The Past, Present, and Future of Federal Tax Credits for Renewable Energy

For several decades, two federal tax credits have supported the development of solar, wind, and other forms of renewable energy: the Investment Tax Credit (ITC) and the Production Tax Credit (PTC). The two tax credits have been both a lifeline and a source of ire for the renewable energy industry as Congress’ shifting priorities have sometimes made them unreliable. Congress allowed both tax credits to expire on several occasions or renewed them just before they expired, forcing developers into the difficult position of making business decisions in an uncertain environment. But other times Congress has given them long-term extensions or made significant amendments that increased their usefulness. All the while, the solar and wind industries have weathered this uncertainty, adjusting their business models as needed to adapt to the changing landscape.

Interconnecting Non-Exporting Systems: How do States and Utilities Interconnect DG Customers that Don’t Export Electricity?

The basic model for interconnection of distributed generation (DG) customers has historically involved the customer exporting electricity to the grid, as with net-metered systems. In recent years, however, as in some states the value of traditional net metering has declined and as energy storage has become more common in the DG market, some customers are choosing to not export power and instead use their systems solely to supply their own load. States and utilities are adopting new interconnection rules for customers that choose this route, typically expediting the usual interconnection process due to non-exporting systems having smaller grid impacts.

Smart Meters, Smart Policies: Accessing and Using Energy Data

Advanced metering infrastructure (AMI) is a network of smart utility meters, communications methods and protocols, and data management systems that aim to capitalize on the capabilities of new metering technologies for broad benefits. While utilities receive direct benefit in labor costs from remotely read and managed meters, many of the benefits come from being able to access the outputs of the meters, especially because smart meter data can be gathered at shorter time periods than manually read meters. Depending on configuration, smart meters can report energy use in real time or at other intervals such as every 15 minutes or every hour. 

With Load Growth and Fear of Rising Utility Bills, Are Low-Income Customers Protected?

With the growth of data centers, investor-owned utilities plan to construct a significant capacity of generation resources to combat the rising electricity demand. Utility customers are expected to be on the hook to subsidize millions of dollars worth of capital investments, including low-income customers who do not have the financial capacity to shield themselves from rate increases. Although many states and utilities offer low-income assistance programs, what are the states with the most considerable data center growth already doing, and are they prepared for what’s to come?

“Diving” Offshore: A Look into State-Level Advancement and Deployment of Offshore Wind

Offshore wind, while mature in some parts of the world, is still a budding energy resource in the United States. At almost 12,500 miles, the United States has one of the longest oceanic coastlines on the planet (not to mention 4,500 miles along the Great Lakes!), providing a host of opportunities for offshore wind development. States are advancing offshore wind in a variety of ways, with two big pillars: statewide targets, and competitive solicitations. This post will cover those two main pillars, along with a look at existing offshore wind capacity and recent investigations into offshore wind deployment.

The Advanced Clean Cars II Controversy: Where are States Adopting or Blocking California's Zero-Emission Vehicle Rules?

California has long established itself as a national leader when it comes to environmental policy and regulation, and with the adoption of the Advanced Clean Cars II program, the state continues that legacy. While lawmakers in many states work to adopt or emulate similar emissions reductions programs, others are attempting to prohibit the adoption of these regulations altogether.

What are States Doing to Make Virtual Power Plants a Reality?

Virtual Power Plants (VPPs) are attracting a lot of attention at the moment. Our upcoming 50 States of Grid Modernization Q1 2024 report documents numerous policy and program actions taken by several states, and our very own Autumn Proudlove moderated a session on VPPs at the 2024 North Carolina State Energy Conference. Additionally, the U.S. Department of Energy published an extensive report on VPPs last year, and even mainstream media is publishing articles on their potential. But what exactly are VPPs, and what are states doing to enable their development? 

(Inter)Connecting the Dots: Recent Progress in Interconnection Reform

Interconnection is a hot topic in the electric power sector. Indeed, new generator connections to the grid, the duration of the process, and the costs are long-running concerns for several parties. Federal and state regulators, independent power producers (IPPs), state legislatures, and utilities consider what reforms might be needed and how to implement them. Each of these entities present different, sometimes conflicting, perspectives on the needed changes to the interconnection process and the overall goal of reforms. Over the last three years, the DSIRE Insight team has noted an uptick in interconnection-related actions.

Green Tariffs and Additionality: Do Voluntary Renewable Programs Accelerate the Energy Transition?

The concept of additionality is an important consideration for purchases of renewable energy certificates (RECs) by large corporate customers. Corporate purchases of unbundled RECs have been criticized for not actually increasing the amount of renewable energy available, particularly when the RECS are sourced from areas without renewable portfolio standards (RPS) and large surpluses of renewable energy. Many corporate purchasers have tightened their standards for renewable energy purchases, seeking contracts with specific renewable energy projects or seeking out utility programs that offer dedicated renewable energy capacity.

Top State Clean Energy Policy Trends of 2023

With the end of 2023 upon us, our team likes to take the opportunity to look back on all of the policy and regulatory activity we’ve tracked through the year and think about some of the overarching trends and themes that we’ve seen. Across the areas of distributed solar, grid modernization, transportation electrification, and power decarbonization, our team tracked more than 2,500 actions taken by states and utilities this year, including introduced legislation, active regulatory proceedings, executive orders, and utility initiatives. From enabling virtual power plants and expanding clean energy targets to supporting building electrification and studying market reform, states and utilities took significant steps to advance clean energy in 2023.

