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All to aid and reflect household income, Colombia’s poorer, grid-isolated municipalities will receive support. All for the roll-out of domestic PV under draft rules unveiled by the Energy ministry.
I mean there are many ways to do solar programs. Let’s look at another.
For example The New York State Energy Research and Development Authority (NYSERDA) has developed a Solar PILOT Toolkit. All to assist the state’s municipalities in understanding and negotiating payment-in-lieu-of taxes (PILOT) agreements for solar projects larger than 1 MW.
Based on feedback from local government officials and solar industry representatives, NYSERDA developed the toolkit in response to the need for greater information on PILOT agreements as solar projects develop throughout the state.
The Solar PILOT Toolkit provides a framework for local taxing jurisdictions to negotiate payment agreements with solar developers. In addition to their clean energy and job-creation benefits. Yet that’s solar developments can yield significant financial value to municipalities through PILOT agreement payments.
The toolkit addresses the lack of information on property tax issues. Especially around solar development. That’s why it is designed to enable municipalities to work with developers. Thereby to negotiate PILOT rates that benefit the community and make the projects financially attractive to developers and their customers.
So interested parties will be able to comment on proposals for a subsidy scheme meant to offset O&M costs of small-scale PV across so-called non-interconnected zones.
These areas, mostly scattered across Colombia’s less-developed Pacific coast and Amazon basin. All are challenging and expensive for power producers to service. Residents may use little energy. Yet the can also afford to pay little, typically turning to liquid fuels for electricity purposes. That’s gotta stop!
So the ministry’s solution is subsidies that will reflect household income levels. It’s estimated production in kWh terms and reference tariffs based on residents place.
Therefore the proposal does not offer figures on how large the subsidy pot will be. Consequently, it specifies, that the aid may only cover “subsistence” power use levels. However, that determination by Colombia’s energy planning agency UPME.
“Individual PV solutions fulfil the goal of increasing cover and satisfying energy demand in non-interconnected zones.
Furthermore in an efficient, resilient way that helps reduce carbon emissions,” reads the draft legislation, signed by energy minister María Fernanda Suárez.
In conclusion, Colombia’s rural PV push comes amid parallel efforts to prop up utility-scale renewable projects. Yet it also shouldn’t reflect household income. It should only be used to cut energy costs. Finally with a target to boost installed capacity from 50MW to 1.5GW.
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