By: Paul Lerro

Paul Lerro — Thu, 28 Aug 2008 04:10:48 +0000

In the Southern California Gas & Electric service area, a tariff exists which allows ONLY for up to the amount of energy USED to be credited back to the home non-commercial solar system owner even if the amount of power produced back into the SCE lines EXCEEDS the total power USED. The tariff condition is called “net metering” and economically discourages production of any amount of power by a home solar system owner in excess of the power consumed. In fact, the SCE tariff takes energy for free from home solar system owners if the home solar system owner produces more power than it uses. Electricity costs paid by utilities are based on the time of their delivery/use, i.e., the electricity SCE buys and delivers during the peak periods, in the summer, in the middle of the day, is significantly more expensive than that bought and delivered at other times of the day and season. The home solar system owner produces at a maximum during the middle of the day in the summer and power production is taken without compensation by the utility when the amount of power produced exceeds that used, i.e., net metering does not allow the home solar system owner to be paid for po0wer production in excess of the home owner’s power use. Home solar system owners are effectively subsidizing utilities when they produce more power than they consume. If SCE and other utilities offered tariffs similar to that apparently derived from Electricity Feed-in (Renewable Energy Premium) Bill 2008 in Canberra, the attractiveness of investing in a home solar system would be vastly improved and the amount of power produced back into lines when it is needed most, mid day in the summer, might be significant when compared to that used by the individual home solar system owner. But “net metering” is a tariff condition which discourages maximizing power production by non-commercial investors, e.g., the home solar system owner. It discourages installation of home solar power systems by reducing potential payoffs. Tariff changes are needed to promote development of home solar systems capable of producing more power into the lines than consumed in the individual home. The suggested tariff change is essentially politically driven and increased domestic solar electricity production will occur when and if utilities make home solar system owner energy production a priority rather than a necessary inconvenience. Make home solar energy production part of the renewable portfolio standard and significant power production potential may be realized. If utilities have any questions about this idea, kindly contact this writer. Thank you.

By: Paul Lerro

Paul Lerro — Thu, 28 Aug 2008 03:20:00 +0000

In California in the Southern California Gas & Electric service area, a tariff does exist which allows ONLY for up to the amount of energy USED to be credited back to the home non-commercial solar system owner even if the amount of power produced back into the SCE lines EXCEEDS that total USED. In other words, SCE takes energy for free from home solar system owners if the home user produces more power than it uses. Given that electric rates paid by utilities is based on time of use, i.e., the electricity SCE bought and delivered during the peak periods, during the summer, in the middle of the day, is significantly more expensive than that bought and delivered at other times of the day and season, the fact that the home solar system owner

Comments on: Canberrans Warm to New Solar Energy Law

By: Paul Lerro

By: Paul Lerro