Solar Rules and Regulations

If a ten-MW ≥ GD resource needs to inject net electricity into the grid, ERCOT requires a more regulated interconnection process in addition to registration requirements. While the PUCT does not require regulatory action from municipalities and co-operatives, PUCT resources can and have been used to regulate electricity service providers by not-for-profit utilities to guide decision-making in the development of a distributed generation resource. The following sections of Chapter 25. The substantive rules applicable to electricity service providers may be useful when considering the development of a community solar program:[v] The Solar Investment Tax Credit (ITC) is a federal tax incentive adopted to encourage the use of solar energy in the United States. This federal tax credit is claimed in respect of taxes payable by residential, commercial and utility investors in solar energy projects. When a homeowner purchases a residential solar system, the tax credit is applied to the owner`s personal income tax. For commercial and utility projects, as well as third-party residential projects, the tax credit is claimed by the company that owns the solar energy system. Under Article 168 of the Tax Code, appliances that use solar energy to generate electricity are subject to an accelerated five-year depreciation schedule. The value of MACRS to the owner of the solar energy project is based on the owner`s tax rate. The higher the tax rate, the more valuable the MACRS deduction is. If the solar ITC is claimed jointly with MACRS, the solar project owner must reduce the depreciation base of the project by half the value of the ITC. Applications for wind and solar projects may be processed and approved under Title V of the Federal Land Policy and Management Act of 1976, as amended, and Title 43, Part 2800 of the Code of Federal Regulations (CFR).

Wind and solar projects are approved under rights of way in designated leased areas and under rights of way in areas outside designated leased areas. Geothermal projects are processed under the Geothermal Steam Act, as amended from time to time, and 43 CFR Part 3200, and are approved under leases and permits. Local governments have many tools at their disposal to promote the growth of solar energy. At the same time, decisions taken at the federal and state levels provide the context for local action and help municipalities choose the most effective strategies to meet their responsibilities. This section of Solar Energy: SolSmart`s Toolkit for Local Governments provides a high-level overview of federal and state policies and programs impacting solar energy development. This article will help you with the sizing of a photovoltaic (PV) installation. By calculating the power, current and voltage required, the size and number of photovoltaic modules can be estimated. In addition, voltage and current requirements determine how solar panels are installed. For more information on solar panel regulatory activities at the state level, visit your state`s Environmental Protection Agency website. Texas House Bill (HB) 362: The passage of HB-362 prevented homeowners associations (HOAs) and homeowners` associations (POAs) from completely restricting solar devices.

To comply with this law, homeowners living in neighborhoods with HOAs must still follow normal procedures to request improvements, including a written request or application to an appointed architectural review committee or similar board. HB-362 amended Section 202.010 of the Texas Property Code as described below. The amount of the tax credit depends on the capital investment required to build a solar project. The loan provides a dollar-for-dollar reduction in income tax that an individual or business would otherwise pay to the federal government. (In contrast, a tax deduction only reduces the amount of taxable income.) Solar panels for hazardous waste that are recycled may be able to use regulatory exclusions available under the RCRA, including the transfer-based exclusion (Title 40 of the Code of Federal Regulations, Section 261.4(a)(24)) in states that have adopted the 2015 or 2018 waste rule definition. The movement exclusion is a regulatory exclusion for secondary hazardous materials that are recycled, provided certain criteria set out in the regulations are met. This conditional exclusion aims to encourage the recycling of materials by third parties, while creating a legal framework that prevents mismanagement. The Public Utilities Regulation Act of 1978 (PURPA) is a federal policy to conserve electricity, improve the energy efficiency of the utility sector, and promote fair electricity rates. [3] In recent years, PURPA has played an important role in expanding solar energy growth in many parts of the United States.

This is the result of PURPA`s mandate that utilities buy electricity from small renewable energy producers when the cost of that electricity is less than what the utility would pay to provide its own energy. While heavy metals are present in most solar panels, there are a variety of manufacturers and models, using different materials as semiconductors. Due to differences in design and components, tests have shown that some solar panels can pass through the TCLP while others fail. Texas Senate Bill (SB) 1626: Passage of SB 1626 filled earlier loopholes by allowing developers to prohibit homeowners in residential areas from installing solar panels on their homes during the development period only if the development consists of 50 units or less. Hazardous waste tests on solar panels on the market have shown that different types of solar panels contain different metals in the semiconductor and in the weld. Some of these metals, such as lead and cadmium, are very harmful to human health and the environment. If these metals are present in sufficiently high amounts in solar panels, solar panel waste could be hazardous waste under the RCRA. Some solar panels are considered hazardous waste, others are not, even within the same model and manufacturer.

Homeowners with solar panels on their homes should contact their national/local recycling agencies for more information on disposal/recycling. [27] MASS Solar Loan, Program Metrics,, (accessed August 21, 2020). A practical understanding of supply issues in country-specific regulated and deregulated markets enables solar project developers to optimize their energy supply strategy, anticipate utility concerns, and design projects that emphasize mutual benefit. It`s also important to be aware of specific policies that affect solar development in the state where you operate. The price of CRES can fluctuate considerably depending on supply and demand. If a state`s PSR targets are significantly higher than current solar generation, utilities will charge more CERs or SRECs, which will increase the price. The highest price for a CRES is usually determined by an Alternative Compliance Payment (ACP). If a utility does not purchase enough SREC to comply with the PSR, it will be fined (expressed in dollars per MWh) by the regulator at the ACP level. Since a public utility would never pay more for a RECE than ACP countries, this effectively limits the market price of RECS. Solar leases are similar to PPAs in many ways. The difference is that the monthly rate covers the solar system itself and not the electricity costs.

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