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At least 19 records

The effect of residential solar on energy insecurity among low- to moderate-income households

Each year, millions of Americans experience energy insecurity, or the inability to afford enough energy to meet their basic needs. Here, this study evaluates whether residential rooftop solar can serve as a preventative solution to energy insecurity among low- to moderate-income households. Using a national, matched sample of solar and non-solar households based on detailed and address-specific data, we find that solar leads to large, robust and salient reductions in five indicators of energy insecurity. Moreover, the benefits of solar ‘spill over’ to improve a household’s ability to pay other energy bills. The results suggest that rooftop solar may be an effective tool for policymakers who seek to reduce energy insecurity.

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Bringing Low- and Moderate-Income Solar Financing Models to Scale (Final Technical Report (FTR))

In this final report, the Clean Energy States Alliance(CESA) and its project partners describe their work to accelerate the development of solar projects for three distinct subsets of the low- to moderate-income(LMI) solar market: single-family homes, manufactured homes, and community institutions, including multifamily affordable housing. For each market sector, the project team undertook research, outreach, and market-building activities. By advancing promising LMI solar financing innovations for different housing types and spreading them to new locations, the Scaling Up Solar for Under-Resourced Communities project has built momentum to scale up LMI solar. Although the report describes some research pertaining to solar adoption in LMI communities, this project was original in that it focused on two specific models to tackle single-family homes and community institutions. Until this project, very little research dedicated to solar for manufactured homes existed. For each market sector, the project team undertook research, outreach, and market-building activities. For the single-family homes sector, the project encouraged states to adapt a program model based on a successful Connecticut initiative that has brought solar to thousands of LMI homeowners. For manufactured homes, the project analyzed the potential for using solar for that housing sector and worked with states, utilities, and other stakeholders to launch pilot projects or programs. For community institutions, the project team worked with foundations, lenders, and community service organizations to inventory, analyze, and communicate models for philanthropic investment that accelerate the deployment of solar and solar+storage in multifamily affordable housing, health centers, and other LMI-serving community institutions.

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Developing socially and economically generative, resilient PV-energy systems for low- and moderate-income communities: Applications for Puerto Rico (Final Technical Report)

The nexus of energy and poverty is one of the most significant long-term challenges facing the energy and electricity sectors, with negative feedback loops between energy-related costs, risks, and insecurities, on the one hand, and diverse other social and economic insecurities, on the other, helping to undermine health, wellbeing, and resilience in low- and moderate-income communities around the US and the world (Biswas et al. 2022). The transition of energy systems to clean energy alternatives offers a potential opportunity to redesign future energy arrangements in ways that, instead, create beneficial social value for communities, reverses the energy-poverty nexus, and enhances community wellbeing (Biswas et al. 2020; Miller et al. 2018). The promise of clean energy transitions to address the energy-poverty nexus is especially significant when designed using principles of just energy transitions. To leverage just clean energy transitions to accomplish a reversal of the energy-poverty nexus requires improvement in three capabilities: (1) Understanding and mapping the community-scale dynamics and variability of the energy-poverty nexus, which vary considerably from community to community; (2) Evaluating the technical, social, and economic potential for different clean energy system designs to deliver social value to specific communities; and (3) Working collaboratively with communities to imagine and design clean energy systems solutions that meet their needs, fit their capabilities and contexts, and deliver multiple forms of community-desired social value/benefits that help reverse key facets of the energy-poverty nexus. This project developed a portfolio of novel tools, methodological approaches, and collaborative partnerships with four communities in Puerto Rico that further the objective of building these three capabilities.

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Modeling the potential effects of rooftop solar on household energy burden in the United States

Policymakers at the federal and state level have begun to incorporate energy burden into equity goals and program evaluations, aiming to reduce energy burden below a high level of 6% for lower income households in the United States. Pairing an empirical household-level dataset spanning United States geographies together with modeled hourly energy demand curves, we show that rooftop solar reduces energy burden across a majority of adopters during our study period from a median of 3.3% to 2.6%. For low- and moderate-income adopters (at or below 80% and 120% of area median income, respectively), solar reduces median 2021 energy burden from 7.7% to 6.2%, and 4.1% to 3.3%, respectively. Importantly, solar reduces the rate of high or severe energy burden from 67% of all low-income households before adoption to 52% of households following adoption, and correspondingly from 21% to 13% for moderate-income households. Here, we show rooftop solar can support policy goals to reduce energy burden along with strategies such as weatherization and bill assistance.

