2016 Utility Grades Report - Politico

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2016 Utility Grades Report |

Transcript of 2016 Utility Grades Report - Politico

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Forward

Terminology

Methodology

2016 Utility Grades

Utility Breakdowns

2016 Grade Summary

Looking Forward

About FlaSEIA

Contact

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Contents 3

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FORWARD

For the first time, the members of the Florida Solar Energy Industry Association (FlaSEIA) are grading the utilities in our state.

We created this report to share the experiences of FlaSEIA contractors who install solar energy in Florida. It is designed to help the communities, individuals,

associations, businesses, and governments in Florida who are interested in seeing solar energy flourish to understand the role our utilities are playing in the health of the solar industry. We offer recognition for the utilities that are supporting solar and recommendations for the utilities that are impeding the growth of solar.

Our intention for this report is to inspire Floridians to reach out to their utilities as well as their city, county, and state politicians, and share their thoughts on solar

power in Florida.

If your utility receives high grades from us this year, then please take time to reach out and thank them for supporting solar in Florida. If they received poor grades from us this year, then please take time to reach out and let them know how you feel, and ask them to consider implementing some of our recommendations.

It is equally important to contact your city, county, and state politicians, and let them know you want them to support the solar industry in Florida. The Sunshine

State currently provides no rebates or incentives for solar energy. Fossil fuels still receive massive subsidies. Tell them Florida should learn from the successes of other states in order to foster solar-driven economic development and introduce more competition into the electricity marketplace in Florida.

Tell them you want the cleaner air, cleaner water, job creation, energy security, and investment in our future that solar electricity provides.

Solar power is ready for Florida. Now we need your help to make sure Tallahassee understands Florida wants solar power. Without your voice, they have no incentive to change.

Thank you for taking time to read this report. We welcome all feedback at [email protected].

Mike Garrett

FlaSEIA Board Member

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TERMINOLOGYA brief explanation of key terms used in this report.

Community Solar — (Also: shared solar) An arrangement that pools investments from multiple members of a community to construct one local solar system and then provide power and/or financial benefits

from that system in return. Typically requires a policy like virtual net metering to be viable.

Feed-In Tariff — A policy mechanism designed to accelerate investment in renewable energy by offering long-term contracts to renewable energy producers.

Grid — An interconnected network for delivering electricity from suppliers to consumers. It consists of generating stations that produce electrical power, high-voltage transmission lines that carry power from

distant sources to demand centers, and distribution lines that connect individual customers.

Interconnection — The physical connection between a renewable energy generation system (like solar) and a utility grid.

Interconnection Agreement — A legal agreement between the utility and customer that constitutes the requirements, details, and fees for connecting a renewable energy generation system to their grid.

Investor-Owned Utility (IOU) — A business organization providing a product or service regarded as a utility and managed as a private enterprise rather than a function of government or a utility cooperative.

Kilowatt-Hour — A measure of electrical energy equivalent to a power consumption of 1,000 watts for 1 hour.

Net Metering — A billing system that allows utility customers who generate electricity from solar to feed electricity they produce but are not consuming back into the grid and receive a credit for that electricity.

Credits are typically used to offset energy consumed from the grid (e.g. at night or other periods where the home's electricity use exceeds the system's output). Net metered customers are then billed monthly

for their “net” energy use.

Public Service Commission (PSC) — State-level governing body that regulates the rates and services of a public utilities. The Florida Public Service Commission (FPSC) regulates investor-owned electric, natural

gas, water, and wastewater utilities. FPSC consists of five members appointed by the Governor and confirmed by the senate.

Solar Electricity — Using light energy (photons) from the Sun to generate electricity. Used interchangeably in this report as: solar, solar energy, solar power, photovoltaic solar, PV solar, solar PV.

Virtual Net Metering — (Also: Virtual meter aggregation) A billing system that allows a solar customer to credit kilowatt-hours (kWh) from one bill or meter to another. This model provides an opportunity for

community solar and offers home and business owners with limited roof space and/or sunlight an alternative model for using solar.

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METHODOLOGY

FlaSEIA member contractors provided grades in six categories for every utility they installed photovoltaic solar with between 2015 & 2016.

Final utility grades are the averages of grades provided by participating FlaSEIA member contractors.

