Shared Solar FAQs & Answers For Community
Solar panels absorb the sun’s energy throughout the day and convert it into direct current (DC) electricity. Most homes and businesses run on alternating current (AC) electricity, so the DC electricity is then passed through an inverter to convert it to usable AC electricity. At that point, you either use the electricity in your house or send it back to the electric grid. See how solar panels produce electricity for homes, businesses, and farms.
Home and business owners can often realize a 10% ROI or better. Given their longevity, the systems will pay for themselves well within their lifetime while producing clean energy. As energy prices continue to rise, the return on investment will also improve.
Solar is one of the best ways to decrease your carbon footprint. The Midwest is powered largely with coal, so each kWh produced from a solar system essentially saves one pound of coal from being burned. A solar electric system will offset the energy to produce the modules in less than 3 years – that means truly clean energy for the remaining life of the system over the next 25+ years!
Your best starting point is to determine how many kilowatt hours (kWhs) your home used in each of the previous 12 months. With this, we can compare expected monthly solar energy production to your electricity usage. Annual electricity usage total is also a good start. You’ll find your monthly kWh records via paper copies of your utility bills, a phone call to your utility provider, or through your online utility account.
A south-facing area that gets sun from approximately 9 am to 3 pm is best. Solar systems also work well even when facing west or east, if that’s your best option. We can mount the systems on the majority of roof types, including a variety of materials used on pitched and flat roofs. Systems can also be ground-mounted.
Solar electric systems are designed last more than 25 years. Many solar electric systems from the 1970s and 1980s are still functioning today. Solar electric systems need very little maintenance and have a long functioning life. The solar electric panels themselves have a 25-year production warranty and will sustain 1-inch hail impact at 50 mph.
A community “shared” solar array is a single array that provides solar energy to multiple subscribers. Community solar is contrasted to the typical rooftop solar array, in which one solar array provides solar energy to a single energy user. Virtual net metering is the billing arrangement that allows energy users to subscribe to community shared solar arrays and receive bill credits.
The Illinois Power Agency will hold a lottery for the the allocation of community solar incentives in to specific community solar development sites in January 2019. StraightUp Solar has submitted applications for ShineMine sites in Belleville, DeSoto, Godfrey, Heyworth and Marissa. Homeowners and businesses can sign up for a Community Solar Subscription Letter of Intent (LOI) right now to reserve a subscription to a portion of one of these ShineMines.
Ameren Illinois electric utility customers, including those who purchase their electricity supply through a third-party or retail electric supplier (RES), may subscribe to a ShineMine. 200 Watts (or 0.2 KW) is the minimum subscription amount.
One limitation is that no single subscriber may subscribe to more than 40% of a community solar project in Illinois, however a single subscriber may subscribe to multiple community solar arrays.
A certain amount of solar capacity, rated in kilowatts (KW) will be assigned to each ShineMine subscriber based on the percent of their annual electric supply that they wish to subscribe to or to “offset” with community solar. The energy produced by your subscription’s share of KWs will be measured in kilowatt hours (KWH).
Virtual Net Metering allows electricity produced (in KWHs) by a community solar array, located anywhere in the same utility service territory as your electric meter, to be credited towards the amount of KWHs that you used – although the KWH credits will only apply to the electric supply charges, not the delivery charges, taxes, or fees charged by the utility.
The energy production of each ShineMine will be metered and divided among the subscribers based on the amount of KWs included in individual subscription contracts. The ShineMine KWHs are credited to your Ameren IL electric bill through a policy called Virtual Net Metering.
Here is a basic example of how a ShineMine subscription will affect an Ameren IL electric bill:
Household Electric Usage in the month of September = 800 KWH
ShineMine Energy Production in September = 500 KWH
September Electric Bill with ShineMine Subscription
300 KWH @ Non-ShineMine Electric Supply Rate
800 KWH @ Delivery Rate
800 KWH @ Taxes & Fees
500 KWH @ ShineMine Subscription Rate (approximately 10% lower than non-ShineMine supply rate)
Exact ShineMine Subscription KWH Rates, and therefore projected electric supply cost savings from ShineMine subscriptions, will not be known until ShineMine project financials and subscription details are finalized in Spring 2019.
Based on national trends and research, we expect the cost savings to be about 10% below current electric supply rates.
For DS-1 and DS-2 delivery service rate customers (most homes and some businesses), if your share of the ShineMine produces more KWHs than you use in a given month, the excess KWHs will be carried forward as a credit towards the next month’s electric supply KWHs.
The excess KWH credits produced by your ShineMine subscription can be carried forward and applied to the electric supply portion of your bill every month until the annual “true up” date when the accrued KWH credits are reset to zero. This true-up occurs in April each year.
For electric customers with other delivery service rates, there is no carry-forward of excess KWH credits.
In Spring of 2019, Illinois Community Solar-specific incentives will be accounted for and individual ShineMine project financials will be finalized. At this point, formal ShineMine subscription details will also be finalized and subscription contracts will become available.
By the end of 2019, we expect to have the first ShineMine community solar arrays installed, which will then be energized and ready to supply electricity to ShineMine subscribers.
Subscriptions to community shared solar arrays will be both transferable and portable within the same utility service territory. You are able to cancel your subscription at any time.
Despite the clear advantages, billing and and regulatory complications can pose a significant challenge and so adoption in Missouri has been slow. There are just a handful of community solar arrays around the state. These have been sponsored by either a rural electric coop or a municipal electric utility. Ameren MO is planning one, but is not planning to start construction until the project is fully subscribed.
The good news is that there have been legislative proposals in Missouri that are designed to overcome some of the regulatory obstacles. Surveys show public support for community arrays in Missouri is strong.
You can do your part by calling your legislator and let him/her know that you want the choice to go solar even if there’s no room on your property.