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Power now, pay later: the evolution of U.S. residential solar financing

Most U.S. residential rooftop solar customers finance their solar purchases through loans or by buying power from third-party owned systems. Prior research demonstrates how third-party ownership (TPO) models such as leases emerged in the early 2010s and accelerated solar adoption by low- and moderate-income households while driving market concentration in the installation industry. Since 2015, loans have emerged as a prevalent financing alternative, but the potential effects of loans on the customer base and industry remain understudied. Here, we fill that research gap by developing a methodology to identify loan-financed and third-party owned systems in a household-level solar adopter data set. The data suggest that loans accounted for increasing solar market shares from 2017 until reaching as high as 70% in 2022, but that the market has since shifted back to TPO. The data show that TPO adopters in our sample earned about 16%–18% less and loan recipients earned 3%–7% less, at the median, than customers who self-financed systems. These results reaffirm prior research showing that TPO has accelerated low- and moderate-income adoption and that loans have likewise expanded the customer base to a lesser extent. The results suggest that loan-financed systems entail around a 16%–26% price premium that is only partly explained by loan fees. Finally, the data suggest that the emergence of loans has likely reduced market concentration in the rooftop solar industry.

financing↗

Are You Philanthropy-Ready? How to Work with Foundations on Mission-Aligned Community Solar

Community solar is emerging as a popular way to deliver a range of economic and social benefits that go beyond clean energy. The US Department of Energy (DOE) has set a goal for America to deploy enough community solar projects to power the equivalent of five million households by 2025 and create $1 billion in energy bill savings. To reach the goal, DOE has created the Community Power Accelerator, as part of the National Community Solar Partnership (NCSP). The Accelerator is an online ecosystem bringing together developers, lenders, foundations, community organizations, and other stakeholders to support the deployment of mission-aligned community solar. The Accelerator is especially focused on projects that deliver "meaningful benefits" to customers and communities, including: access by low- to moderate-income households; greater bill savings; resilience and grid benefits; community ownership; and local workforce development. Many philanthropic organizations are looking at community solar as a way to capture these benefits in their grant-making and investment programs, while also reducing pollution and promoting environmental justice. To help community-based organizations (CBOs), non-profit organizations, and mission-aligned developers seeking philanthropic support, Berkeley Lab and the National Renewable Energy Lab prepared Are You Philanthropy-Ready? How to Work with Foundations on Mission-Aligned Community Solar. The guide provides an overview of how foundations work, gives tips on what they seek in a fundable project, and provides guidance on crafting effective proposals. In short, this guide aims to help the fund-seeker become philanthropy-ready.

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LA100 Equity Strategies. Chapter 8: Equitable Rooftop Solar Access and Benefits

The LA100 Equity Strategies project integrates community guidance with robust research, modeling, and analysis to identify strategy options that can increase equitable outcomes in Los Angeles' clean energy transition. This chapter focuses on analysis of customer-sited rooftop solar and storage as a means to reduce electricity bills for low- and moderate-income (LMI) households, multifamily building residents, and renters, who traditionally lack access to bill savings from rooftop solar. Specifically, NREL modeled customer-sited solar and storage adoption using the Distributed Generation Market Demand (dGen™)1 model through 2035 and developed scenarios to identify programs or policies that could support equitable access to bill savings from rooftop solar or solar-plus-storage. Scenarios tested include a direct-install program for LMI customers, net metering for LMI customers, and equitable distribution of benefits from installing solar between owners and renters of renter-occupied buildings. Research was guided by input from the community engagement process, and equity strategies are presented in alignment with that guidance.

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Low-Income Energy Affordability Data - LEAD Tool - 2022 Update

The Low-Income Energy Affordability Data (LEAD) Tool was created by the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA) to help state and local partners understand housing and energy characteristics for the low- and moderate-income (LMI) communities they serve. The LEAD Tool provides estimated LMI household energy data based on income, energy expenditures, fuel type, housing type, and geography, which stakeholders can use to make data-driven decisions when planning for their energy goals. From the LEAD Tool website, users can also create and download customized heat-maps and charts for various geographies, housing, energy characteristics, and population demographics and educational attainment. Datasets are available for 50 states plus Puerto Rico and Washington D.C., along with their cities, counties, and census tracts, as well as tribal areas. The file below, "01. Description of Files," provides a list of all files included in this dataset. A description of the abbreviations and units used in the LEAD Tool data can be found in the file below titled "02. Data Dictionary 2022". A list of geographic regions used in the LEAD Tool can be found in files 04-11. The Low-Income Energy Affordability Data comes primarily from the 2022 U.S. Census American Community Survey 5-Year Public Use Microdata Samples and is calibrated to 2022 U.S. Energy Information Administration electric utility (Survey Form-861) and natural gas utility (Survey Form-176) data. The methodology for the LEAD Tool can viewed below (3. Methodology Document). For more information, and to access the interactive LEAD Tool platform, please visit the "10. LEAD Tool Platform" resource link below. For more information on the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA), please visit the "11. CELICA Website" resource below.

