In New Jersey, demand for solar installations is high, but 700 customers are on waiting lists for solar rebates, and some smaller installers are laying off workers while waiting for the rebates to be funded. So the state is considering moving to a system of energy credits that can be traded on the open market, according to a story today in the New York Times. That’s because, while New Jersey has grown its solar market, now it needs to grow it even faster.

• Solar must provide 2.12 percent of NJ electricity by 2020 to meet the state’s commitment, but is only providing only .07 percent thus far.
• The state has paid out $170 million in rebates and 3,100 solar systems have been installed.
• There is pressure to keep electricity rates from rising further, as NJ’s are some of the highest in the country, yet if rebates continue at the needed level, rates will rise even further. (Rebates are funded by surcharges on electrical rates.)

It is believed that energy credits would reward larger companies, allowing them to ramp up solar installations at a faster rate. This faster growth would also take the pressure off the state to supply rebate funds.

Image: Rob Bennett for The New York Times. Installing solar modules on the roof of Kohl’s

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Recently, a neighborhood group - the Downtown San Jose Solar Project - banded together to purchase solar in bulk and find their own solar installer through a competitive bidding situation. They put their collective requirements for three solar systems out to bid by several solar companies to get the best price, equipment, warranty, and service.

As of February 20, the project included 24 San Jose homes producing 99kW of electricity. The 24 systems in San Jose will produce 3,560,000 kWh over the systems’ lifetime and will eliminate, according to today’s current fuel mix, about 5,055,861 pounds of carbon dioxide. The community group wants to see this program spread across the Bay Area and held a training for people interested in setting up their own community discount programs.

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