel Ferra

    We need to have Sustainable Energy Policies and a National Residential and Commercial Feed in Tariff is the answer, this petition starts in California.

    Alliance for Solar Choice is a group of Solar Leasing Companies that with Net-Metering enable One Utility to Replace Another SLC, Why should a Hard Working, Tax Paying, Voting, Home Owning Citizen not be able to participate in the State mandated 33% Renewable Energy by 2020 ? We need a Ca. Residential Feed in Tariff and a National One.

    Globally we are emitting 40-44 Billion tons of Green House Gases annually, here in California we emit 446 million tons of Carbon Dioxide a year, 1,222,000 Toxic Tons a Day.

    The California Public Utility Commission is thinking of replacing San Onofre and Hydro losses to generating with Natural Gas Power Plants, unless We start Changing and Fighting for real Sustainable Energy Policies.

    The state currently produces about 71% of the electricity it consumes, while it imports 8% from the Pacific Northwest and 21% from the Southwest.

    This is how we generate our electricity in 2011, natural gas was burned to make 45.3% of electrical power generated in-state. Nuclear power from Diablo Canyon in San Luis Obispo County accounted for 9.15%, large hydropower 18.3%, Renewable 16.6% and coal 1.6%.

    There is 9% missing from San Onofre and with the current South Western drought, how long before the 18.3% hydro will be effected?

    We have to change how we generate our electricity, with are current drought conditions and using our clean water for Fracking, there has to be a better way to generate electricity, and there is, a proven stimulating policy.

    The Feed in Tariff is a policy mechanism designed to accelerate investment in Renewable Energy, the California FiT allows eligible customers generators to enter into 10- 15- 20- year contracts with their utility company to sell the electricity produced by renewable energy, and guarantees that anyone who generates electricity from R E source, whether Homeowner, small business, or large utility, is able to sell that electricity. It is mandated by the State to produce 33% R E by 2020.

    FIT policies can be implemented to support all renewable technologies including:
    Wind
    Photovoltaics (PV)
    Solar thermal
    Geothermal
    Biogas
    Biomass
    Fuel cells
    Tidal and wave power.

    There is currently 3 utilities using a Commercial Feed in Tariff in California Counties, Los Angeles, Palo Alto, and Sacramento, are paying their businesses 17 cents per kilowatt hour for the Renewable Energy they generate. We can get our Law makers and Regulators to implement a Residential Feed in Tariff, to help us weather Global Warming, insulate our communities from grid failures, generate a fair revenue stream for the Homeowners and protect our Water.

    The 17 cents per kilowatt hour allows the Commercial Business owner and the Utility to make a profit.

    Commercial Ca. rates are 17 – 24 cents per kilowatt hour.

    Implementing a Residential Feed in Tariff at 13 cents per kilowatt hour for the first 2,300 MW, and then allow no more than 3-5 cents reduction in kilowatt per hour, for the first tier Residential rate in you area and for the remaining capacity of Residential Solar, there is a built in Fee for the Utility for using the Grid. A game changer for the Hard Working, Voting, Tax Paying, Home Owner and a Fair Profit for The Utility, a win for our Children, Utilities, and Our Planet.

    We also need to change a current law, California law does not allow Homeowners to oversize their Renewable Energy systems.

    Campaign to allow Californian residents to sell electricity obtained by renewable energy for a fair pro-business market price. Will you read, sign, and share this petition?

    http://signon.org/sign/let-california-home-owners

    Roof top Solar is the new mantra for Solar Leasing Companies with Net-Metering which allows them to replace One Utility with Another, we need to change this policy with a Residential Feed in Tariff that will level the playing field and allow all of us to participate in the State mandated 33% Renewable Energy by 2020.

    This petition will ask the California Regulators and Law makers to allocate Renewable Portfolio Standards to Ca. Home Owners for a Residential Feed in Tariff, the RPS is the allocation method that is used to set aside a certain percentage of electrical generation for Renewable Energy in the the State.

    Do not exchange One Utility for Another (Solar Leasing Companies) “Solar is absolutely great as long as you stay away from leases and PPAs. Prices for solar have dropped so dramatically in the past year, that leasing a solar system makes absolutely no sense in today’s market.

    The typical household system is rated at about 4.75 kW. After subtracting the 30% federal tax credit, the cost would be $9,642 to own this system. The typical cost to lease that same 4.75 kW system would be $35,205 once you totaled up the 20 years worth of lease payments and the 30% federal tax credit that you’ll have to forfeit when you lease a system. $9,642 to own or $35,205 to lease. Which would you rather choose?

    If you need $0 down financing then there are much better options than a lease or PPA. FHA is offering through participating lenders, a $0 down solar loan with tax deductible interest and only a 650 credit score to qualify. Property Assessed Clean Energy loans are available throughout the state that require no FICO score checks, with tax deductible interest that allow you to make your payments through your property tax bill with no payment due until November 2014. Both of these programs allow you to keep the 30% federal tax credit as well as any applicable cash rebate. With a lease or PPA you’ll have to forfeit the 30% tax credit and any cash rebate, and lease or PPA payments are not tax deductible.

    Solar leases and PPA served their purpose two years ago when no other viable form of financing was available, but today solar leases and PPAs are two of the most expensive ways to keep a solar system on your roof.” Ray Boggs.

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