Georgia is one of the 10 sunniest states in the nation but barely ranks among the top 40 states for installed solar power capacity. I see solar energy as a wide-open business, investment, and job creation opportunity in Georgia.
Georgia’s utility regulators are beginning to see the benefits of solar power, and some state lawmakers are calling for changes. If those trends continue and policymakers enable companies and individuals to choose the power they buy, the state can capitalize on its abundant source of renewable energy.
Last year, Georgia’s Public Service Commission voted to add 525 megawatts of new solar developments to the state’s 2013 energy plan. This proposal expands the earlier Advanced Solar Initiative, which is on track to bring 210 megawatts of solar power to Georgia by 2015.
This vote was a big boost for solar power in Georgia, but its impact remains confined to Georgia Power. Why does that matter?
In most other states, a company or homeowner who wants to install solar panels can lease solar panels. These agreements allow companies that specialize in solar energy to build the solar array and then rent panels to homeowners or building owners. Solar leases enable homeowners and businesses to get the power they want at a lower or long-term fixed cost.
Under Georgia’s Territorial Rights and Cogeneration Acts, laws enacted decades ago, this solution to financing renewable energy is forbidden. We can protect and expand property rights of Georgians and end the utility monopoly on solar power by supporting legislation that gives property owners flexibility.
This year, state Rep. Mike Dudgeon, R-Johns Creek, introduced a bill to update utility regulations. Other lawmakers should work with him to remove this barrier to free enterprise.
Big businesses are buying up clean power, which will encourage more in-state investment. Google and Facebook already choose sites for data centers based on access to clean energy. Meanwhile, more companies have set clean energy goals, including local firms like Coca-Cola and Home Depot.
If Georgia wants to draw more world-class businesses, it should update its energy laws. Clarifying these regulations would boost Georgia’s renewable energy economy. Georgia has approximately 150 registered solar companies and provides solar jobs for about 2,600 residents.
Critics often claim that solar power is more expensive than fossil fuel power. In just the past five years, solar panel costs have come down about 80 percent. Renewable energy also saves on fuel costs because, quite simply, there aren’t any. This is why companies are adopting solar power as a cost-management measure.
Georgia residents know how costly nuclear power plants can be. Nuclear and fossil fuel-fired plants also require lots of water. If Georgia removes outdated regulations, solar energy opportunities could be wide open.
Stu Dalheim is vice president of shareholder advocacy for Calvert Investment Management Inc.