Reminder- Arizona tax credit information is available here: Arizona Tax Incentives
Federal investment tax information, including end of year rules, is available here: Federal Tax Incentives
This is a non-commercial website for solar and renewable energy information in Arizona.
Here you can:
|
|
||
|
|
The following items have been recently added or updated:
Energy vs. Agriculture in Italy
Electrification of transportation sector = More Renewable Energy Needed
Tucson Electric Power (TEP) to provide 70% of its energy from solar and wind by 2035
Reminder- Arizona tax credit information is available here: Arizona Tax Incentives Federal investment tax information, including end of year rules, is available here: Federal Tax Incentives
Arizona Legislature
Call to Action - HB 2248 and SB 1175 would create massive regulatory uncertainty for businesses who wish to conduct business in Arizona. Call your representatives now. Click on 'Call to Action' for details.
The Arizona Legislature is in session and there are some energy bills to oppose (HB2248, SB1175, HB2737) Status of Bills: SB 1175: Corporation Commission; Electric Generation Resources This week Arizona Public Service joined in publicly opposing both HB 2248 and SB 1175. HB 2737: Corporation Commission Actions; Investigation Please continue to tell your state legislator to vote no on HB 2248, SB 1175 and HB 2737. It is imperative that we convey the negative impact passing these bills will have on the regulatory certainty that companies rely on to locate, relocate and grow. We need to protect our state’s economy, our health and our future. Email your representatives. Here is a link to find your representatives
Energy_Bills_2021
HB 2248: Corporation Commission; Electric Generation Resources
This bill has made its way through the House of Representatives and was Third Read on 3/3/20201. It received 31 ayes, 28 nays and one not voting. The vote was split along party lines.
This bill is the mirrored version of HB 2248 from the House; however, this version has not made it as far in the process and has been retained on the Senate Committee of the Whole calendar twice now.
This bill would allow any legislator to challenge any non-ratemaking decision of the Arizona Corporation Commission by filing a complaint with the Arizona Attorney General’s office. If found to exceed the commission’s authority, the commission will lose 10% of its budget for the year. This bill passed through the House Committee of the Whole process on 3/4/2021, however, did receive opposition from both Democratic and Republican members. The bill has not moved forward to House Third Read.
Arizona Corporation Commission
The Arizona Corporation Commission (ACC) has posted STAFF'S THIRD REVISED PROPOSED DRAFT RULES (DOCKET no. RE-00000A-18-0284) That lay out a clearer framework for Electric Utilities to report their compliance with the proposed standards for the Renewable Energy Standard, Clean Peak Standard, Distributed Renewable Storage Requirement, and Electric Vehicle Infrastructure. See the ACC Staff Report: docket.images.azcc.gov/E000004960.pdf See also Materials Presented by the Joint Stakeholders at the Commission's March 2020 Energy Rules Workshop ACC Staff has made substantial changes to the draft rules that were filed on July 2, 2019 based on feedback received at each workshop held in this matter, comments to the docket, and a review of relevant energy policies across the United States. The Nature Conservancy has submitted their report "Arizona Thrives - A Path to a Healthy and Prosperous Future" to the ACC. Interesting. APS has submitted their report, The Solar Center has slightly reformatted this report by rotating the pages for easier viewing. APS has provided two presentations to address the ACC questions. Worth a read.
Arizona Corporation Commission-POSSIBLE MODIFICATIONS TO THE ARIZONA CORPORATION COMMISSION'S ENERGY RULES
Update July 30, 2020: When the Arizona utility regulators met to decide these issues they deadlocked over whether they should increase the state's requirements for renewable energy. It proved not possible to obtain the agreement of at least three commissioners, the meeting was adjourned. See the Arizona Republic article on this: Arizona utility regulators hit roadblock on clean-energy rules, abruptly end meeting. The Arizona Corporation Commission (ACC) has released the Notice of Final Rulemaking Interconnection of Distributed Generation FacilitiesInterconnection of Distributed Generation Facilities document. With this rulemaking, the Commission adds a new Article 26, entitled " Interconnection. of Distributed Generation Facilities" to 14 A.A.C. 2, the Chapter containing the Commission's rules for fixed utilities, with the new Article 26 including 28 new rules. The rules for Interconnection of Distributed Generation Facilities ("DGI Rules") establish mandatory technical standards, processes, and timelines for utilities to use for· interconnection and parallel operation of different types of distributed generation ("DG") facilities; customer and utility rights and responsibilities; provisions for disconnection of DG facilities from the distribution system; specific safety requirements; more flexible standards for electric cooperatives; a reporting requirement; and a requirement for each utility to create, submit for initial approval and submit for approval periodically and when revised, and implement and comply with a Commission-approved Interconnection Manual. The first dozen pages are basically legal stuff. The document defines how an utility must review, then accept/reject/etc. an application to connect distributed generation to the utility. It defines both customer rights and utility procedures. There are a lot of utility, installer and customer comments along with the ACC staff recomendations.
