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State officials weigh legislation to help farmers 'diversify their revenue streams' — here's why utility giants oppose the bills

"Problem is they don't get to make a profit on it."

The Iowa Legislature moved a pair of community solar bills out of subcommittees in early February, signaling bipartisan support for small-scale energy generation.

Photo Credit: iStock

The Iowa Legislature moved a pair of community solar bills out of subcommittees in early February, signaling support for small-scale energy generation.

House Study Bill 629 and Senate Study Bill 3092 are the latest versions of previous legislation to allow residents to invest in small solar fields and receive proportional credits on their utility bills, the Iowa Capital Dispatch reported.

"The bills would allow small solar fields, built in brownfield sites on top of commercial warehouses or in underutilized crop or pastureland, to connect to the grid and to be purchased by the surrounding community," the newspaper stated.

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Karl Rábago of the Coalition for Community Solar Access said the proposals would allow farmers to "diversify their revenue streams" and add capacity to the electrical grid, per the Capital Dispatch. Utilities oppose the laws, saying those who don't buy in would face higher costs.

Christopher Rants of the Iowa Solar Energy Trade Association said the argument was specious, noting "the future demand for electricity in the state is more than what the existing utilities can generate," as the outlet described it.

"If a farmer generates solar that goes onto the grid, that means [the utilities] don't have to generate it — that's a benefit to everybody, because then we don't have to pay that advanced rate of return," Rants said. "They get to buy that electricity and then resell it — problem is they don't get to make a profit on it."

EnergySage's free services help the average person save up to $10,000 on a solar purchase and installation. EnergySage also has a mapping tool that shows the average cost of a home solar panel system and available incentives by state.

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