Increasing Higher Education Investment Potential
Photo credit Raja Sambasivan on flickr Creative Commons
Background
In the U.S., colleges and universities—which account for billions of dollars of investment nationally—are well positioned to invest substantially in solar projects due to their unique combination of power consumption, land ownership, finance capacity, and commitment to education. For these institutions, solar offers a pathway to advance campus sustainability goals, achieve energy independence and price stability, and realize a return on investment. Solar installation also offers important educational and research opportunities for students and faculty.
College and university solar projects can also benefit surrounding communities, creating economic benefits and clean, renewable energy. In areas with less exposure to solar, college and university campuses can serve as important demonstration sites and provide opportunities for public education.
Through Solar Market Pathways, projects worked to:
- Spur investment in solar development—both on and off campus—through institutions of higher education.
- Coordinate collaborative procurement programs that pool the purchasing power of large institutions.
- Engage students in project design and develop ongoing renewable energy curricula and research opportunities to attract and engage students, faculty, and staff.
- Engage with the communities living around the campuses.
- Encourage the adoption of university board policies and local community policies that enable solar deployment.
Toolkit
These resources are intended to assist college and university program managers, sustainability directors, faculty, staff, and other stakeholders to take advantage of the benefits of solar energy and expand on- and off-campus solar deployment.
Creating a Campus Solar Plan
Planning for solar deployment can be complicated. Solar Market Pathways projects have developed templates—including site assessments, roadmaps, tutorials, and case studies—to help higher educational institutions get started with solar.
One of the common first steps to create a campus solar plan is completing solar feasibility reports, which serve as key tools in the internal decision-making process. These reports include site assessments, historical energy consumption, available incentives, interconnection points, and more. The Washington & Lee University Solar Master Plan serves as an example.
A roadmap builds upon feasibility assessments by outlining recommendations for solar investment and procurement. The Midwest Renewable Energy Association developed case study roadmaps for deploying solar on campus for the University of Wisconsin Stevens Point and the University of Minnesota. Campus teams comprised of students, faculty, and key stakeholders identified priority sites; assessed costs, risks, and legal and regulatory considerations; investigated project financial goals and university investment opportunities; and provided recommendations for solar investment.
Resources
Toolbox for Renewable Energy Project Development Toolbox for Renewable Energy Project Development
This website examines topic areas that have important implications for developing on-site solar projects on college and university campuses.
Campus PV Development Roadmap Template Campus PV Development Roadmap Template
The Campus PV Development Roadmap serves as the guiding framework for solar PV development for the university campus and associated properties.
REopt Site Assessment REopt Site Assessment
This tool can help you understand the optimal mix of renewable energy and fossil fuels required to meet your cost savings, greenhouse gas reduction, and energy performance goals.
State of Renewables: Midwest Focus ... State of Renewables: Midwest Focus Data Briefing by Second Nature
An update on the survey of 680 participants in the American College and University President’s Climate Commitment, including common financing mechanisms and renewable energy goals.
Colorado State University: A Midscale Market Solar Customer Case ... Colorado State University: A Midscale Market Solar Customer Case Study
This case study highlights CSU’s decision-making process, campus engagement strategies, and relationships which have culminated in significant on-campus PV deployment.
Agnes Scott College Solar Deployment ... Agnes Scott College Solar Deployment Case Study
This presentation highlights Agnes Scott College’s vreative finaninc, key partnerships, and innovative design involved in deploying solar on campus.
Harnessing the Sun: A Case Study of Solar Energy Deployment at ... Harnessing the Sun: A Case Study of Solar Energy Deployment at Agnes Scott College
This case study reveals how Agnes Scott College successfully deployed solar arrays on its campus including technical aspects of each project.
Campus PV Development Roadmap- University of Minnesota Campus PV Development Roadmap- University of Minnesota
This roadmap features development plans for on campus PV including stakeholder mapping, site assessment, financial modeling, legal/regulatory review and recommendations for investment.
Campus PV Development Roadmap- University of Wisconsin Stevens ... Campus PV Development Roadmap- University of Wisconsin Stevens Point
This roadmap features development plans for on campus PV including stakeholder mapping, site assessment, financial modeling, legal/regulatory review and recommendations for investment.
Solar Screenings and Implementation Assistance for Universit... Solar Screenings and Implementation Assistance for Universities
This suite of reports, fact sheets, presentations, and brochures is aimed to help universities implement solar projects.
Solar Master Plan Sample Solar Master Plan Sample
This sample plan is a template other colleges and universities can utilize in their planning process for assessing solar potential and a collaborative procurement approach.
