This is an excerpt from EERE Network News, a weekly electronic newsletter.
Energy Department Invests $12 Million to Slash Red Tape and Speed Solar Deployment for Homes and Businesses
As part of the Obama Administration's efforts to ensure America's continued leadership in clean energy and double renewable electricity generation once again by 2020, the Energy Department today announced eight teams to spur solar power deployment by cutting red tape for residential and small commercial rooftop solar systems. As part of the Department's Rooftop Solar Challenge, these teams will receive about $12 million—matched by over $4 million in outside funding—to streamline and standardize solar permitting, zoning, metering, and connection processes for communities across the country.
"Responsible development of all of America's rich energy resources is an important part of President Obama's Climate Action Plan and will help ensure America's continued leadership in clean energy," said Energy Secretary Ernest Moniz. "Today, solar modules cost about one percent of what they did 35 years ago, and permitting and interconnection are an increasingly large portion of overall solar system costs. Through the Rooftop Solar Challenge, the Energy Department is helping to make the deployment of solar power in communities across the country faster, easier, and cheaper—saving money and time for local governments, homeowners, and businesses."
The Energy Department's Rooftop Solar Challenge is a part of a larger effort to make solar energy more accessible and affordable and position the United States as a leader in the rapidly-growing global solar market. Non-hardware, or "soft," costs like permitting, installation, design, and maintenance now account for more than 60% of the total cost of installed rooftop photovoltaic (PV) systems in the United States. Across the nation, there are more than 18,000 local jurisdictions with their own PV permitting requirements, as well as more than 5,000 utilities that set rules for connecting to the power grid.
The Rooftop Solar Challenge brings together city, county, and state officials; regulatory entities; private industry; universities; local utilities; and other regional stakeholders to address differing and expensive processes required to install and finance residential and small business solar systems. During the Challenge's first round, 22 regional teams worked to dramatically reduce the soft costs of solar&mdahs;serving as models for other communities across the country. These efforts helped cut permitting time by 40% and reduce fees by over 10%—making it faster and easier for more than 47 million Americans to install solar.
Building on the Challenge's first round, the eight teams announced today will help further expand the reach of innovative strategies that are making it easier, faster, and cheaper for more homeowners and businesses to finance and install solar systems. These awardees will develop and replicate creative solutions that help standardize complicated permitting and interconnection processes that often vary from jurisdiction to jurisdiction; facilitate easy, cheaper bulk purchasing; and support user-friendly, fast online applications. See a full list of the Rooftop Solar Challenge teams and their projects.
The Energy Department's SunShot Initiative, which runs the Rooftop Solar Challenge, is a collaborative national effort that aggressively drives innovation to make solar energy fully cost-competitive with traditional energy sources by the end of the decade. For more information, visit www.energy.gov/sunshot.