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Midwest Energy News: Q&A: Barry Goldwater, Jr.’s fight for solar power

Posted by Laura Arnold  /   September 08, 2015  /   Posted in solar, Uncategorized  /   No Comments

Barry Goldwater, Jr. speaking at the 2015 Arizona Young Americans for Liberty State Convention at Arizona State University in Tempe, Arizona.

Barry Goldwater, Jr. speaking at the 2015 Arizona Young Americans for Liberty State Convention at Arizona State University in Tempe, Arizona.

Q&A: Barry Goldwater, Jr.’s fight for solar power

Former Congressman Barry Goldwater, Jr.’s interest in renewable energy dates back to the mid-1970s when he was the ranking Republican on a subcommittee tasked with advancing energy research and promoting alternatives during the oil embargo.

At the time, “I didn’t even know how a light bulb worked,” Goldwater said in an interview last week with Midwest Energy News.

Over time, he became a champion of energy independence and utility customers’ rights to generate their own electricity.

As chairman of Tell Utilities Solar won’t be Killed (TUSK), Goldwater and his associates are pushing for net metering solar policies that are favorable to utility customers in 17 states across the country. In the Midwest, the group claims to be active in Michigan, Wisconsin, Indiana and Kansas.

Goldwater says “you could almost call it a conspiracy” the way utilities are trying to  recoup costs from customers who generate their own solar power, avoiding what utilities claim are subsidies by all other ratepayers to maintain the grid.

For example, a proposal in Michigan would eliminate net metering and replace it with a system that forces solar customers to buy electricity from the utility at retail rates, and be reimbursed at much lower wholesale prices. Utilities are pushing similar policies around the country.

But increasingly, Republicans and other conservatives are joining environmentalists and clean energy advocates in defending solar-friendly policies.

Goldwater sees a split within the Republican Party among libertarian-leaning lawmakers touting the benefits of solar versus those who support an outdated, monopoly utility model.

“The future is here and Republicans need to get in front and get their feet out of the dirt,” he says.

Midwest Energy News: When and why did you take up the issue of net metering and solar energy?

Goldwater: I was in Congress from 1969 to 1984 and was there during the oil embargo by the Middle East in ’74. Jimmy Carter was president and he stood up and declared war [promoting] energy independence and made it a national policy to wean ourselves from [fossil] fuel onto alternatives. I became a quick study on energy and especially alternatives, and I’ve been a student of the issue since 1975. I don’t claim to be an expert, but I appreciate the technology, which is replacing coal, oil and gas. I think it’s a worthy battle. Technology is kind of replacing the old order. There was a place for utilities and monopolies when they were first created, but the time has come for a change. Utilities are still working off an old business plan.

Is there anything unique in different regions of the country when it comes to the fight over net metering, or is this largely a uniform issue?

You could almost call it a conspiracy. Utilities got together and said they’re going to gang up on rooftop solar. Their attack is pretty much the same with fees and taxes, changes in regulations. It’s the same fight all across the country.

The group Citizens for Michigan’s Energy Future and legislators in Michigan who back the latest Senate proposal criticize you and others as out-of-state special interest groups without a vested interest in what happens here. What’s your response to that?

Energy is a national issue. It is influenced by the federal government. It is state-regulated in most cases, but it is a national issue. What happens in Arizona impacts what happens in Michigan and vice versa. You may call me an outsider, but I have an interest in what happens in Michigan because it has some influence on what will happen in Arizona. We’re all in this together, we’re not separate.

Proponents of the Michigan net metering proposal say it is about creating fairness among all ratepayers and ending subsidies from one group to another. What’s your response?

That is their classic argument. It doesn’t hold water. I spent a lot of money treating my house [with energy efficiency]. As a result, my electric bill went down. Consequently, those people who don’t do the same are subsidizing my electric bill. They are making the same claim for solar energy. It’s a phony issue and doesn’t hold water.

