{"id":12320,"date":"2015-02-23T10:43:18","date_gmt":"2015-02-23T15:43:18","guid":{"rendered":"http:\/\/www.l-a-k-e.org\/blog\/?p=12320"},"modified":"2015-02-23T10:43:18","modified_gmt":"2015-02-23T15:43:18","slug":"minnesota-follows-austin-with-value-of-solar-tariff-better-than-net-metering-or-not","status":"publish","type":"post","link":"http:\/\/www.l-a-k-e.org\/blog\/2015\/02\/minnesota-follows-austin-with-value-of-solar-tariff-better-than-net-metering-or-not.html","title":{"rendered":"Minnesota follows Austin with Value of Solar Tariff: better than net metering, or not?"},"content":{"rendered":"<p>\r\nYes, it&#8217;s better than the unequal &#8220;net metering&#8221; Georgia has now,\r\nwhere your one-and-only utility pays you a rate they determine,\r\ntypically their &#8220;avoided&#8221; rate of not generating energy by some\r\nother means, which is usually a lot less than what you pay your utility.\r\nIs it better than real one-to-one net metering?\r\nThat&#8217;s a harder question, because even if it pays more now, it&#8217;s\r\nless predictable.\r\nIn any case VOST has spread\r\n<a href=\"http:\/\/www.l-a-k-e.org\/blog\/2013\/06\/austin-energy-pays-3-cents-extra-for-solar-and-everybody-wins.html\">\r\nfrom Austin<\/a> to Minnesota.\r\n<p>\r\nHerman K. Trabish, GreenTechMedia, 10 April 2014,\r\n<a href=\"http:\/\/www.greentechmedia.com\/articles\/read\/A-Rising-Tension-Within-the-Solar-Industry-Value-of-Solar-Versus-NEM\">\r\nA Rising Tension: &lsquo;Value-of-Solar&rsquo; Tariff Versus Net Metering<\/a>,\r\n<p style=\"text-align:center;font-size:80%\">\r\n<a href=\"http:\/\/www.greentechmedia.com\/articles\/read\/A-Rising-Tension-Within-the-Solar-Industry-Value-of-Solar-Versus-NEM\">\r\n<img decoding=\"async\" style=\"border:none\" src=\"http:\/\/dqbasmyouzti2.cloudfront.net\/assets\/content\/cache\/made\/content\/images\/articles\/value-of-solar-ilsr-17_582_450.png\"><\/a>\r\n<br>\r\nSource: Institute for Local Self Reliance\r\n<\/p>\r\n<blockquote style=\"font-size:100%\">\r\n<p>\r\nThe Alliance for Solar Choice, a group made up of<!--more-->\r\n\r\n leading solar\r\nservice providers, is a staunch defender of net energy metering. And\r\nthat has brought it into conflict with solar advocates calling for a\r\nmore precise &#8220;value of solar&#8221; calculation.\r\n<\/p>\r\n<p>\r\nTASC&#8217;s defense of net metering divided stakeholders in Minnesota who\r\neventually pushed through the nation&#8217;s first legislatively mandated\r\nand PUC-approved state value-of-solar tariff. In South Carolina,\r\nTASC&#8217;s intervention could halt compromise net metering legislation\r\ncrafted by a coalition of advocates and local utilities looking to\r\ncreate a value-of-solar formula.\r\n<\/p>\r\n<p>\r\nTASC wants to protect net metering, which credits rooftop solar\r\nowners at the retail rate for electricity delivered to the grid.\r\n&ldquo;This is a stable and highly successful policy,&rdquo; TASC\r\nExecutive Director Anne Smart has written. &#8220;We need to maintain net\r\nmetering, not &lsquo;fix&rsquo; it.&rdquo;\r\n<\/p>\r\n<p>\r\nNet metering is key to the third-party ownership (TPO) business\r\nmodel leveraged by TASC founding members SolarCity, Sungevity,\r\nSunrun and Verengo. By effectively making use of federal tax\r\ncredits, net metering and investment funds, TPO companies have\r\ndriven unprecedented U.S. solar growth over the last two years.\r\n<\/p>\r\n<\/blockquote>\r\n<p>\r\nThe article notes utilities make excuses for why they don&#8217;t like\r\nnet metering, and VOST addresses those through a detailed examination of:\r\n<blockquote style=\"font-size:100%\">\r\n<ul>\r\n<li>\r\n    Avoiding the purchase of energy from other, polluting sources\r\n<li>\r\n    Avoiding the need to build additional power plant capacity to meet peak energy needs\r\n<li>\r\n    Providing energy for decades at a fixed price\r\n<li>\r\n    Reducing wear and tear on the electric grid, including power lines, substations, and power plants\r\n<\/ul>\r\n<\/blockquote>\r\n<p>\r\nThe result of that examination is that utilities should pay the same or more\r\nto local solar energy producers as they charge.