Buy High and Sell Low – required by Law
Yes, you read that right. New energy policy would require solar users to still buy ALL their utilities at retail pricing and then sell back any extra that they have through their own solar use back to the utilities at wholesale. Sounds like Congress really loves the individual right?
Currently this IS HAPPENING in Michigan. How long before other states come up with this same idea? They are saying that if you want to connect to the grid for any utility support, then you have to use it for ALL your utility needs. Then, if you have extra power left over because you do have solar, that energy will be sold back to the utility companies but NOT at a one-for-one ratio. Oh No!! The utility companies get to sell to you at a full retail rate but you have to sell-back any excess at a wholesale rate.
This will double the length of time it will take to get back your initial investment in solar through savings on utilities. You can imagine fewer home owners will be willing to lay down that kind of investment if, for example, instead of 10 years, it takes 20 to get your money back. That sure takes the incentive out of the investment. How many people know that they will still be in their home 20 years from now?
If you live in Michigan, you should actively be engaged in this issue. The rest of us need to also read and prepare for it to come our way. Read more about the essentials of the issue on the next page: