Opinion | Community solar would give families essential relief in hot summer months

Michiganders pay some of the highest energy rates in the Midwest and experience some of the lowest levels of reliability. Powered mostly by dirty fossil fuels, Michigan’s big utilities would like to keep the status quo. However, an alternative energy model known as community solar has gained traction in other states like our neighbors in Ohio, Illinois and Minnesota. Community solar can provide a bridge to energy affordability and equity for low-income families, and it can play a big role in reducing energy costs. 

Community solar offers a cost-effective solution for households, local businesses, farmers, schools and others with subscriptions to community solar programs. Subscribers receive energy from the program’s solar panels. Community solar opens up the benefits of solar power to people even if they rent, have old or shaded roofs or face financial barriers to the investment of installing solar panels on their property.

Home energy is becoming increasingly unaffordable for low-income citizens, according to a recent report by the National Energy Assistance Directors Association (NEADA) and the Center for Energy Poverty, and Climate (CEPC).  The report found the financial burden of keeping cool this summer was expected to increase by 7.9% across the nation to an average of $719 from June through September, up from $661 during the same period last year. 

At a time when nearly 3 out of 10 Americans have trouble paying their electric bills, community solar would provide essential relief during hot summers for low-income Michigan households. It serves as a vital resource, ensuring that all communities benefit from the transition to a clean energy economy by providing access to renewable, affordable and reliable electricity. Community solar bridges the gap to energy affordability by enabling low-income households to access community solar, which lowers their energy bills, providing more disposable income for essential needs, like food, clothing and prescriptions.

A recent study by the Energy Markets & Policy group with the Lawrence Berkeley National Laboratory (LBNL) confirms community solar is one of the best ways to increase equity in our energy system. The study found that community solar adopters typically earn significantly lower incomes and are more likely to rent and live in multifamily buildings compared to rooftop solar adopters in most states.  Notably, community solar subscribers are six times more likely to live in multifamily housing, four times more likely to rent, and earn 23% less than rooftop solar adopters. The greatest strength of community solar is its ability to reach populations living in multifamily and rental housing, where "rooftop solar remains nearly inaccessible" to these populations.

While community solar presents a viable option for low-income families and other citizens, the Michigan Legislature needs to move forward and pass bipartisan community solar legislation.  HB 4839 and 4840, which I sponsored with  Rep. Jenn Hill of Marquette, are currently pending in the Michigan House. If passed, the bills would allow Michigan to join 22 other states in enabling residents to lower energy costs for low-income households, multi-family households and renters. The legislation would enable customers to subscribe to off-site solar facilities, paying a monthly rate of electricity generated by the project in exchange for offsets on their utility bills.

Beyond the previously mentioned benefits, community solar is a critical tool for helping Michigan’s low income and multi-family households reduce their energy costs. Community solar subscribers would save an average of 10% on their utility bills. The legislation includes a provision that no less than 30% of the electricity produced by each solar installation be reserved for low-income households and organizations providing services for low-income residents. 

Community solar needs to be a top legislative priority this fall to remove barriers preventing low-income and multi-family households from adopting solar programs.