GA Solar Farm Uses Unique New Business Model
A new solar farm has just gone up in Georgia. This is innovative in and of itself. After all, we're still trying to get solar energy to become more of a mainstream resource all throughout the nation. Georgia isn't necessarily known for being on the cutting edge of this. But it's not the solar power itself that is the reason this farm is worthy of attention. It's the bigger picture. This solar farm is based on a unique new business model that could be a great thing for green energy businesses.
The farm currently has two dozen pole-mounted solar arrays that are generating energy. When the farm project is complete, it will have 1.2 megawatts of solar power capacity. The owners of the farm want to be able to sell all of that solar power to the Georgia Power company. By selling it at the premium green energy rate, they can make a tidy profit.
However, there's a catch here. State law requires the power company to limit premium price purchases of solar power to 100 kilowatt capacity or smaller. The total capacity that will be available by the solar power farm is one dozen times that amount. So how are they going to get around the law and sell their energy at the premium price? That's where the new business model comes into play.
The farm owners are going to keep 100 kilowatts of the energy on the land for themselves and they will sell that directly to the power company at the premium price. As for the other 1100 kilowatts, they will be leasing those out in 100 kilowatt bundles to other companies that are interested in getting in on this deal. In essence, they are selling ownership in their solar farm. This is a brand new approach to solar energy business.
Customers need to take an interest in using solar power for this whole plan to work, however. That's because the power company is only allowed to pay premium prices for the amount of solar power that they can sell to customers. As more and more people start using solar power in the area, the chances go up that this solar power farm will be a successful business venture.
Source: http://savannahnow.com/news/2010-04-06/solar-farm-first-georgia
Publish Date: 2010-04-08 13:20:47
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