A Matter of Supply vs. Demand

by Patrice ‘Pete’ Parsons, TXSES Executive Director

You’ve probably seen the headlines this past week from ERCOT (Electric Reliability Council of Texas), including:

It all comes down to a very simply concept — Supply and Demand.

When considering the problems ERCOT is having in trying to meet the growing demand for energy, it is time they took into consideration all possibilities. This includes not only demand, but all the options for supply.

Investors are developing solar power and storage at an unprecedented rate and the costs have dropped to the point that the technology is cheaper than coal as well as natural gas (see “Texas solar surpasses coal production for first time”).  But intense demand could overwhelm all that new supply, and then some.  

Demand hit 85 gigawatts last summer and ERCOT recently estimated that Texans would need 92 gigawatts of electricity to weather another Winter Storm Uri. 

With an expected flood of demand from large loads, including data centers, electric vehicle fleets and much, much more coming online in Texas, demand will rise even higher and faster.

Without higher demand flexibility, the grid simply will not be able to keep up and Texans will face higher electricity bills and more blackouts.

If investor-owned utilities would take advantage of all the options available, including energy efficiency, demand response and incentivizing rooftop solar it would cost much less than new power plants needed to meet the demand that we will be facing.  It would make the grid stronger and save Texans money.

Last year the legislature required the Public Utility Commission of Texas to pass a rule to reduce average residential load, but so far the PUC has ignored this legislative requirement, although they did recently hire a new director of energy efficiency.  So, there is hope.

If we try to keep up by just building enough infrastructure, and dispatchable generation from gas plants to simultaneously cover peak electricity needs without considering the exploding demand, the grid will be one of the most expensive and least reliable in the world. 

The good news could come from distributed solar power. Distributed solar’s ability to increase customer resiliency and predictability against the expected rise in the cost of electricity, will be vital as the state moves forward. And if storage is added, that reliability will increase several fold.

Going solar in 2024. Who do you trust?

by Patrice ‘Pete’ Parsons, TXSES Executive Director

According to a recent Forbes article, nearly 90% Of Americans couldn’t be more ecstatic about their rooftop solar system. In fact, some 83% of those homeowners are raving to friends and family about how happy they are. They installed them for a variety of reasons: energy independence (with batteries); cost savings; environmental concerns. You might even know some of these people. You might even be one of them.

But for those who don’t or who might be in the market for rooftop solar, it’s caveat emptor (buyer beware). The onus is on YOU, the consumer, to do due diligence before you buy. The decreasing costs of solar panels have made them increasingly affordable.

And because the decreasing cost of solar panels is making them more affordable, solar scams are becoming more prevalent nationally and here at home. Currently, the Texas distributed solar industry is experiencing consumer fraud. There have been many reports of uninformed consumers conned into buying systems they can’t afford, promised pie-in-the-sky results: no electric bills! Free electricity! The adage if it’s too good to be true comes to mind, pay attention. It probably is. 

As TXSES is the state’s only non-profit that promotes distributed solar, we require all TXSES business members to sign a code of conduct and ethical requirements. We believe this practice creates an environment with values that reflect honest, ethical business principles and rules of behavior that are consistent with TXSES organizationally, contributing to the welfare of all our stakeholders, and respecting the rights of all constituents affected by our work.

We’re very much aware of nefarious practices by some solar salespeople. You can trust TXSES business members to be professional and install all equipment safely and in compliance with all applicable rules, laws and regulations. We’ve got resources for consumers who are interested in going solar on the TXSES website. And check out the the SEIA Instagram post below for more timely information about consumer confidence when shopping for solar.

I’ve also been meeting with stakeholders and other statewide nonprofits to address this situation and we’re committed to developing solutions that will guarantee consumer confidence in solar rooftop installations.

If you’re interested in becoming a TXSES business member, contact Steven Ùgalde at sugalde@txses.org

On a personal note, I want to bid a heartfelt adieu to a great friend and colleague, Jane Pulaski, who has decided to retire…again. She’s been TXSES’ Director of Communications since I became Executive Director of TXSES in 2020. In that time, she’s worked tirelessly to help me build upon Lucy Stolzenberg’s legacy by writing grants, updating the website, developing newsletters and anything else I needed help with. In the beginning, it was just the two of us. When I say I could not have done my job without her, I mean it. We woke up each day and proceeded to set our hair on fire with all the work we wanted to accomplish. I can speak for the rest of the team when I say we’ll miss her. Thanks for everything, JP.

