|Program Type||Performance-based Incentive|
|Amount||$1,000 plus $0.12 kWh above the retail rate|
|Required Documentation||Participation Agreement Form|
|Official Web Site||http://www.tva.com/greenpowerswitch/partners/|
Through Generation Partners, the Tennessee Valley Authority (TVA) offers customers of systems between 500 watts and less than 1 megawatt a performance-based incentive for PV or renewable electricity generation. The program will cease accepting applicants when generating capacity through the program reaches 200 megawatts. Contracts under the program last for 10 years and TVA owns any renewable energy credits that system generates.
Participating property owners receive a $1,000 bonus to help with start-up costs. TVA buys 100 percent of the power produced by the renewable energy system plus a $0.12 premium per kW hour (kWh) produced. TVA explained “if you pay your power company 10 cents per kWh for the electricity you use to your power your home each month, then TVA will pay you 22 cents (10 cents plus a 12 cent guaranteed premium) per kWh for 100 percent of the green energy generated from your solar photovoltaic system.” An average 2 kW PV system in the region produces an average 200 kWh per month, according to TVA. The participating owner of the system would be paid an average of $44 per month for their power generation, the organization said.
Generation Partner payments are credited on the customer’s bill from the local company. And if the system produces more electricity than the customer uses, the power company can choose to reimburse them either annually or monthly.
Under the program’s eligibility requirements, a completed interconnection application must be submitted prior to the customer’s local power company prior to purchasing equipment. And all equipment related to the system must have a manual, lockable disconnect switch, easily accessible by the local power company. The system must be permitted and certified by a licensed electrician.
Energy generated by the systems will count toward TVA's green power pricing program, Green Power Switch, which people in Virginia may choose to opt into through their utility. But participants in Generation Partners do not have to participate in Green Power Switch.