Procurement and Financing
There are many ways to finance solar development within a campus and community, including collaborative procurement, power purchasing agreements, and more.
Solar Finance Simulator Tutori... Solar Finance Simulator Tutorial
This tutorial shows how to use the Solar Finance Simulator to simulate long-term financial forecasting for PV investments.
Institutions can also work together to achieve cost savings. In order to drive down the cost of solar deployment, the Council of Independent Colleges in Virginia (CICV) leveraged group purchasing power to achieve at least a 10% discount for solar installations for participating colleges. CICV developed a template request for proposals (RFP) for collaborative procurement and a lessons-learned document.
Resources
Lessons Learned from CICV’s First Collaborative Procur... Lessons Learned from CICV’s First Collaborative Procurement
This memo highlights lessons learned from our first round of procurement and includes advice for team structure, design of the RFP documents, and how to properly evaluate the responses.
Solar Energy on Campus: Opportunities ... Solar Energy on Campus: Opportunities and common pitfalls in communicating renewable energy use in higher education
This webinar discusses the role of RECs in renewable energy claims, the advantages and risks of solar purchasing options, REC arbitrage done right, and more.
System Advisor Model (SAM) System Advisor Model (SAM)
SAM makes performance predictions and cost of energy estimates for grid-connected power projects based on installation and operating costs and system design parameters.
CICV Solar Group Purchasing: Results and Lessons Learned CICV Solar Group Purchasing: Results and Lessons Learned
An assessment of a collaborative procurement approach to understand cost savings involved and lessons learned.
Guide to Purchasing Green Power Guide to Purchasing Green Power
This guide provides information about the green power procurement process, benefits of green power purchasing, as well as how to capture the greatest benefit from your purchase.
RECs: Making Green Power Possi... RECs: Making Green Power Possible
This short video address common questions and concerns about the role and benefits of Renewable Energy Credits.
Understanding Renewable Energy ... Understanding Renewable Energy Certificates
Learn about strategies used by colleges and universities to ensure that the role, value, and trade-offs involved with monetizing renewable energy certificates are well understood.
Using Power Purchase Agreements for Solar Deployment at Univ... Using Power Purchase Agreements for Solar Deployment at Universities
This brochure provides guidance to universities on the process of using PPAs and how PPAs can make economic sense for campus solar deployment.
Non-Power Purchase Agreement (PPA) Options for Financing Solar ... Non-Power Purchase Agreement (PPA) Options for Financing Solar Deployment at Universities
NREL developed this overview summarizing existing financing models and funding mechanisms available for solar procurement, focusing on non-PPA financing models.
Writing Solar Requests for Proposals (RFPs) Writing Solar Requests for Proposals (RFPs)
This guide provides a list of common issues to consider when writing an RFP for solar PV.
NREL RFP and PPA Resources NREL RFP and PPA Resources
Example RFPs and PPAs compiled by NREL.
Financing Solar at Virginia Co... Financing Solar at Virginia Colleges
This webinar presents innovative ways to finance solar at college campuses through Power Purchase Agreements, Customer Self Generation Agreements, Solar Certificates of Deposit and more.
A Net Metered Solar Project Benefits ALL Ratepayers A Net Metered Solar Project Benefits ALL Ratepayers
This article details how a solar PV installation at a Christian university benefits the local utility as well as the larger community.
Capital Partners Solar Project: ... Capital Partners Solar Project: Harnessing Collective Buying Power to Procure Solar
Learn about a new business model in which non-profit institutions collectively solicited competitive bids to secure a large portion of their electricity supply from solar PV.
Working with a Solar Developer ... Working with a Solar Developer to Make PV Investments on Your Campus
This webinar covers the PV Development Process, Key Considerations for US universities, and strategies for conducting a successful competitive solicitation.
Solar Finance Simulator Solar Finance Simulator
The Solar Finance Simulator is an easy-to-use online tool to simulate long-term financial forecasting for PV investments.
Sample RFP for On-Campus Collaborative Procurement Sample RFP for On-Campus Collaborative Procurement
This sample collaborative procurement RFP was grouped into three bundles of sites for on-campus solar to provide a more accessible and relevant process to bidders.
CICV Collaborative Procurement ... CICV Collaborative Procurement RFP
This webinar discusses CICV’s collaborative procurement RFP process, lessons learned, and next steps.
Solar Finance Simulator Tutori... Solar Finance Simulator Tutorial
This tutorial shows how to use the Solar Finance Simulator to simulate long-term financial forecasting for PV investments.