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

INFRASTRUCTURE QUALITY

TECHNICAL LEGAL PERMITTING SERVICE ADVOCACY GRID

• Adherence to state net metering laws

• Utility-specific net metering policies

• Value for kWh sent back on grid by solar customers

• Restrictions or limitations placed on solar installations

• Ownership of renewable energy credits

• Fees to solar customers

• Inspection and/or permitting process for solar

• Utility staff knowledgable about solar

• Permitting/inspection fees

• Interactions with utility

• Availability

• Responsiveness

• Feedback from solar customers

• Helping or hurting solar industry

• Lobbying activity

• Resources available for customers interested in switching to solar energy

• Quality of grid infrastructure

• Service interruptions

• Feedback from solar customers

Few utilities fall into absolutes. Some utilities received dramatically different grades from our members — implying very different experiences with the same utility —

while other utilities’ grades demonstrated a clear consensus from our members. Most utilities have grades that indicate our members like some of their policies/

behaviors/resources, but that they also have room for improvement. Feedback from solar customers was also taken into account.

CATEGORIES AND SCORING CRITERIA

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2016 UTILITY GRADES

Utility Name Net Metering Interconnection Plan Review Customer Service Solar Friendliness Grid Quality

Central Florida Electric (CFEC) F B B B F C

City of Alachua Municipal Electric F F D F F C

City of Ocala Municipal Electric D C B B D C

Clay Electric Cooperative (Clay) B B A A B A

Duke Energy C C C F F C

Florida Power & Light (FPL) C C C F F C

Gainesville Regional Utilities (GRU) A A C C C C

Jacksonville Energy Authority ( JEA) D C D C D D

Lakeland Electric F B C B F C

New Smyrna Beach Utilities Commission D D F D F F

Orlando Utilities Commission (OUC) A B B B A B

Peace River Electric Cooperative B B B C B B

Sumpter Electric (SECO) D B A A C A

Suwannee Valley Electric Cooperative (SVEC) A A A B B C

Tampa Electric (TECO) D D D C F D

Tri-County Electric Cooperative B B B B B B

Withlacoochee Electric Cooperative D B B B D B

Utilities not listed did not receive grades from FlaSEIA for 2016. This can happen if no photovoltaic solar was installed on their grid by FlaSEIA members between 2015 & 2016.

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Central Florida Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

GRID QUALITY

F CFBBB

Central Florida Electric Cooperative is not offering true net metering.

Summary

• Enable virtual net metering and community solar

• Follow the PSC’s guidelines for net metering and offer

retail value for electricity sent back from solar

customers

• Credits all incoming kilowatt-hours as avoided costs

instead of offering the retail cost

Recommendations Concerns

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City of Alachua Municipal ElectricGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

F CFFDF

Recommendations

The City of Alachua is the first utility in Florida to charge solar customers a monthly fee for using solar energy.

This makes them one of the most unfriendly utilities in Florida for the solar industry.

Summary

Noteworthy Concerns

• Recently updated their interconnection agreement to change their maximum allowed solar installation size

from 100kW to 1500kW

• Enable virtual net metering and community solar

• Remove monthly fee for solar customers

• Give ownership of Renewable Energy Credits (REC) to

their legal producers; your solar customers

• Charges a $10 per month fee to all homeowners and businesses that use solar energy

• City staff and commissioners operate under the belief

that solar energy is a burden to the utility and to non-

solar ratepayers

• Retains ownership of Renewable Energy Credits

produced by solar customers

GRID QUALITY

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Recommendations

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City of Ocala Municipal ElectricGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D CDBBC

The City of Ocala is currently not offering true net metering for their solar customers.

Summary

Noteworthy Concerns

• Listened to feedback from solar industry and chose

not to lower their net metering rate to $0.03/kWh

• Has seen a lot of growth in solar customers

• Enable virtual net metering and community solar

• Follow the PSC’s guidelines for net metering and offer

retail value for electricity sent back from solar

customers

• Offering less than retail for electricity sent back to

them from solar customers

• Members report long wait times in getting feedback

and answers from staff

• Members report long delays on documents, reportedly

up to a month

GRID QUALITY

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• Offers support and resources to customers who call in

asking about solar energy

• Meter installations typically turned around within 24

hours

• Engineering staff is very accessible, knowledgable, and favorable to solar energy

• No concerns reported by our members

• Enable virtual net metering and community solar

• Expand interconnection to allow customers to install

solar energy systems above 100kW

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Clay Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

B ABAAB

Recommendations

Clay Electric Cooperative is one of three utilities in Florida that received A’s and B’s in all six categories.