AMI↗

The geographies, typologies, and trends of community-based organizations for solar energy in the United States

Community-based organizations (CBOs)1 play an important role in developing solar energy in low- and moderate-income (LMI) communities. This article shares the perspectives of CBO leaders in LMI communities, identifies and addresses solar information gaps, and provides recommendations State Energy Agencies and other government leaders can use to better involve CBOs in solar program initiatives. Using semi-structured interviews and focus groups with CBOs from across the United States (US) we develop typologies of CBO structure and function, and determine the primary motivations, challenges, opportunities, and communication barriers CBOs face. We explore the correlation between key typologies such as tenure, staff capacity, population served, organizational structure, and region with the organizational activities performed by solar-related CBOs. CBOs operate in disparate regional political and economic ecologies. Our findings suggest strategies for states to support their engagement in solar-related endeavors, particularly with respect to the dissemination of the Bipartisan Infrastructure Law, Inflation Reduction Act, and the EPA Greenhouse Gas Reduction Fund: Solar for All. Developing policies that encourage CBOs to enter the solar training and installation domains, alongside targeted grants and capacity-building initiatives can help maximize community benefits. Furthermore, states can additionally contribute to the positive trajectory and collaboration between state agencies and CBOs in advancing solar energy adoption by fostering a supportive environment.

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Solar cities: A case study analysis of city-level enablers of expanded solar energy access

Rooftop solar photovoltaic (PV) adoption can benefit households by reducing electricity bills and enhancing energy resiliency. Low and moderate-income (LMI) households have been less likely to adopt PV and experience these benefits in the United States than higher-income households. Adopter income trends are often explored through quantitative analysis with limited explanatory power. Our quantitative analysis only explains around one-third of city-level variation in LMI adoption trends through socioeconomic factors such as median home values and income inequality and PV market factors such as cumulative adoption and incentives. We implement semi-structured interviews in three case studies of cities with relatively high rates of LMI PV adoption to better understand the factors that explain PV adopter income trends. The case studies partly reiterate findings from quantitative analysis, such as the role of PV incentives. The case studies reveal a broader set of LMI adoption drivers that are missed in quantitative analyses. The case studies show how city contexts can affect LMI adoption, such as the role of supportive city governments. The case studies also reveal the importance of partnerships, such as partnerships between city governments and state LMI PV program implementers. Finally, interviewees emphasized the importance of building trust among prospective LMI PV adopters. Interviewees suggested that partnerships, outreach, and consumer protection measures were crucial to building trust in PV installers among LMI households.

Adoption↗

Achieving Cooperative Community Equitable Solar Sources (ACCESS) (Final Technical Report)

Since 2011, solar has grown from a niche technology to a widely accessible source of power for homes and businesses across the United States and has become a fundamental part of the modern grid. There are still challenges, however, in learning how to integrate and use PV most effectively and how to make PV universally available. Most low- and moderate-income (LMI) customers cannot currently afford PV; capital costs and financing costs are too high to drive significant penetration. Providing access to LMI individuals and communities is a critical and immediate priority, and the focus of this project. The overall objective of the Achieving Cooperative Community Equitable Solar Sources (ACCESS) project is to explore and amplify the use of innovative, cost-effective energy access programs to serve co-ops’ LMI members1. ACCESS will research at least three financing mechanisms and at least six LMI program designs including LMI engagement strategies to maximize participation for these hard-to-reach audiences. ACCESS evaluated the financial mechanisms and program designs from field tests sited at diverse co-ops that provide recognizable models for the broader co-op community to identify optimal solutions for small utilities. The research with these cooperatives allowed testing of concepts and development of models and tools for other utilities to adapt to their own program designs and expansions. ACCESS published results and developed an “ACCESS Solar Access Toolkit” consisting of program designs, LMI engagement strategies, how-to guidance, and other tools to facilitate replication at small utilities across the country. Through the dissemination practices of the ACCESS project team, all NRECA member co-ops (~900) were made aware of the “ACCESS Solar Access Toolkit” and all other ACCESS resources. NRECA and its partners developed innovations to expand co-ops’ solar energy offerings to provide all of a co-op’s members—especially those who struggle to pay their bills—with cost-effective options that meet their needs. ACCESS specifically explored utility financing mechanisms and program designs that, independently or used in combination, increase solar access for rural electric cooperatives’ LMI members/ratepayers and that reduce LMI member/ratepayers’ electricity costs by at least 10%. LMI engagement strategies focused on maximizing the number of members who receive benefits and on the cost savings to LMI participants.

