The first state to establish a community solar law is now considering, through Senate bill 2855, to end the program in 2028. Proponents of the program say that rolling it back would eliminate savings and drive energy costs higher.
Minnesota has been ahead of the curve when it comes to clean energy. In 2023, Gov. Walz signed into law a new climate bill that aims for 100% clean energy by 2040. In 2013, Minnesota was the first state to establish a community solar law.
Now that law is in jeopardy with SF 2855 introduced, which will effectively sunset the state’s community solar garden program on July 31, 2028.
The Coalition for Community Solar Access, MnSEIA, Vote Solar, the Institute for Local Self-Reliance and Solar United Neighbors issued the following joint statement:
“We strongly oppose SF 2855 and the companion House bill, which recklessly proposes to sunset Minnesota’s newly reformed low-to-moderate income (LMI) accessible Community Solar Garden (CSG) program in 2028. This blatant rollback is a gift to powerful utilities intent on protecting their monopoly and crushing competition—at the direct expense of Minnesota families and small businesses.
While the state’s community solar program is capped at 5 MW and must have at least 25 subscribers per MW, the program became more inclusive last year when a new 30% carveout was added for LMI ratepayers. According to a report by Arcadia, this benefits affordable housing and public interest groups, such as nonprofits and libraries, enabling more LMI consumers to reap the benefits of clean energy
According to the Community Solar Garden Study, conducted by the Minnesota Chamber of Commerce, in ten years the program delivered affordable, renewable energy to over 34,000 families and businesses and is projected to generate $1.67 billion in economic benefits statewide. The study also found that the program is expected to deliver $139 million in net benefits to LMI subscribers and $116 million to non-LMI subscribers.
The five groups that issued the joint statement said that, “rolling it back would kill local clean energy jobs, weaken our grid, eliminate critical savings for thousands of households, and drive energy costs higher at a time when Minnesotans can least afford it.”
The state is currently ranked 19th in the country for solar installations, receiving 4.7% of its electricity from solar, according to the Solar Energy Industries Association. While Minnesota was the first with a community solar law, it could be “the first state to dismantle a program that delivers savings, energy independence, and economic opportunity to our communities,” the joint statement said.
