Thanks to the generous support from a group of 82 community members who signed up to participate in our Community Solar program, whose participation allowed us to build a 30-kilowatt solar array located at 150 North Govan Avenue in downtown Sequim. The solar array feeds renewable energy directly into our distribution system at the site, and energy credits for the generation are allocated among the participants proportionate to the number of units for which they signed up.
Wondering how your Community solar energy credit on your bill was determined? Here’s the calculation we use:
- Solar energy generated ÷ total Community Solar units (2,000) multiplied by Public Utility District (PUD) Community Solar Credit ($0.074) multiplied by the number of units you purchased equals the Solar Energy Bill Credit
We cannot currently show real-time solar information (power and energy) from the solar array because the recent software update provided by the inverter manufacturer does not have a public data option. This will be provided for in a future update.
Community Solar Frequently Asked Questions (FAQ)
Community solar is a low-hassle option that generally offers a lower entry-price than rooftop solar and allows you to support a sustainable future through an investment in a renewable source of energy – solar. You and others in your community come together to share in the cost of the construction of a solar electric system. Relative to an investment in customer solar, you can purchase units in smaller increments. You also don’t have to worry about siting, permitting, or securing a contractor to install the solar panels or ongoing maintenance of the panels and equipment.
- Rooftop solar is typically owned or leased from a third-party vendor by a homeowner or business owner and located on homes' or businesses' rooftops. Solar panel installations can also be located on the ground if the property owner has the space. Community solar is paid for mostly by interested customers in the community. It can be sited at various locations throughout the community and is typically ground-mounted due to the large number of panels.
- The entry price point for community solar units can be much less than rooftop solar since the units are sized much smaller and the costs are spread out over multiple participants.
- Not all customer properties are conducive to solar generation because they are not optimally situated relative to the sun or objects that may block the sun. Community solar programs are sited to avoid these issues.
- Any electric customer of the utility can participate in community solar.
- Unlike rooftop solar, community solar is not directly associated with a customer’s home or business property. Therefore, some of the issues that could arise on the sale of the home or business are avoided.
Clallam PUD will build the solar program, which will be funded mostly by customers who are interested in participating in the program.
At 410 East Washington Street in Sequim, inside the abandoned substation and right next to where the old Sequim office used to be located.
The program, 30 kilowatts total, will have approximately 96 panels and is estimated to produce up to 32,000 kWh on an annual basis.
Investing in solar is a personal decision that is impacted by a number of factors. Currently, customers have the opportunity to take advantage of the financial incentives offered by the State of Washington. Some customers have strong environmental beliefs and want to support the growth of solar for the environmental attributes.
The financial benefits include Washington State solar production incentives, paid out annually. In addition, you receive a credit on your bill based on the production of the solar array just as if you had solar on your own house.
There are 2 ways – generation credits on your monthly bill and an annual production incentive.
- Generation credit: Participants will receive a monthly bill credit based on a proportional share of the energy produced by the program. Each bill cycle the solar production will be metered and a portion of the production will be allocated to the participant’s bills based on the number of solar units that they have purchased. A unit is equal to approximately 15 watts of power. Each unit is expected to produce an average of 16 kWh of electricity on an annual basis (more in the summer and less in the winter). The total amount of credit applied to a participant’s bill will be based on the number of units purchased and the actual energy production (kWh). The value of this credit is equal to the electrical rate of each participant.
- Production Incentive: Under current Washington state law, an estimated $0.14 per kilowatt hour production incentive is available to customers who participate in Clallam PUD’s community solar program, prorated among solar customers due to limited available funds allowed by the state legislature. The state’s current annual incentive is capped at $5,000 per entity and will be available for eight years following program completion. Clallam PUD acts as the administrator for state incentive payments. Once you are selected as a community solar program participant, have signed the participation agreement, and paid your fees, you are automatically enrolled in the incentive payment program.
Note: The state production incentive is subject to changes in state law.
We hope to have the system generating in late 2019. The monthly credit is for the estimated amount of energy production for your units.
The state incentive payment will be disbursed by Clallam PUD via check every fall for a period of 8 years. The first payment will be made in the fall of 2020, as these annual incentive payments follow the Washington State’s fiscal year of July 1 through June 30.
Please consult your tax advisor to see if you are eligible to claim a renewable energy tax credit on your federal income taxes.
