The Economics of Community Solar in US
Utilities often oppose customer-driven, third-party owned energy projects like community solar because they threaten shareholder profits. And because utility ratemaking is complicated and often happens in a black box, it’s hard for legislators to know the truth. In reality, extensive research and real-world data show that the benefits of community solar and other distributed generation reduce long-term costs for all ratepayers. That’s because small projects placed on the distribution system closer to customers make more efficient use of existing infrastructure, leverage private capital to upgrade the system, and allow utilities to reduce and avoid certain costs that ratepayers would otherwise incur.
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