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

Ross Abbey, Fresh Energy

www.fresh-energy.org
Policy background
Policy background
Framework Legislation
1) Policy purpose
2) Utility bargain
3) Basic project model
4) Project flexibility
5) Policy benefits
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 concern
We make the utility a monopoly buyer
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
3) Basic project model
Subscribers
(Beneficial
Owners)
Capital
($/kW)

Host
/Facility Mgr

On-bill
compensation
(¢/kWh)

Utility
Electricity
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
• Xcel proposal – ironing out the kinks
• Taxation, Security Exchange Commission rules
• Local permitting and land-use regulations
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 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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October 24, 2013 | Community Solar: It's a beautiful day in the neighborhood | Ross Abbey: Community-shared solar in Minnesota

Editor's Notes

  1. {"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"}