This week, the RENEW Wisconsin policy team submitted testimony calling for no change to how Rice Lake Utilities (RLU) compensates customers for the solar energy they produce. This testimony is in opposition to what RLU has suggested for their net energy metering (NEM) policy, which would be a reduction in compensation for solar customers.

In this case, the Public Service Commission of Wisconsin (PSC) will consider a NEM formula for systems at 20 kilowatts (kW) and below, and a formula for systems between 20 and 100 kW. Systems that are 20 kW or below are typically residential rooftop arrays, whereas the larger ones are often on businesses or municipal buildings. RLU currently has three customers with systems above 20 kW, all of which are schools.

Although Rice Lake Utilities is a smaller utility in northwestern Wisconsin and does not have many customers with solar, what they have proposed could change the precedent at the PSC. RENEW has decided to intervene and provide testimony to prevent the potential for statewide changes to NEM policy.

RENEW’s policy team provided evidence to the PSC in support of maintaining the status quo for both larger and smaller solar systems. We also shared potential alternatives for how RLU could transition away from the status quo should the PSC decide to allow a change to NEM benefits. These alternatives are more in line with how utility-avoided costs for Wisconsin utilities are calculated.

Utility-avoided costs are the cost an electric utility pays to generate or purchase power. This could be described as — an avoided expense that a utility would have paid by generating themselves or purchasing it from a third party, had it not come from the customer’s solar array.

RENEW feels that before the PSC decides this case, they should consider the future of municipally-owned utility payment structures for NEM. RLU’s net monthly excess generation formula for NEM currently points to their base cost of power as its avoided cost reference, and that reference remains financially viable for RLU, as well as most Wisconsin utilities. With that in mind, we are concerned that the PSC’s decision in this case might set a precedent for other similar cases.

RENEW is hopeful that the PSC will agree that it is best to leave the current NEM pay structures in place until their Value of Solar Study and NEM investigation concludes.

Next Steps for RENEW

The RLU case is ongoing, and RENEW will have the opportunity to submit rebuttal testimony and participate in a party hearing this June. We will continue to advocate for fair payments to utility customers with solar arrays. There will also be an opportunity for the public to comment on the case before a decision from the PSC in July.

On Wednesday, RENEW Wisconsin’s Policy team submitted comments to the Public Service Commission (PSC) in response to the Lawrence Berkeley National Laboratory’s (LBNL) review of the Value of Solar Studies (VoSS). These comments represent a critical step toward shaping the future of solar energy in Wisconsin, with several organizations, including 350.org, the Wisconsin Environmental Initiative, Northwind Solar, and Appleton Solar, joining RENEW in support of these recommendations. Other organizations and utilities also submitted separate comments.

The context for this study and the review stems from rate case proceedings in the fall of 2023 involving Alliant Energy and Madison Gas & Electric (MGE). These rate cases included proposals to reduce or eliminate the current Net Energy Metering (NEM) policies for solar customers in these two utility territories. If approved, such changes would have reduced the financial benefits for consumers with solar arrays at their homes or businesses. These proposals were ultimately rejected by the Public Service Commission of Wisconsin (PSC), and the Commission agreed to gather more information in a separate statewide investigatory docket. Last year, the PSC began working with Berkeley Lab and other national lab staff on a VoSS to better understand the full benefits of distributed solar energy to the grid and the economy.

RENEW’s comments offer key recommendations to strengthen solar policy in Wisconsin, ensuring it supports sustainable growth and a fair, data-driven approach to valuing solar energy. Here are the main points highlighted in RENEW’s submission:

1. Gather utility data required to estimate solar adoption rates

Accurate and comprehensive data are essential for determining solar energy adoption rates across Wisconsin. RENEW recommends that the PSC gather data from utilities, formulate methodologies, and report on solar adoption rates. This will enable policymakers to make informed decisions on future solar policies.

2. Decide whether an independent VoSS is appropriate for Wisconsin at this time

Before pursuing an independent Value of Solar Study (VoSS), RENEW recommends that the PSC assess whether such a study is appropriate for Wisconsin at this time. This evaluation should consider the unique circumstances of the state, including its zero-carbon energy goals and economic landscape.

3. Create more robust and consistent NEM policy throughout Wisconsin

RENEW advocates for the development of more robust and consistent Net Energy Metering (NEM) policies across the state. NEM is a cornerstone of Wisconsin’s solar energy development, and strengthening this policy will help ensure fairness and consistency for solar customers.

