By Kelly Pickerel, Solar Power World
The solar market in Illinois imitates many in the Midwest — very middle of the pack. Ranked 28th in the nation for installed solar capacity, Illinois does have well intentioned solar legislation but the follow-through has been less than exemplary.
In 2016, Republican Gov. Bruce Rauner signed the Future Energy Jobs Act (FEJA) which propped-up Illinois’ renewable portfolio standard (RPS) of 25% by 2025 by providing over $200 million in annual funding for renewable resources. Solar project developers seeking renewable energy credits (RECs) now apply for funding through the Adjustable Block Program (ABP). The ABP offers a set price for RECs in three categories — small DG, large DG and community solar. The goal for the ABP was to have enough contracts to result in 1 million credits being delivered annually by 2021, which would spur 666 MW of new PV generation in the state.
The problem? Illinois underestimated the interest companies would have in building solar projects in the state. Illinois went from around 12.9 MW installed annually in 2017 to 106 MW in 2019. Over 800 community solar projects were waitlisted as early as 2018, with the large DG project category of the ABP reaching its capacity in early 2020 — there is no more funding or RECs to dole out. FEJA was successful in stimulating a stagnant solar market, but now its popularity is threatening to bring a burgeoning industry to a stand-still.
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As soon as projects began stalling out, a group of trade organizations, local solar installers and policymakers formed the Path to 100 Coalition to bring awareness to the threats against the renewable energy industry.
“If I had to pinpoint the most immediate concern for the industry, it would be addressing the funding cliff in Illinois. It’s something that we have been calling to the attention of stakeholders in Illinois for some time,” said Nakhia Morrissette, central region director for SEIA and spokesperson for the Path to 100 Coalition. “Our industry is losing quite a bit of jobs. Illinois companies are getting to the point where they have to make a decision about whether the market here is sustainable.”
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