One would make the assumption that #solar is more popular in a sunny place such as Florida or California in comparison to a state in the Northeast. Wouldn’t the desert or somewhere extremely hot be where you would expect to see the most cash flow from a solar farm? Well, the best place to make cash from a solar farm in America happens to be somewhere a bit unexpected. It happens to be a place that sees an average of 26 inches of snow per year. It’s not Tucson or Phoenix, Arizona or even Redding, California where there is an extremely high percentage of sunshine. Solar is actually worth the most in an unexpected place – #Long Island, #New York.
That’s right – solar is worth more in the United States on Long Island than anywhere else!
Solar is Worth More in NY than the Sunshine State
As mentioned, when it comes to solar capacity in the United States, New York is not number one – as a matter of fact, it ranks 11th. But in New York, PV power sells more than elsewhere as per a Bloomberg NEF report released earlier this month. The numbers look good. In 2017, solar in Long Island and New York in general earned approximately $45 per megawatt hour on average, in comparison to just $15 per megawatt hour in Southern California. How is this possible? How could solar power be worth more in NY than a place like Florida?
The reason for this primarily surrounds constrictions within each market. New York City sees high wholesale power prices and Long Island sees restricted exports. For developers, this translates to a premium when they build local power plants. The expansion of solar is not only dependent on a demand for renewable #energy, but also on the discovery of business models that make economics work.
An Abundance of Solar
According to a BNEF analyst, Joshua Danial, Long Island is great for solar when it comes to revenue. And he mentioned that as saturation increases, California is becoming worse for solar. Rates in California tend to be lower partially because there is an abundance of solar capacity. The solar abundance is able to pull down prices.
Even though solar power goes for a high price on Long Island, developers still have to consider the high cost of real estate in addition to higher costs for construction – these tend to counterbalance the higher revenue.
Solar farms in the deserts of the Southwest and California do get more sunshine, which equates to these solar farms creating and selling more electricity than in New York. Regardless of tariffs and uncertainties, the fact is solar is booming. In Suffolk County, sales tax for solar equipment is waived. This is not the case everywhere, however. Unfortunately, Suffolk and Nassau counties are known for having very poor air quality – some of the poorest in the entire state of New York, actually. This negatively impacts residents on Long Island when it comes to breathing clean air. Since solar panels offer green, clean energy and going solar can assist in mitigating global warming, it is more important than ever to consider the benefits of going solar.
Solar might be worth a lot on Long Island in terms of finances, but one can’t put a price tag on what solar is worth to a person’s health – not to mention the health of the planet. It is so important we take the right steps to help keep our planet healthy and clean.
What would motivate you to go solar, if you have not already? Follow solar news to stay updated and in the know – there is an obvious solar shift happening in America and across the globe, and it is important to have an awareness of what is going on and what we can do to make the world cleaner and healthier for everyone.