You'll receive the electricity the same as before, so why not save a bit of money while you use it? For most, a 10% to 20% savings is worth the switch alone.īut for many, the real benefit is what solar energy brings to not just your community but the world by replacing climate-warming fossil fuels. What are the benefits of community solar?įor most people, the biggest benefit of community solar is likely the savings. You will never pay more on your bill through a true community solar program." Clean energy options from utilities may get more expensive over time. "With community solar, you're actually supporting the building of solar projects in your community, and you're guaranteed to save money on your bill. "The clean retail energy suppliers don't produce that energy, they get it somewhere else, most often outside of the state you live in," Hargarten said. Rather than installing local panels and guaranteeing savings, these deals are often more favorable to the companies. But often, those aren't the same as a community solar project. Some utilities or energy suppliers offer a clean energy option. Justin Paget/Getty Images Clean energy supplier Co-ops provide "a little bit of choice and control if you live in a vertically integrated or even deregulated territory."Ĭommunity solar, which allows subscribers to buy electricity from solar farms like this one, lets you get solar power without the roof. "To do a solar co-op is a lot of work and requires a lot of organizing," he said. Hargarten said the early days of solar power and co-ops are what laid the groundwork for community solar today. But in a co-op, the process is so controlled by that group that it can be a challenging endeavor. "In some states, CCAs can subscribe for community solar as a product for their citizens." Solar co-opĪ solar co-op is typically made up of usually property owners who use their buying power as a group to get a better deal on solar installations and save money. "It gives them purchasing power to maybe get a better deal for their residents, kind of like how large businesses can get better deals from utilities," Hargarten said. These arrangements, sometimes called community choice aggregation, or CCAs, are similar to a community solar project but aren't as accessible because it's not entirely inclusive. comes together to leverage its buying power to buy energy to cover the energy needs of its members. Group purchasingĪ group purchase of solar is when a community of some kind - usually a municipality, employer, club, etc. Here are some of the ways today's community solar structure differs from some of those plans. Hargarten said the modern conception of community solar has evolved from things like co-ops and group plans, which are still around, but in different forms. The version of "community solar" that we discuss today has, at times in the past, looked like other forms of solar access. What are the differences between community solar and similar programs? States with legislation supporting community solar In those states, community solar projects represent more than 3,200 megawatts of total installed capacity, and about 74% of that total market is concentrated in the top four states for community solar: Florida, Minnesota, New York and Massachusetts. Of those states, 22 and DC, have policies that support community solar. What states allow community solar?Īs of December 2021, community solar projects are found in 39 states and the District of Columbia. When someone decides to sign up, they pay the developer a fee for that subscription to the energy and, in turn, receive a credit that is typically 10% to 20% more than the bill. A community solar developer establishes its solar array and begins to look for customers, often calling and emailing residents and advertising online and elsewhere. "Those utilities are invested in keeping control of their territories, so generally they will oppose these types of bills, and they carry considerable power and weight in their states."īut if that hurdle can be cleared, the next steps are relatively simple. "Not everyone wants to see competition on the energy grid, namely utilities," he said.
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