Summary

Noteworthy

GRID QUALITY

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Duke EnergyGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

C CFFCC

One of the state Investor-Owned Utilities (IOUs). Duke Energy has been actively campaigning for Amendment 1.

Summary

• Enable virtual net metering and community solar

• Speed up meter installation timelines

• Create a centralized contact for solar design review

• Petition the Public Service Commission to reinstate state-level solar incentives

• Amend interconnection policies to allow for solar

termination inside of Duke-owned enclosures

• Has contributed at least $5,737,000 to the Consumers

for Smart Solar PAC, pushing for Amendment 1. Balllotpedia, 9/29/16

• Named in Integrity Florida report: “Power Play: Political

Influence of Florida’s Top Energy Corporations,” for

extensive political lobbying in Florida

• Members report it can extremely difficult to get in

touch with staff

• 2014 was the last year Duke Energy offered any

rebates or incentives for solar energy

• Actively prioritizes natural gas and dirty energy sources over solar

• Meter installations can take between 3 - 6 weeks

• Requires impact survey for solar

Recommendations Concerns

FlaSEIA.org 11

GRID QUALITY

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Florida Power & LightGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

C CFFCC

One of the state Investor-Owned Utilities (IOUs). Florida Power & Light has been actively campaigning for Amendment 1.

Summary

• Enable virtual net metering and community solar

• Petition the Public Service Commission to reinstate

state-level solar incentives

• Has contributed at least $5,495,000 to the Consumers

for Smart Solar PAC, pushing for Amendment 1.

Balllotpedia, 9/29/16

• Named in Integrity Florida report: “Power Play: Political

Influence of Florida’s Top Energy Corporations,” for extensive political lobbying in Florida

• Members report staff can be very hostile towards solar

contractors

• 2014 was the last year FPL offered any rebates or

incentives for solar energy

• Actively prioritizes natural gas and dirty energy sources

over solar

Recommendations Concerns

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GRID QUALITY

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Gainesville Regional UtilitiesGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

A CCCCA

Recommendations

The Southern Alliance for Clean Energy (SACE) once described Gainesville as “the golden child for this whole industry.”

While they no longer have the feed-in tariff model for solar energy, they stand out for offering true net metering for their solar customers.

Summary

Noteworthy Concerns

• True net metering; full retail value offered for all kWh sent back to GRU by solar customers

• Mandatory Renewable Energy Credit (REC) meter

installation shows progressive, forward thinking

• Enable virtual net metering and community solar

• Restore the feed-in tariff

• Highest residential cost of electricity in the state

• Eliminated the feed-in tariff model for solar after building controversial biomass plant, now the 3rd

largest in the U.S.

• Recent changes in personnel have affected their

knowledge of and friendliness towards solar

GRID QUALITY

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Jacksonville Energy AuthorityGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D DDCDC

Recommendations

Jacksonville could be a major focus for the solar industry in Florida, but JEA sees solar energy users as a burden to their grid.

Summary

Noteworthy Concerns

• Has seen a lot of growth in solar customers • Enable virtual net metering and community solar

• Follow the PSC’s guidelines for net metering and

continue to offer retail value for electricity sent back

from solar customers

• Utility board and staff operate under the belief that

solar energy is a burden to the utility and to non-solar

ratepayers

• Sought to offer $0.03/kWh for solar customers until

public outcry convinced them to postpone the decision

• Members report very slow meter installations

GRID QUALITY

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Lakeland ElectricGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

F CFBCB

Lakeland Electric is the only utility in Florida that charges solar customers a demand fee.

Summary

• Enable virtual net metering and community solar

• Eliminate demand billing fees for solar customers

• Adopt the PSC’s guidelines for net metering

• A demand charge has been instituted for solar that

effectively discourages solar PV for many customers

Recommendations Concerns

GRID QUALITY

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New Smyrna Beach Utilities CommissionGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D FFDFD

New Smyrna Beach Utilities Commission has a reputation of not being particularly friendly towards the solar industry or solar customers.

