Dear EarthTalk: Is it true that home rooftop solar only makes sense in certain parts of the U.S. with proper incentives as opposed to where the sun shines the most?
EarthTalk: The short answer is yes: In the United States, whether or not it is easy and economical to go solar depends more on state politics than prevailing weather trends. In those states with ample sunshine and the legislative initiative to get solar panels on residential roofs, there has never been a better—or cheaper—time to put photovoltaic panels to use.
According to solarpowerrocks.com, a website that helps homeowners understand the rules, incentives and investment returns on local solar panel installations, the top three states where switching over to solar power makes the most economic sense are in the Northeast (New York, Massachusetts and New Jersey). Maryland, Connecticut, Oregon, Minnesota, New Mexico, Vermont and Colorado round out the top 10. Wisconsin ranks #20.
What makes these states particularly prime for rooftop solar is their willingness to allow homeowners to lease photovoltaic equipment from third-party owners (like SunEdison, SolarCity, Sunrun, etc.) and legislature-backed incentives to help keep costs down overall. Going solar in one of these states might end up being cheaper than remaining on the grid.
Unfortunately, Wisconsin doesn’t allow third-party leases for rooftop solar. In addition, Wisconsin under Gov. Scott Walker has a weak renewable portfolio standard, which are the requirements for the state’s energy production to come from green energy such as solar. And the state’s Public Service Commission (PSC), which is supposed to oversee the state’s utilities in the public’s interest, has done little to nothing to prevent fossil fuel-based utilities like We Energies to impose high fees on solar owners. Instead, the pro-solar groups RENEW Wisconsin and The Alliance for Solar Choice (TASC) had to sue to prevent We Energies from imposing an extra tax on its customers who own solar panels. In November 2015, the groups won their case in court.
Although state government isn’t friendly to solar owners, the City of Milwaukee’s Environmental Collaboration Office has a strong neighborhood solar program, Milwaukee Shines, which enables Milwaukee residents to group together to drive down the cost of installing solar on their rooftops and obtain low-interest loans. The program has resulted in the installation of solar on 92 homes on the East Side, Layton Boulevard West, Washington Heights, Bay View and Riverwest. Earlier this month, it announced its next group purchase will span the entire City of Milwaukee.
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A Threat to the Fossil Fuel Industry
Although Northern states are receptive to solar energy, surprisingly, a few states in the South (Florida, North Carolina, Oklahoma and Kentucky), where solar panels would seem like a no-brainer, continue to resist this change for the better. In large part this is due to entrenched utility lobbies intent on maintaining their fossil-fuel-based lock on the status quo. According to a February Rolling Stone article by Tim Dickinson, the recent ascent of solar power in the U.S. poses a grave threat to the business interests of big fossil fuel industry investors. Dickinson details how these entrenched interests are “mounting a fierce, rear-guard resistance at the state level—pushing rate hikes and punishing fees for homeowners who turn to solar power.” He adds that their efforts have “darkened green-energy prospects in could-be solar superpowers like Arizona and Nevada. But nowhere has the solar industry been more eclipsed than in Florida, where the utilities’ powers of obstruction are unrivaled.
“The solar industry in Florida has been boxed out by investor-owned utilities (IOUs) that reap massive profits from natural gas and coal,” reports Dickinson. “These IOUs wield outsize political power in the state capital of Tallahassee, and flex it to protect their absolute monopoly on electricity sales.”
While Florida might be a laggard on rooftop solar for now, that could all change if some residents are successful in their drive for an amendment to the state constitution to allow for third-party solar ownership (which would enable solar leasing). Of course, the state’s utilities have challenged the amendment by creating their own, designed to confuse voters into keeping solar panels off their rooftops.
If you wonder where Wisconsin and other states stand in terms of rooftop solar, check out Solar Power Rocks 2016 U.S. Solar Power Rankings at solarpowerrocks.com. Also, visit the website of the Database of State Incentives for Renewables & Efficiency at dsireusa.org for a full run-down of state-by-state, federal and other incentives for installing solar panels and other forms of renewable energy equipment.
