Settlement Reached to Continue Solar*Rewards in 2014

DENVER – Xcel Energy and solar industry representatives have agreed to a settlement that would extend the company’s highly popular Colorado small residential Solar*Rewards program, and would reopen the medium-sized solar programs until a final plan is approved by the Colorado Public Utilities Commission.

Along with Xcel Energy, the Solar Energy Industries Association (SEIA) and the Colorado Solar Energy Industries Association (COSEIA) have jointly proposed to the CPUC up to 27 megawatts of solar capacity under the settlement. The CPUC must approve the proposal, which would be in effect until the 2014 Renewable Energy Standard Compliance Plan is approved; parties have asked for an expedited review.

The new targets would include up to 4 megawatts per month for up to 20 megawatts for small solar installations of up to 25 kilowatts; and up to 7 megawatts for medium-sized solar installations of 25-500 kilowatts. The medium-sized, or commercial program, has been closed since October 2013, when capacity was filled for the program.

“Xcel Energy believes it is very important to keep the Solar*Rewards program going for our Colorado customers, while we work through various policy issues with the solar industry and other parties,” said David Eves, president and CEO of Public Service Co. of Colorado, an Xcel Energy company.

 “Coloradans are eager to generate their own clean solar energy on their homes and businesses, and this agreement will allow our home-grown solar companies to keep meeting that demand,” said Rebecca Cantwell, executive director of COSEIA. “It’s hard on solar companies to have a program that stops and starts, and this will hopefully ensure a smoother business climate.”

“SEIA is pleased to be part of a constructive dialogue and solution that maintains access to solar for Coloradans and keeps the market opens for business,” said Carrie Cullen Hitt, SEIA’s senior vice president for state affairs.

Solar*Rewards is an Xcel Energy program that encourages the growth of solar energy and offers customers incentives to install solar panel electric systems on their homes and businesses. Without commission approval to extend the program, incentives for installations would be suspended once current levels of the program were filled.

Other components of the program include:

·       Incentive levels in the small program will be 3 cents per kilowatt-hour for customer-owned installations and 1 cent per kilowatt-hour for third-party owned installations;

·       The medium program will be restarted to offer incentives for solar arrays between 25 kilowatts and 500 kilowatts;

·       Incentives for the Medium program will be 6 cents per kilowatt-hour for the first 6 megawatts of capacity and 5 cents per kilowatt-hour for the final megawatt of capacity; and

·       The parties also agree that if any part of the Solar*Rewards program approved in the 2014 RES Compliance Plan is nearly exhausted, they will meet to discuss potential resolution of issues

A similar settlement was reached by parties in April 2013, which extended the program though 2013 and into this year. The settlement announced today does not address issues related to CPUC proceedings that were separated out earlier this year, related to net metering.

Solar*Rewards is funded through a rider on all Xcel Energy customer bills, totaling up to 2 percent of each total monthly electric bill. Colorado voters approved a state Renewable Energy Standard (RES) in 2004 – the first of its kind in the nation – which paved the way for support of customer-sited solar installations. The RES has since been amended and twice increased by the Colorado General Assembly.

Rooftop solar is very popular with Xcel Energy’s Colorado customers. Currently there are nearly 20,000 installations statewide. Installations achieved record levels in 2013, with more than 5,000 new residential systems and a 64 percent growth in residential-sited facilities, compared to 2012.

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About SEIA:

Celebrating its 40th anniversary in 2014, the Solar Energy Industries Association® is the national trade association of the U.S. solar energy industry. Through advocacy and education, SEIA® is building a strong solar industry to power America. As the voice of the industry, SEIA works with its 1,000 member companies to champion the use of clean, affordable solar in America by expanding markets, removing market barriers, strengthening the industry and educating the public on the benefits of solar energy. Visit SEIA online athttp://www.seia.org.

Media Contacts:         

Rebecca Cantwell, (303) 209-5600 rcantwell@coseia.org (COSEIA)
Samantha Page, (202) 556-2886, spage@seia.org (SEIA)
Mark Stutz, (303) 294-2300, mark.stutz@xcelenergy.com (Xcel Energy)