\r\n<blockquote style=\"font-size:100%\">\r\n<p>\r\nBecause it is a rigorously determined, transparent, and regulator-approved value, a VOST should eliminate utilities&#8217; arguments about cross-subsidies, according to Karl Rabago, a former Texas regulator and utility executive who\r\n<a href=\"http:\/\/www.greentechmedia.com\/articles\/read\/can-a-value-of-solar-tariff-replace-net-energy-metering\">\r\ncreated the first U.S. VOST<\/a> in Austin, Texas.\r\n<\/blockquote>\r\n<p>\r\nThe catch is that utilities can recalculate VOST periodically,\r\nmaking long-term solar financing difficult, plus this:\r\n<blockquote style=\"font-size:100%\">\r\n<p>\r\nA VOST requires good-faith engagement and oversight on the part of\r\nelectric utilities, Rabago said. &ldquo;Utility\r\n<a href=\"http:\/\/www.greentechmedia.com\/articles\/read\/will-a-new-regulators-guide-settle-the-value-of-rooftop-solar-debate\">\r\nregulators must do their job<\/a>.&rdquo; This means transparent ratemaking.\r\n&ldquo;Well-run, open stakeholder processes, like those used in\r\nAustin and Minnesota, were vital to generating results.&rdquo;\r\n<\/p>\r\n<\/blockquote>\r\n<p>\r\nMeanwhile in Georgia,\r\neven after\r\n<a href=\"http:\/\/www.l-a-k-e.org\/blog\/2014\/12\/georgia-power-cant-get-a-schedule-from-its-own-contractors-for-vogtle-nuclear-project.html\">Georgia Power\r\nadmitted it can&#8217;t get a schedule from its own contractors<\/a> and\r\nhasn&#8217;t had one for two years, the Public Service Commission\r\nstill did nothing to halt cost overruns at nuclear plant Vogtle.\r\n<\/p>\r\n<p>\r\nSo for Georgia I&#8217;d settle for simple one-to-one net metering.\r\n<p>\r\nOh, and let&#8217;s get\r\n<a href=\"http:\/\/www.l-a-k-e.org\/blog\/2015\/02\/hb-57-solar-financing-bill-unanimously-passed-georgia-house.html\">\r\nHB 57 passed for solar financing<\/a>.\r\n<p>\r\n -jsq\r\n<\/p>\r\n","protected":false},"excerpt":{"rendered":"Yes, it&#8217;s better than the unequal &#8220;net metering&#8221; Georgia has now, where your one-and-only utility pays you a rate they determine, typically their &#8220;avoided&#8221; rate of not generating energy by some other means, which is usually a lot less than what you pay your utility. Is it better than real one-to-one net metering? That&#8217;s a [&hellip;]","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_links_to":"","_links_to_target":""},"categories":[606,14,17,8,18,20,104,24],"tags":[2861,236,8794,8704,8701,8270,8273,8702,8710,12,3036,8714,237,8271,8272],"class_list":["post-12320","post","type-post","status-publish","format-standard","hentry","category-austinenergy","category-economy","category-ga-psc","category-georgia","category-georgia-power","category-law","category-nuclear","category-solar","tag-net-metering","tag-austin","tag-austinenergy","tag-economy","tag-georgia","tag-hb-57","tag-karl-rabago","tag-lake","tag-law","tag-lowndes-area-knowledge-exchange","tag-minnesota","tag-solar","tag-texas","tag-value-of-solar-tariff","tag-vost"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p585fK-3cI","jetpack_sharing_enabled":true,"jetpack-related-posts":[],"_links":{"self":[{"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/posts\/12320","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/comments?post=12320"}],"version-history":[{"count":2,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/posts\/12320\/revisions"}],"predecessor-version":[{"id":12322,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/posts\/12320\/revisions\/12322"}],"wp:attachment":[{"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/media?parent=12320"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/categories?post=12320"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.l-a-k-e.org\/blog\/wp-json\/wp\/v2\/tags?post=12320"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}