Community Solar and Beyond

Two Programs Offer New Opportunities for Distributed Solar Deployment To Benefit Communities

Dec. 23, 2024 | By Sara Fall | Contact media relations
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An aerial image of a large apartment building with solar panels on the roof.
The Olympia Community Solar project was selected as a Grand Prize winner in the 2023 Sunny Awards, an initiative of the NCSP+. This 124-kilowatt direct current project provides solar energy for the 82 housing units of Merritt Manor apartment building in Olympia, Washington. The average electricity bill savings is 33% for the building’s residents, who all reside in low-income households. Photo from Overcoming Solar Barriers for Merritt Manor Multifamily Housing

Community solar—a solar energy deployment model that allows customers to buy or lease part of a larger shared solar photovoltaic (PV) system—is a growing area of PV development. This model expands access to renewable energy to renters, households that qualify for energy assistance, homeowners with shaded property or those with roofs that do not support a solar array, and others who wish to benefit from solar energy generated off-site, such as nonprofits and small businesses.

Community solar project capacity in the United States has grown nearly 500% in the last six years, from 1.5 gigawatts at the end of 2018 to more than 7.8 gigawatts in 2024. The National Community Solar Partnership+ (NCSP+) and the Community Power Accelerator, both funded by the U.S. Department of Energy (DOE) Solar Energy Technologies Office (SETO), are building on that momentum to expand beyond community solar to other community-benefiting distributed solar project types.

National Community Solar Partnership+: Offering More Opportunities To Put Solar Deployment Into Action

NCSP+ extends beyond community solar, funding the National Renewable Energy Laboratory (NREL) and the Lawrence Berkeley National Laboratory to provide technical assistance, resources, peer networking, and learning opportunities related to PV projects.

NCSP+ projects include community solar, low- to moderate-income residential rooftop solar, community-benefiting commercial solar projects—such as rooftop PV on schools, health clinics, small businesses, and affordable multifamily housing—and distributed solar-plus-storage projects, such as virtual power plants (VPPs) and microgrids.

Graphic in the shape of a flower. In the center, a circle for NCSP+, with petals for each of the following: Tools (Community Power Accelerator , Clean Energy Connector); Capacity Building (Funding Opportunities, Online Courses, Accelerator Lab); Technical Assistance (Project Development, Markets and Regulations); Collaborations and Partnerships (Peer-to-peer networking, state engagement); Research and Analysis (Data Collection, Market Analysis).

So far, NCSP+ has provided more than 163 direct technical assistance engagements to organizations in 36 U.S. states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands to support the growing community solar market.

"DOE is committed to ensuring the meaningful benefits of solar energy are available to all Americans, especially those who need it the most," said Jeff Marootian, principal deputy assistant secretary for Energy Efficiency and Renewable Energy at DOE, in a DOE press release. "NCSP+ will expand the program's reach and impact, helping schools, nonprofits, and affordable housing communities unlock access to solar resources and more equitable clean energy options across the nation."

Expanded Project Types Support Greater Access to the Meaningful Benefits of Solar Energy

DOE has defined five core meaningful benefits of solar PV energy for communities. These benefits correlate to priorities from the Justice40 initiative, which directs at least 40% of the overall benefits of federal investments, including those for renewable energy, to flow to disadvantaged communities:

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Equitable Access & Consumer Protections

  • Contract terms that support strong consumer protections
  • Inclusive outreach and engagement
  • Financial products that are accessible to all households

Justice40 Priority 3:

Increase Clean Energy Parity

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Meaningful Household Savings

  • Guaranteed bill and/or household savings
  • Wealth building opportunities
  • Indirect multifamily affordable housing tenant benefits

Justice40 Priority 1:

Reduce Energy Burden

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Resilience, Storage, and Grid Benefits

  • Household and community level resilience strategies
  • Grid strengthening strategies
  • Improved health outcomes through reduced or shortened power outages

Justice40 Priority 7:

Increase Energy Resiliency

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Community-led Economic Development

  • Opportunities for community ownership
  • Community benefits agreements
  • Support for entrepreneurship and local and minority and women-owned businesses

Justice40 Priority 8:

