Solar panels installed in the community for power generation

Who is involved in a community solar project?

Community solar products may also include nonfinancial benefits, such as environmental benefits (e.g., renewable energy certificates). There are always at least four actors in a community solar project: the host, the sponsor, the utility, and the subscribers. The host is the owner of the location where the community solar project will be located.

How can local governments support solar installation?

Local governments can work with labor unions to provide opportunities for unionized workers to support solar deployment in their community. Some unions include trained solar installers and members that work directly on energy efficiency, building retrofits, solar site construction, and energy audits.

Should community solar projects be regulated?

As displayed by Figure 15, community solar projects are currently located in 39 states and Washington, D.C. Although legislation is not mandatory for community solar project development, it can provide benefits. For instance, legislation can improve clarity by requiring the utility to implement on-bill crediting or consolidated billing.

Why do communities want a community solar project?

Communities may be interested in a community solar project for a variety of reasons, including wanting to reduce pollution in their community, wanting more control over their energy sources, wanting to participate in the financial benefits of clean energy, and/or wanting more jobs or economic development through locally sited clean energy.

Should a utility manage a community solar project?

First of all, utilities are likely to have the legal, financial and program management infrastructure to handle organizing and implementing a community solar project. Second, many utilities are actually governed by their member-customers and can be directed to pursue projects on their members’ behalf.

Can a community solar project be a business?

To take advantage of the tax incentives available to commercial solar projects, organizers may choose to structure a project as a business. In most states, there is a range of business entities that could be suitable for a participant-owned community solar project. (Please see Appendix A for more in-depth descriptions of these business entities.)