Aecom report finds a streamlined solar permitting process could help strengthen California’s economy

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email

In January, SunRun published a report explaining how local governments inadvertently drive up the cost of installing solar projects on a home. Between local solar permitting and inspection processes, a home installation was costing, on average, an additional US$2,500. Six months after its initial report, SunRun has revealed a new study published by Aecom, which confirms how a simpler solar permitting process can potentially generate more than US$5 billion in new growth for the state of California.

Aecom reviewed the economic and fiscal effects of a streamlined local government permitting system for solar installations on California homes between 2012 and 2020. Among other findings, the study found that if the state were to change to Aecom’s proposed streamlined permitting process, homeowners in the state would install an estimated 132,000 additional systems, which equals a 13% increase relative to market projects that are based on existing permitting practices.

Furthermore, a simplified permitting process could theoretically produce a US$5.1 billion boost to the California economy between 2012 and 2020 because of the incremental growth and added savings the streamlined process would create. Aecom predicts that nearly 3,900 full-time jobs would be added under the study’s model and that California as a whole, along with its individual cities and counties, would gain around US$270 million in revenues from increases in sales, property and payroll taxes.

“These findings are tremendous for local governments because they offer a low-cost way to add billions to the economy,” said SunRun Director of Government Affairs Ethan Sprague.  “Solar permitting guidelines already exist and it's just a matter of putting them to use.  Governments that streamline their permitting processes sooner will generate a bigger economic impact in the long run, more permanent local jobs, and allow more families to save money by switching to solar.”

Aecom’s study noted that California has several different permitting processes across its different jurisdictions. The long and costly government process makes up five to 20% of residential solar installation costs depending on the size and intricacy of the system. Aecom hypothesizes that if local governments adopted a streamlined and uniform permitting process, total permitting costs would potentially drop by around 76%, costing only US$600 per solar installation instead of US$2,500.

Moreover, Aecom’s model outlines how the state would  gain almost US$211 million in additional revenues from a simplified permitting system, which would essentially give cities, counties and school districts over US$36 million and US$25 million, respectively.

“A critical aspect of these findings is they apply beyond California,” added Sprague.  “Any local government can boost the economic impact of solar through streamlined permitting, and there's a funding opportunity from the DOE to help make it happen.”

21 September 2021
C&I consumers currently source only about 7% of their power requirement directly from renewables. Indian corporate renewable market has grown rapidly and holds huge growth potential as companies look to reduce power purchase costs and cut carbon emissions. BRIDGE TO INDIA has built significant expertise in the corporate renewable business by working on over 30 consulting assignments and various research reports. We are organizing this conference to bring all stakeholders together and delve deeper into various market aspects. The conference will be held on a virtual platform with excellent networking opportunities for all participants.
22 September 2021
To commemorate the World Energy Storage Day(WESD) on 22 September, being recognized worldwide, Customized Energy Solutions (CES) and India Energy Storage Alliance (IESA) is organising the 5th global conference and virtual expo, which will be held virtually on 22 September 2021. WESD is a global movement initiated by various apex trade bodies working to promote and adopt energy storage, e-mobility & green hydrogen technologies for a sustainable future. The forthcoming edition of WESD is expected to attract global participation with an intent to facilitate bi-lateral trade, market development and new research and innovation, which will invite 100+ countries, 100+ regulators & policy makers, 100+ International speakers,1000+ organisations, 100+ partners & exhibitors and 20,000+ global delegates.
28 September 2021
Solar Solutions International is the largest trade show for solar energy in Northwest Europe. Now the solar market has grown up, it's time for the next step. Solar Solutions International displays more than 500 innovations and over 100 practical seminars concerning the latest in energy storage, smart products, and an ever evolving array of solar panels. As an exclusively B2B trade show, Solar Solutions International offers both exhibitors and visitors the chance to network at the highest level. Duurzaam Verwarmd, the largest trade show for sustainable HVAC technology in the Benelux, is held simultaneously. This way your one visit gets you up to date with all of the developments in both sustainable energy and heating.
6 October 2021
Intersolar Europe is the world’s leading exhibition for the solar industry. It takes place as part of The smarter E Europe – the continent’s largest platform for the energy industry. Under the motto “Connecting solar business,” manufacturers, suppliers, distributors, service providers and project planners and developers from around the world meet in Munich every year to discuss the latest developments and trends, explore innovations firsthand and meet potential new customers.
6 October 2021
The future is bright for a new era of US solar and storage, and the 8th annual Solar & Storage Finance Summit will provide opportunities to discuss solutions to the industry’s challenges and provide a networking platform designed to bring together the top minds in the industry to do business. With a mix of high-level, informative presentations and panels, a stellar cast of speakers and audience members with deal-making capacity, the 2021 edition of the event will be a sell-out success.
18 October 2021
Intersolar South America, South America’s largest exhibition and conference for the solar industry, takes place at the Expo Center Norte in São Paulo, Brazil on October 18–20, 2021, and has a focus on the areas of photovoltaics, PV production and solar thermal technologies. At the accompanying Intersolar South America Conference, renowned experts shed light on hot topics in the solar industry.

Read Next

PV Tech Premium
September 21, 2021
Pressures on PV plant performance have led the solar industry to be more demanding and forensic of the data operational projects generate, as well as the power. Jules Scully explores the growing role software is playing in the utility-scale solar arena and how it must evolve further still to meet expectations.
September 21, 2021
A round-up of the latest news from the US PV sector, including project developments from Ørsted, Candela Renewables and CEP Renewables.
September 21, 2021
New York’s governor has proposed an expansion of the NY-Sun distributed solar incentive programme and revealed plans for two transmission projects that will transport renewable energy to New York City to help the state reach 70% renewable electricity by 2030.
September 21, 2021
German solar installer Enpal has raised €345 million (US$405 million) in debt financing to fund the deployment of more than 15,000 household solar PV systems
September 21, 2021
India added 521MW of rooftop solar in Q2 2021, an increase of 517% compared to the 85MW added in the same quarter last year despite a slight increase in costs, according to a Mercom India report.
September 21, 2021
Private equity firm American Securities has secured a deal to acquire US solar engineering, procurement and construction (EPC) provider Swinerton Renewable Energy and its operations and maintenance (O&M) subsidiary SOLV from Swinerton Incorporated.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK
Solar Media Events
December 1, 2021