The Orlando Utilities Commission (OUC) is a municipal utility serving over 230,000 customers in central Florida. It currently operates several solar projects including a 5.9 MW solar farm and a 400 KW community solar farm. For its community solar program, OUC allows customers to subscribe to shares of the solar farm in exchange for credits on their electricity bills over a 25-year period. The program was very popular and sold out its capacity in only 6 days. OUC is now planning to expand its community solar program and apply lessons learned from its initial project around contract negotiations, project siting, and program design.
UiPath Test Automation using UiPath Test Suite series, part 3
OUC community solar 4-8-14
1. 1
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Making Community Solar
Work
Jennifer S. Szaro
Orlando Utilities Commission
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R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
• Began serving utility
customers in 1923
• Provides water and
electricity
• Service population of over
230,000 throughout Orange
and Osceola Counties
• Governed by a 5-member
board that includes City of
Orlando Mayor
• Net Available Generating
Capacity of 1,743 MW
• 2nd largest municipal utility
in Florida
About OUC
3. 3
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Reliable
AffordableSustainable
An “Ideal” Utility Portfolio
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R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
OUC’s Solar Projects
Project
Capacity
(KW)
Stanton Solar Farm 5,910
Customer Incentives 4,200
Commercial Aggregation 418
Community Solar 400
Total 10,928
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R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
OUC’s Community Solar Farm Model
6. 6
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Marketing Plan
Customer
Focus Groups:
• General
customer
pool
• “Green-
minded”
customers
Critical Needs
Identified:
• Rate
stability
• No upfront
investment
• Portability
• No
maintenance
• Visible
access to the
site
Marketing
Approach:
• Phase 1:
Press release
and media
• Phase 2:
Targeted
marketing to
site-related
barrier
customers
• Phase 3:
Mass
marketing
7. 7
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Gardenia Community Solar Program Details
• 400 KW covered parking array located at
OUC’s Gardenia facility
• Open to residential and small commercial
customers
• PPA rate of $0.18/KWH
• Customer rate of $.13/KWH
• OUC bills customer fixed rate for their
share of output over 25-year term
• Project needed be 110% subscribed
before construction could begin
• Project sold out in 6 days with help of
press release and earned media
• Began operation October 2013
• 84 customers on waiting list (832 KW)
8. 8
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Subscription Process
Customer pays
initial reservation
deposit of $50 at
sign up
Shares sold in 1-
KW increments
(15 KW Max)
Customers who
move within OUC
territory may stay
on program
Initial customer
deposit is refunded
after 2 years
9. 9
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Billing Approach
Monthly Master
Production Meter
Reading = 50,000 KWH
1 KW
400 KW
Community Solar
Farm
Customer’s Share
(1 KW/400 KW) x 50,000 KWH
• Customers pay $.13/KWH rate
on a monthly basis
• 1st year estimated production
• One master meter read
monthly (OUC hedges output)
• Participating customers are
billed based on their share of
production
• Customers receive virtual net
metering benefits
10. 10
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Lessons Learned
• Needed to identify methods for improving contract negotiations
• Reverse auctions may offer more transparent, competitive
bidding
• Project Siting - 3rd party locations add substantial complexity
Procurement
• Challenged to reduce or eliminate subsidies
• Rate stability was most critical program feature
• Could consider a slightly shorter term
• Unify billing cycles if you can – smart meters help
Program Design
11. 11
R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Next Steps
• Completed vendor pre-qualification process
on March 31st
• Pershing Community Solar Project pre-bid
meeting scheduled for April 14th
• Reverse auction to be held in May 2014
• Evaluating rate design and terms
• Goal to install next project by end of 2014
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R E L I A B I L I T Y • A F F O R D A B I L I T Y • E N V I R O N M E N T A L S T E W A R D S H I P
Questions?
Jennifer S. Szaro
Manager, Renewable Energy
OUC
(407) 434-2100
jszaro@ouc.com
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