Southern
California Edison is leading the way as utilities become the solar
industry’s largest customers, according to a report Wednesday by the
Solar Electric Power Association, whose members include solar tech
companies and more than 300 utilities.
The utility is ahead of its counterparts in both overall solar energy capacity per megawatt and per customer, the study found (PDF). Further north, Pacific Gas & Electric is in front in terms of overall solar capacity and megawatts per customer.
The nonprofit solar association compiled the rankings from data
collected from 50 utilities this spring. It projected growth in U.S.
solar electricity, particularly photovoltaics, to expand to 600
megawatts in 2012 from 150 megawatts last year.
Southern California Edison came out on top largely due to its
interest in large, concentrating solar thermal projects, such as a 245-megawatt agreement with eSolar. And it’s working to build 250 megawatts of solar panels across 65 million square feet of rooftops.
eSolar is among the companies working on large-scale installations with Southern California Edison.
(Credit: eSolar)
However, concentrating solar thermal projects
under way by other electricity providers could dethrone the Southern
California utility from its top spot, the report predicted.
Golden State utilities may be the earliest solar adopters, but
others in the West, Midwest and Mid-Atlantic regions are also
increasingly embracing renewables, according to the study.
In its forecast, 4,600 megawatts of concentrating solar systems will be
planned nationwide within the next eight years, at least 600 megawatts
of which won’t come from sprawling solar farms.
For instance, initiatives to encourage solar adoption by homeowners and
businesses are coming from Duke Energy, Long Island Power Authority,
San Diego Gas & Electric, and Southern California Edison.
State renewable energy portfolio standards will help to advance adoption of big solar installations, but progress will stall if federal tax credits, which are set to expire at the end of the year, aren’t extended, said the report’s author, Mike Taylor, in a conference call.
“We’re hitting some new momentum with new business models, but this tax
credit uncertainty is potentially holding things back and creating some
friction in the system,” added Taylor, the association’s research
director. “A lot of utilities are waiting in the wings to see what’s
happening. Some are jumping ahead of the game because they want to be
the first movers.”
By his group’s estimation, other states making inroads with solar
power include Arizona, Colorado, Hawaii, Illinois, Nevada, New Jersey,
New York, Texas, Washington, and Wisconsin.
The West may be the best place for utility-scale solar now, but other regions are catching up, according to the report.