4. When appropriate, establish a VoSS stakeholder process and methodology to consider all values presented in the LBNL VOSS Review

When the time is right, RENEW recommends adopting a fair, transparent, and 

stakeholder-driven approach to a VoSS. This process should consider all the values outlined in the LBNL VoSS Review (economic, environmental, and grid-related) to ensure a comprehensive understanding of solar’s full benefits.

5. Contract with a third-party VoSS consultant using a stakeholder-driven review process

To ensure a fair and credible outcome, RENEW urges the PSC to engage an independent consultant to assist in leading the Value of Solar analysis. An experienced third-party expert can provide objective insight and guide the process in a way that respects the input of all participants, including utilities, customers, advocates, and other stakeholders.

6. Establish either a statewide or utility-specific VoSS driven by data

RENEW supports the creation of a statewide or utility-specific VoSS that is grounded in data and accurately reflects the value solar brings to the grid. This study should be informed by the utility data and stakeholder feedback gathered throughout the process.

7. Establish a glide path towards VoS tariffs only when NEM solar adoption rates increase to 10% in utility service territories

Finally, RENEW recommends a gradual transition to Value of Solar (VoS) tariffs, with a clear glide path based on solar adoption rates. Specifically, the transition to VoS tariffs should occur only when solar adoption reaches 10% in utility service territories.

Next Steps: Stay Tuned for Updates!

At this time, the PSC has not announced the next steps as the investigation remains open. However, the PSC will likely take up a verbal decision on the next steps soon. We’ll keep a close eye on the process and share any important updates with you as they happen.

Stay tuned for further developments as we continue to push for policies that support a clean, sustainable, and equitable energy future for Wisconsin.

A nearly 1,300-megawatt (MW) solar project, Vista Sands Solar Farm, has been proposed in Portage County by Doral Renewables, LLC. If approved, Vista Sands would be the largest solar farm constructed in the state of Wisconsin, offering a substantial step forward in meeting our state’s clean energy goals.

Earlier this summer, RENEW Wisconsin submitted testimony in support of Vista Sands to the Public Service Commission of Wisconsin (PSCW). Now that the public comment period is open, we’re asking you to help ensure this project’s success by sharing your support for solar energy.

The Vista Sands Solar project is a significant investment in local communities, creating over 150 new long-term jobs, increasing tax revenue for local governments, and providing a steady revenue stream for farmers who lease their land for the project. Cropland can rest and regenerate throughout the lifespan of the solar project, maintaining soil quality and ensuring the land remains viable for the next generation of farmers. The project developer has also committed to addressing concerns related to local wildlife by utilizing a local seed mix around the installation and setting aside a portion of land for wildlife habitat.

Beyond the immediate local benefits, this project will offset 4.5% of Wisconsin’s electric utility emissions and help mitigate the impacts of climate change. Based on a 2022 study, we know Wisconsin needs 31 Gigawatts (GW) of solar to achieve net zero by 2050. In the first quarter of 2024, Wisconsin had just over 2.3 GW of operating solar. Projects of Vista Sands’ scale are integral to reaching these goals in time.

Help ensure this project moves forward by demonstrating Wisconsin’s enthusiastic support for solar energy by submitting a comment today in support of Vista Sands Solar Farm.

When submitting your comments, be sure to specifically reference the project and the benefits that it can bring to Wisconsin. The deadline to submit comments is August 16, 2024. We’ve included a sample message to help you get started. Please keep in mind that the PSCW allows one comment per case* and that customizing your message will have a greater impact.

*Comments submitted on the Vista Sands Environmental Impact Statement do not count toward the one comment per case rule.

Sample Comments:

I’m writing in support of Vista Sands Solar. This project would provide significant support to the local economies, preserve farmland for future generations, and is critical to addressing climate change, all while ensuring more of the money Wisconsinites spend on energy stays here in state.

By producing homegrown, renewable energy right here in Wisconsin we protect our health, improve our economy, support grid stability, and protect our natural environment from the worst impacts of climate change. This project makes good sense for Wisconsin.

I respectfully encourage the PSCW to rule that Vista Sands Solar is in the public interest and issue a permit enabling the project to proceed to construction. Thank you for your time and consideration.