Although the relationship between utilities and installers in many states is less than friendly, they are learning to work together in some regions. In a 2016 survey of Solar Power World Top Solar Contractors, 114 contractors reported good or great relationships with utilities, 46 said they had an average relationship, 11 reported poor or terrible relations and 329 did not answer the question. With utilities playing a growing role in state solar portfolios, some states see installers and utilities playing nice.
In Arizona, the Arizona Public Service utility and solar interest groups filed a settlement with the Arizona Corporation Commission on rooftop solar compensation. Under the settlement, rooftop solar customers can choose one of four rate design options without a mandatory demand charge from APS. It wasn’t considered a total win by solar advocates, but the move brings some policy stability to Arizona after years of debate. The two groups agreed not to undermine the settlement until 2019.
In New Hampshire, utilities and solar companies filed separate settlement proposals regarding future distributed solar compensation. Both proposals outlined compensation rates for rooftop solar owners and advance charges for solar customers. The proposals established different ways customers would net solar credits. The settlements were filed in an ongoing solar rate design docket.
In New York, six utilities and three solar companies agreed to move away from net metering in favor of declining incentives and fees for developers. The “Solar Progress Partnership” deal fits in with New York’s Reforming the Energy Vision (REV) initiative, which seeks to rebuild, strengthen and modernize New York’s energy system.
And in Colorado, utility Xcel Energy and 26 solar and consumer interest groups compromised on solar rates in the state. The settlement withdrew the utility’s proposed flat grid-use fee and instead allowed the utility to charge customers rates based on time of use.