The growth of solar energy nationwide has sparked a lively public debate about how energy is delivered and priced.
A cooperative coalition led by the Georgia Public Service Commission, solar professionals and Georgia Power has created new opportunities for solar development without any upward pressure on electric rates.
Georgia is one of the fastest-growing solar markets in the country. Contracts for new solar development in the state show that solar can be competitive with other energy resources. Rooftop solar families, schools and businesses can control electricity bills like never before.
Like many innovative technologies, this new solar energy market is prompting a rethinking of the long-standing centralized utility business model.
Pushback spurred by interests that would rather not see a new approach to electricity has spawned proposals to saddle solar energy users with unsubstantiated charges designed to discourage solar adoption.
In December, the Public Service Commission considered an add-on charge for solar customers — a solar tax — and found it unjustified. At issue are the rights of private property owners to choose from a portfolio of energy options. It’s common sense that solar customers deserve full, fair credit for their valuable energy.
The increased productivity solar energy offers to businesses, and the potential savings it can produce for homeowners, can give property owners greater flexibility in energy choices. That can be done in a way that treats ratepayers, utilities, solar customers and shareholders all fairly.
Solar energy accounts for less than 1 percent of Georgia’s energy portfolio. That is nowhere near enough to have any significant effect on the ratepayer base, despite what proponents of solar surcharges claim.
Solar brings new value to the electrical system, such as the easing of peak demand. On hot summer days, Georgia’s utilities often must purchase energy at a premium to meet demand. Ratepayers bear that cost in their power bills. Solar energy eases costs and reduces strain by providing more affordable, locally produced energy at peak times.
Solar also reduces the amount of electricity wasted across transmission lines because the user is so much closer to the energy source. Solar also uses free fuel — sunshine — which provides a hedge against rising conventional fuel prices.
These and other benefits will be part of the discussion as we work with regulators and utilities on how to make the addition of solar power a solid win in our energy mix.
Like other technology innovations, solar energy will put more options into the hands of the consumer. This can create good jobs for Georgians and offer tangible opportunities for productivity and savings in our homes and businesses.
Arbitrary charges to deter solar adoption are shortsighted and counterproductive, akin to creating charges for buying energy-efficient appliances or turning off lights. Solar customers deserve rational prices for the energy they generate and policies that protect their rights to make the choice best suited to their needs in a free market.
Mark Bell is chairman of the Georgia Solar Energy Association.
