Big Solar Tries to Fleece Vermonters (Again)

June 5, 2019

By David Flemming

Vermont has reached solar saturation, creating the possibility that parts of our electric grid could malfunction and leave thousands without power for days. But some large renewable energy companies are trying to lobby our government for yet more solar.

Nearly 50% of Vermont’s 150 electrical power substations are at risk of “transmission ground fault overvoltage”  (TGFOV) if more solar is added. As developers and homeowners use net metering to supply more solar electricity generation to our grid, the load (demand for electricity), has stayed constant with our stagnant population. This means that if homeowners add solar panels to the grid, something as common as a tree falling on a power line could send a surge of destruction back toward substation transformers.

In February, Green Mountain Power (GMP) filed with Vermont’s regulatory authority, the Public Utility Commission to charge $75 per kilowatt for new solar projects. Since the average residential solar project is around 6 kilowatts, the average developer/homeowner would be charged $450.

A trade group, Renewable Energy Vermont (REV), was able to negotiate with GMP to decrease that ~$450 fee to a ~$225 fee which would be used to fund the grid upgrades. Now, a 50% fee reduction does seem a little drastic. Did Green Mountain Power suddenly figure out how to make the grid upgrades at half of the initial cost?

Still, some renewable energy magnates weren’t satisfied with this amazingly generous reduction in fees. David Blittersdorf’s solar company, All Earth Renewables (AER) lambasted the $37 fee for still being too high: the “distribution grid of today and tomorrow must be available (read: “free to developers”) if a more electrified renewable-powered society is going to make a difference in addressing climate change.” To that point, the grid upgrades “should be borne by ratepayers — the collective beneficiaries of Vermont’s renewable energy laws and policies.”

Raise your hand if you’ve felt like a “collective beneficiary” of top-10 in the nation electric rates. Blittersdorf has used his political connections to grow a fledgling business dependent on subsidies into a $20 million annual revenue behemoth. Renewable companies don’t need more tax dollars. They’ve already gotten millions from Vermont.

It’s time to see if they can survive, weaned off the government teat. We’ve given them a two decade head start. Companies that depend on taxpayers to do business don’t deserve Vermont’s corporate welfare. It’s time they learn how difficult it can be to run a business in Vermont without government assistance.If they can’t manage with that, they will never be able to manage on their own.

An electric grid that wasn’t designed with net metering in mind limits how much solar Vermont can absorb. Vermont has, quite literally, more solar generated electricity than we know what to do with. A blatant cash grab on the part of renewable companies is the only reason Vermont would invest in more solar. But it’s not a very good reason.

David Flemming is a policy analyst at the Ethan Allen Institute


{ 1 comment… read it below or add one }

Jim June 8, 2019 at 1:03 pm

Two suggestion: end subsidies(paid for by tax payers who get a double whammy as they also get it in the neck through higher monthly electric bills) , and simpler still, force solar the meet Act 250 requirements. POOF!! No more headaches.


Leave a Comment

Previous post:

Next post:

About Us

The Ethan Allen Institute is Vermont’s free-market public policy research and education organization. Founded in 1993, we are one of fifty-plus similar but independent state-level, public policy organizations around the country which exchange ideas and information through the State Policy Network.

Latest News

VT Should Borrow Tax Exemption from Bernie’s Fatherland

July 15, 2019 By David Flemming What public policy has the best chance of convincing 20-somethings to stay in Vermont? A) Adopting a $15 Minimum Wage B) Passing...

Behavioral economics shows who’s responsible for rise in racism (if there really is one)

August 14, 2019 by Rob Roper Many news stories and opinion pieces in the Vermont media are opining about a rise in racism around our state and perhaps...

Statewide School Choice an Imperative as Schools Push Political Agenda

August 12, 2019 by Rob Roper For the past year or two, Vermont public schools have become increasingly, overtly political in the indoctrination of students to a political...

When the Rules Don’t Apply to Progressives

August 8, 2019 by Rob Roper So, Google hosted a three day summit on climate change in Sicily. Attendees, including the likes of Barak Obama, Leonardo DiCaprio, and...

VT Unaffordability Overshadows Unique Benefits

July 7, 2019 By David Flemming Wallethub completed an extremely compelling survey which looks at the “best states for Millennials.” Vermont didn’t do too shabby, coming in at #13...