What Is Community Solar?
You now have the power to support a cleaner, greener environment while saving money on your electricity costs.
For years our energy grid has relied on fossil fuels to power our homes. As an energy user, you’ve had little say in the matter.
In recent years, solar has emerged as one of the most efficient and cost-effective energy sources, and some households have begun installing their own solar panels to cash in on the benefits of choosing solar. But most of us (an estimated 80% of homeowners and renters) have been left out of the clean energy revolution due to cost constraints or roof ineligibility.
Until now.
Introducing Perch Community Solar. Community solar is one of the most exciting solar opportunities today because it gives households and small businesses the power to support a cleaner, greener environment while also saving them money on their electricity costs. The best part? You don’t even have to install your own solar panels.
What is community solar in a nutshell?
In a nutshell: Community solar is a state incentivized program that makes it possible for homeowners, renters, and businesses to support solar without needing to install their own solar panels.
For those who are not able to get rooftop installations on their own homes due to costs or roof constraints, community solar programs offer a way to participate in the renewable energy revolution and save money. Residents can subscribe to a local solar farm that has been developed specifically as a community solar farm and begin earning solar energy credits that reduce their electricity costs.
How does it work?
The process starts with the construction a large solar farm. Solar developers will identify a suitable site for development, such as a capped landfill or underutilized farmland.
Once they’ve received the right permitting, they can begin building the farm. This process can take many months. Once a solar farm is completed, it is connected to a local utility and begins sending solar energy to that utility’s power grid. An electric meter keeps track of the farm’s energy production which the utility then translates into a monetary value, often referred to as a “solar credit.” These credits are what your community solar subscription will generate every month, and they are what ultimately offset the cost of electricity on your utility bill.
This is where you come in.
Perch’s Community Solar program allows homeowners, renters, and business owners to subscribe to the farm and receive a portion of the solar credits generated from these farms. To ensure the right number of credits are assigned to each subscriber, Perch analyzes your average monthly electricity usage and the farm’s monthly electricity output to determine how many credits you will need to generate to match your annual electricity use. The credits your subscription generates are automatically applied to your electricity bill, reducing what you owe your utility.
Perch then charges you for these credits, but thanks to state incentives, we charge you at a discounted rate, usually around 10% depending on the state and size of the subscription. This discount on solar credits translates to around 5%-10% savings on your electricity costs every year. For a closer look at how the savings actually work, check out our guide to community solar billing. Your payments help support the development of more solar projects around your state.
What are the benefits of community solar?
Savings are a big part of community solar programs, especially for businesses, government agencies, schools, and housing authorities who can lock in serious long-term savings due to the size of their subscriptions. However, the benefits extend far beyond the savings. Generating local jobs: Community solar helps to support local communities by generating quality jobs during construction and invigorating economies. Environmental benefits: There are also the environmental benefits of adding more clean energy to the grid. According to the EPA emissions calculator, a standard 5MW solar project avoids the CO2 emissions of burning 5 million pounds of coal—that’s the equivalent of taking over 950 cars off the road every year. With each new solar farm, we help keep our energy generation clean, and our skies cleaner. OK, I’m on board. How do I get started? If you’re lucky enough to be in a state with a community solar program, now is the time to take advantage! If your state does not have a program, fear not, programs are rapidly expanding across the United States.
