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Freeport studies Illinois Shines community solar to assign municipal accounts credit on ComEd bills
Summary
City staff outlined Illinois Shines community solar subscriptions for municipal accounts, explaining the program is administered by the Illinois Power Agency and can deliver 10–15% credits to assigned city accounts with no upfront city cost; staff estimated modest annual municipal savings.
Mike Mudge presented options for Freeport to subscribe municipal accounts to community solar projects offered under Illinois Shines, an Illinois Power Agency program. He said community solar subscriptions require no capital outlay from the city, can deliver roughly 10% to 15% solar credit to assigned accounts and could recapture some renewable portfolio surcharge costs paid by ratepayers.
"Community solar ... subscription costs 0," Mudge said, describing the developer-driven model: a developer sites and builds a solar field, secures anchor tenants and then sells subscription allocations to institutions and residents. He said anchors (large hospitals, retailers or corporate tenants) are used to secure financing, and statute requires a portion of capacity be available to residential subscribers.
Mudge told the council he is seeking to get municipal water, well and smaller commercial accounts (ComEd 0–100 kW class) subscribed to upcoming fields because municipal accounts are viewed favorably by lenders and can lower a project's financing costs. He estimated — as a rough figure — that the city might realize on the order of tens of thousands of dollars per year in avoided charges across multiple accounts; he said the figure was an estimate to be refined. "Could be maybe I'm thinking $66,000 a year," he said, adding the number was illustrative rather than a guaranteed saving.
Under state rules the Illinois Power Agency (IPA) administers Illinois Shines; the presenter said credits generated by a subscribed field appear on ComEd bills for the assigned accounts. Mudge said some fields already are fully subscribed and new capacity comes online at different times; the city can be added to waiting lists or secure allocations in upcoming projects. He said some developers ask subscribers to remain for a multi-year period and that certain municipal subscription commitments are preferable for lenders.
Council members asked whether existing city-site solar projects (for example, a system on the south landfill or a wastewater plant) would preclude joining a separate Illinois Shines field; Mudge said multiple approaches may be possible depending on account size, project criteria and contractual terms, and that staff will investigate options. He recommended the council authorize staff to pursue subscriptions and return with specific contract terms when projects and allocations are available.
No formal subscription contract was approved at the meeting; the item was presented for council information and potential referral to staff for follow-up.
