ScreamingEagle
Gold Member
- Jul 5, 2004
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An energy revolution is happening atop homes in the United States, with one new rooftop solar system being installed every four minutes in 2013.
Great for the environment. Not so good for the U.S. electric companies that happen to be in solar energy hot spots.
U.S. policymakers encourage and subsidize solar installations by allowing solar households essentially to run their electric meters backwards if they generate enough energy to feed into the grid. Each month, those households pay utilities less, sometimes much less, for energy. (See related blog post: "Time to Break Free of Net-Metering; We Need a 'FIT' Policy for Renewable Energy to Soar.")
These so-called "net metering" policies are adding up to a headache for electric company officials, who are watching monthly utility income shrink as more and more solar panels crown the homes in their service areas. (Take the related quiz: "What You Don't Know About Solar Power.")
Many solar advocates see this as a positive demonstration that renewable technology is on its way to revolutionizing the deeply entrenched fossil-fueled energy system. But utilities argue that solar households are avoiding paying their fair share for the electric grid they still rely on, and the long-term investments the companies have made in power plants and the delivery grid. Solar rooftops represent "the largest near-term threat" to the utility business model, a "disruptive challenge," even though they still represent less than one percent of the U.S. retail electricity market, an industry study said earlier this year. (See related story: "Desert Storm: Battle Brews Over Obama Renewable Energy Plan.")
A backlash has begun in the leading U.S. solar markets, with utilities seeking to scale back net metering or increase what they charge solar households.
As Solar Power Grows, Dispute Flares Over U.S. Utility Bills
Great for the environment. Not so good for the U.S. electric companies that happen to be in solar energy hot spots.
U.S. policymakers encourage and subsidize solar installations by allowing solar households essentially to run their electric meters backwards if they generate enough energy to feed into the grid. Each month, those households pay utilities less, sometimes much less, for energy. (See related blog post: "Time to Break Free of Net-Metering; We Need a 'FIT' Policy for Renewable Energy to Soar.")
These so-called "net metering" policies are adding up to a headache for electric company officials, who are watching monthly utility income shrink as more and more solar panels crown the homes in their service areas. (Take the related quiz: "What You Don't Know About Solar Power.")
Many solar advocates see this as a positive demonstration that renewable technology is on its way to revolutionizing the deeply entrenched fossil-fueled energy system. But utilities argue that solar households are avoiding paying their fair share for the electric grid they still rely on, and the long-term investments the companies have made in power plants and the delivery grid. Solar rooftops represent "the largest near-term threat" to the utility business model, a "disruptive challenge," even though they still represent less than one percent of the U.S. retail electricity market, an industry study said earlier this year. (See related story: "Desert Storm: Battle Brews Over Obama Renewable Energy Plan.")
A backlash has begun in the leading U.S. solar markets, with utilities seeking to scale back net metering or increase what they charge solar households.
As Solar Power Grows, Dispute Flares Over U.S. Utility Bills
