Advocates say Iowa utility’s proposal could lead to fee for solar customers

An Iowa utility that failed earlier this year to impose new constraints on solar customers is making another attempt in its currently pending rate case. Interstate Power & Light has asked the Iowa Utilities Board to allow it to create two new rate classes for “partial requirements” customers — those who generate some of their own energy. The utility has not requested a new rate for solar customers, but clean energy proponents suspect it will be coming if the Iowa Utilities Board approves the proposed new rate classes. In another move that would tend to impinge on efforts to reduce energy use, the utility has asked for a $3 increase in the fixed monthly fee for residential customers. The utility wants to raise the fixed fee by $6.20 for small business customers.

End of state tax credit expected to impact Iowa clean energy growth

The race is on to finish about a dozen large renewable energy projects in Iowa after state lawmakers did not act on renewing a key tax credit. The state’s production tax credit of 1.5 cents per kilowatt hour will not be available for any projects that go into operation after Dec. 31, 2017. The Iowa Legislature did not vote on renewing the credit during the session that ended in late April. The impact will be twofold: projects now in process won’t get the credit if they aren’t operating by the end of the year, and there will be no state tax credit as of Jan. 1 for larger solar projects.