A presentation on the value of solar calculation being investigated by the Minnesota Department of Commerce as a part of the state's new solar energy law.

1. WHAT’S SOLAR WORTH?
Bringing Minnesota’s value(s) to solar
Presentation to MinnesotaValue of Solar Stakeholder Workshop - Oct. 1, 2013
John Farrell, Director of Democratic Energy

2. • 2007 Next Generation Energy Act: goal of reducing
greenhouse gas emissions by 80% by 2050 and that state
should pursue “the development and use of renewable
energy resources wherever possible.”
BACKGROUND

3. • 2013 Energy Omnibus law includes “a Minnesota energy
future study on how Minnesota can achieve a sustainable
energy system that does not rely on the burning of fossil
fuels.”
BACKGROUND

4. GOODVALUE?
How is the Department’s proposed methodology?

5. ENERGY
It’s real in Ohio and Germany

6. LOSSES
• But, high load means
higher losses. Can we
account for that?

7. ECONOMIC DEVELOPMENT?
• No coal
• No uranium
• No gas

8. ECONOMIC DEVELOPMENT!
Worth ratepayer investment

9. ECONOMIC DEVELOPMENT

10. ENVIRONMENTAL
Source: EDFSolar solves fossil fuel cross subsidies!

11. ENVIRONMENTAL
• Cross-State Air
Pollution Rule (CSAPR)
• Carbon Pollution
Standards for the
Power Sector
Solar solves fossil fuel cross subsidies!

12. ENVIRONMENTAL
Social Cost of Carbon
$0
$30
$60
$90
$120
$150
Solar solves fossil fuel cross subsidies!

13. RELIABILITY / RESILIENCE
Solar can save money

14. RELIABILITY / RESILIENCE
Solar can save money (for utility, too)

15. TIMEFRAME
The warranty lasts this long, value is even longer

16. DISCOUNT RATE
A good proxy for the value of social benefits over time

17. HEDGING
What is certainty worth?

18. TRANSPARENCY
• Utility inputs, too!
Transparency solves a national debate

19. LEARN MORE
ilsr.org
johnffarrell