Thoughts on Solar by Run on Sun's Founder & CEO, Jim Jenal - Latest Comments on It's On - PG&E Declares War on Solar!

Jim Jenal - Founder & CEO [Member] in response to: It's On - PG&E Declares War on Solar!

Jim Jenal - Founder & CEO [Member] — Mon, 18 Feb 2013 07:33:37 +0000

Stephen -

It is the generation side that is changing the most - as fossil fuels get phased out and distributed generation becomes an ever bigger part, their business model becomes less and less sustainable. (Of course grid management is closely tied to this - our present grid control structure is just not up to the task of providing in the 21st century - whether to handle distributed generation or the threats of cyber-attacks - our utilities are just not prepared.)

That also means that rate structures need to change. Presently, utilities get a guaranteed return on their infrastructure investment - though failed nuclear reactors mess up that calculus. But that only works when you are regularly building more infrastructure. So you see the death-rattle in comments like Ms. Burt's - she is trying to hold back the tide by complaining that it isn't fair to the poor. As if that was a major point of concern of any for-profit entity these days.

Not sure how this will shake out, but I'm pretty confident that the solar industry is on the side of the future.

Jim

eesmc [Member] in response to: It's On - PG&E Declares War on Solar!

eesmc [Member] — Mon, 18 Feb 2013 04:00:19 +0000

Thanks for the great article Jim. Could you suggest links to other posts of yours, or outside resources, that give newcomers greater insight into the traditional business model of utilities and how distributed generation fits into the picture? I found it especially interesting that you referred to PG&E as being part of a dying industry... so which aspect exactly is dying/changing the most?

Jim Jenal - Founder & CEO [Member] in response to: It's On - PG&E Declares War on Solar!

Jim Jenal - Founder & CEO [Member] — Fri, 15 Feb 2013 15:32:20 +0000

Warmac - Not sure you can "totally agree w/Burt" when you advance a proposal she never made.

Any reader of this blog would know that I support a properly designed FiT. But it isn't true that you cannot measure kWh offset under a net-metering scheme, even if it isn't commonly done. Nor do I know how much contact you have with folks who have installed solar, but I can tell you that the majority of our clients become very focused on how much energy they are using and become extremely focused on reducing waste.

In any event, the long term solution has to include changes to the utility's rate structure and, ultimately, business model.

Jim

warmac [Member] in response to: It's On - PG&E Declares War on Solar!

warmac [Member] — Fri, 15 Feb 2013 14:00:00 +0000

I totally agree with Burt. Feed in tariffs are the future. The fact that you can not track kWhr offset through net metering makes it difficult to identify the environmental attributes and does noting to discourage consumption and efficiency. Put in a 2nd meter and provide an incentive rate with a 10 year term. Couple this with our tax credits and we have an improved German model. The Government can tax normal consumption and use it to incent efficiency. The RE generation after 10 years competes with any new generation and wins. A win-win-win, the customer wins, the utility wins, and the goverment wins. It all creates Jobs!

cbdh19 [Member] in response to: It's On - PG&E Declares War on Solar!

cbdh19 [Member] — Wed, 13 Feb 2013 01:43:19 +0000

This is so maddening, but also hardly surprising. The Big Utilities are going to fight the democratization of energy tooth and nail. But the more people who have solar, the more people who will realize how awesome it is to break free from the BU hegemony to energy independence. All we need is a critical mass. We're not even close to that critical mass of home/small/independent solar energy producers, and BU don't want us to get there, because once we do, it's game over for their top-down, monopolizing business model.