Varnum Blogs

Distributed Energy Needs: Better Net Metering; Lower Standby Rates; and Self-Service Wheeling

January 22, 2011

One of the real opportunities for energy security and emission reductions is distributed energy. That hundreds, even thousands of smaller electric generating projects (solar, geothermal, wind, combined heat and power, cogeneration) could supply a large portion of the nation’s energy needs is no longer a pipedream. Although it may cut against a myriad of vested interests, having electricity produced locally (as local as a factory rooftop, a parking lot, or a farm-based biomass unit) would provide many benefits. Yet every week I deal with valid, real projects that are stymied by Michigan’s inadequate net metering program, unreasonably expensive utility standby rates, and lack of self service wheeling rights. The MPSC (and where necessary the legislature) needs to be aggressive in getting this situation corrected so that Michigan can partake in the many benefits of distributed energy. We need to get past the paradigm that taking load off the grid is bad and should be penalized. Unleash Michigan’s creativity and innovation. Let the wild rumpus begin

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