Do you see a legitimate split within the Republican Party on the issue of net metering and self-generating solar?

I think Republicans have got to come to their senses and realize that they can’t dig their heels in on an issue like the environment. Conservatives, liberals all want a clean earth and a clean environment. They take different approaches — conservatives would like to rely on the free market approach. Liberals want to dictate and influence that direction. I will not take a back seat to anybody for the air I breathe or the earth I live on. That is one of my rationales for rooftop solar.

I want to be a champion of the future, not a detriment.

The other problem you have with Republicans is they tend to be against subsidies, or government picking winners and losers. But there are big subsidies for oil and gas and coal. Republicans tend to be against that just in principle. I do understand that we’ve also used subsidies to encourage social behavior throughout the history of this country, such as giving preference to people who own electric cars.

When I was in Congress in the ‘70s, we created all kinds of incentives to encourage the utilization of renewable energy — subsidies, tax treatment, guaranteed purchases. Most of those have gone away but it did encourage the industry to sprout up. At some point it’s got to stand on its own two feet. It’s coming soon, but it is not now.

Do you envision so-called “green tea” lawmakers joining with Democrats on this issue or with partnering with other Republicans?

I think Republicans ought to take a step back and ask themselves: What’s good for Michigan? What’s good for the taxpayer? The answer to that is that they should adopt policies that reduce rates and increase choice and independence and not continue an obsolete monopoly utility system.

We need to get ahead of the curve, we need to be out in front. That’s what Republicans should be doing. If you look across America and around the world, all the research and development that’s gone into alternative energy is amazing. I want to be a champion of the future, not a detriment. I want to get away from the old and adopt the new. The future is here and Republicans need to get in front and get their feet out of the dirt.

On another point, because of this investment by the government, private sector and universities, these energy sources are maturing to the point where a whole new industry is blossoming across the country. Hundreds of thousands of jobs are being created. Republicans ought to count their blessings and support it.

UC Berkeley study says increasing California RPS will create jobs

Posted by Laura Arnold  /   September 07, 2015  /   Posted in solar  /   No Comments

Renewable energy requirement creates jobs, Berkeley study says

California law requires the state to get 33% of its electricity from renewable sources, such as solar and wind, by 2020. A bill by Sen. Kevin de León (D-Los Angeles) would increase that standard to 50% by 2030.

Because building renewable energy facilities is a temporary gig, the study uses measurements in "job years" to estimate how much work would be created. One "job year" equals enough work to employ somebody full time for a year.

From 2003 to 2014, renewable energy requirements created 52,000 "job years," the study said. Up to 429,000 additional "job years" would be created if lawmakers approved higher standards.

Betony Jones, one of the study's authors and the associate chair of the Don Vial Center on Employment in the Green Economy, said meeting the proposed renewable energy target means the state would "really have to ramp up."

"And if we do that in California, that would create quite a few jobs," she said.

The California Business Roundtable, which opposes the climate legislation, said the study is incomplete.

"It does not look at the rest of the economy -- how much this will cost, what other jobs will be lost as energy costs increase, and what jobs will be lost as consumers pay more for energy and housing and less for other purchases," said Rob Lapsley, the organization's president.
Claire Conlon, a spokeswoman for De León, said the business roundtable represents the "old energy economy" and said the Berkeley study shows the senator's legislation "will lay the groundwork for the workforce of tomorrow."

"Californians know we have to move forward with building a sustainable clean energy economy," Conlon said.

Follow @chrismegerian for more updates from Sacramento.

 

Michigan bipartisan critics call renewable energy bill SB 438 “monopoly control”

Posted by Laura Arnold  /   September 04, 2015  /   Posted in solar  /   No Comments

Rep. Jeff Irwin (D-Ann Arbor)

Click for hi-res photo for press purposes

Rep. Ed. McBroom( R-Vulcan)
 
Click for hi-res photo for press purposes
 
Rep. Gary Glenn (R-Midland)
 

Bipartisan critics call renewable energy bill “monopoly control”

There’s heated debate over the future of renewable energy policy in Michigan – and it’s not just Democrats versus Republicans.