Sharing the solar love

By Patrice ‘Pete’ Parsons
Executive Director, TXSES

Last weekend, I had the privilege of sharing our work at the annual/monthly meeting of the North Texas Renewable Energy Group (NTREG), one of our sister state chapters. As I began to put a presentation together to share what we’re doing, I quickly realized just how busy we are. And it’s only February! Good thing the weather has been so spectacular. Perhaps I shouldn’t say that…

To give you an idea of what’s keeping us busy, take a peek:

  • The promotion of Infinite Power: Take Your Share of the Texas Sun, our statewide educational campaign to raise awareness and double the amount of distributed solar in Texas by 2030 via media, social media, events, and unrelenting advocacy for distributed solar by one-on-one engagements with decision-makers.
  • We’re spreading the word to municipalities’ permitting departments about Solar APP+ (Solar Automated Permit Processing), a free, innovative software that speeds up compliance checks and building permit approvals for eligible solar rooftop systems.
  • Working with the Texas Department of Housing and Community Affairs (TDHCA) last year, TXSES along with TEPRI and Frontier Energy, we were successful in adding distributed solar as a fundable energy benefit to the statewide plan for income-qualified homeowners and renters using WAP or LIHEAP funds. This year, we’ll be working with Austin Energy, the municipal utility, to prove the energy savings on 10 homes so we can take the program statewide.
  • We’re reaching out to developers across the State to promote to implement net zero subdivisions.
  • With a grant from the State Energy Conservation Office (SECO), we’re partnering with Green Careers Texas on solar training and education of low-income Dallas, Austin and Houston individuals and high school students in rooftop and ground mount solar PV installations.
  • To address unethical and discriminatory business practices from solar sales and solar installation companies, we’re working with different partners to develop possible legislative language to begin to educate decision-makers at the state and local levels prior to the 2025 legislative session.
  • Tracking regulatory bodies like the PUC to provide relevant comments on targeted dockets.

It’s an ambitious list, but we love what we do. If any of these issues are of interest to you and you want to know more or get involved, there’s plenty of room for you! Reach out to me at pparsons@txses.org. Thanks, as always, for your support.

P.S. February 22 is Introduce a Girl to Engineering Day! We’ll all be better off…

A New Year of Continued Partnerships

By Patrice ‘Pete’ Parsons
Executive Director

Yes, it is January but with the kind of temperatures we’ve been experiencing, you’d think it was October or November. But according to weather reports, sub-freezing temperatures are headed our way. And while those reports allege this episode will be nothing like Winter Storm Uri in 2021, it’s not surprising that folks are a bit wary. As University of Texas research scientist and former TXSES board member Joshua Rhodes says, “It’s deep in the Texas psyche now, and anytime it gets really hot or really cold, the grid is front of mind.”

As energy demand continues to grow, so does the potential for greater energy risk. Despite statewide political efforts to subvert renewables, their growing numbers are enviable. Through 2022, Texas was second in solar production nationally, just behind California. A recent Clean Energy States Alliance report ranks Texas first with the highest capacity for electricity generation: 38% of Texas’ electricity capacity comes from clean electricity. And lest we forget, on August 10, wind and solar energy generated enough power to meet 25% of demand during the peak hour of usage, according to ERCOT.

And there’s no sign of a slowdown, for renewables or for us. Here’s what kept us busy in 2023:

  • Convened a coalition of stakeholders to advocate for fair compensation for solar from utilities. This includes working with the PUC. Goal for 2024: establish a rule at the PUC to stop utilities from decreasing or eliminating fair compensation for solar customers.
  • Created a steering committee of solar installers to determine the next steps in stopping unethical business practices from solar installers and solar sales companies.  This includes possible additional licensing and/or legislation. Goal for 2024: develop a path forward and take action.
  • Hired an Outreach and Marketing Coordinator to approach cities about adopting a software that drastically reduces the amount of time to get a permit to install solar which saves time and money for consumers. Goal for 2024: Increase the number of Texas cities to adopt the software.
  • Convened 34 Texas electric coops to discuss software that could integrate batteries and community solar projects and the value of distributed solar in their service territories. Goal for 2024: assist electric cooperatives to include pertinent software in their business practices coops and determine the true value of distributed solar in their service territories.
  • Helped with solar training and education of: 43 low-income Dallas and Houston individuals in rooftop and ground mount solar PV installations; seven Houston individuals and two trainers in solar technical sales training based on the NABCEP Job Task Analysis; and 30 Dallas ISD students across three Career and Technical Education (CTE) campuses. Goal for 2024: establish training programs in Houston and Austin and train an additional 150 individuals.
  • Launched an innovative financing model for low-income LIHEAP and WAP participants to benefit from free rooftop solar.  Goal for 2024: take the model statewide.
  • Helped implement free rooftop solar in an LMI multifamily pilot in Carrizo Springs, Texas.  Goal for 2024: take this model statewide.
  • Began conversations with developers to implement net zero subdivisions across the state. Goal for 2024: get subdivisions in Dallas and Houston.

