Corporation commissioner: Expect boom in rooftop solar

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October 02, 2007, 2:32 p.m.
STEPHANIE SANCHEZ
Cronkite News Service

PHOENIX - Arizonans will see many more rooftops sporting solar panels in coming years as utilities try to meet increased standards for renewable energy and homeowners and businesses seek lower electric bills, a member of the state Corporation Commission said Friday.

A key reason for the increase in solar: the $1.05 charge the commission allows utilities to add to monthly electric bills to help fund renewable energy, said Kristin Mayes during a panel discussion at the Make a Difference Community Forum held at Arizona State University's west campus.

"You're paying to put those solar panels up," Mayes said. "It's to make Arizona less energy-dependent."

Arizona shouldn't depend on energy from countries such as China, Russia, Nigeria and Libya when it has a readily available power source in its abundant sunshine, Mayes said.

"It's becoming more and more affordable for people to do solar panels on the rooftops," Mayes said.

Mayes pointed to incentives utilities provide for homeowners and business owners who convert to solar, along with tax incentives of $1,000 from Arizona and $2,000 from the federal government.

For an average home adding solar panels, which cost around $21,000, Arizona Public Service will kick in $9,000, said Steven Gotfried, a utility spokesman.

Mayes said utilities are eager for customers to add solar panels because of a Corporation Commission requirement that utilities generate 15 percent of their electricity from renewable sources such as solar and wind by 2025.

At present, Arizona is adding about 200 to 300 rooftop solar systems a year, Mayes said.

"That's really not very much," she said.

But that number is expected to grow to 4,000 solar panels annually beginning next year and rise to 12,000 by 2011 because of the state's renewable energy requirement, Mayes said.

More businesses are expected to take advantage of solar to lower their utility bills, Mayes said.

Another panelist, Gregory Unruh, director of the Lincoln Center for Ethics in Global Management at the Thunderbird School of Global Management, said a green building technique as simple as a white roof to reflect heat can help make a building much more environmentally friendly.

"If we can take care of the buildings, we can take care 30 percent of the problem with global warming," Unruh said. "I love solar, and I think it's our future.''

But audience member Karen Blackbird, executive director of Unlimited Potential, a nonprofit organization that helps teach English, said a business like hers can't afford to go solar.

"My business is on a budget," Blackbird said. "It would be a personal choice for my home but not for my business."

Read All Comments » 4 TOTAL COMMENTS
Oct 3, 2007 @ 12:55pm
The $1.05 is just another tax surcharge for the utilities companies to make millions from their customers. How are the utilities going to use this new surcharge? By using 15% more renewable energy by 2025? The state incentives for tax breaks, utility rebates have never worked, and never will work for motivating customers to install solar.
The cost of Solar is cost prohibited for the average homeowner. The TCC should have put into place a program like Germany's "FIT" (Feed In Tariff) program. 25% of Germany's energy "NOW" comes from renewable energy. They do not have to wait until 2025. This would be a great incentive for Arizona -customers to move to solar by making the utilities pay them 4 times the retail cost for anyone who put renewable energy back into the grid.
Germany cost for there "FIT" program is about the same as our new $1.05 surcharge, about $.01 pre kWh for their other utility customers. As for the cost issues, Citizenre has a new Solar Solution to make solar affordable for every homeowner by renting the solar system. But, without a good incentive plan to motivate homeowners to switch to solar, it's still a hard sell. Arizona's TCC and State Legislators need to wake-up and start using the state's most valuable resource... "Arizona Sunshine"...OR... maybe we need a State Proposition on Solar?
Ray Scott - SolarorRent.net
Oct 3, 2007 @ 11:58am
I'm all for this. But it's tough to justify the panels on homes for the sake of utility savings, when we only tend to live in a house for about 5 years and the solar panels don't significantly increase value to buyers.

Businesses, however, can save considerably - especially given the fact that they consume energy predominantly during the hours of peak solar generation. Schools and government buildings are the same, which makes me wonder why we haven't created a statewide initiative to make those buildings solar-powered.
Oct 3, 2007 @ 12:36am
_Arizonans will see many more rooftops sporting solar panels in coming years as utilities try to meet increased standards for renewable energy and homeowners and businesses seek lower electric bills..._

Also of note: water is wet.
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