Rate design is becoming increasingly important. With some solar incentives and tax credits (ITC) coming to an end in the near future, solar-friendly utility tariffs (or rate schedules) are key to the economic viability of solar. Genability recently helped Greentech Media with a new whitepaper titled “Rate Design Matters: The Impact of Tariff Structure on Solar Project Economics“.
The complimentary report examines the cost competitiveness of solar in a post-subsidy world and the importance that tariff design plays. The paper analyzes commercial scale solar in Southern California and concludes that solar energy can provide a discount over utility rates with and without incentives, but depends heavily on the presence of solar-friendly utility tariffs (Figure 2.7 and below). These are typically tariffs with low demand charges and high daytime energy prices.
You can download a free copy of this short report (10 pages), here.