Community Shared Solar
in Minnesota
Solar Opportunity Series | October 24, 2013

Ross Abbey, Fresh Energy

www.fresh-energ...
Policy background
Policy background
Framework Legislation
1) Policy purpose
2) Utility bargain
3) Basic project model
4) Project flexibility
5) Policy benefit...
1) Policy purpose

Supplement net metering with a
mechanism that allows all other
customers to solar self-generate, too.
1) Policy purpose
2) Utility bargain
•
•
•

Self-generators must cover their full utility
costs*
We solve the utility’s revenue erosion conc...
2) Utility bargain
Yet . . .
• Subscriber is also treated as a self-generator
• Allows for expansion of self-generation
o
...
3) Basic project model
Subscribers
(Beneficial
Owners)
Capital
($/kW)

Host
/Facility Mgr

On-bill
compensation
(¢/kWh)

U...
4) Project flexibility

Photo: Minneapolis, MN (40 kW, 2010) Photographer: Ray Colby
4) Project flexibility

St. Paul, MN (28 kW, 2012) | Copyright: Sundial Solar
4) Project flexibility

Marshall, MN (30 kW, 2007) | Copyright: Innovative Power Systems
4) Project flexibility

Pine City, MN (21 kW, 2012) | Copyright: Dan Williams / Powerfully Green
4) Project flexibility

Minneapolis, MN (40 kW, 2012) | Copyright: Ray Colby / Sundial Solar
4) Project flexibility

Blaine, MN (9 kW, 2009 & 2012) | Copyright: Sam Villella
5) Policy benefits

Solar for
Everyone(?)
5) Policy benefits
Figure 7 (LBNL, Tracking the Sun V, 2012)
Yet . . . challenges remain
• Unproven track record, customer awareness
• Administrative and subscriber-acquisition costs
...
PUC implementation
Questions?
Solar Opportunity Series | October 24, 2013

Ross Abbey, Fresh Energy
abbey@fresh-energy.org
Xcel Energy proposal
• A good step forward
• Positive program-design elements
• Key areas to consider:
1) Limitation on cu...
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October 24, 2013 | Community Solar: It's a beautiful day in the neighborhood | Ross Abbey: Community-shared solar in Minnesota

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The second event of a three-part Solar Opportunities Series, Fresh Energy’s community solar event introduced community leaders and institutions to this promising new solar-development model, providing an objective update on the detailed rules currently being written. Learn more at fresh-energy.org/solarseries.

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  • {"12":"Marshall, MN (30 kW, 2007) Copyright: Innovative Power Systems\n","1":"Some cool projects being done by the Coops, but my talk will focus on the framework legislation for IOUs (which sell 70% of the state’s electricity).\n"}
  • October 24, 2013 | Community Solar: It's a beautiful day in the neighborhood | Ross Abbey: Community-shared solar in Minnesota

    1. 1. Community Shared Solar in Minnesota Solar Opportunity Series | October 24, 2013 Ross Abbey, Fresh Energy www.fresh-energy.org
    2. 2. Policy background
    3. 3. Policy background
    4. 4. Framework Legislation 1) Policy purpose 2) Utility bargain 3) Basic project model 4) Project flexibility 5) Policy benefits
    5. 5. 1) Policy purpose Supplement net metering with a mechanism that allows all other customers to solar self-generate, too.
    6. 6. 1) Policy purpose
    7. 7. 2) Utility bargain • • • Self-generators must cover their full utility costs* We solve the utility’s revenue erosion concern We make the utility a monopoly buyer
    8. 8. 2) Utility bargain Yet . . . • Subscriber is also treated as a self-generator • Allows for expansion of self-generation o o Reduced initial cost barrier o • Removes co-location requirement Authorized third-party ownership Commission will regulate
    9. 9. 3) Basic project model Subscribers (Beneficial Owners) Capital ($/kW) Host /Facility Mgr On-bill compensation (¢/kWh) Utility Electricity
    10. 10. 4) Project flexibility Photo: Minneapolis, MN (40 kW, 2010) Photographer: Ray Colby
    11. 11. 4) Project flexibility St. Paul, MN (28 kW, 2012) | Copyright: Sundial Solar
    12. 12. 4) Project flexibility Marshall, MN (30 kW, 2007) | Copyright: Innovative Power Systems
    13. 13. 4) Project flexibility Pine City, MN (21 kW, 2012) | Copyright: Dan Williams / Powerfully Green
    14. 14. 4) Project flexibility Minneapolis, MN (40 kW, 2012) | Copyright: Ray Colby / Sundial Solar
    15. 15. 4) Project flexibility Blaine, MN (9 kW, 2009 & 2012) | Copyright: Sam Villella
    16. 16. 5) Policy benefits Solar for Everyone(?)
    17. 17. 5) Policy benefits Figure 7 (LBNL, Tracking the Sun V, 2012)
    18. 18. Yet . . . challenges remain • Unproven track record, customer awareness • Administrative and subscriber-acquisition costs • Xcel proposal – ironing out the kinks • Taxation, Security Exchange Commission rules • Local permitting and land-use regulations
    19. 19. PUC implementation
    20. 20. Questions? Solar Opportunity Series | October 24, 2013 Ross Abbey, Fresh Energy abbey@fresh-energy.org
    21. 21. Xcel Energy proposal • A good step forward • Positive program-design elements • Key areas to consider: 1) Limitation on cumulative generating capacity, number of facilities 2) Project-approval queue, eligibility requirements 3) Compensation for solar production 4) sREC treatment 5) Fee structure

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