A Latino civil rights group will continue its state Supreme Court challenge to Duke Energy’s solar-power development program as a corporate “subsidy,” despite regulators’ recent reaffirmation of the solar program as fair to customers.
The high court in May called on the Florida Public Service Commission (PSC) to explain whether or not the solar program, which would provide bill credits to participating ratepayers, is a subsidy and whether the established rates are reasonable. The court made the unusual request in response to a lawsuit filed by the League of United Latin American Citizens (LULAC) of Florida.
The PSC reaffirmed the solar program’s proposed rate structure on Sept. 8, concluding that it did not amount to a prohibited subsidy. Under the Clean Energy Connection program, Duke would build 10 large solar plants, and participating customers would pay a subscription fee in exchange for receiving future credits on their bills that would be tied to the amount of solar power the projects generate.
But an attorney with the nonprofit environmental organization Earthjustice, who represents LULAC of Florida in the case, told the Florida Record that the plaintiff would continue to press its case before the high court.
“If you follow the money, this program still creates an unfair subsidy by forcing all of Duke’s customers – mostly residential electric users – to subsidize a smaller group of mostly large commercial and industrial customers,” attorney Jordan Luebkemann said in an email. “That’s not equitable. Having thoroughly briefed this argument before the Public Service Commission and the Florida Supreme Court, we look forward to the court’s consideration on the merits.”
Over the life of the Clean Energy Connection program, participants are expected to reap $67.6 million more in bill credits than what they will pay out in subscription fees, according to the plaintiff’s arguments. This would result in an unfair subsidy to participants funded by non-participants, according to LULAC of Florida.
The program is designed to provide Florida ratepayers who don’t have solar equipment on their own property with an avenue to support renewable energy development and receive benefits from the energy generated by future solar plants, according to Duke Energy.