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In practice: Sungevity is a U.S. company that offers third-party ownership in the form of residential solar leasing. Without any money paid up front, they design and install a customized residential system, then lease the panels to the homeowner for a low monthly rate. Although the homeowner does not own the system, the cost of the lease payment (plus the savings of the reduced electricity bill) is generally less than what the homeowner was paying before installing solar, signifying immediate cost savings. Other prominent companies offering third- party leases include SolarCity and SunRun. Permitting and Interconnection Processes Concept: While manufacturing innovations and technology breakthroughs have cut the cost of solar PV panels in half since 2009, the high cost of solar is still a frequently cited barrier to wider adoption. As a consequence, reducing process or “soft” costs (i.e., labor and overhead), which account for over half the cost of a residential solar installation, is now an industry focus. The DOE believes that by reducing soft costs (or the time it takes to site, permit, install, and interconnect a system), the cost of solar may be reduced to as low as $1 per watt by 2017. However, without national standards to follow, states and AHJs currently use their own set of procedures. The result is a patchwork of regulatory hurdles and processes, which, again, adds to the time and cost of installing a renewable energy system. Having an efficient, easily understandable standard and fair-cost set of processes that are managed by properly trained code officials will help to reduce these soft costs. In practice: The best permitting practices include email and online transactions, fair flat fees, over-the-counter permit issuance, and standardized permit requirements (VoteSolar Initiative, n.d.). Implementing these best practices requires the full support of local jurisdictions that issue permits (Pitt, 2008). In 2007, the Sacramento Municipal Utility District (a municipal utility in California) pioneered streamlined permitting to ensure all AHJs in its service territory use a standard application template. Seven different AHJs signed on and developed measures that streamlined the process, including permitting fee waivers (for three years), a simple standardized application for small residential PV, and a commitment to over-the-counter or one-day turnaround for plan reviews (Cutlip, 2011). Renewable Energy Best Practices in Promotion and Use — Andrea Luecke — Page 19PDF Image | Waste Heat Recovery and RPS Policies in the US
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