Your home or business may have received an “act now” letter in the mail from a community solar vendor. And there’s a good chance homeowners received one of those dreaded door-to-door sales pitches.
Community projects are springing up around the state, thanks to revised legislation and, more recently, work by the Meyer Administration to reduce the numerous roadblocks that solar developers face.
Community solar allows those who can’t afford the upfront cost of solar panels or live in rental properties to take advantage of solar output in the state.
The savings, which can reduce electricity costs by 10% and, in some cases, more, should find a receptive audience.
However, Delawareans have been more reluctant than their counterparts in other states to choose an energy supplier other than Delmarva Power under deregulation. The worry was that, for many of us, an alternative supplier would offer a decent short-term rate but would jack up the price later.
Delmarva Power smooths out some of the rate bumps by locking in longer-term wholesale rates that it passes along to customers on a non-profit basis. That practice did not insulate its customers from the recent spike resulting from wholesale auctions.
Moreover, a sizable proportion of the population living in towns and cities with a municipal utility or in the Delaware Electric Cooperative service area isn’t eligible for the program.
Community solar doesn’t appear to come with some of the above-noted risks, although there are issues with door-to-door sales tactics and billing.
In unanimous votes, the House and Senate approved a bill that provides more oversight of third-party electricity suppliers and simplifies billing for community solar.
The billing change did not sit well with the Caesar Rodney Institute, a longtime critic of the state’s energy policies.
CRI objected to putting community solar and Delmarva Power information on one bill. Their issue is that the utility would turn into a collection agency if the community solar provider did not live up to its end of the deal.
Lawmakers apparently decided that the State Public Service Commission could deal with these issues through its regulatory powers.
In the meantime, it will be interesting to see if community solar demand exceeds supply. In the meantime, get on the Google machine and check out the ins and outs of suppliers.
The state Public Service Commission also offers the following overview. Long-term a third party app that compares community solar vendors, contract lengths, etc. would be a welcome development. – Doug Rainey, chief content officer.
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