Interconnection of Distributed Generation Facilities
This is a good report that provides a conceptual framework for the Statewide Transportation Electrification Plan for Arizona, including planned or proposed near-term utility actions to support the growth of Electric Vehicles (EVs) in the state. The report is part of a filing on the Arizona Corporation Commission website: Arizona Statewide Transportation Electrification Plan
Arizona Statewide Transportation Electrification Plan
Municipality Info
The City of Phoenix is now (January 2020) requiring a special permit from the Fire Department for most solar systems and batteries. The fees and required plans varies with size and content. See this link for an application and details: https://www.phoenix.gov/firesite/Documents/Solar Photovoltaic OTC Bundle Rev 01-2020.pdf This is in addition to a building permit from the Planning & Development Department and must be separately obtained at a different address (150 South 12th Street) or on-line via the above link. Also noted is that residential PV permits are no longer over the counter and as of March 2020 are estimated to take 29 working days to process. Separate inspections are required. The code requirements are contained in Phoenix-Chapter 12 BESS R-3-1.pdf Also note: All Phoenix solar building permits are now electronic submittal only. Contact the Electronic Plan Review (EPR) Triage Team at 602-534-5933 or epr.support@phoenix.gov. For more information on EPR, visit us at https://www.phoenix.gov/pdd/onlineservices/electronic-plan-review. Related: PV Rapid Shutdown Signage- Phoenix .
Phoenix Fire Dept. now requires a separate permit for solar systems and batteries
At the Federal Level
New information coming soon
Utility Information
Update July 18, 2020 APS has posted a Final report on the McMicken Battery Energy Storage System Event Technical Analysis and Recommendations. See the full article: https://azsolarcenter.org/update-utility-solar-battery-fire-in-arizona
Update- Utility Solar Battery Fire in Arizona (Intro)
Arizona Public Service Co. has announced that it plans to produce all of its electricity from carbon-free sources by 2050 and will get 45% of its power from renewable sources like solar and wind by the end of this decade. This is a good improvement from the point of view of sustainable energy. There are still a lot of details to be worked out such as the role that distributed energy will take. Will APS APS improve its policies in regard to residential and small commercial systems. There are several good news articles and the APS press releases on this announcement: APS:APS sets course for 100 percent clean energy future Arizona Republic: APS will eliminate carbon emissions by 2050 and close coal plant ahead of schedule, CEO says The Washington Post: Arizona’s biggest utility says it will get all of its electricity from carbon-free sources by 2050
APS sets course for 100 percent clean energy future
Tucson Electric Power (TEP) plans to provide more than 70 percent of its power from wind and solar resources as part of a cleaner energy portfolio that will reduce carbon emissions 80 percent by 2035. TEP has filed its integrated resource plan (IRP) with the Arizona Corporation Commission, outlining plans for 2.5GW of new solar and wind over the next 15 years and 1.4GW of energy storage capacity as it progressively shutters its coal power stations. See the TEP Press Release for more information: https://www.tep.com/news/tep-plans-clean-energy-expansion-carbon-reduction/
Tucson Electric Power (TEP) to provide 70% of its energy from solar and wind by 2035
TEP customers intending to install a new PV system now need to check that their system can be safely installed and connected to TEP’s grid. TEP now has service areas that are saturated with PV systems where new PV systems are subject to additional review and requirements under Arizona’s Distributed Generation Interconnection Rules. TEP has prepared DG Saturation Maps showing these areas. This further described at https://www.tep.com/get-started-with-solar/ This requirement stems from the recent Distributed Generation Interconnection Rules issued by the Arizona Corporation Commission. Further information is available at:Interconnection of Distributed Generation Facilities Update: See the related article on tucson.com: New state rules limit rooftop solar systems in some Tucson neighborhoods
TEP PV Saturation Maps
Interesting Technology Updates;
Battery Storage Costs Drop Dramatically, Making Way to a New Era. A recent Rocky Mountain Institute (RMI) report continues to confirm that clean electrification through batteries is advancing at impressive rates. Very interesting report: Breakthrough Batteries- Powering the Era of Clean Electrification
Breakthrough Batteries Powering the Era of Clean Electrification
Other Announcements
Caution- News leads open in new windows. Warning- These news links are automatically generated by others such as Google News and are not reviewed by the Arizona Solar Center, Inc. We are not responsible for link content.
