Residential Solar Panel Owners Face a Monthly Levy From Arizona Public Service

residential solar panelsHomeowners in Arizona who install solar roof systems after December 31, 2013 will be required to pay monthly levy to Arizona Public Service.  This is based on a recent approval by the Arizona Corporation Commission which authorizes the company to charge consumers to plug into the grid . Arizona Public Service had initially sought to get $8 per kilowatt but the amount approved was 70 cents per kilowatt of installed capacity.  This means that residential solar panel owners will pay between $3 -$6 per month based on the size of their home system.

Previously, Arizona Public Service credited solar panel owners the retail value of electricity that their solar panels fed to the company’s grid.  They also paid cash to homeowners who installed solar panels in a bid to fulfill regulations to get 15 percent of their power from non-renewable energy sources.  The incentive resulted in many homeowners installing solar panels which meant that the 15 percent compliance rate would be surpassed.  As a result, the company reduced its cash payments.

 

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