Summary

• Enable virtual net metering and community solar

• Work with FlaSEIA leadership to address some of the

concerns listed here

• Have had issues with extremely long delays for meter

installations; members have reported waiting several

months

• Has attempted to implement extreme insurance

requirements that would discourage customers from

utilizing solar

• Members report extreme difficulty in scheduling

inspections

• Members and solar customers have reported their

staff has actively discouraged interested customers

from utilizing solar

• Members report significant amount of paperwork and

action required compared to other utilities

Recommendations Concerns

GRID QUALITY

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Orlando Utilities CommissionGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

A BABBB

Recommendations

The Orlando Utilities Commission is the only utility to earn an A in Solar Friendliness, and is one of three utilities in Florida that received A’s and B’s in all six categories.

Summary

Noteworthy Concerns

• They currently offer the best incentive in Florida for

solar energy: Solar customers receive a $0.05/kWh

credit for all energy produced by their solar systems, even for kilowatt-hours consumed by the customer

and not sent back on the OUC grid.

• Enable virtual net metering and community solar

• Maintain or expand the current solar incentive

• Has recently expressed a desire to end the current

solar photovoltaic credit program

GRID QUALITY

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Peace River Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

B BBCBB

Recommendations

Peace River Electric Cooperative is friendly to solar.

Summary

Noteworthy Concerns

• Staff is recognized for being very friendly and

cooperative towards solar• Enable virtual net metering and community solar • Members report staff is lacking in knowledge about

solar

• Solar customers report difficulty getting answers to

questions about solar

GRID QUALITY

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Sumter Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D ACAAB

Recommendations

Sumter Electric Cooperative staff are regarded for their knowledge and helpfulness, but they do not offer true net metering.

Summary

Noteworthy Concerns

• Staff is recognized for being knowledgeable about

solar and very accessible

• Very helpful to their customers who reach out with

interest in using solar; actively promotes solar

• Quick meter installations

• Enable virtual net metering and community solar

• Follow the PSC’s guidelines for net metering and offer

retail value for electricity sent back from solar

customers

• Currently only pay $0.078/kWh for excess electricity

sent back through net metering, which is lower than

their retail rate

GRID QUALITY

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Suwannee Valley Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

A CBBAA

Recommendations

Suwannee Valley Electric Cooperative is friendly to solar.

Summary

Noteworthy Concerns

• Has entire section of website dedicated to helping

their customers understand solar energy• Enable virtual net metering and community solar • Members and solar customers cite frequent outages

and poorly maintained lines and equipment

GRID QUALITY

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Tampa ElectricGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D DFCDD

One of the state Investor-Owned Utilities (IOUs). Tampa Electric has been actively campaigning for Amendment 1.

Summary

• Enable virtual net metering and community solar

• Petition the Public Service Commission to reinstate

state-level solar incentives

• Has contributed at least $3,037,347 to the Consumers

for Smart Solar PAC, pushing for Amendment 1.

Balllotpedia, 9/29/16

• Named in Integrity Florida report: “Power Play: Political

Influence of Florida’s Top Energy Corporations,” for extensive political lobbying in Florida

• 2014 was the last year TECO offered any rebates or

incentives for solar energy

• Members report extensive requirements for

interconnections and interconnection agreements

Recommendations Concerns

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GRID QUALITY

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Tri-County Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

B BBBBB

Recommendations

Tri-County Electric Cooperative is one of three utilities in Florida that received A’s and B’s in all six categories.

Summary

Noteworthy

• No concerns reported by our members

• Quick meter installations

• Enable virtual net metering and community solar

GRID QUALITY

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Withlacoochee River Electric CooperativeGRADE BREAKDOWN

NET METERING INTERCONNECTION AGREEMENTS

PLAN REVIEW PROCESS

CUSTOMER SERVICE

SOLAR FRIENDLINESS

D BDBBB

Withlacoochee River Electric Cooperative is not offering true net metering.

Summary

• Enable virtual net metering and community solar

• Follow the PSC’s guidelines for net metering and offer

retail value for electricity sent back from solar

customers

• Credits all incoming kilowatt-hours as avoided costs

instead of offering the retail cost

• Members report interconnection process can be slow

Recommendations Concerns

GRID QUALITY

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• Orlando Utilities Commission was the only utility to receive an A for Solar Friendliness

• Clay Electric, Tri-County Electric, and OUC were the only utilities to score A’s and B’s in all six categories

• Tri-County and Clay Electric are the only two utilities for which our members listed no concerns.