We’ve never been busier doing what TXSES does best: advocating, educating and raising awareness of the value and benefits of Texas’ unlimited solar resource, ensuring decision-makers and communities have access to objective, fact-based data that dispels misinformation and false narratives. Our mission-aligned chapters in Austin, Dallas, El Paso, Houston and San Antonio advocate for equitable access to solar energy for every Texan with initiatives that address regional needs.

We’re supported by an esteemed board of directors, whose expert insight keeps us on a visionary path. Our talented staff is tireless in their work ethic and committed to keeping TXSES as the indisputable source for factual, unbiased solar information. And, of course, to all TXSES members who inspire and embolden us to do what we do best: advocating for Texas’s unlimited solar resource to make a transformative impact on our lives. Thanks for your support.

Stay updated with our work. Subscribe to our newsletter. Happy new year, y’all.

Texas pays Bitcoin miners to save energy. Why not homeowners to produce it?

Patrice ‘Pete’ Parsons
TXSES Executive Director

Houston Chronicle (Opinion), December 2, 2023

Texans know nothing comes free, and certainly not energy. So when homeowners are sending their own self-generated solar energy to the grid to prop up its strained resources and reduce their energy usage, they want to see the money. Yet that’s not happening in Texas.

This summer, it was revealed that a major energy customer received millions of dollars to reduce their energy use. A bitcoin mining company, in fact. Meanwhile, average Texans cut back on their air conditioning in extreme heat for free.

What is wrong with this scenario? It shows that corporations are valued more than Texans trying to get through their daily life.

Policy reform is vital to ensure that Texas families and small businesses receive their fair share for the self-generated energy they send to the grid and the energy they don’t use. Right now, Texans do not see rates that fully, or fairly, compensate for energy generated from home rooftop solar. That means it’s less financially viable, and fewer Texans are able to invest in solar and battery solutions to lower energy bills and power through increasing grid outages.

It’s imperative that we start addressing policy reforms that empower and encourage customers to conserve energy and be compensated fully for the energy they send to the grid. Already we’ve seen the enormous benefits of home solar and batteries in our state.

During Winter Storm Uri, which left, by some estimates, more than 700 dead, these home solar and battery systems enabled some people to keep their homes open to their communities for basic electrical needs. More reports show that adding batteries to the grid is preventing blackouts. After all, it wasn’t home solar and batteries that failed in these extreme weather events — it was traditional energy resources.

Now, as Texans prepare for unpredictable cold weather, our regulators are asking if there will be enough reliable power this winter. We need every electron to support our grid and Texas’ growing demand for energy. Yet the patchwork policies from Texas’ utilities inhibit the growth and deployment of these resources. Most rural electric cooperatives, and some municipal utilities, have no “net metering” policies, a billing mechanism that fairly credits solar users for the excess energy they send to the grid, usually at the retail rate. The rest have drastically reduced the rate paid to solar users. High permitting fees and interconnection hurdles add more cost.

These challenges for households stack up, all while more calls have gone out to Texans to voluntarily conserve to help protect against power outages. If rooftop solar customers were fairly compensated and encouraged to share their solar power with neighbors and the grid, more people would buy rooftop solar systems. And that would mean fewer peak load crises and calls to conserve.

The good news is, simple solutions are ready to deploy home solar and batteries at a fair rate for Texans. Our Public Utility Commission and state Legislature can and should enact policies and laws that put in place mechanisms recognizing the true value that solar and batteries bring to the grid. Ensuring compensation for home solar users sending energy to the grid, and paying homeowners to conserve during peak demand periods, is only fair in a state where we subsidize crypto miners.

But even as we await the next full legislative session, the Public Utility Commission of Texas can make immense progress quickly by expanding energy efficiency and demand response programs. This would allow utilities to tap into solar and batteries for energy during times of peak demand.

It’s also up to the PUC, city leadership and utilities to encourage and enroll more solar and storage systems. That can only be done by cutting the red tape surrounding permitting processes and through shortened interconnection timelines, reducing costs for homeowners who want to install solar for their homes.

We Texans pride ourselves on our self-sufficiency and our care for our neighbors. We also care about good business. Freeing home solar and batteries from these obstacles will give us the ability to do what Texans do best: take care of each other with free market solutions.