Syria isn’t the only battle into which President Obama is injecting himself where he doesn’t belong. True, on a global scale, Arizona’s fight over net metering seems insignificant. However, on a personal scale, what is taking place in Arizona’s sunny desert has the potential to directly impact far more Americans than the shots being fired in Syria’s desert.
Syria’s conflict is often called a proxy war in that it is an indirect confrontation between superpowers via substitute actors. According to the definition of a proxy war found on the Intro to global security blog, “Modern non-state actors do not necessarily want to take over territory or a government; most use the expanding global communication network to levy resources (human or otherwise) and generate wealth and political/ideological power.” By that definition, Arizona’s net metering debate is Obama’s proxy war in the desert.
To understand Obama’s proxy war in the desert, you have to understand the intentionally confusing term: net metering.
Simply, net metering is the process through which homeowners with rooftop solar panels are paid by the local utility company for the excess power they produce. In its report on net metering, the Institute for Energy Research defines it this way: Net metering “allows people who generate electricity on their homes and businesses to sell electricity back to the grid when their generation exceeds their usage.” Sales pitches for rooftop solar often explain net metering as the electric meter running backwards.
Net metering has been around since the early 80s when solar panels were expensive and few people had them. But the dynamics changed drastically when states began passing renewable portfolio standards (RPS) that required predetermined percentages of electricity be generated from renewable sources—some even specified which sources are part the mix and how much of the resource was required. For example, in my home state of New Mexico, the Diversification Rule requires that 1.5 percent of the RPS must be met by “distributed generation” (read: rooftop solar). Arizona requires 30 percent of the RPS be derived from “distributed energy technologies” (once again, rooftop solar).
New Time 11:20 AM PT: Get the Market Movements in Advance: William's Edge Webinar for Wednesday April 23rd, 2014 | John Ransom
New Time 11:20 AM PT: Get the Market Movements in Advance: William's Edge Webinar for Tuesday April 22nd, 2014 | John Ransom