Seasoned solar veterans in the state of Florida are anticipating a largely sunny future with a small number of uncertainties after a vote to approve constitutional amendment failed to pass. This amended was supported by big utilities in a harsh election battle. The solar future in Florida looks promising if you are or want to get involved in the solar system construction industry.
The biggest harbinger of this newly increased certainty was when solar giant, SolarCity, the nation’s biggest solar panel installer, prepared to start building solar energy systems in Florida.
“The solar industry is growing much faster now than it has in the past, and it changes every day,” said Ray Johnson, president and founder of Florida Solar One, a successful and established solar contractor in Fort Lauderdale. Florida Solar One is one of Solar Power World magazine’s 500 most influential solar contractors in North America. “Solar panels are now at an all-time low and are significantly cheaper than they were when this business started over eight years ago.”
There has also been an insurgence in interest in the solar industry by new advances in battery technology, electricity regulation controls, emerging electric vehicle charging stations, and smart home technology. Another big push was the federal government’s extension of the 30% investment tax credit on all renewable energy investments.
Mr. Johnson added that there has been an increase in modern home designs that incorporate solar systems, and Florida Solar One has been contacted numerous times to professionally engineer these highly specialized electrical systems. The pace of these inquiries continues to increase every day.
Amendment 1 failed to obtain more than the 60% required threshold to pass. This amended was disguised as a protection measure for non-solar residents from subsidizing solar user’s connection to the utility grid.
The challengers of the amendment argued that the language implied that the utility had the legal standing to repeal a state mandate that required the utility to buy back the excess power made by solar users. The biggest utility, Florida Power & Light, based in Juno Beach, FL, perpetuated that they hadn’t reached a decision if the amendment would have passed.
Solar supporters argue that this amendment’s defeat does not mean that the utilities will find other strategies to battle this process, more commonly known as “net metering”. Eliminating net metering would mean a surcharge of $16-$30 for solar users each month to connect to the electric grid. This would decrease the incentives to go solar and would increase the payback period of a solar investment.
“Not knowing what is going to happen is a deal killer for most customers and it is the biggest thing keeping people from adopting solar and launching the industry even further”, said Johnson.
The Florida Solar Energy Industries Association, FLASEIA, is looking to negotiate an agreement with big utilities next time they try to eliminate net metering. FLASEIA representative, Patrick Altier, said “whatever it may be – let the chips fall. Then I could go to the customers and say ‘here is what is going to be. It’s not going to change.”