America now has over 242,000 solar workers, and Arizona has about 7,524 of these jobs, according to the National Solar Jobs Census 2018. These jobs are providing clean, affordable, renewable energy in all 50 states. In 2017 the Jobs Census reported 8,381 Arizona Solar Jobs, making for a 10% decrease. Several factors are at play, the most important of which appears to be the policies of Arizona electric utilities regarding credits for any excess energy and reducing buyback rates. This has lowered the potential savings of having your own photovoltaic (PV) system. See our article Arizona Electric Utility Information.
The situation is not expected to improve soon due to Federal actions such as the tariffs on some imported PV modules and the coming reduction in the Federal Investment Tax Credit rates starting in 2020. Those desiring to purchase a PV system should consider doing it now. APS customers need to be mindful of the August 31st application deadlines to lock in buyback rates for 20 years.
The full report is available at: National Solar Jobs Census 2018
There is also a good related article in Ars Technica
February 12, 2019
Tariffs on Chinese polysilicon imports as part of the 2014 trade dispute over Chinese solar panels and American polysilicon have caused REC Silicon to suspend operations at its Moses Lake, Washington polysilicon production facility in the USA from March 1. China imposed tariffs on polysilicon imports from the U.S. in 2014 in response to the U.S. tariffs on Chinese solar panels, effectively cutting off REC Silicon and other producers in the USA from the world’s largest market.
More information at: pv magazine
Update on pv magazine 8-4-2020:
Norwegian polysilicon and silane gas company REC Silicon ASA is fast approaching its effective exit from the solar market after revealing in its second-quarter update it had sold off the last 62 MT of PV-grade poly produced at its plant in Moses Lake, Washington, which has been shuttered for over a year.
The import duties applied on U.S.-made polysilicon by the Chinese authorities which have effectively shut REC out of the world’s biggest market prompted the company to close its Moses Lake fluidized bed reactor facility in the second quarter of last year. As a result, the company’s solar materials division generated revenue of only $300,000 in the April-to-June window as it contributed a $2.3 million hit to earnings before interest, tax, depreciation and amortization, following a $2.8 million deficit to the bottom line in the first three months of the year.
The policies of the various Arizona electric utilities are very important to the implementation of Distributed Generation (solar electric, etc.) in Arizona.
The Solar Center will use this web space to describe the various utility policies.
APS
Effective September 1st 2017 APS implemented a new schedule of solar rates:
The days of residential net metering are now long gone, APS now uses meters that measure the instantaneous export power and APS credits this monthly at $0.1161 per kWh (for new PV systems with applications completed before August 31, 2019). APS On-Peak Energy Charges in the Summer range from $0.24314 down to $0.05750, depending on rate schedule and the corresponding demand charge. A simple summary is available at https://azsolarcenter.org/summary-of-residential-rate-plans-for-aps-customers-with-an-on-site-distributed-generation-system. It is difficult to determine an optimum rate selection. One factor to consider is that APS charges a monthly Grid Access fee of $0.93 per kWdc of the PV array rating. This adds up over the years and needs to be considered when deciding on an array rating.
There are residential PV system size limits: The PV array nameplate capacity cannot be larger than the following electrical service limits:
a) For 200 Amp service, a maximum of 15 kW-dc.
b) For 400 Amp service, a maximum of 30 kW-dc.
c) For 600 Amp service, a maximum of 45 kW-dc.
d) For 800 Amp service and above, a maximum of 60 kW-dc
For commercial systems APS offers net metering (Rate Rider EPR-6) and has a size limit that the facility’s nameplate capacity cannot be larger than 150% of the customer’s maximum one-hour peak demand measured in AC over the prior twelve (12) months.
Other APS specific information:
SRP
Residential solar customers are required to the use the E-27 rate schedule with its high demand rates, but low energy rates. Any monthly excess is credited at $0.037 to $0.0633 per kWh, much lower than APS. SRP does not have a monthly fee based on PV array or inverter size. If the PV system is over-sized, the excess energy is only worth $0.037 to $0.0633 per kWh.
