- The Demise of Net-Metering beyond 2019: Net-metering is the concept that allows owners/lessees to overproduce power in the summer and draw down on those kilowatt-hours throughout the year when the panels produce less power (fall, winter, early spring). This "netting out" effect helps drive value for the consumer by (1) enabling solar developers to size their systems not just to your kW baseline demand, but to your overall annual kWh demand, and (2) to provide compensation for excess power creation at retail, not wholesale, power prices. Bigger systems and better compensation mean more dollar savings for you.
On May 9th, the CT legislature passed Senate Bill 9, which at the end of 2019 will eliminate the net-metering benefit for behind-the-meter solar projects. From the small commercial/residential consumer's perspective, the dismantling of net-metering will likely mean the demise of most projects if they’re not submitted to the utility for approval within the next 12-18 months.
Utilities have fought net-metering because it forces them to compensate solar owners at retail instead of wholesale rates, which are substantially less. They also argue net-metering takes advantage of their infrastructure without assigning a fair cost to that use.
In light of these recent events, TitanGen strongly urges everyone to take another serious look at solar before the end of the year. For those with projects in the queue for 2018, there's no need to worry- just do your best to stay on track and net-metering will be there to support your project.
- Fate of the Z-REC: Per Senate Bill 9, the Z-REC/L-REC program has been extended for an addition year, but funding constraints may mean a lower dollar-value associated with the program.
- Solar is only a hedge: Titan views these projects as a natural extension of what we've been doing for our customers for the last 18+ years: comprehensive energy cost reduction and risk management. Remember, solar energy will never provide 100% of your power, nor will it divorce you from the utility. We recommend considering solar as a hedge against rising prices for a portion of your energy spend.
- Is the utility going to invent something better? Given the 100-year history of the utility business, the answer is likely no. Distributed generation technologies, at small commercial scale, are the technological breakthrough of our time.
- Opportunity cost of waiting: Inaction has its own cost: in this case, $14,000+ per year in foregone savings. 10 years waiting for the "next big thing," would create a $140,000+ deficit to reverse in order to be back to square one.