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Energy and Utilities Law

Pace University

2013

Distributed solar tariff

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The Value Of Solar Tariff: Net Metering 2.0, Karl R. Rábago Dec 2013

The Value Of Solar Tariff: Net Metering 2.0, Karl R. Rábago

Elisabeth Haub School of Law Faculty Publications

Increasing numbers of customers are installing solar photovoltaic systems on their homes and businesses. As module and system costs decline, customer demand grows, and more businesses organize around the solar opportunity, it is time to revisit the tariff structure under which these systems integrate with and operate on the electric grid. This article details a novel approach to a distributed solar tariff, called the “Value of Solar” tariff (“VOST”), that addresses important utility and customer issues, and offers some significant improvements over traditional net metering approaches. There is a saying in the venture capital world to the effect that, “It …