MONTGOMERY, Ala. — A federal lawsuit has been filed against the state’s regulators over the costs charged by Alabama Power to consumers who generate their own power with rooftop or on-site solar panels.
The costs, according to Alabama Power, are required to maintain the infrastructure that supplies backup power to consumers when their solar panels are insufficient.
“We’re asking the court to order the Commission to obey the law so Alabama Power can stop charging private solar investments unfairly,” said Keith Johnston, head of the SELC’s Alabama office.
“It would not be appropriate for the Alabama Public Service Commission to comment on current litigation,” a spokesman for the commission stated in an email.
The payments, according to Alabama Power, are required to maintain the backup power infrastructure. “We think Alabama law and good ratemaking standards were followed in achieving a fair assessment of the cost for this service,” an Alabama Power spokeswoman stated.
The Environmental Protection Agency’s attempt to pursue enforcement action against the Public Service Commission was denied by the Federal Energy Regulatory Commission last month.
Two members of the five-member panel, however, released a separate statement, expressing worry that Alabama authorities may be breaching federal regulations aimed at promoting the growth of cogeneration and small power plants and reducing the need for fossil fuels.
Alabama Power’s application for an 80-megawatt HEP Greenville solar project in Butler County was authorized by the Alabama Public Service Commission. According to the business, the annual output provided by the HEP Greenville solar project is comparable to the amount of energy utilized in roughly 15,000 households.