As the fastest growing fuel source globally in 2016, solar power is expected to lead the transition to clean, renewable energy (Bloomberg). Solar technology has already proven its efficiency and competiveness with other fuel sources, and the implementation of batteries and methods of energy storage is becoming increasingly important. Battery technology in conjunction with a solar photovoltaic (“PV”) system enables the energy produced by the PV system to be used when solar irradiance is reduced on a cloudy day or eliminated at night.
With the rapid development of the solar industry over the past decade, policymakers, utilities and other stakeholders have increasingly tried to pinpoint the most accurate compensation mechanism for solar energy generation. Feed-In Tariffs, Performance-Bonded Incentives, SRECs, net-metering and community solar programs are an example of policies designed to spur development in renewable energy and/or accurately compensate the owners of these systems for the benefits they bring to the electrical grid.