Rooftop Solar Forms An Alternative To Monopoly Utility Models

Since rooftop solar became possible, electric utilities have struggled to incorporate it into their outdated business model. In recent years, this lag in utility recognition has become increasingly problematic, risking the health, environmental, and financial impacts of over-investment in large fossil fuel power plants. In over 30 states, monopoly utilities submit plans for new power plants to public regulators without adequately considering how customers will serve themselves.

However, a new modeling approach from Vote Solar and the Institute for Local Self-Reliance (ILSR) might finally put distributed solar on the same footing in grid planning as the large power plants that utilities prefer. Our method, first filed in a resource plan in early 2021 for Minnesota-based Xcel Energy, showed that the utility could cost-effectively add nearly 2,000 megawatts more distributed solar than it plans to, saving customers billions of dollars.

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