Community solar plan could expand access and reduce costs, lawmakers say

LANSING -- Michigan lawmakers are considering an energy plan to support community solar, a program that allows those without their own solar panels to effectively utilize solar power from a third party.

The proposals would establish regulations for community solar programs, voluntary investments between utility providers, customers and a third party to increase renewable use and decrease electricity costs.

“This is good for Michigan, because solar is cheap, and it’s getting cheaper. And this allows our residents to get access to that opportunity,” said Sen. Jeff Irwin, D-Ann Arbor.

Residents of an area pay a subscription fee to receive the solar power at a discounted rate. Utility providers then deduct that amount of energy from a household’s bill. All together, community solar projects can result in annuals savings of around $100 per household.

According to the Department of Energy, about half of homes and businesses in the US are unable host solar panels on their own property.

“We believe that everyone should have the opportunity to lower their energy bills, whether they own a large farm in rural Michigan, rent in a dense urban core, or perhaps on a single family home or business in the suburbs and property not conducive to rooftop solar,” said Nick Occhipinti, government affairs director for the League of Conservation Voters. “These bills open the doors for all.”

Representatives from urban and rural areas shared their openness to the program, saying that medium projects could serve as an efficient use of land.

“We’re viewing this as a land preservation vehicle,” said Dan Kelly, Sanilac Twp. Supervisor. “This 30-40-year land lease for a medium-scale solar project would give us an alternative to subdividing and developing our farmland into housing or to some other developments.”

The plan has received support across the aisle. Lawmakers from both parties say that the proposals could move the state toward a cleaner future and burden some of the costs that have increased sharply in recent years.

“For the energy policies that we’ve adopted in this state, the last several times, rates continue to dramatically increase on residential ratepayers, despite all of that effort,” said Sen. Ed McBroom, R-Waucedah Twp. “And this is an opportunity for at least some of those rate payers to escape the ever increasing rates and get a break on that.”

The bill was heard in a Senate committee last month but was not advanced before summer recess. Lawmakers could hear more on the proposals later this year.