Consultant Dunsky Energy + Climate Advisors Toronto, Ontario, Canada
The increasing penetration of behind-the-meter (BTM) solar across North America is causing utilities and governments to reconsider their traditional compensation approaches for net energy metering (NEM), which could reduce the economic viability of solar projects for both commercial and residential customers.
This shift underscores the necessity for a sophisticated understanding of Solar’s contribution to the electrical grid, and a comprehensive assessment of the benefits and costs. Dunsky has conducted several Value of Distributed Energy Resources (VDER) studies across North America including in New Hampshire, Texas, Virginia, and New Brunswick. While these efforts were initiated by different stakeholders (regulators, industry associations, utilities), they all underscore that it is possible to develop a fair, transparent, and defensible framework that establishes Solar’s value to the grid, regardless of the perspective. Such assessments are essential for guiding policy and regulatory measures that ensure these resources are enabled to meet their role in decarbonizing Canada’s electricity system, receive compensation in-line with the full value they bring to the grid and minimize unattended consequences.
Our presentation will discuss how these VDER studies provide a robust foundation for rethinking NEM policies and underscore the importance of proactive industry involvement in shaping the future of solar compensation.
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