17999_Authority_December

municipalauthorities.org | 51 By Doug Berry, President and CEO, Solar Renewable Energy, LLC The Costly Inaction: Why Municipal Authorities Should Embrace Solar Energy Municipal authorities in Pennsylvania and nationwide face an increasingly urgent need to address their energy costs. In an era where sustainability and cost efficiency are paramount, the failure to adopt solar arrays represents a missed opportunity. Among them are needlessly paying high retail electricity rates when a ready alternative is available. Self- generation makes financial sense and is an option that responsible management should evaluate carefully. With incentives to install solar self-generation, every system should at least assess whether a solar generation array can be installed and reduce total power costs. A reputable solar developer can accomplish this for you quickly and easily. The Missed Monetization of Land One of the primary detriments lies in the underutilization of available land. Municipal authorities often possess usable, but unused, expanses of land. Land adjacent or near operations facilities is frequently overlooked as a potential revenue-generating asset. By not capitalizing on these areas for solar panel installation, these authorities are neglecting a significant opportunity for monetization. Many authorities have enough suitable land on-site or very close by that can host a solar array. Even a few acres can sustain a self-generation project that can materially reduce the total cost of power without capital outlay for additional land purchases. Mapping data and design of potential solar array layouts can be accomplished at no cost to the authority. This no cost initial review gives authorities a preliminary idea of the potential size and financial effect of making good use of idle land. The Cost of Inaction The inherent cost of "doing nothing" is steep. Continual reliance on traditional energy sources, at full retail rates, translates to persistently high operational expenses and, consequently, user rates. The absence of solar arrays brings a nagging and unnecessary drain on financial resources that otherwise may be redirected to essential water treatment initiatives, infrastructure improvements, or service enhancements. Maximizing Returns through Solar Arrays Embracing solar energy offers a number of concrete and measurable benefits, especially to authorities: 1. Cost Reduction: Solar arrays significantly lower total energy costs by leveraging renewable energy generation on site. Authorities can divert funds previously allocated to high utility bills towards crucial areas like capital upgrades or lower user rates. 2. Monetization of Land: Unused or underutilized land can transform into revenue-generating assets through solar installations. Even leasing land for net-metered solar arrays, if appropriate, can create a new non-customer revenue stream for municipal utilities, contributing to their financial stability. 3. Long-Term Savings: Solar arrays offer long-term financial benefits. Once installed, they require minimal maintenance while providing consistent energy production. This translates to predictable, lower energy costs for years to come. This long term cost stability acts as a counterbalance to retail electric rates, which can swing in ways that makes rate stability challenging. 4. Environmental Stewardship: Adoption of solar energy aligns with sustainability goals, reducing carbon footprints, and showcasing commitment to environmentally responsible operations, to the extent these values are meaningful to leadership and the community. This not only benefits the community but also enhances the public’s perception of the authority pollution reduction operations. Urgency for Action Every day of delay translates to avoidable excess expenditure on conventional energy sources and a missed opportunity to capitalize on solar energy's cost reducing advantages. As example, some PA electric utility costs have nearly doubled since the pandemic. Moreover, the current regulatory environment provides an opportune l oWerIng e lectrIc c osts through s elF -g eneratIon WIth s olar Continued on page 54.