Increase Energy Democracy

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Solar Workforce Development

  • Strategies that ensure jobs are accessible to workers of all backgrounds, offer competitive wages and union membership
  • Training and apprenticeship programs

Justice40 Priority 6:

Increase Clean Energy Jobs

These five meaningful benefits—equitable access and consumer protections; meaningful household savings; resilience, storage, and grid benefits; community-led economic development; and solar workforce development—are at the core of the education and outreach provided through NCSP+ to support more standardized delivery and communication of the benefits of solar energy

A primary benefit of commercial PV deployment in communities is reduced energy bills for churches, health clinics, schools, community centers, and so on. When a community asset such as a school or church installs PV, the savings on their energy bills can be redirected toward important services like education, food programs, or housing support that directly benefit members of the community. Moreover, these types of buildings often serve a critical function for people in the surrounding communities when there is a disruption in the power grid. The addition of a solar-plus-storage system enables a school or church to become a resilience hub during emergencies.

PV projects installed in places such as schools or community centers can also serve as powerful tools for education. They can engage students, local residents, and congregations in learning about renewable energy and environmental stewardship, raising awareness and inspiring broader participation in sustainability efforts.

As new technologies for PV adoption grow in the marketplace, sometimes predatory sales tactics and misleading information are directed at low-income, disadvantaged, and vulnerable communities. Through NCSP+, communities can access support to help them make informed decisions about PV adoption.

"We have built a strong foundation for solar adoption with NCSP+," said Gayathri Krishnamoorthy, who leads the project for NREL. "With the expansion into solar-plus-storage, rooftop solar, and other community-benefiting project types, we're amplifying the benefits of solar energy—like household savings, enhanced resilience, and community economic development—to even more communities. Being able to provide more technical assistance and resources around these technologies and deployment models is the key to ensuring solar becomes more accessible and impactful."

Community Power Accelerator: Bringing Together Capital and Community-Benefiting Solar

The Community Power Accelerator, which launched in 2023, grew out of NCSP+ and has trained more than 150 community solar developers; its virtual marketplace boasts more than 140 verified PV projects seeking capital—with more than 180 megawatts of potential solar capacity and $1.5 billion in funds committed by capital providers. To post a project on the Accelerator platform, solar developers must guarantee that a PV project will meet at least one of the five meaningful benefits listed previously.

The full Community Power Accelerator program includes education opportunities and technical assistance for solar developers, a $10 million prize from DOE, and an online marketplace that creates a pipeline of credit-ready renewable energy projects and connects them with mission-aligned lenders, investors, and philanthropic organizations.

"Securing financing is one of the toughest challenges for solar developers who wish to bring the benefits of solar energy to their communities, especially when they're just getting started," said Nick Langle, who leads the Community Power Accelerator for NREL, "so we created the Accelerator to provide education and technical assistance to those solar developers so that they can attract capital, as well as a forum to find that capital. On the other side of the equation, we reach out to capital providers who are seeking these kinds of meaningful projects. We bring solar together with capital to get community-benefiting solar projects off the ground."

Watch solar developers talking about the work they accomplished with support from the Accelerator:

With the expansion of NCSP+, the accelerator is reaching beyond community solar to connect capital providers with PV projects, with or without battery storage, in the areas of community-benefiting, commercial-scale PV aggregations of small rooftop PV, VPPs, and microgrids. The accelerator will also launch new tools and features to help developers plan projects and access financing. The accelerator already offers a self-paced Foundations of Community Solar Development online course. In 2025, the accelerator will also offer new courses and resources focused on these additional distributed PV technologies and business models.

"This is an exciting time to be part of equitable solar development," said Jonathan Morgenstein, who leads the outreach efforts for the Community Power Accelerator. "We're seeing more opportunities for small, local, nonprofit, and community developers. Investors, lenders, philanthropies, and green banks are eager to find solar projects that can really make a positive impact on their communities."

The program expansions of NCSP+ and the Community Power Accelerator are bringing solar energy within reach of many more American homes, especially low- or moderate-income households.

Join NCSP+ on their networking platform, and join the Community Power Accelerator's online marketplace.

Contact Gayathri Krishnamoorthy, NREL lead for NCSP+. Contact Nick Langle, NREL lead for the Community Power Accelerator.

Tags: Solar Market Research