June 14, 2020
The development of the Value Stack in New York, using the Value of Distributed Energy Resources (VDER) method, is an attempt to improve upon the previous net metering system of compensation.
Last year, on August 1, 2019, the Long Island Power Authority (LIPA) approved a tariff update in order to bring the Long Island VDER methodology for compensation up to date in relation to PSC Orders. For full details of this update you can read the tariff document here, or visit the PSEG website here.
Generally speaking, the Long Island Value Stack Tariff falls in line with the Value Stack program throughout the rest of New York State. However, there are some differences. You’ll find some of the key differences between Long Island and the rest of New York State outlined below.
Community Distributed Generation (CDG) projects qualifying before 1/1/2020 will receive volumetric crediting rather than monetary crediting through the Value Stack.
CDG projects qualifying after 1/1/2020 will receive monetary compensation through the Value Stack. This includes a Community Credit, the value of which has increased from $0.02/kWh to $0.05/kWh.
For Long Island, the Demand Reduction Value (DRV) element of the Value Stack is calculated based on grid system injections between 2:00 p.m. and 7:00 p.m. on non-holiday weekends June 1 through August 31.
NYISO spot capacity auction price is the basis for the calculation of ICAP values.
To learn more about Long Island solar, or VDER across the state of New York, reach out today. Send us an email, or call at 212.389.9215 to get started.
YSG Solar is a project development vehicle responsible for commoditizing energy infrastructure projects. We work with long-term owners and operators to provide clean energy assets with stable, predictable cash flows. YSG's market focus is distributed generation and utility-scale projects located within North America.
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