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Community solar explained

Jason RothmanJune 25, 2018 472 0

Community solar explained

People who rent or own places that have a shared rooftop can benefit from community solar. the solar panels can be on the shared rooftop or located somewhere else, and the homeowner or renter gets credit for their share of the community solar farm, showing another way people can go solar.

Residential rental agreements are usually short-term in nature and because solar is a long-term project it is usually not possible for those renting to install it on the premises they rent, but the owners of the property can install the solar for the project and the renters can opt into the program or buy their power from the utility like always.

However, legislators in some states have stepped in to provide a mechanism such that renters can get the same benefit from solar as a homeowner by installing solar panels in a community solar project.

The way community solar works are that you buy a small portion of the output of a large solar farm. These solar farms are usually 1-5 MW, or (1,000 to 5,000 kW ). You can buy a normal sized residential system from this community solar farm, say 5 kW and then you are credited with this percentage of the power generated in the community solar project.

There are active community solar projects being sold in California, New York and Vermont, Colorado, Massachusetts, and Texas. However, for most people that do own a house, a townhome, or a condo with a suitable roof, would rather install solar panels on their own roof.

Because community solar is a relatively new concept, new groups, companies and even utilities are entering this industry and building community solar projects. For this reason, it is important that anyone considering a community solar program comparison-shop across all available offers, including rooftop options, in order to find the one that offers the best value for them.

Financial benefits of community solar include virtual net metering and other policies

Thanks to mainly to Virtual Net Metering (VNM) in a growing number of states, the community solar power option is gaining steam as the primary means for those who are not in the market for rooftop solar to participate in the benefits that solar power systems offer.

Much as with Net Metering for rooftop solar power, VNM allows a household or business to receive the Net Metering credits associated with a renewable energy project with which they do not share an electricity meter. These credits are worth as much or close to as much as what they would pay for electricity from their utility. For example, every unit (kilowatt-hour or kWh) of electricity generated by the community solar farm will effectively reduce the participant’s power bill on a one-for-one basis; if the participant’s share of the plant produces 5kWh of electricity on a given day, they will receive 5kWh of solar Net Metering credits on their power bill.

While VNM is currently helping to promote community solar projects across the nation, other models are already emerging to allow both consumers and developers to get involved in community solar without it. A report on the future of community solar by the Massachusetts Department of Energy Resources (DOER) suggests that other programs may supplant VNM as state Net Metering quotas are filled and alternative models become more common. Although the report is for the Massachusetts context, its observations apply to other states as well.

Most homes have enough roof space for solar panels

The square feet of suitable roof space you need to install solar panels will vary with the size of solar system you need. This, in turn, will vary with the amount of power you consume and the utility company you are with. You can work out how many solar panels you need for your home using our design DIY solar panel calculator.

Most homes have enough sun and roof space available for solar power, and local installers can work around shading issues, as well as issues about which way your solar panels are facing. Modern solar panel systems are designed with these variables in mind.

If you want to move into the future and join the solar revolution, or if you want to find out what solar panels are right for you, go to HahaSmart.com and try our price checker tool. You can see how much a system will cost, and how much you can save over the next 20 years.

For more information relating to going solar, don't forget to visit our solar blog section for more handy guides and articles.

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