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2016 GRADE SUMMARYTrends, patterns, and observations for Florida’s utilities in 2016.

• Six utilities did not receive a single A or B in any category: City of Alachua, Duke, FPL, JEA, New Smyrna, and TECO

• Seven utilities received F’s in Solar Friendliness: CFEC, City of Alachua, Duke, FPL, Lakeland, New Smyrna Beach, and TECO

• Four utilities received F’s for Interconnection: CFEC, City of Alachua, Lakeland, and New Smyrna Beach

• Failing grades for Net Metering were given to: CFEC, City of Alachua, City of Ocala, JEA, Lakeland, New Smyrna Beach, Sumter, TECO, and Withlacoochee

• Duke, FPL, and TECO have contributed more than $14,000,000 to the Smart Solar PAC, promoting Amendment 1

Champions

Concerns

A pattern is emerging that suggests municipal utilities are undervaluing solar energy returned to the grid through net metering. There are some notable exceptions,

like GRU or Clay Electric, but many of Florida’s solar customers are not receiving full value for the electricity they produce. On top of that, some utilities have now

placed further limitations and roadblocks for solar, either financially in the form of demand fees or monthly charges for solar, or institutionally in the form of extreme

requirements for interconnections or chronically delayed inspections and meter installations.

For 2016, the solar industry in Florida has few champions and many concerns:

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LOOKING FORWARDThe future of solar energy.

We are seeing a consistent narrative repeatedly being used against solar — that solar customers are a burden to the utilities, to the grid, and to non-solar ratepayers.

This myth is perpetuated by those who do not want to see solar succeed.

The evidence says otherwise. From the May 2016 Brookings Institute report: “Rooftop solar: Net metering is a net-benefit:”

In May of 2016, solar power set a new global record by undercutting the cost of coal for a new power plant in Dubai.

Solar power is helping us make the transition away from fossil fuels. A 2015 report from the International Energy Agency found:

“Global emissions of carbon dioxide from the energy sector stalled in 2014, marking the first time in 40 years in which there was a halt or reduction in emissions of the

greenhouse gas that was not tied to an economic downturn ... In the 40 years in which the IEA has been collecting data on carbon dioxide emissions, there have only been

three times in which emissions have stood still or fallen compared to the previous year, and all were associated with global economic weakness: the early 1980’s; 1992 and 2009. In 2014, however, the global economy expanded by 3%.”

In 2014, for the first time ever, carbon pollution emissions didn’t grow while the global economy did.

The latest Market Insight report (Q3, 2016) from the Solar Energy Industry Association says solar energy accounted for 26% of all new electric generating capacity brought on-line in U.S. in the first half of 2016 alone.

Solar will continue to grow.

“Increasingly it concludes— whether conducted by PUCs, national labs, or academics — that the economic benefits of net metering actually outweigh the costs and impose no significant cost increase for non-solar customers.  Far from a net cost, net metering is in most cases a net

benefit—for the utility and for non-solar rate-payers.”

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LOOKING FORWARDDefeating the myth of solar as a burden — excerpts from the 2016 Brookings Institute report: “Rooftop solar: Net metering is a net benefit”

In 2013 Vermont’s Public Service Department conducted a study that concluded that “net-

metered systems do not impose a significant net cost to ratepayers who are not net-

metering participants.” The legislatively mandated analysis deemed the policy a successful

component of the state’s overall energy strategy that is cost effectively advancing Vermont’s

renewable energy goals.

A 2014 study commissioned by the Nevada Public Utility Commission concluded that net

metering provided $36 million in benefits to all NV Energy customers, confirming that solar

energy can provide cost savings for both solar and non-solar customers alike. Solar

installations will make fewer costly grid upgrades necessary, leading to additional savings.

The study estimated a net benefit of $166 million over the lifetime of solar systems installed

through 2016.

A 2014 study commissioned by the Mississippi Public Services Commission concluded that

the benefits of implementing net metering for solar PV in Mississippi outweigh the costs in all

but one scenario. The study found that distributed solar can help avoid significant

infrastructure investments, take pressure off the state’s oil and gas generation at peak

demand times, and lower rates.

