Solar panels are an investment, even with incentives, tax rebates and the recent falling prices. Yet, there is one area in which costs of solar power can be reduced – trimming permitting fees and streamlining the process.
Permitting fees increase the cost of solar panels
In order to install residential solar panels, you will need a building permit (and possibly other land use permits) from your local permitting authority. The process takes time, adds delay and hassle, and also costs money in permitting fees, and potentially the cost of working with a solar installer that is familiar with the process and can help you navigate it.
Because of this hurdle toward broader acceptance of renewable energy, the U.S. Department of Energy is making $27 million available to support local and regional governments streamline the process of implementing solar power projects. The result will be to cut carbon emissions as fewer people use fossil-fuel based electricity. Homeowners that install solar panels also enjoy reduced power bills each month.
As part of the SunShot Initiative the DOE is offering a $12.5 million challenge to encourage cities and counties to compete to streamline and digitize permitting processes by: standardizing permitting processes, updating planning and zoning codes, improving interconnection and net metering standards and, finally, increasing access to financing.
The DOE will also use $15 million to fund one or two recipients to create tools for local governments to streamline and expedite the process of installing solar energy in the three areas: regulatory and utility solutions; codes, standards and processes and software design tools and databases. Department of Energy Secretary Steven Chu commented:
“These investments under the SunShot program can help to transform the solar energy industry by addressing significant challenges to solar energy deployment, including permitting and installation. Innovations in IT and local business processes, such as online permit applications, can deliver significant savings for solar energy systems and will help America to compete globally in this growing market.”
Just this week, the Long Island Power Authority (LIPA) announced a unified solar permitting process with Nassau and Suffolk County that will start in fall 2012. Known as the Long Island Unified Solar Permitting Initiative (LIUSPI), this new campaign is focused on developing a model process that could be used by all municipalities throughout Long Island to effectively and uniformly handle the application for and approval of residential solar electric and solar hot water systems in each respective jurisdiction.
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