Idaho Power looking at potential changes to solar panel credit

TWIN FALLS, Idaho (KMVT/KSVT) — People install solar panels on their houses for various reasons, including to reduce their energy bills.

Jordan Rodriguez with Idaho Power said it is very common for customers to use solar, as over 13,000 customers use it.

“If you’re producing above and beyond that, you have the ability to export that extra energy back to Idaho Power and then the customer is compensated for that excess energy,” Rodriguez said.

It is called an export credit rate. For customers like Scott Nelson, it can significantly reduce power bills.

“In the fall, it was probably reducing my bill by 40 to 50%,” Nelson said. “In the winter maybe as low as 20%.”

However, starting June 1, there could be a change in the compensation solar customers receive.

Rodriguez explained that Idaho Power filed an updated export credit rate with the Idaho Public Utilities Commission, seeking to change it due to a drop in the energy market.

If approved, the company would pay different rates depending on energy usage during certain times of the day and year.

“Summer on peak, which is from 3 p.m. to 11 p.m., Monday through Saturday, the ECR during that time is about 14 cents,” Rodriguez said. “When it’s off peak, which would be 11 p.m. all the way through to 3 p.m. the next day, Monday through Saturday, it’s just shy of 2 cents.”

Customers like Nelson are concerned because their solar panels were a massive investment, costing them around $30,000.

“My solar is on the east side of my house, so it’s producing way more in the off peak than it will be in the on peak,” Nelson said. “Yet, I’m only going to get 1.7 cents per kilowatt-hour as opposed to the off peak. So it’s actually costing me.”

Rodriguez said that export credit rates can rise or fall depending on market conditions, and solar panel installers are supposed to inform people about potential changes.

Nelson is concerned about what this could mean for future solar panel users.

“I feel like it disincentivizes others who might want to go solar,” Nelson said.

The Idaho Public Utilities Commission still needs to make a decision before the rates go into effect. They are set to meet next month.

You can leave comments on their website using the case number IPC-E-25-15.

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