In 2014 Minnesota’s Public Utility Commission approved a first-ever statewide “value of solar”

methodology which affirmed that distributed solar generation is worth more than its retail

price and concluded that net metering undervalues rooftop solar. The “value of solar”

methodology is designed to capture the societal value of PV-generated electricity. The PUC

found that the value of solar was at 14.5 cents per kilowatt hour (kWh)—which was 3 to 3.5

cents more per kilowatt than the retail rates—when other metrics such as the social cost of

carbon, the avoided construction of new power stations, and the displacement of more

expensive power sources were factored in.

Another study commissioned by the Maine Public Utility Commission in 2015 put a value of $0.33/

kWh on energy generated by distributed solar, compared to the average retail price of $0.13/kWh

— the rate at which electricity is sold to residential customers as well as the rate at which

distributed solar is compensated. The study concludes that solar power provides a substantial

public benefit because it reduces electricity prices due to the displacement of more expensive

power sources, reduces air and climate pollution, reduces costs for the electric grid system,

reduces the need to build more power plants to meet peak demand, stabilizes prices, and

promotes energy security. These avoided costs represent a net benefit for non-solar ratepayers.

A review of 11 net metering studies by Environment America Research and Policy Center has

found that distributed solar offers net benefits to the entire electric grid through reduced capital

investment costs, avoided energy costs, and reduced environmental compliance costs. Eight of the

11 studies found the value of solar energy to be higher than the average local residential retail

electricity rate: The median value of solar power across all 11 studies was nearly 17 cents per unit,

compared to the nation’s average retail electricity rate of about 12 cents per unit.

A 2015 cost-benefit study of net metering in Missouri by the Missouri Energy Initiative found that

even accounting for increased utility administrative costs and the shifting of some fixed expenses,

net metering is a net benefit for all customers regardless of whether they have rooftop solar. The

study used values for two kinds of costs and two benefits and concluded that net metering’s “net

effect” is positive. The typical solar owner pays only 20% less in fixed grid costs and costs the

utility an estimated $187 per interconnection. Meanwhile, solar owners benefit the system

through reduced emissions and energy costs.

In yet another study, researchers at the University at Albany, George Washington University, and

Clean Power Research have found that solar installations in New York deliver between 15 and 40

cents per kWh to ratepayers. The study noted that these numbers provide economic justification

for the existence of incentives that transfer value from those who benefit from solar electric

generation to those who invest in solar electric generation.

“…a significant body of cost-benefit research conducted by PUCs, consultants, and research organizations provides substantial evidence

that net metering is more often than not a net benefit to the grid and all ratepayers.”

Source: Muro, Mark, and Devashree Saha. "Rooftop Solar: Net metering Is a net benefit." Brookings. The Brookings Institution, 23 May 2016

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FlaSEIA.org 27Source: A. Delucchi, Mark and Z. Jacobson, Mark; “Providing all global energy with 100% Wind, water, and solar power/ (WWS) all-sector energy plans for the world and U.S. as a whole, Part I & Part II,” Stanford University and University of California at Davis, (Energy Policy, 2011)

•Provide almost 80% of the state’s energy

•Pay for itself in as little as 2 years, from air pollution and climate cost savings alone

•Create over 312,000 jobs

•Improve our state energy efficiency, resulting in an energy demand reduction of 43%

•Save Florida $40.8 billion in healthcare costs (2% of the state GDP)

•Prevent 2,681 air pollution deaths

•Require only 1.01% of Florida land

•Lower our average cost of electricity from $0.116/kWh — or $0.173/kWh if you add an additional $0.057/kWh to

account for the health and climate externality costs of fossil fuels — down to $0.091/kWh

•Create an average of $319/yr in energy cost savings per person

•Create an average of $5,207/yr in combined energy, health, and climate cost savings per person

LOOKING FORWARDThe future of solar energy in Florida.

If Florida converted to 100% wind, water, and solar (WWS) energy by 2050, then solar power would:

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ABOUT FlaSEIAThe Florida Solar Energy Industry Association is a non-profit professional association of solar companies in Florida.

We have been protecting and promoting the interests of the solar energy industry in Florida since 1977.

To promote the common interest of persons engaged in business in the solar energy industry, to improve the business conditions of

the solar energy industry, and to advocate on behalf of the solar energy industry in the state of Florida.