A bipartisan group of lawmakers is criticizing legislation that would put new limits on Michigan’s net metering program. That program allows people with solar panels to sell surplus energy back to the grid.

The group is now offering its own legislation which would expand the net metering program.

“Shouldn’t Michigan residents be able to generate their own energy and feed that back into the grid that we’ve all built?” asked state Rep. Jeff Irwin, D-Ann Arbor, during a conference call with reporters on Thursday.

“We’re missing out on a lot of opportunities here to explore renewables at the small-scale end of the spectrum, instead of just pushing them at the large, industrial, utility-based scale,” said state Rep. Ed. McBroom, R-Vulcan, who is sponsoring a bill in the package which deals specifically with net metering.

Utilities say the net metering program is unfair because they claim it shifts costs to maintain the grid to other customers.

But Irwin, McBroom, and other lawmakers like state Rep. Gary Glenn, R-Midland, say the bill to limit the program – Senate Bill 438 – is designed to benefit the utilities, not ratepayers.

“This is the first package of bills that are going to be in favor of more consumer choice and more consumer freedom and less monopoly control of Michigan’s energy future,” said Glenn.

Lawmakers are discussing proposals on a variety of issues as part of an effort to shape Michigan’s overall energy policies in the coming years.

Community solar investors could qualify for federal tax credits, IRS ruling indicates

Posted by Laura Arnold  /   September 03, 2015  /   Posted in solar  /   No Comments

Community solar investors could qualify for federal tax credits, IRS ruling indicates

By | September 3, 2015

Dive Brief:

  • The Internal Revenue Service has allowed a Vermont man to take a 30% credit on an investment made in a community solar project, the first indication that the credit can be applied when residents buy into larger, shared solar arrays, rather than just rooftop systems.
  • While the decision is specific to Roland Marx, who made a $8,700 investment in the Boardman Hill Solar Farm, advocates say it is an indication of how the IRS mght rule in the future on similar credit requests.
  • The community shared solar sector, designed to give those unable to place panels on their home access to cleaner energy, is booming across the country. But so far, the investment tax credit has not been applied to the programs.

Dive Insight:

The IRS last month issued a "Private Letter Ruling" determining that Marx can take a tax credit reducing his investment by about $2,700. While the decision cannot be used as precedent by other taxpayers, solar advocates hailed the decision as an indication of how the agency will rule on future, similar requests.

"Community-shared solar has led to remarkable growth in residential solar because it allows those without roof space or solar access to participate in the solar market," Rhone Resch, president and CEO of the Solar Energy Industries Association, said in a statement hailing the decision. "This ruling helps pave the way for even more growth under the widely successful federal investment tax credit."

Clean Energy States Alliance, along with attorneys from Boston-based Foley Hoag, helped Marx secure the ruling.

“It makes a big difference, a very big difference,” Marx told the Concord Monitor. He had filed for an extension of his 2014 taxes, but is now prepared to file.

“This letter ruling fills an important gap," Attorney Adam Wade said. "It adds a previously unavailable written resource to the growing body of authority which can be used by courts, IRS personnel, and practitioners in structuring community shared solar projects."

While the letter cannot be cited as precedent, Wade said that in generat letter rulings can be used by the IRS for its own internal interpretations. Several cases have also acknowledged that a private letter ruling can be used as "persuasive authority" or an "instructive tool," he said.

The potential extension of tax credits to community solar arrays could add fuel to a market that's already on fire. Earlier this summer, GTM Research estimated that community shared solar would grow 500% this year, adding about 115 MW, a huge increase on the 21 MW installed in 2014. The firm expects 1,800 MW will be added by 2020, but access to tax credits and growing utility enthusiasm for shared solar could boost that number even more.

