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Georgia Power Stifles Residential Solar And Wind Use

Solar PV and Thermal System

This probably warrants only minor mention, but because I live in Atlanta, and recently read this article in the LA Times regarding California’s solar-power subsidy program facing trouble, I figured calling attention to our plight here to get anything done remotely relating to widespread sustainability would serve as a stark, and hopefully shameful, contrast to the relatively more progressive green incentive-based programs being implemented throughout the rest of the country and the world.

A Baron Island In A Sea Of Green

When it comes to incentivizing sustainability, Georgia is essentially a dried up well that was never dug. If that analogy doesn’t make sense, then it has done its job in conveying the logic of how sustainable practices, green building, energy efficiency, renewable energy and significant water conservation are prioritized (rather ‘un-prioritized’) by state and local municipalities. Quite simply; the message hasn’t quite yet resonated through the thick humid air down here that sustainability is not only the future of the marketplace, but how we all will have to live if we want to keep this place (Earth) we all call home in working order. Despite record breaking unemployment, and the fact that all four states surrounding Georgia have many more green incentives, policy makers still fail to see the value and enormous positive economic opportunities for green industry and sustainable development.

Despite this ‘coalition of the ignorant’, whom somehow still remain empowered to make policy in Georgia, there have been many strides made in the private sector to foster and advance sustainability in the state. From small businesses offering green products and services, to the conscientious homeowners who want to reduce their environmental impact, pockets of sustainably-minded people are essentially going it alone without any significant state or local incentives encouraging them to do so.

While this is admirable in many respects, at least in my opinion, a widespread adoption of green practices, products, and all things sustainably-driven is still well over the horizon for the state. Environmental ideals and ethics only move so many people to act, and in Georgia, these ideals move even less. So in order to get people turned on to ‘going green’, you got to show them some green, i.e. economic incentives.

Georgia Power Wants You To Use Solar, But Not Too Much

Though large local governmental incentives are few and far between here (except for the clean energy tax credit) Georgia Power, the largest provider of electricity in the state as well as a self-proclaimed ‘green’ subsidiary of Southern Company, does offer a renewable energy buyback program similar to many other states like Florida and California. The program allows owners of any qualifying grid-connected renewable energy system (solar, wind, etc.) to be paid for the energy they produce at a rate that’s higher than what they’re charged. Georgia Power’s buyback pays $.18 per kWh against the $.11 per kWh it charges customers. So what renewable energy system owners essentially  get at the end of every month is a bill for the power they take off the grid less the dollar amount they’ve put back onto the grid.

The beauty of this program is that it enables solar system owners, for example, to take advantage of the full efficiency of their system without having to spend extra money on things like large maintenance intensive battery systems (that lessen the production efficiency) or wasting power produced when it is not immediately needed (as in the case of an off-grid system) . The power company wins as well due to the fact that the solar systems are providing extra power to the grid enabling them to operate their plants at a lower output and even preventing the need to build expensive new power plants to meet increasing demand.

The only problem is Georgia Power, compared to other power company buyback programs, is only required to purchase a ridiculously small percentage (0.2% or 500 kw) of its total annual peak demand output from renewable sources, and when that quota, or cap, is reached, they no longer accept system owners into the program nor offer any buyback of the power produced by installed grid-tie systems not making the cut-off. This effectually makes any future installed grid-tie renewable energy system worthless to its owner. By comparison, California utilities have a 2.5% cap (expected to quadruple in the next year or two), while one large Florida utility offers a guaranteed payback of $.32 per kWh for 20 years to customers enrolled in their buyback program. Many other utility companies have no cap at all.

Georgia Power’s 500 kw cap roughly enables about 150-200 homes, with decent sized solar or wind generation systems, to be enrolled in their program. If that sounds like an incredibly small number, that’s because it is. Considering businesses, who usually require larger renewable systems, are also eligible for the program, the number of homes actually able to enroll in the program is even less. This is probably the biggest single reason why there is not more solar being installed in Georgia and why the cap on the program has already been reached.

Tying Their Own Hands

While Georgia Power claims that their limits are set and determined by the Georgia Public Service Commission, what they don’t tell you is this commission is heavily influenced, and essentially in the pocket of, the very utilities which they are meant to regulate. So for Georgia Power’s ‘hands to be tied’, they would need to instruct the commission to do so. Why would they do this? Money of course. They don’t want to pay more for power that they can produce themselves; though if they looked a little closer at the broader economics they would see that the solar buyback program only serves to benefit them financially and further increase their bottom line profits.

Unfortunately, commonsense and practicality are two concepts that hold little weight with Georgia Power and local municipalities. Until local companies and government officials realize the significant benefits in truly facilitating and nurturing a sustainability-based economy and infrastructure, Georgia will continue to lag behind the rest of the country in environmental responsibility, leaving it up to a relative handful of dedicated individuals to drag the state, kicking and screaming, over to join the rest of the world at the already large sustainability table.

The Good: Georgia Power offers a green incentive in the form of its renewable energy buyback program in a state where virtually no green initiatives or incentives exist.

The Bad: Enrollment in the program is contingent on being able to get in under an unrealistically small kilowatt percentage cap which has already been filled. The supposed independent governmental commission charged with establishing limits on the program is in essence indirectly controlled by the utilities themselves.

The Bottom-Line: Georgia Power and its parent company Southern Co. both go great lengths and expense to greenwash their company through heavy marketing and symbolic environmental gestures/projects, but at the end of the day they do little to encourage widespread and large-scale adoption of sustainable practices and/or technology.

OUR SUSTAINABILITY RATING:

YOUR SUSTAINABILITY RATING:

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Rating: 2.8/5 (8 votes cast)

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Discussion

View Comments for “Georgia Power Stifles Residential Solar And Wind Use”

  • Bruce
    What's 3 X 'ridiculous?'
    From the AJC: The Public Service Commission unanimously voted Tuesday [, August 4,] to allow Georgia Power to buy more solar energy, a move that encourages both consumers and companies to invest in solar panels and other equipment.

    The company, which had been permitted to buy 500 kilowatts in solar energy at a time, can now purchase up to 1.5 megawatts. Tuesday’s decision has no impact on the rates paid by the state’s roughly 2.3 million Georgia Power customers... (http://www.ajc.com/business/georgia-power-may-buy-108368.html)
  • Yes. I was aware of this recent 'vote'. Now we have a whopping 0.6% or 800-1000 homes/businesses that can be a part of the buyback. Still a long way to go.
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