The Federal Energy Regulatory Committee’s (FERC) issued a declaratory order stating that sales by a developer of on-site solar generating projects to end-use customers do not constitute the sale or transmission of electric energy.
“This decision by FERC is a major victory for the solar industry," Rhone Resch, President and CEO of the Solar Energy Industries Association (SEIA) said. "Recognizing that FERC does not have jurisdiction over on-site solar generating projects removes a great cloud of uncertainty about the role of third-party solar system owners and paves the way for greater, more cost-effective, solar deployments.”
The FERC decision was brought about in response to a petition by SunEdison LLC, which develops on-site solar projects for customers, but said it was "drowning" in FERC paperwork, traditionally associated with the transmission of electricity from new power plants.
FERC recognized that because SunEdison customers purchase 100% of the power generated on site, no transmission is taking place, and the paperwork is not necessary.
In Related News…
As the push for more renewable energy ramps up in the US, FERC finds itself at the center of a hotly debated issue over who should pay for additional transmission capacity to carry the clean power.
A group of leading transmission providers, called WIRES, has called on FERC to quickly establish comprehensive national guidelines for the allocation of costs across state lines and consumer groups.
Read the New York Times report at the link below.
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