Take Action to Support Distributed Renewable Energy Generation

So, you want to install a solar photovoltaic system on your roof and join those taking action to reverse climate change. You want to be part of the solution to the growing gap between energy demand and new power plant construction by installing distributed alternate energy generation. You’ve consulted your Special 30th Anniversary Edition of the Real Goods Solar Living Source Book, trimmed your home’s energy demand as much as you can without freezing in the dark and you are ready to order your equipment.

Wait! Have you contacted your local utility?

Almost every utility in the nation has some type of policy or regulation that could impact your ability to generate your own power from your own alternate energy system. Utility policies are a function of State regulations and individual utility company choices. Before you dump that list of PV parts into your checkout basket, contact your utility to make sure you can do what you want to do without being surprised by extra fees, technical restrictions or a hostile utility engineer that doesn’t get what you are trying to do.

The Network for New Energy Choices grades States on net-metering and interconnection laws and gives them an “A” through “F” score on how well they assist consumers with installing alternate energy distributed generation systems. The grades are based on a comparison with recommended regulations featured in the model regulations from the Interstate Renewable Energy Council.

Here are the results from the Network for New Energy Choices report.

Net Metering Grades
A IREC Model , New Jersey, Colorado, Pennsylvania, Maryland, California.
B Oregon, Delaware, Iowa, Nevada, Connecticut, Ohio, New Mexico.
C Arkansas, New Hampshire, Rhode Island, Hawaii, Maine, Louisiana, Virginia, North Dakota, Minnesota, Massachusetts, Montana, Vermont, Missouri.
D Washington, New York, Texas, Kentucky, Michigan, Wyoming, Oklahoma, Indiana, West Virginia.
F Utah, D.C., Georgia, North Carolina, Wisconsin.

Interconnection Grades
A IREC Model.
B New Jersey, Arizona.
C California, Ohio, Texas, New York, Colorado, Oregon* , Massachusetts, Georgia, New Mexico* , Vermont, Minnesota.
D Rhode Island, Wisconsin, West Virginia, Arkansas, New Hampshire, Virginia, Iowa, Maryland*, Montana, Michigan, Indiana, Pennsylvania, Connecticut.
F North Carolina, D.C., Wyoming, Louisiana, Delaware, Hawaii, Utah, Washington, Missouri.

The Network for New Energy Choices offers these definitions to explain the difference between interconnection and net-metering and their report offers more details showing what makes a good regulation.

Interconnection – the technical rules for customers to “plug in” to the grid.
Net Metering – the billing arrangement by which customers realize savings from their systems, here 1-kWh generated by the customer has the exact same value as 1-kWh consumed by the customer.

States scoring an A or B are obviously trying to allow distributed alternate energy generators to start-up in their states. States scoring a C are pretending that they care about distributed alternate energy generators. And, States scoring a D or F obviously aren’t interested in having distributed alternative energy play any roll in meeting their electricity demands. The interesting thing is that states scoring A’s are finding spin-off results that improve their economies, reduce costs for customers, and reap financial benefits for their utilities. States scoring D’s and F’s are telling manufacturing industries, businesses and citizens to forget about making any money in the new economy where green businesses are growing new jobs and creating new business opportunities.

The killer in all of this is that a comparison of the top ten states by non-farm employees working in the manufacturing industry are in many cases, the same states that score the lowest on net-metering and interconnection support.

Rank. State – Net-metering Grade/ Interconnection Grade
1. Indiana - D/D
2. Wisconsin - F/D
3. Arkansas - C/D
4. Iowa - B/D
5. Mississippi- no grade/no grade
6. Alabama – no grade/no grade
7. Michigan - D/D
8. Ohio - B/C
9. Tennesse- no grade/no grade
10.Kentucky- D/no grade

So, the states potentially best equipped to make and supply distributed generation equipment and reap the corresponding economic benefits are shooting themselves in the foot when it comes to alternate energy development.

If you live in a State scoring anything less than a B, it’s time to take action. In less time than it took to read this, you can email your state representatives. Tell them you support distributed alternate energy and you think it’s time that they woke up and supported it too. Tell them you’re tired of being a C student- or worse, and you want to get A’s the next time the Network for New Energy Choices scores your State.

To find more details about your utility or your State and how they treat distributed alternate energy generation, visit the Database of State Incentives for Renewables & efficiency (DSIRE) web site and see how they stack up.