Arizona to Begin Solar Cost-Benefit Study
Arizona is set to begin a full cost-benefit study on roof top solar. Arizona utilities have maintained, for the past two years, that roof top solar adds costs to the grid that customers who don’t have solar have to pay. According to a recent article posted in Utility Dive, the utility concluded that customers with distributed solar, on average, shift $67 a month in costs to non-solar customers because they “pay less for grid upkeep”.
However, solar advocates point out that the utility is not calculating the value of solar correctly. They assert that solar adds around 33 cents per kilowatt hour to rate payers. Arizona solar advocates also point to a 2013 Crossborder Energy study showing every $1.00 invested in Arizona rooftop solar produced a $1.54 benefit to ratepayers.
The regulatory commission voted 4 to 1 at the end of October to study the cost/ benefits of rooftop solar in order to determine solar’s worth.