Our Mission

2016 FlaSEIA Board Promoting “Citizens For Solar Choice”

AdvocacyFlaSEIA was instrumental in garnering permanent status for the state’s solar sales tax exemption, and in helping promote the passage of the Florida Renewable Energy Technologies and Energy Efficiency Act and Amendment 4 for property tax exemptions for

commercial solar installations in Florida.

More Than ElectricityWhile this report is focused exclusively on solar electricity, FlaSEIA is also the industry association for solar pool and solar water heating.

For almost 40 years, FlaSEIA has represented the solar industry in Florida. FlaSEIA members design, build, supply, install, and service solar photovoltaic

systems throughout Florida. Our members are united in their desire to see good, clean, affordable, and ethical solar installed in our state.

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FlaSEIA LEADERSHIP2016 Board of Directors

Reed Wilson Patrick Altier Troy Millar Scott Egglefield Wayne Wallace

Mike Garrett Tom Harriman Bill Gallagher Mike Antheil Chris Maingot

President 1st Vice President 2nd Vice President Secretary/Treasurer Imm. Past President

Bob Zrallack

Omer “Remo” EyalFL Green Team Solar Trek The LeverEdge Mirasol FAFCO Solar Solar Source Superior Solar

Solar Impact Harrimans Solar-Fit Renovate America Universal Solar Services UMA Solar

2015 - 2017 2016 - 2018 2016 - 2018 2016 - 2018 2015 - 2017 2015 - 2017

2015 - 2017 2015 - 2017 2015 - 2017 2016 - 2018 2016 - 2018 2016 - 2018

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FlaSEIA2016 Members

Wendy Parker Barsell

Executive Director

FlaSEIA

A National Electric Service, Inc.

A1A Solar Contracting, Inc.

Advance Solar & Spa, Inc.

Allen Gezelman Professional Engineer

Allied Building Products

Alternative Energy Services, Inc.

American Solar Energy Systems, Inc.

Aquatherm Industries, Inc.

Bison Roofing & Solar

Bob Heinmiller Solar Solutions, LLC

Brightside Solar Energy Company, LLC

Brilliant Harvest, LLC

Broward Solar, Inc.

CED / GREENTECH

Climatic-Solar Corporation

Compass Solar Energy

Cutler Bay Solar Solutions

Erwin Technical Center

Excel Solar

FAFCO Solar

First Green Bank

FL Green Team, a division of Comfort Temp LLC

Florida Association of Plumbing Heating and Cooling Contractors

Florida Solar East, LLC

Florida Solar Energy Center

Florida Solar Energy Research & Education Foundation

Fun in the Sun Pool Heating, Inc.

Gexpro

Harrimans, Inc.

Heliocol U.S.A., Inc.

HelioSage Energy

ICC-SRCC

Independent Green Technologies (IGT)

Inman Solar Incorporated

Ivan Labs, Inc.

Kyocera International Inc.

Mateer & Harbert

Mirasol FAFCO Solar, Inc.

Power Production Management, Inc.

Pure Energy Solar International, Inc.

Renovate America

Rigid Systems LLC

SEM LLC d/b/a/ Solar Energy Management

Shumaker, Loop & Kendrick LLP

Smith Currie & Hancock LLP

Solar Energy Systems

Solar Energy Systems of Brevard, Inc.

Solar Hydronics Corp / The LeverEdge

Solar Impact, Inc.

Solar Source

Solar Trek, Inc.

Solar Water Heaters of Hudson

Solar-Fit

SolarCity

SolarTech Universal

Soligent

SunEarth, Inc.

Sunshine Solar Services, Inc.

Superior Solar Systems, LLC

TEO Solar

Tryon Plumbing, Inc.

U.S. Solar Institute

UMA Solar

United SOLAR Energy, Inc.

Universal Solar

Uptown Energy Solutions, LLC

Urban Solar Group

Vinyasun

Wayne’s Solar, Inc.

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Thank you for reading.

If you install solar or do business with the solar industry in Florida, then please consider joining the Florida Solar Energy Industry Association

Not a business? You can still support the solar industry in Florida with a donation to FlaSEIA.

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Learn more at FlaSEIA.org

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CONTACT

Prepared By:

Mike Garrett

FlaSEIA Board Member

Created By: The Florida Solar Energy Industry Association

2555 Porter Lake Drive, Suite 106 Sarasota, FL 34240

(407) 339-2010 (800) 426-5899

[email protected]