A community solar farm (CSF) is a shared solar array which can have up to nine participants. Participating as a shareholder in a solar farm is a great choice for people who do not have a suitable site for solar, but wish to have access to solar power for their homes or businesses.
Here’s how it works. Sundog Solar will establish a relationship with a landowner (Host) and will begin the discussion of hosting a solar array on his/her property. Sundog Solar will present a preliminary design for a solar array to the host with an estimate of the system performance, the costs and the benefits over the life of the system. The host will execute a non-binding Letter of Intent (LOI) expressing interest in the project and commitment to negotiate a long term lease agreement in good faith with the solar farm members.
Once a host LOI has been executed, Sundog Solar will work together with the host and local communities to market the solar farm opportunity bringing potential participants together. The first nine members of the local community to commit to the project will form a mutual benefit nonprofit corporation to manage the shared solar farm. The non-profit will secure insurance, negotiate the final lease terms with the host and individual members will execute their installation agreement with Sundog Solar to initialize the building of the project by Sundog Solar. There is a minimum share size of 4 kW.
Although the system is physically located on the site provided by the host, it belongs to all 9 members in proportion to their investment and its production of clean, renewable energy goes to offset their individual home electricity bills. This happens automatically through a process called virtual net energy billing from Central Maine Power (CMP). The participants individual investment in the project is recovered over time in the form of energy savings, a 30% federal tax credit and sale of Renewable Energy Credits from the system.
If you are interested in finding out more about Community Solar Farms please contact Sundog Solar and we will be happy to answer your questions.