Sunday, December 29, 2024

SDG&E Rates Increase; Customers Look for Alternatives

Days full of blasting heat this past month of September incentivized everyone on Coronado Island with Air Conditioning to turn it on high. San Diego Gas & Electric stated that their sole, simple mission for places like Coronado was “to energize the communities [they] serve.”

While SDG&E did energize members of the Coronado community with AC, they weakened customers’ ability to turn on their AC by increasing their rates by 28-40% on September 1. SDG&E’s raise in rates is the largest utility companies have seen in a decade. For local residents, as Coronado is a coastal region, the increase will have the heaviest impact on their bills: there will be a 39% change. As residents just now receive their end-of-September bills, they will realize the rough shift. But fear not: for Coronado residents who cannot cope with such a distinct change in payment, there are alternatives with other companies, namely Sullivan Solar Power.

In an interview, Sullivan Solar Power’s Erica Johnson spoke out about the benefits of going solar, and the impact it has on a personal and national level. Johnson has been with the company since 2009, though it originated in 2004. Though that may sound like a young company, it is the longest standing solar power firm, specializing in solar energy in this territory.

What is solar power?
“How solar works is through [the use of] solar panels or modules, which are comprised of solar cells that produce energy in the form of direct current, or DC power. That power is routed to essentially located boxes about the size of a microwave; they are called inverters, [and are] the brain of the operation. The inverter takes that DC energy and transforms it into alternating currents, or AC power. The average size [used in homes] is 5,000 watts, which is around twenty solar panels. The solar panels are typically installed on the roof, as it’s the part of the property that typically goes unused; there are other applications, but the roof is definitely the most common because there isn’t much land in San Diego.”
What are the benefits of solar power?
“You’re supplying your own power. We have an abundance of sunshine in San Diego [over 260 days a year], and taking advantage of that rather than relying on imported fossil fuels is a huge benefit for our economy. As an alternative to utility, solar power reduces our dependence on foreign fossil fuels, so we are able to support our local national economy through local energy. There’s no emission, it’s a completely clean system, so it creates a sustainable future for our next generation. There are limitations to bills: customers are able to hedge against utility rate increases, either able to fix payment or wipe out costs [entirely]. There is a 30% federal tax credit for solar installations that covers project costs. It is a 1:1 credit against any tax liability; that’s one incentive that is expected to end in 2016. In addition to the tax credit, SSP is currently offering what we call “Sullivan Cash Rewards”, which is 20 cents per watt [paid back], [adding] up to $1,500 cash back. That’s our company’s incentive that we’re offering exclusively to SDG&E customers, running through the end of year. [Also], there was a study conducted in San Diego by the National Renewable Energy Laboratories (NERL), which shows that solar homes sold for 17% more and 20% faster than non-solar homes. We actually had a customer in Coronado that installed solar panels just to increase the marketability of his home.”
How does solar power affect customers’ bills?
“You can completely eliminate your bill by going solar. Most of our clients do! How it works is you go onto an arrangement with utility, called net metering. [Starting] the day that your solar power system is turned on, you receive a statement from utility each month. Basically, you’ll still be connected to the utility grid: during the day when you’re at work, that energy will go out onto the grid, and at night, when your solar power is not on, you will be borrowing energy. Net metering is a balance of debit and credit. Customers will have an annual bill, where we say “this is how much you owe us, or this is how much we owe you.” It used to be that we didn’t have to pay for the balance of energy, but now it is at a wholesale rate, where you’ll get full credit for all the energy that your property is producing. You’ll still have a $5.38 monthly charge for being connected to the grid, but you are able to eliminate your entire bill aside from that.”
How does Sullivan compare to SDG&E?
“It utilizes locally manufactured products. We are very committed to using local products and supporting our local economy; we are not going to send our customers’ money oversees to China. We are the top installer above SDG&E, according to California Solar Initiative Data.”
Does Sullivan already have a following on Coronado Island?
“We have over 50 customers in Coronado. Actually, Daniel Sullivan, the founder and president of Sullivan, had a house in the Cays. Back in 2009, we ran a solar incentive program exclusively for Coronado residents, where we payed people to go solar.”

Solar power is an intriguing option for people living on Coronado Island, which is packed with sunshine. Residents are already beginning to adjust to the new idea, and take their power in their own hands. See more on how to connect with Sullivan Solar Power here.
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Caroline Minchella
Staff Writer, Intern
eCoronado
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Caroline Minchella
Caroline Minchella
Caroline was 15 years old when her family moved to Coronado. Though she was a “transplant”, Caroline found a home in the Coronado community near-immediately: she became an intern for “The Coronado Times”; helped reinstate the CHS newspaper, “The Islander Times”; was a volunteer dog-walker for PAWS; and a faithful Concert in the Park attendee.After completing her BA in English at the University of California Santa Barbara, she went on to craft answers for Amazon Alexa devices and write creatively on the side. Fast forward seven years, Caroline is thrilled to return as a Reporter for “The Coronado Times.” Have a story for The Coronado Times to cover? Send news tips or story ideas to: [email protected]

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