Engaging Students and Creating a Curriculum
Installing solar offers educational and research opportunities for students and faculty. Firsthand experience with renewable energy systems is valuable for institutions to add to the curriculum to best prepare their students for the job market.
The Midwest Renewable Energy Association engaged student deployment teams at partnering campuses to build student, faculty, and alumni support for solar PV deployment and investment though the PV Development for Institutions course. This takes a high-level look at some of the legal and regulatory issues universities and colleges face when they decide to deploy solar PV systems, including:
- Ownership and third-party models
- Goals and objectives for deploying solar, and the importance of institutions focusing on these goals and objectives
- Sources of authority for institutions to act
- Possible constraints on an institution’s authority to act (organizational, statutory, and contractual)
- Local government procedures and constraints institutions will face (including utility issues, zoning, permitting, and inspection)
- Ways endowment funds could help with solar projects
- Unique issues relating to agreements with utilities and tax-exempt financing
The University of Minnesota Duluth developed a replicable program that provides undergraduate students hands-on solar experience and engages with the community. It is now a regular course offered at the university.
Resources
Campus PV Development Roadmap- Illinois State University Campus PV Development Roadmap- Illinois State University
This roadmap features development plans for on campus PV including stakeholder mapping, site assessment, financial modeling, legal/regulatory review and recommendations for investment.
Lincoln Park Shines: Promising ... Lincoln Park Shines: Promising Practices for Engaging Students and the Community in Solar and Renewable Energy
Lincoln Park Shines gave students hands on experience in the field, and enabled the businesses involved to engage on the topic of energy at a high level.
CICV Learning Module- Analyzing Utility Regulatory Filings CICV Learning Module- Analyzing Utility Regulatory Filings
This learning module guides students in analyzing the potential impact of utility regulatory filings on solar PV systems.
PV Development Considerations ... PV Development Considerations Module
Brad Rutledge presents the second module of the PV Development for Institutions course, PV Development Considerations.
PV Development for Institutions Course Syllabus PV Development for Institutions Course Syllabus
The course syllabus for the PV Development for Institutions course offered January 29-March 25, 2018.
Module 2 Office Hours: PV Development ... Module 2 Office Hours: PV Development Considerations
Recorded office hours for MREA’s second module from the course PV Development Considerations, PV Development Considerations.
Getting to Yes with University Governance Boards, Alumni, and Donors
A significant investment in solar energy requires the approval of many campus decision-makers and stakeholders. Engaging alumni, donors, and university governance boards in decisions about renewable energy investments offers important opportunities for on- and off-campus deployment.
The Midwest Renewable Energy Association and Second Nature created a case study series highlighting solar energy investment projects in higher education to showcase working financial models for higher education institutions to invest in on-campus solar. Luther College leveraged donor- and supporter-financed funding to deploy solar PV on campus, while Wake Technical Community College capitalized on the investment potential for institutional foundations looking to further educational (e.g. student scholarships) and financial (e.g. solar energy opportunities) goals. Appalachian State University overcame financial barriers using innovative and self-financed renewable energy-focused student funds.
The Intentional Endowments Network (IEN) supports higher education institutions and other mission-driven organizations in aligning their endowment investment practices with their mission, values, and sustainability goals. IEN encourages conversations about the financial and societal benefits of clean energy investments for higher education institutions, both as a customer and institutional investor.
Resources
Innovation in Solar Energy Finance ... Innovation in Solar Energy Finance and Development
This webinar focuses on four case studies highlighting higher education investment in solar energy projects.
Investing in Clean Energy: Campuses and Endowments Investing in Clean Energy: Campuses and Endowments
This report encourages conversation around the financial and societal benefits clean energy investments in higher education can make through their endowments.
Intentionally Designed Endowments Intentionally Designed Endowments
This primer provides a high level overview of the field of sustainable investing, including a brief history and links to key resources and relevant organizations.
The Business Case for Environmental, Social and Governance F... The Business Case for Environmental, Social and Governance Factors
This briefing paper describes what Environmental, Social, and Governance (ESG) investing is and how ESG investing and analysis can be approached.
Solar University Network: Appalachian State University, Colby ... Solar University Network: Appalachian State University, Colby College, Luther College, and Wake Technical Community College
These case studies follow the project development pathways for solar—including efforts to overcome financial barriers—at Appalachian State University, Colby College, Luther College, and Wake Technical College.
Investing in Clean Energy for Campuses ... Investing in Clean Energy for Campuses and Endowments
This webinar provides an overview of the report: Investing in Clean Energy: Campuses and Endowments.