For commercial PV systems SRP uses an hourly net metering procedure (BUYBACK SERVICE RIDER) in which any excess balance each hour is purchased by SRP at the Hourly Indexed Energy Price - $0.00017/kWh, basically the wholesale energy price at Palo Verde less a small handling charge. This averages $0.020 to $0.030 per kWh. This procedure makes it difficult to accurately forecast value of any excess credits.
Other SRP specific information:
TEP will pay new solar customers 8.68 cents per kilowatt hour (kWh) for their systems' excess power (note: this is not net metering), a price that reflects average market costs over a recent five-year period (TEP Statement of Charges as of October 1, 2019). Customers who file applications after Sept. 30, 2019 to install private rooftop solar systems will keep their initial export rate for up to 10 years. The export rate will be updated annually to reflect market prices for solar power, but will not be allowed to fall more than 10 percent. New solar customers also can choose from two existing Time-of-Use pricing plans, which offer lower rates during most of the day, on weekends and holidays. TEP offers Fast Track™ easy approval for simple PV systems of 10 kWac or less. See the current TEP rate schedule.
See also the TEP announcement Tucson Electric Power (TEP) to provide 70% of its energy from solar and wind by 2035
Navopache Electric Cooperative
Navopache Electric Cooperative is non-profit member-owned distribution cooperative, serving over 33,000 members across the White Mountains of eastern Arizona and western New Mexico. Navopache still (Feb 2019) offers Net Metering. Their basic policy is spelled out in their Net Metering Rate Schedule (link).
All their rate schedules are available (link).
SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE, INC.
All kWh delivered by SSVEC to the Customer will be billed on the rate charged to the Customer under the applicable Standard Rate Schedule.
All kWh received from Customer (Customer produced excess energy) will be credited on a monthly basis by SSVEC to the Customer at the Distributed Generation Energy Export
(“DGEE”) Rate as defined below. Customer excess energy cannot be “banked,” “saved,” or “rolled forward” for use in a future month.There is no Annual True-Up month under this Schedule DG as the accounts are truedup monthly.
Distributed Generation Energy Export (DGEE) Rate shall be defined as follows:
Year 1 (2018) DGEE Rate $0.071165 per kWh
Year 2 (2019) DGEE Rate $0.064049 per kWh
Year 3 (2020) DGEE Rate $0.057644 per kWh
Year 4 (2021) DGEE Rate $0.051879 per kWh
Year 5 (2022) DGEE Rate $0.046691 per kWh
Year 6 (2023) DGEE Rate $0.041310 per kWh
Year 7 (2024 and beyond) DGEE Rate RCP Rate as updated annually.
Intro to arizonagoessolar.org website
Quick APS Links:
News Release (Aug. 15, 2017)
Summary for Residential Customers
Summary for Business Customers
Solar Grandfathering Fact Sheet (also see the note below for additional information)
On August 21, 2017 APS emailed the following information to Stakeholders (but it does not seem to be on the APS website):
Stakeholders,
The Arizona Corporation Commission (ACC) has approved a decision in our rate review, and we are happy to share some details with you affecting our solar customers. We appreciate your support in delivering this message to customers and will be glad to help you with any questions you may have. For your reference, attached are letters that were sent to customers regarding grandfathering. Other resources are available at aps.com/gosolar.
Grandfathering
On January 18th APS emailed the following information to Stakeholders (but it does not seem to be on the APS website):
Stakeholder Communication January 18, 2018
Stakeholders,
We hope you all had a great holiday, and Happy New Year!
The February 28, 2018 installation deadline for grandfathering is quickly approaching, and we want to remind you of the following:
All applications that do not meet the firm February 28 installation deadline will be eligible for Rate Rider RCP (Resource Comparison Proxy). If the system is over 10 kW, we will review the application again for RCP qualification. If the system does not meet the qualifications, we will notify all parties on the application.
Rate Changes – The deadline for grandfathered solar customers to change rates was August 31, 2017. Requests after that date to change from one grandfathered rate to a different grandfathered rate will not be accepted. Please be sure to advise customers that if they are grandfathered, they can either:
A letter will be sent to customers to remind them of the deadlines mentioned above.
Sincerely,
APS Renewable Energy Team