Senate Bill 152“Saving Alaska Money with Volunteer Community Energy” has been passed by the Alaska State Legislature and is now awaiting Governor Dunleavy’s signature to become law. SB 152 will allow Alaska residents to subscribe to community-owned solar panels that are not on their homes or property, providing access to clean energy for the first time to the more than 260,000 Alaskans living in rental properties and 79,000 who live below the federal poverty line.
The bipartisan bill is sponsored by Senators Bill Wielechowski, Forrest Dunbar, Elvi Gray-Jackson, Scott Kawasaki and Representatives Ashley Carrick, Stanley Wright, Cliff Groh, Andy Josephson, Alyse Galvin, Donna Mears and Calvin Schragehas.
This legislative victory comes on the heels of the U.S. Environmental Protection Agency’s Earth Day announcement that lead applicant Alaska Energy Authority, along with the Alaska Housing Finance Corporation, has been awarded $62.5 million to “deliver urban, residential to rural community-scale projects across Alaska” and deliver the benefits of solar energy to low-income and underserved communities.
“This is common sense legislation that gives Alaskans access to the fastest growing segment of the renewable energy industry. With billions of dollars available from private financing And federal incentivesthe bipartisan SAVE Act will enable Alaskans to boost the deployment of low-cost, clean electricity generation, further diversify generation sources, and realize significant savings on consumer bills. This is a beautiful day for Alaska!” said Phil Wight, policy analyst, Alaska Public Interest Research Group.
Community solar refers to local solar facilities shared by multiple subscribers who receive credit on their electricity bills for their share of the power produced. It provides homeowners, renters and small businesses with equal access to the economic and environmental benefits of solar energy generation, regardless of the physical characteristics or ownership of their home or business. It expands access to solar energy and particularly serves as an important tool to enable participation from low- to moderate-income customers, who often cannot afford a rooftop solar system or may not own their home. If SB 152 is signed into law, subscribers can expect to save 10 to 20% on their monthly electric bills.
“It’s nice to see Alaska embracing the power of local, clean, distributed energy as an important part of their overall energy mix. Community solar offers Alaska residents a unique opportunity to participate directly in the clean energy economy while saving money on their electric bills. We applaud the Legislature for recognizing this as a net positive for their constituents and urge Governor Dunleavy to sign this bill,” said Kevin Cray, Mountain West Senior Regional Director of the Coalition for Community Solar Access .
This comes at a crucial time for Alaska’s energy transition. As concerns grow about the natural gas crisis in Cook Inlet, Alaska utilities are looking to diversify their energy sources with renewables. Community solar also offers an opportunity to build a stronger and more resilient electricity grid. The majority of Alaskans support solar energy development, but most have not been able to personally benefit from distributed renewable generation. Community solar energy will change that.
“The Alaska Center understands firsthand the need for this reform of the Community’s energy sector. We’ve heard so many times through our Solarize programs: What if I’m a renter? What should I do if I personally cannot afford a solar installation? Finally, all Alaskans on the Railbelt will be able to subscribe to community energy installations and benefit from low-cost renewable energy. Alaskans can decide to access or create community energy – and this brings us closer to a more equitable energy environment, where clean energy is available to all Alaskans,” said Chantal de Alcuaz, co-executive director of the Alaska Center.
Over the past decade, the number of states that have enacted policies supporting third-party shared or community solar has expanded from just a few to 22 states, including Washington, DC. To date, a combined 6.6 GW of generating capacity has been installed, and Wood Mackenzie’s latest community solar market in the US prospects predicts there will be 14 GWDC power installed across the country by the end of 2028.
News item from CCSA