Last Updated: July 8th, 2020 at 3:15 pm
Read Time: 3 Minutes
Last week in Virginia, state regulators approved plans by Dominion Energy to build two solar plants totaling 240 megawatts, which is good news for clean energy. The interesting aspect is that Dominion Energy will be charging its customers via a “rate adjustment clause” for this right to do so over the next 35 years.
Dominion Energy is doing this in a way that will not raise rates for its customers. However, there will be a line item on customer bills that will account for this cost. The energy produced by these solar plants will allow Dominion Energy the chance to sell renewable energy certificates to Facebook, which will be buying RECs from Dominion for the next 20 years for its new facility in the Richmond area. Selling those credits also will offset Dominion’s cost to build the solar projects.
This is not the first time that power companies have built solar installations and charged customers for it. As PV Magazine’s Christian Roselund points out, Tampa Electric and Florida Power and Light are “rate basing” their customers to build their own solar facilities.
One positive for Dominion Energy customers in this plan is that Dominion will have to bear the additional cost for these facilities should they fail to meet a 25 percent capacity factor. Roselund mentions that Dominion initially sought this guarantee to last only 7 years, but the State Corporation Commission opted for that number to be 20, noting that “more than 75 percent of the costs of the projects will have already been paid through the rider, thus customers are protected from the bulk of the projects’ costs.”
So while it is good that Dominion customers will not incur additional costs on their electric bills for these solar plants, customers will still see a line item on their bills for these renewable energy projects. Why pay that cost when you can invest in solar power for your home, power that you can own?
By going solar, you are taking steps to insulate yourself against the weight of rate increases imposed by power companies, saving you thousands of dollars over the lifespan of your solar system. And when you pay off your panels, you’re setting yourself up to save tens of thousands of dollars. That’s the beauty and value of solar, and it’s why POWERHOME SOLAR wants to help you go green at your home.
POWERHOME SOLAR uses premium American-made solar panels that come with a 30-year warranty, five years longer than the industry standard. Speaking of 30, we’ll remind you that 2019 is the final year to get a 30-percent federal tax credit on newly installed solar systems. Truly, there’s never been a better time to go solar than now. Start saving your money and owning your power instead of continually renting it from the power company. Your solar payment has an end date. You can’t say that about your electric bill.
Please call us at 800-765-2715 or fill out the handy form below, and one of our representatives would be happy to speak with you. Don’t pay for someone else to create clean energy and charge you for it. Create your own and save thousands.