When we hear the phrase “solar power,” our brains immediately jump to California. Maybe Nevada. But mostly California. These states were the early adopters. California, for its part, has an immense amount of space to install solar farms, and is seen as the most progressive state technologically and environmentally.
As the renewable energy market—particularly solar —matures and the prices for the technology drop, states and their utility companies are starting to work out the regulations that need to be put in place for better renewable energy infrastructure. Even more importantly, the Eastern and Southern regions of the US are finally starting to catch on. (That’s an exciting statement for me, a Kentuckian, to write).
In early 2015, reports showed that the most growth in solar development was in North Carolina, which has a pretty aggressive renewable energy portfolio standard: 12.5% of their electricity is to be provided by renewables by 2021. Although the Southeast is known for its reluctance to accept renewable energy as a viable alternative to coal, it’s becoming apparent that more states are adopting solar. The same goes for states in the Midwest, Northeast, and Pacific Northwest.
So with that said, read up on these five states and their plans for renewable energy over the next few years. They all are on here for different reasons that make them key players in the field.
1. Florida
“The Sunshine State” obviously has plenty of potential for renewable power generation, but legislators have made it difficult by preventing third party power purchase agreements, which inhibits companies like SolarCity, for instance, to enter the market. The state also doesn’t allow anyone but a regulated utility company to sell power to anyone.
But that’s all starting to change.
“The example really worth looking at that’s interesting is Florida,” said Frank O’Sullivan, MIT Energy Initiative Research Director. The solar market in Florida is set to open up in the 2016 election. Particularly important is its decision whether or not to allow third party solar financing in Florida. The issue is going to the Florida Supreme Court to be decided.
What’s really important to note, O’Sullivan added, is that given the political make up in Florida, it's a great example of how "as the economics of solar in particular have improved, the economic rationale is beginning to be more broadly appreciated."
2. New York
Perhaps this one is not hugely surprising, but New York is another state going through big discussions about reimagining the future of energy, O’Sullivan said. The state is trying to “change not just net metering, but the entire regulatory framework around the state in order to make sure storage can be brought to bear and to open up the sector to entrepreneurship in a manner that’s not really possible at the moment.”
New York plans to cut its greenhouse gas emissions 80 percent below 1990 levels by 2050, and also ranks ninth in the US for total installed solar. In 2013, it installed enough to power more than 10,000 homes. Earlier this year, the Public Service Commission decided to restrict utility companies from owning small distributed solar systems, which will force them to work with other service providers and solar companies to promote a more competitive market and offer homeowners cheaper, more accessible solar. It was a big step for renewable energy regulations and reforming the energy grid system.
3. Alabama
In September, Alabama Power, the state’s main utility provider, received permission to deploy 500 megawatts of renewable energy over the next six years. Two of the first projects are proposed to be on military bases. Still, there are a lot of barriers in Alabama and many other states in the nation, like no net metering, which would credit solar panel owners with the electricity they add to the grid. Alabama Power has a per-kilowatt monthly fee for customers who install grid-tied solar, which it reimburses at the avoided cost rate. But, a large deployment of solar is a step in the right direction for a state ranked in the bottom 10 of installed solar capacity.
4. Mississippi
You probably think that’s a typo, right? Mississippi is at the bottom of the list of states that have installed solar (as of 2014, it was 44th in the nation with just 400 jobs and no new installed capacity at the end of the year) but a Chinese company called Seraphim Solar Manufacturing USA recently announced it will manufacture solar modules in the state, producing at least 300 megawatts a year at first and, according to CleanTechnica, the company plans to hit a gigawatt of power generated in three years. The plant will also add 250 new jobs to Jackson.
Much like Florida, Mississippi is a great example of legislators reluctant to adopt solar beginning to see the economic benefits of renewables. In April, Mississippi teamed up with North Carolina and Georgia solar companies to build two projects in the state and generate 53 megawatts of electricity.
5. Hawaii
Hawaii using renewable energy is a bit of a no-brainer what with its weather and power potential, but the state hasn’t drawn much attention with its efforts to promote solar, wind, or hydro until this past June, when Hawaii enacted a law that stated it has a goal of 100 percent renewable energy by 2045, with interim goals of 30 percent by 2020 and 70 percent by 2040. It’s the first state to have such an aggressive goal of being completely powered by renewables, setting a precedent for other state legislators that have yet to speak up on the topic.
