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Community Solar Clearinghouse Solution: Initial Assessment Review
Metropolitan Mayors Caucus The Power Bureau
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The Power Bureau | Metropolitan Mayors Caucus
Overview Introductions CS2 Program CS2 Initial Community Reports Observations Conclusions Discussion The Power Bureau | Metropolitan Mayors Caucus
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The Power Bureau | Metropolitan Mayors Caucus
Introductions Metropolitan Mayors Caucus Role: CS2 Program Sponsor Objectives: Secure cost benefits for members Assist members meet Greenest Region Compact 2 goals The Power Bureau Role: CS2 Program Manager Responsibilities: Procurement – forming pools of buyers and sellers Contract management – facilitate contracts and billing The Power Bureau | Metropolitan Mayors Caucus
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CS2 Program: Overview Community Solar Clearinghouse Solution (CS2)
Analysis Evaluate rules of Adjustable Block Program (ABP) by Illinois Power Agency Identify how municipalities can best participate Procurement Competitive bidding to identify qualified community solar developers Set a single price Set common contract terms Account Management Create system to simplify Community Solar bill credits and payments Provide reporting and Subscription adjustment The Power Bureau | Metropolitan Mayors Caucus
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CS2 Program: Objectives
Community Solar Clearinghouse Solution (CS2) Capture Cost Savings Identify savings Competitively source subscriptions Secure long-term cost savings Promote Sustainability Demonstrate progress towards GRC2 and ‘100% Renewable’ Support renewable energy development in Illinois Protect Consumers Acquire community solar at the municipal level on behalf of residents Prevent door-to-door solicitations The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Executive Summary
2 1 3 CS2 Program Services General Benefits of Community Solar Specific Benefits for Community Summary Table 4 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Background Section
2 1 Community Solar Subscriptions Future Energy Jobs Act (FEJA) and Community Solar resources General Community Solar Subscription structure 3 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Subscription Costs
1 3 Economic Value definition for Community Solar Basis for Community Solar Subscription Costs Role of Community Solar Subscribers 2 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Subscription Benefits
3 2 4 Basis for Subscription Credit Value Economics for large accounts (>100 kW) Economics for small accounts (ComEd) Economics for small accounts (retail supplier) 1 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Subscription Benefit Delivery
2 Shared Credit Approach Municipality - retains a portion of the monthly Subscription bill credits (5-15%). This provides a NET savings for the municipality on the ComEd rate. Developer - receives remainder of monthly Subscription Credits in lieu of Subscription payments. Procurement Process will set the municipality share of Subscription Credits 1 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Analysis & Recommendations
3 Initial Report: Analysis & Recommendations 1 4 Data we used Positive recommendations Negative recommendations Metrics for recommendations 2 The Power Bureau | Metropolitan Mayors Caucus
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Initial Report: Analysis & Recommendations
4 IPA Process CS2 Procurement Agreements Construction Commissioning Flow of Power and Credits 5 1 6 2 3 The Power Bureau | Metropolitan Mayors Caucus
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The Power Bureau | Metropolitan Mayors Caucus
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The Power Bureau | Metropolitan Mayors Caucus
Observations Community Solar Brings new solar resources to Illinois Is an option and/or an enhancement to rooftop solar Community Solar Subscriptions 15 to 20 year Subscriptions are essential to finance community solar development Have a cost that varies according to project costs and various incentives Offer savings that vary according to account size and supplier Not all accounts can generate cost savings with Community Solar The Power Bureau | Metropolitan Mayors Caucus
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The Power Bureau | Metropolitan Mayors Caucus
Observations Municipalities Are the stable and creditworthy Subscribers that Community Solar developers are seeking Can capture billing credits on paid accounts to reduce total monthly invoices Can capture billing credits on Franchise accounts (then transfer credit balances to paid accounts) CS2 Program Performing the analysis to help municipalities make smart choices Managing procurement and billing to reduce costs and administrative burden Developing options to secure replacement RECs so that municipalities can achieve sustainability goals that depend on REC certifications The Power Bureau | Metropolitan Mayors Caucus
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Conclusions: Positive Cost/Benefit
Benefits Costs Environmental Participation in the development of new renewable energy resources in Illinois Financial No capital or out of pocket expense Guaranteed discount to ComEd Default Rate Value on Franchise accounts Optionality Can coexist with future on-site solar Subscriptions can be transferred between accounts as facilities are replaced Time and Coordination Review options and plan participation Action Board approvals New vendor in Accounts Payable system Limitations Not all accounts can benefit Savings are not massive (due to costs) The Power Bureau | Metropolitan Mayors Caucus
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For Discussions Now and Later
Edith Makra Metropolitan Mayors Caucus P E. Mark J. Pruitt The Power Bureau P. 219/ E. The Power Bureau | Metropolitan Mayors Caucus
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