Workshop Review: Growing the On-Site Solar Generation Market in North Carolina

Earlier this month, the NC Sustainable Energy Association held its annual Making Energy Work conference. The DSIRE Team, as part of its work at the NC Clean Energy Technology Center (Center or NCCETC), hosted a pre-conference workshop on Growing the On-Site Solar Generation Market in North Carolina. The workshop covered the challenges and opportunities associated with the on-site solar market in the state. The workshop was organized and framed by the Center, with the Center also leading discussions to gather input from interested distributed solar stakeholders. Participants came from solar installers, state and local government, non-profit and advocacy groups, financing entities, and end-use customers.

The State of Solar Decommissioning Policy: Then and Now

Generally, decommissioning requires the removal of systems and the restoration of land or infrastructure to its original condition or for a new use. When referring to a photovoltaic system, decommissioning usually includes removing the PV array, removing the balance-of-system (other parts of the system, excluding modules, such as wiring, inverters, mounting system, etc.), and restoring the land. While it might not seem like the most exciting topic, legislative interest in solar decommissioning has experienced a major uptick in recent years, and for good reason. While solar panels have a lifespan of 25-30 years, it is estimated that by 2030, end-of-life modules in the United States could total 1 million metric tons (Mt), and 10 million Mt by 2050. As the solar market continues to grow, so does the significance of policies to ensure proper decommissioning of these sites.

Is Clean Heat the Future of Consumer Choice?

With fluctuating natural gas prices, improvements in clean heat technology, and a plethora of financial incentives for electrification, consumers have been given more reasons than ever to turn off their gas in favor of electrifying their heating. Though there are a number of state legislative bodies restricting local action against fossil fuel heating, an upward trend in heat pump adoption and even a gradual embrace of clean heat in cold climates like New England beg the question: is clean heat the future of consumer choice?

Do RPS Policies Still Matter?

Our Q2 2023 50 States of Power Decarbonization Report found that 31 states took action during the quarter related to Clean Energy Standards (CES) or Renewable Portfolio Standards (RPS), including the consideration of at least 50 bills. RPS policies require utilities in a given state to have a certain percentage of their electricity sales come specifically from renewable energy sources by a certain date, while CES policies often build upon and are inclusive of RPS policies. CES policies generally require utilities to transition to carbon-free resources, including nuclear larger hydro systems, and other carbon-neutral technologies. Long used as the centerpiece of many states’ renewable energy policy framework, recent years have seen a slightly diminished focus on pure RPS policies. States are increasingly considering further refinement of their electricity markets through a more holistic lens that includes CES and net-zero carbon policies. In other cases, renewable energy development has far outpaced the requirements established by a state’s RPS policy, leading some to wonder, do RPS policies still matter?

Decarbonization Pathways: Comparing Minnesota and North Carolina

This month, we look at two states with regulated electric utilities - Minnesota and North Carolina - and their decarbonization progress over the last decade and a half. Before the term "decarbonization" became commonplace in the electricity sector, many states created renewable energy and/or energy efficiency targets. Both of these states created renewable energy goals for their electricity sector in 2007, prompting utilities to alter their electricity generation and procurement strategies to meet statutory renewable energy goals. 

Permitting Reform in the 2023 Debt Ceiling Bill

On June 3rd, Congress enacted the Fiscal Responsibility Act of 2023 to raise the federal government’s debt ceiling. As part of a section focused on growing the economy, the bill included significant changes to the National Environmental Policy Act, or NEPA. NEPA was enacted in 1970, establishing the President’s Council on Environmental Quality and putting guidelines in place requiring federal agencies to review the environmental impact of their proposed actions. These environmental reviews only come into play when a project falls on federal land, or when a project could affect pollutants covered by the federal Clean Air Act.

Power Decarbonization Across the U.S.: Where We Are, Where We Want to Go, and Where We Are Heading

Earlier this month, our team released its very first 50 States of Power Decarbonization quarterly report, tracking state and utility actions related to clean energy and emission reduction targets, planning and procurement rules, utility integrated resource plans, and more during Q1 2023. This new publication is intended to help energy industry professionals keep up with the fast-paced activity happening in the electric power decarbonization space, while connecting the threads of state clean energy policies and utility resource planning and procurement.

The Grid's Crypto-nite?

What is the first thing you think of when you see the word cryptocurrency? For some, it's the economic opportunity, for others, it’s flat out confusion. Maybe, like me, your mind goes straight to Dogecoin, the crypto-meme that swept through social media a few years back. Regardless of what does come to mind, chances are it’s not energy usage, but maybe it should be.

To Burn or Not to Burn: States Consider Blocking Gas Bans

The legislative year is well underway, and many states are essentially looking at one of two very different pathways: 1) prohibiting bans on fossil fuel-building infrastructure, or 2) banning fossil fuel-building infrastructure. Though some still have bills in limbo, others have already enacted laws this session that are primarily in support of the former and not the latter.