You don’t need a big, sunny house adorned with glossy panels in order to have solar energy for your household. As we discussed in What Kind of Solar Power Is Right for You? there are several solar options you can explore. For the majority of Americans, community solar is the winning choice, because only about 8 percent of Americans have the ability to put solar panels on their roof. The other 92 percent of us, including renters and condo-owners, can easily and inexpensively sign onto a local community solar program. In the process, you can save money, support your local community, and contribute to the growth of the clean energy industry.
What Is Community Solar?
Community solar is a way to tap into solar energy and savings without having anything on your roof. As defined by SEIA, “community solar refers to local solar facilities shared by multiple community subscribers who receive credit on their electric bills for their share of the power produced.” It is a solar project that anyone can gain access to, no matter whether your rent, own or have the right roof.
This means, if you join a community solar program hosted by a third party, through a subscription model, you can leverage high-volume purchasing power alongside your neighbors. Thus, you secure a better price on the energy and avoid all of the hassle and expense of a residential solar system.
The solar farm, where a bulk number of solar panels live, is often built on wide stretches of open land. However, there can be solar farms built in people’s backyards or on even community building roofs if they have enough room!
How Does It Work?
Once you sign up for community solar, you are subscribed to a share of a solar farm. A typical solar farm is made up of 2,000 kilowatts alternating current (AC) and could theoretically support about 500 individual users. The farm then produces electricity that is sent to your local power grid, and you receive credits from the electricity generated on your monthly utility bill by signing up for the project. This results in a lower utility bill for you, and more local solar for your community. Solar power is less expensive than other electricity being sent to the grid, and those savings are getting passed on to you.
You may be wondering how the savings from your portion of a community solar project get to you. At Arcadia Power, our local Community Solar program simply requires a utility login and payment information so that we can get these savings to you through your next electric bill. This means, each month, you will see savings on your electric bill based on the production of your share of the community solar project.
How Do I Benefit?
The goal of community solar has always been to make the benefits of solar power accessible to all residential energy users, no matter where they live. You don’t need to own property and you don’t need to install your own system. The first benefit of community solar, therefore, is obvious – now almost anyone can use clean energy, and feel better about their carbon footprint.
Community solar offers significant financial benefits as well. It’s free to sign up. You’ll get a discount on your electric bill, and generally, you’ll see those savings as credits on your electric bill. Federal and state tax incentives for solar system developers also help reduce the consumer’s expense for using solar energy, while advancing the cause of clean energy. And if you move, you don’t have to suffer the loss of any investment you made in your community project. Simply cancel your subscription, without penalty, and then sign up for a new solar program in your next community!
How Does My Community Benefit?
Your environment and your wallet aren’t the only beneficiaries of community solar. Many programs also benefit a local charity – such as a church – or a local public facility. In these cases, the local organization saves on their energy costs (or receives the energy for free), while contributing to both the clean energy movement and the local economy.