Credit score: STG Photo voltaic
The College of Virginia’s Weldon Cooper Heart for Public Service issued a policy roadmap on planning and paying for the decommissioning of photo voltaic services, filling a essential hole in info because the clean-energy business quickly accelerates throughout the Commonwealth.
Massive- and utility-scale photo voltaic services are a fast-growing supply of electrical energy in Virginia and a key part of the Commonwealth’s decarbonization technique. Nationwide information point out that as of June 2022, not less than 62 photo voltaic services produce energy in Virginia, with quite a few different initiatives beneath development or consideration. Photo voltaic is at the moment the least costly supply of Virginia’s electrical energy provide and is now producing extra energy than coal.
However on the different finish of the photo voltaic growth comes a time when a few of at present’s services retire, in about 30 years, and stakeholders more and more must plan for ultimately eradicating them.
In its 60-page report, the Cooper Heart gives steering on the authorized, regulatory and monetary framework for decommissioning photo voltaic services, filling a useful resource hole that was revealed in its Virginia Solar Survey earlier this 12 months, which discovered the problem to be among the many prime 5 subjects of curiosity to localities on the subject of photo voltaic improvement.
“Localities have expressed they want extra details about decommissioning with the intention to really feel snug that in approving large-scale photo voltaic services, they’re defending the monetary and environmental pursuits of the neighborhood,” mentioned Elizabeth Marshall, senior coordinator of the Cooper Heart’s Virginia Photo voltaic Initiative. “Up to now, there was little or no complete analysis or steering on the topic, and nearly nothing that’s Virginia particular. That is undoubtedly of curiosity to photo voltaic builders, localities and stakeholders statewide.”
Marshall added that different states that don’t have already got decommissioning steering might discover the report an excellent mannequin that may be personalized as wanted.
Decommissioning a photo voltaic subject by eradicating the photo voltaic panels and assist constructions is a comparatively simple course of however can include prices upwards of $1 million. When allowing a big photo voltaic facility, localities usually require monetary assurance that the set up firm can pay for its final removing.
“Selecting probably the most applicable type of monetary safety is usually a difficult determination for localities, because it has necessary implications for the photo voltaic mission’s development and financing,” mentioned Irene Cox of the Cooper Heart and the writer of the report. “We offer a number of choices in order that decommissioning is a manageable threat for localities however not an undue burden on builders.”
The report compiles details about state and native legal guidelines, suggestions from state and federal businesses, and numerous approaches in comparable markets to current a list of customizable decommissioning greatest practices. For instance, the report suggests localities take into account adopting a decommissioning ordinance that, amongst different issues, specifies monetary assurance choices, circumstances for land restoration and post-closure land-use. In the end, the middle’s report will help shield the monetary pursuits of localities, scale back pointless prices to mission builders and supply assurance that the land is left in appropriate situation.
“Issues over decommissioning prices can add pointless issues to the method of allowing new photo voltaic services,” mentioned William Shobe, director of the middle’s Vitality Transition Initiative. “Our new information ought to assist clean negotiations over services that may be an actual asset to the native economic system, in addition to profit ratepayers throughout the state whereas additionally serving to deal with local weather change.”
Information merchandise from the College of Virginia