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Effective Knowledge Dissemination for LMI Solar: The Roles of Community Organizations and State Governments

This report provides a detailed summary of a three-year effort by the Clean Energy States Alliance (CESA) on “Effective Knowledge Dissemination for LMI Solar: The Roles of Community Organizations and State Governments.” The core approach of this project was to work with state energy agencies (SEAs) and community-based organizations (CBOs) to improve their ability to share the knowledge and information that is needed for solar to be developed efficiently, equitably, and cost-effectively in low- and moderate-income (LMI) communities.

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Community Solar for All: Key Findings for State Energy Offices and State LIHEAP Agencies from the Inclusive Shared Solar Initiative

Despite the significant potential for community solar to reduce energy burdens and costs, it has largely remained out of reach for low-income households. While the U.S. community solar market has grown considerably over the last decade, as of December 2022 low to moderate-income (LMI) community solar represented just 2% of the overall market. Effective community solar policies and program decisions can help address this dynamic. State laws, policies, and program rules are critical to the development of community solar programs and projects that are affordable for and cater to the needs of LMI utility customers, who often face disproportionately high energy costs relative to their incomes. This report explores how two sets of state agencies in particular — State and Territory Energy Offices and State Low Income Home Energy Assistance Program (LIHEAP) Agencies —can help to streamline and prioritize the delivery of affordable and accessible shared solar. State Energy Offices are often involved in community solar policy and program design from inception, whether by supporting the enactment of enabling legislation or informing the development of program rules and regulations. State Energy Offices may also be charged with administering or overseeing the implementation of statewide community solar programs and, through the U.S. State Energy Program and other sources of funding, can provide resources and loans that enhance community, developer, and utility confidence and capacity to build, host, and derive value from projects. Relatedly, as implementers of federal LIHEAP block grants, State LIHEAP Agencies have a deep understanding of the needs of lower-income households and can help inform the design and delivery of community solar programs.

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National Community Solar Partnership (NCSP+) Resource List

NLR compiles and makes quarterly updates to this dataset of publications related to expanding access to solar through its support for the National Community Solar Partnership (NCSP+). The purpose of the list is to help NCSP+ partners and others to find relevant resources on community solar, low- and moderate-income residential rooftop solar + storage, community-serving commercial solar projects, microgrids, and distributed solar + storage aggregations such as virtual power plants serving low-income communities. Resource types include journal articles, reports, fact sheets, presentations, videos, datasets, modeling tools, webinars, and other formats. A web-based version of the database is available on the NCSP+ Data Hub at: https://openei.org/wiki/NCSP_Hub/Resources .

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DEPRECATED - Sharing the Sun Community Solar Project Data (December 2022)

This data set is no longer current – The most current data and all historical data sets can be found at https://data.nrel.gov/submissions/244 This database represents a list of community solar projects identified through various sources as of Dec 2022. In addition, this dataset updated the low-income (LI) and low- and moderate-income (LMI) provisions for both complete and pending projects, based on the most recent program data we collected as of July 2023. The list has been reviewed but errors may exist and the list may not be comprehensive. Errors in the sources e.g. press releases may be duplicated in the list. Blank spaces represent missing information. NREL invites input to improve the database including to - correct erroneous information - add missing projects - fill in missing information - remove inactive projects. Updated information can be submitted to the contact(s) located on the current data set page linked at the top.

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DEPRECATED - Sharing the Sun Community Solar Project Data (December 2023)

This data set is no longer current – The most current data and all historical data sets can be found at https://data.nrel.gov/submissions/244 This database represents a list of community solar projects identified through various sources as of Dec 2023. In addition, this dataset updated the low-income (LI) and low- and moderate-income (LMI) provisions for both complete and pending projects, based on the most recent program data we collected as of March 2024. The list has been reviewed but errors may exist and the list may not be comprehensive. Errors in the sources e.g. press releases may be duplicated in the list. Blank spaces represent missing information. NREL invites input to improve the database including to - correct erroneous information - add missing projects - fill in missing information - remove inactive projects. Updated information can be submitted to the contact(s) located on the current data set page linked at the top.

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