Subscribe free to our newsletters via your
. Solar Energy News .




SOLAR DAILY
Future deployment of distributed solar hinges on electricity rate design
by Staff Writers
Berkeley CA (SPX) Jul 10, 2015


File image.

Future distributed solar photovoltaic (PV) deployment levels are highly sensitive to retail electricity rate design, according to a newly released report by researchers from the U.S. Department of Energy's Lawrence Berkeley National Laboratory (Berkeley Lab). The study also explores the feedback effects between retail electricity rates and PV deployment, and suggests that increased solar deployment can lead to changes in PV compensation levels that either accelerate or dampen further deployment.

"We find that retail rate design can have a dramatic impact on PV deployment levels," says report author Naim Darghouth, a researcher in Berkeley Lab's Energy Technologies Area. "For example, rate design changes currently being considered by a number of utilities, and modeled in our study, can dramatically erode aggregate customer adoption of PV (from -14% to -61%, depending on the design)."

The report, which uses a solar deployment model originally developed at the National Renewable Energy Laboratory, also examines PV deployment levels under broad adoption of time-of-use rates, purely volumetric rates, feed-in tariffs, and avoided cost-based rates. Most of these scenarios lead to deployment levels lower than under a continuation of net metering and current rate designs.

The report also considers two potential feedback effects between solar deployment and retail electricity rates. The first, commonly-noted feedback occurs if increased solar deployment leads to under-recovery of utility fixed costs, creating a need to increase retail electricity prices, thereby accelerating solar deployment. A second, less-frequently discussed - and opposing - feedback occurs when increased solar deployment causes a shift in the timing of peak electricity pricing, which tends to dampen solar adoption by customers on time-of-use rates.

"Our study shows that - at least on a national basis - these two feedback effects largely counteract one another. As such, current discussions that focus largely on the fixed-cost recovery feedback miss an important and opposing feedback mechanism that can in many circumstances moderate the issue of concern," notes Berkeley Lab's Ryan Wiser, a co-author on the report.

Exemplifying these feedbacks are the deployment impacts from switching all customers to time-varying rates. In the shorter term, up to about 2030, the study finds that PV deployment is greater than in the reference scenario - a result of the higher average compensation for PV under time-varying rates which boosts PV deployment.

However, as regional PV levels increase and the energy and capacity value of PV drops, the compensation for net-metered PV generation under time-varying rates also falls, which leads to lower PV deployment levels. Therefore, proposals to move towards time-varying rates may boost PV deployment in the shorter term, but may actually reduce PV deployment in the longer term.

The report was motivated by the fact that rapid growth of net-metered solar PV has provoked concerns about the financial impacts of that growth on utilities and ratepayers. To address these concerns, an increasing number of states are exploring changes to net metering rules, retail rate structures, or both.

According to report co-author Galen Barbose, "Understanding the deployment impacts of potential reforms to rate design and net metering will be critical for regulators and other decision makers as they consider changes to retail rates, given the continued role of PV in advancing energy and environmental policy objectives and customer choice. This report makes a unique contribution by quantitatively assessing these possible deployment impacts."

The report, Net Metering and Market Feedback Loops: Exploring the Impact of Retail Rate Design on Distributed PV Deployment, may be downloaded here


Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.

SpaceDaily Contributor
$5 Billed Once


credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly


paypal only

.


Related Links
Lawrence Berkeley National Laboratory
All About Solar Energy at SolarDaily.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News





SOLAR DAILY
Schneider Electric to optimize 17 MW project
Burnaby, Canada (SPX) Jul 09, 2015
Schneider Electric Solar Business, a global leader in solutions for the solar power conversion chain, is pleased to announce that they have provided the complete electrical balance of system (BOS) for a 17 MW project in Japan. Schneider Electric will provide a complete solution including PV Boxes, Array Boxes, and Monitoring and Control, using Schneider Electric's SCADA solution, Conext Co ... read more


SOLAR DAILY
How do biofuel perennials affect the water cycle?

Scientists study ways to integrate biofuels and food crops on farms

Biogas to biomethane by water absorption column at low pressure and temps

Tropical peatland carbon losses from oil palm plantations may be underestimated

SOLAR DAILY
Elon Musk funds major research grants on dangers of artificial intelligence

Advances in Robots Needed to Explore Icy Moons

Seahorse tails could inspire new generation of robots

Engineers develop micro-tentacles so tiny robots can handle delicate objects

SOLAR DAILY
Green shoots for Aussie renewables as Ararat Wind Farm moves ahead

Viaducts with wind turbines, the new renewable energy source

Successful Commissioning Of HelWin2 HVDC Grid Connection

Winds of change as Ethiopia harnesses green power

SOLAR DAILY
China's Uber-style taxi app raises $2 bn

A learning method for energy optimization of the plug-in hybrid electric bus

Physical study may give boost to hydrogen cars

Researchers build mini Jeep that turns tire friction into energy

SOLAR DAILY
Superconductor could be realized in a broken Lorenz invariant theory

Tunneling out of the surface

Can heat be controlled as waves?

Organic crystal, large-scale field-effect transistors based fabricated

SOLAR DAILY
Japan reactor refuelled for restart, despite opposition

Nuclear Friendship: Kazakhstan to deliver 5K tons of uranium to India

Putin, Zuma consider development of South African nuclear energy priority

Japan increases limits on radiation exposure before nuke reactors restart

SOLAR DAILY
Climate: EU parliament backs reform of carbon market

Fossil fuels, low-carbon plans, in tug-of-war

New formula expected to spur advances in clean energy generation

Access to electricity is linked to reduced sleep

SOLAR DAILY
Rumors of southern pine deaths have been exaggerated

Can pollution help trees fight infection?

In Beirut, a green paradise off-limits to Lebanese

Some forestlands cool climate better without trees




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement All images and articles appearing on Space Media Network have been edited or digitally altered in some way. Any requests to remove copyright material will be acted upon in a timely and appropriate manner. Any attempt to extort money from Space Media Network will be ignored and reported to Australian Law Enforcement Agencies as a potential case of financial fraud involving the use of a telephonic carriage device or postal service.