Recommended Reading

Concord Monitor: Group says IRS ruling could promote community solar projects

Kendallville gas station installs solar energy system

Posted by Laura Arnold  /   September 03, 2015  /   Posted in solar, Uncategorized  /   No Comments

Solar-powered savings

The Hometown Marathon gas station and convenience store is owned by the Stephens family, including from left, Tracy Wright, Stephanie Stephens, Steve Stephens, Linda Stephens and Brian Stephens.
 
Marathon's Solar Project_Kendallville_SUN grant

Solar-powered savings

Gas station installs renewable energy system

Posted: Saturday, August 29, 2015 11:00 pm

KENDALLVILLE — The irony isn’t lost on Steve Stephens that the most recent investment in his business — a solar energy system capable of generating 20 kilowatts of power — is being used to, in part, pump gasoline into customers’ cars.

In fact, he’s one of the first to acknowledge it.

But business is business, and costs are costs. The more you can do to cut down on your costs, the more you increase the odds of your business being successful.

That’s why in recent months the Stephens family-owned Hometown Marathon gas station and convenience store, 830 W. North St., has invested in energy-efficient heating and cooling systems, and new LED lighting.

And now it has 81 solar panels occupying most of its roof.

“There are certain things in business that are called ‘controlled expenses,’” Steve Stephens said. “If we can control some of our utility expenses by doing certain things, we’re always going to do that.”

Stephens said he got the idea for installing a solar energy system after reading a news story about a Steuben County pottery business that was using solar energy primarily to power its kilns.

So he called Eric Hesher, owner of Renewable Energy Systems LLC in Avilla and a fellow Green Township resident. It was Hesher’s company that installed the solar energy system at the Steuben County pottery business, and it has worked on a number of other renewable energy projects in northeast Indiana, including a planned solar carport at the University of Saint Francis in Fort Wayne.

“This is our first gas station,” Hesher said of the Hometown Marathon project during a recent event marking the start of the system producing power. “We’re hoping there’s going to be more. Steve’s kind of leading the path through the woods on this.”

It took about four weeks for Renewable Energy Systems to design the project and another four weeks to install it. The 81 solar panels on the roof — each of which can generate 250 watts — are tilted 15 degrees to best capture sunlight, and to prevent accumulation of rain and snow.

The panels sit in brackets and are raised 10 inches above the roof.

“That’s the beauty of these. There’s really no maintenance to them,” Hesher said of the solar panels.

The panels are tied to an energy converter, and a display installed inside the convenience store allows staff and customers to see how much energy is being produced. The system also can be monitored via a smartphone app.

Hesher said the solar energy system installed at Hometown Marathon typically will cover a little more than half of the business’ daily energy needs. On cooler days, however, when the business’ energy use is much less, the system could potentially provide all the power to the business.

At its peak, if all conditions are perfect, the panels can produce a total of 20 kilowatts. Hesher said on a normal day, they’ll generate 15 to 16 kilowatts. Any excess energy generated is sold back to Indiana Michigan Power.

The roughly $70,000 solar energy system is designed to last about 30 years, and it should pay for itself in less than five years through lower utility costs.

Since it’s a renewable energy project, the system installed at Hometown Marathon qualifies for a 30 percent federal tax credit, and it received a grant covering 25 percent of the installation cost through a U.S. Department of Agriculture Rural Development program.

“We can provide grant funding for any rural small businesses, rural producers, that are looking to do renewable energy projects,” said Anthony Kirkland, business program director for northern Indiana at the USDA Rural Development office in Columbia City.

The grant, the tax credit, the cost savings — it all adds up for Stephens.

He said of the business: “You miss 100 percent of the shots you don’t take. We take a lot of shots. We think this is a hit.”

Stephens also said he hopes the project raises awareness of the potential of renewable energy — and the display inside Hometown Marathon showing how much energy is being produced by the solar panels could help generate some discussions with customers.

“I think we’re going to see people come in here who have a little bit of an (interest in) solar,” he said.


 

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