The economic effect of electricity net-metering with solar PV: Consequences for network cost recovery, cross subsidies and policy objectives

Eid, Cherrelle; Reneses, Javier; Marín, Pablo Frías; Hakvoort, Rudi A.

doi:10.1016/j.enpol.2014.09.011

Cited by 249 publications

(132 citation statements)

References 14 publications

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“…As an alternative to Feed-In tariff for renewable energy generation [40], some countries have begun to consider the energy credit concept [41]. The latter can lead to an even more disruptive kind of technology: energy currencies.…”

Section: Energy Currenciesmentioning

confidence: 99%

Financial and environmental benefits of activedistribution networks

Serna-Suárez¹,

Ordóñez-Plata²,

Carrillo-Caicedo³

2018

revuin

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To identify the role and importance of local renewable energy resource integration on power distribution systems, this work presents a survey on how Active Distribution Systems capture benefits from this kind of energy resources. Also, this paper introduces the basic concepts of two economics tools that can help in the environmental valuation of local renewable energy projects, along with a discussion on the role of energy currencies in the development of renewable energy. As a conclusion, thanks to the advent of concepts such as "prosumer" and emergent technologies such as digital currencies, it is possible to achieve financial and economic viability for local renewable energy projects with the aid of Active Distribution Networks.

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Section: Energy Currenciesmentioning

confidence: 99%

Financial and environmental benefits of activedistribution networks

Serna-Suárez¹,

Ordóñez-Plata²,

Carrillo-Caicedo³

2018

revuin

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“…Existing research about rooftop solar is limited to questions of distributive justice, and critical social scientists have been surprisingly silent on justice questions surrounding decentralized generation. For example, economic, policy, and technical analyses discuss rooftop solar and justice only in the narrow sense of how electricity costs are distributed through rates (Darghouth et al 2016;Eid et al 2014;Procter 2014;Pitt and Michaud 2015;Yamamoto 2012). The opposite is true of critical social science, which takes a more nuanced approach to justice but has barely discussed DG.…”

Section: Recognitionmentioning

confidence: 99%

Toward an urban political ecology of energy justice: the case of rooftop solar in Tucson, AZ

Franklin¹,

Osborne²

2017

Journal of Political Ecology

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The rapid deployment of rooftop solar panels in many US cities has raised new concerns about the fair distribution of electricity costs through rates. Electric utilities argue that existing rate structures shift costs from solar owners to lower-income ratepayers, while critics say rooftop solar benefits all ratepayers and helps address environmental injustice. In light of these competing justice claims, this article asks: what are the implications of rooftop solar for energy justice? Drawing on a case study from southern Arizona, we use urban political ecology (UPE) to analyze debates about rooftop solar that speak to three types of justice: distributive, procedural, and recognition. While dominant justice claims revolve around the distribution of costs through rates, competing claims emphasize procedural and recognition (in)justice. Focusing on political economy, power relations, and the materiality of the grid, we reframe the utility company's cost shift argument as a strategic narrative and explain why this understanding of justice is recognized as legitimate while others are not. We propose that UPE can further an energy justice analysis by understanding procedural and recognition injustice as systemic products of rate of return regulation, and the material configuration of the electric grid. Keywords: urban political ecology, energy justice, rooftop solar, decentralized energy, electric utility regulation RésuméLe déploiement rapide de l'énergie solaire sur le toit dans de nombreuses villes américaines a suscité de nouvelles inquiétudes quant à la répartition équitable des coûts de l'électricité grâce à des tarrifs. Les entreprises d'approvisionnement en électricité estiment que les structures tarifaires qu'elles utilisent actuellement, déplacent les coûts des propriétaires solaires vers les taux de faible revenu. Mais les critiques disent que l'énergie solaire sur le toit bénéficie à tous les contribuables et contribue à remédier à l'injustice environnementale dans toute la société. À la lumière de ces revendications de justice concurrentes, cet article demande: quelles sont les implications de l'énergie solaire sur le toit pour la justice énergétique? En s'appuyant sur une étude de cas du sud de l'Arizona, États-Unis, nous utilisons «urban political ecology» (UPE) pour analyser les débats sur l'énergie solaire sur le toit qui parlent de trois types de justice: distributive, procédurale et de reconnaissance. Alors que les revendications de la justice dominante tournent autour de la répartition des coûts par le biais de tarrifs, les revendications concurrentes mettent l'accent sur la procédure et la reconnaissance de la (in)justice. En mettant l'accent sur l'économie politique, les relations de pouvoir et la matérialité du réseau électrique, nous révisons l'argument du changement de coût de l'entreprise en tant que récit stratégique. Nous expliquons pourquoi cette compréhension de la justice est reconnue comme légitime, 1 Remington Franklin, MA and Dr. Tracey Osborne, Assistant Professor, School of ...

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“…This is because the fixed costs utilities pay for the distribution infras-tructure are so high that they need to be recovered over a long period (Cai et al, 2013). When an electricity consumer is only charged for the costs per kWh consumed, provided net-metering is applied, this would jeopardise cost recovery of the capital expenditures that are not related to kWh consumed, but to kW capacity invested (Eid et al, 2014). Volumetric sales in South Africa is also a prevalent business model used by Eskom, the single national utility, as well as local municipalities that buy electricity from Eskom and resell it to customers (Swilling and de Wit, 2010).…”

Section: Unsustainable Business Model Of Electricity Utilitiesmentioning

confidence: 99%