New York’s Long Island Power Authority this week upped the incentives offered to community solar projects in its territory, providing some concessions to solar developers but ultimately falling short of what the industry said it needed to provide the certainty to finance projects there.
Going forward, LIPA will offer a 5-cent-per-kilowatt-hour “community credit,” up from the planned 2.25-cent credit, for all community solar projects. As further encouragement, community solar projects under 750 kilowatts will also get a $200-per-kilowatt rebate.
The credit will increase the value that community solar projects receive under New York’s Value of Distributed Energy Resources tariff, which quantifies project incentives based on a complex formula of stacked benefits including location and demand reduction. Long Island’s community solar market began using the VDER calculations in January.