With current state incentives, a participant should recover their initial costs before completion of the program.
Yes. Clallam PUD will post-production data on the Clallam PUD website. Your generation credit will also be printed monthly on your bill.
A customer can submit an offer to purchase between one and 125 units by completing the participation agreement and submitting payment in person at the Clallam PUD main office. A unit is equal to approximately 15 watts of power.
Any Clallam PUD customer with a metered electric service may participate in the community solar program. There is no requirement for home or property ownership, so participants can live in an apartment, condo, home, townhouse, etc., and still be eligible to participate.
No, 1 entry per account number.
The cost per unit is $57.96. Customers may choose to purchase between 1 unit and 125 units. There are a total of 2,000 units available. Note: The estimated cost of the program, including installation, operations, maintenance, and administration, is $115,916.70. The participants cover most of the cost of the program.
No. All insurance, warranty, and maintenance costs are included in the one-time upfront unit cost.
The Participation Agreement must accompany or precede payment for the cost of unit(s).
- Payment at the Clallam PUD office: Clallam PUD will accept cash, check, or VISA/Mastercard/Discover debit or credit card at any of Clallam PUD’s offices.
No. The total unit(s) costs must be paid in full.
If you move within Clallam PUD’s service territory, your solar units will automatically transfer with you. If you move outside of Clallam PUD’s service territory, you can no longer participate; however, if you notify Clallam PUD within 60 days prior to termination, you may transfer your unit(s) to another Clallam PUD customer. The new customer will need to sign a new agreement to receive the bill credits and state incentives (if still applicable).
Yes, a unit(s) may be transferred to a charity or organization that is a Clallam PUD customer. That charity or organization would have to sign the participation agreement in order to participate.
The program is expected to operate through 2044 but is subject to the Terms and Conditions of the Participation Agreement. Please refer to the Participation Agreement. State incentive payments will be made annually over a period of 8 years. Monthly bill credits will continue as long as the program is operational.
Clallam PUD Community Solar Incentive Summary
Number of Units | Cost (1) | Estimated Annual Generation (kWh) (2) | Estimated Annual State Incentive (3) | Estimated Total State Incentive (4) | Estimated Annual Bill Credit (5) | Estimated Total Bill Credit (6) | Estimated Total Life Time Value (7) |
---|---|---|---|---|---|---|---|
1 | $57.96 | 16 | $2.24 | $17.92 | $1.18 | $43.43 | $61.35 |
5 | $289.80 | 80 | $11.20 | $89.60 | $5.92 | $217.17 | $306.77 |
10 | $579.60 | 160 | $22.40 | $179.20 | $11.84 | $434.34 | $613.54 |
15 | $869.40 | 240 | $33.60 | $268.80 | $17.76 | $651.50 | $920.30 |
20 | $1,159.20 | 320 | $44.80 | $358.40 | $23.68 | $868.67 | $1,227.07 |
25 | $1,449 | 400 | $56 | $448 | $29.60 | $1,085.84 | $1,533.84 |
50 | $2,898 | 800 | $112 | $896 | $59.20 | $2,171.68 | $3,067.68 |
100 | $5,796 | 1,600 | $224 | $1,792 | $118.40 | $4,343.35 | $6,135.35 |
125 | $7,245 | 2,000 | $280 | $2,240 | $148 | $5,429.19 | $7,669.19 |
(1) Total Cost Calculated by multiplying number of units by $57.96 (cost per unit)
(2) Estimated Annual Generation based on 2,000 available units. System generation is estimated at 33,000 kWh annually over 25 years.
(3) Estimated Annual State Incentive calculated by multiplying Estimated Annual Generation by $0.14.
(4) Estimated Total State Incentive calculated by multiplying Estimated Annual State Incentive by 8 (number of years incentive received).
(5) Estimated Annual Bill Credit the first year, calculated by multiplying Estimated Annual Generation the first year by $0.0740 (The District’s retail rate as of 4/1/2019).
(6) Estimated Total Bill Credit calculated from the expected electrical generation over the life of the project, assuming some degradation in the output, and 3% annual increase in electrical retail rates over the 25-year life of the project. A detailed calculation is available upon request.
(7) Estimated Total Lifetime value is the sum of Estimated Total State Incentive and Estimated Total Bill Credit.