Renewable Energy

UPDATE (May 2019)

The most often question we receive about solar is “Does installing solar have any value?” The best answer we can give is maybe.

Because the residential rates at SSVEC are so different from APS and TEP there is not a simple answer on value. It really depends on how much the PV system cost and the value you place on “green energy”.

To determine the economic value of a PV system you have to find the cost per kWh so you can compare it to the way you buy energy from SSVEC. This is a simple calculation where you take the total cost of the system (installation cost, less tax credits, plus 20 years of maintenance) and divide it by the total number of kWh’s the PV system will produce over its life. Typically, this is going to range from 7 to 11 cents per kWh.

SSVEC’s residential rates have one more cost change at the end of 2019. At that point energy bought from SSVEC will cost you 10.3 cents per kWh (down from 10.8 cents).

If you install a PV system you are moved to a “distributed generation rate” which has a monthly service fee that is $5.00 higher but then discounts the kWh cost to 8 cents per kWh. This rate also sets the value (export rate) of any kWh that your system produces but you can’t consume the instant it is made. If you install a PV system in 2019 the export rate is 5.76 cents per kWh. This export rate is “locked” based on your date of connection for a period of 10 years. At the end of the 10-year rate lock, your export rate will be based on the current export rate as determined and approved by the ACC. In 2020 the export rate drops to 5.19 cents per kWh.

So today, if your PV kWh cost comes in at 9 cents you save 1.3 cents on any kWh you produce and consume but lose 2.4 cents on any kWh that comes back to the grid. It is not an easy or simple decision and it is one that only you can make.


The SSVEC REST Plan

Incentives are as follows:

  • Solar Water Heating is 25 cents per the annual kWh saved (OG-300 certified)

Interconnection to the SSVEC distribution system is subject to the following disclosures in addition to the physical interconnection requirements.

  • SSVEC’s electricity rates, basic charges and service fees are subject to change. Future adjustments to these items may positively or negatively impact any potential savings or the value of your photovoltaic system.
  • Your photovoltaic system is subject to the current rates, rules and regulations established by the Arizona Corporation Commission (“Commission”). The Commission may alter its rules and regulation and/or change rates in the future, and if this occurs, your system is subject to those changes.
  • Any future electricity rate projections presented to you by sales agents are not approved by SSVEC or the Commission. They are based on projections formulated by external third parties not affiliated with SSVEC or the Commission.

Recommended Steps of Installation

  1. Fill out and submit a SunWatts interconnection resquest form.
  2. Get multiple bids for the installation of the PV or Solar Water Heating System. SSVEC will be happy to review these bids and answer any questions you might have.
  3. Choose your contractor.
  4. Contractor installs the system and submits required documents to SSVEC.
  5. SSVEC inspects the system and installs the proper metering.

SSVEC is not “Anti-Solar”
We are “Pro-Member” and
want to help you make the best decision for you!
Send any questions to David Bane.