Gainesville, FL Feed-in-Tariff
What’s Gainesville’s feed-in-tariff program?
Gainesville, Florida, created a feed-in-tariff program in early 2009, becoming the first American city to have this type of solar incentive. Feed-in-tariffs require utilities to pay homeowners who own solar panels when they produce more electricity than they’re using. Spain and Germany have similar programs, which led to huge growth in solar panels there. In Gainesville, the feed-in-tariff was so popular that the program was quickly full almost as soon as it started. In October 2008, when plans for the solar feed-in-tariff began, the utility district had 328 kW of installed solar power; by April 2010, it had 2,013 kW installed. That’s more than six times more power, and it’s still growing.
How much are homeowners paid for the extra solar power they generate?
Gainesville homeowners in the program are paid 32 cents per kilowatt-hour for the extra solar power they generate. That rate will continue for 20 years. Based on the average cost of installing solar power and normal production levels, someone can expect a 4-5% rate of return annually on their investment in solar panels.
Can I get involved in the program?
Spots in the feed-in-tariff program quickly filled up in 2009, but Gainesville Regional Utilities (GRU) plans to open up more opportunities, especially for homeowners, in October 2010. When the program began, the utility district had enough participants to meet its annual cap of 4 MW of solar power through 2017. Through a process of renegotiating with larger participants, though, GRU was able to open up another 4 MW for new solar installations. As long as this plan is approved by the City Commission, homeowners will soon have the chance to sign up. The application process should be quicker and easier than before, with a streamlined process for permitting as well.
Can homeowners use the feed-in-tariff along with other incentives?
The feed-in-tariff can be used along with the federal solar tax credit and Florida incentives, but can’t be used along with other solar incentives from Gainesville Regional Utilities. Homeowners do have the option of becoming part of GRU’s net metering program, which includes a rebate, instead of the feed-in-tariff.
