SolarBank Corporation (SUUN, Financial) has announced its intention to develop a sizable 4.584 megawatt direct current (MW DC) ground-mounted solar array, named the Forest Hill Rd project, situated in upstate New York. This initiative marks a significant step in the company's growing portfolio, which now surpasses one gigawatt, and aligns with its ongoing efforts to promote community solar solutions.
The Forest Hill Rd project will adhere to the Value of Distributed Energy Resources (VDER) rate compensation mechanism established under the New York Public Utility Commission's case 15-E-0751. Currently, the initial average compensation rate is anticipated to be $0.0971 per kilowatt-hour (kWh), offering a financial return for energy supplied to the grid.
Pending a successful interconnection study, SolarBank plans to proceed with securing permits and the necessary financing to bring the project to fruition. The company aims to benefit from incentives available through the New York State Energy Research and Development Authority's NY-Sun Program. These incentives could provide up to 34.5 cents per watt DC, offering a significant financial boost in support of project financing.
Once operational, the Forest Hill Rd project will function as a community solar installation. Community solar setups consist of a group of solar panels connected to the local electricity grid, allowing multiple users to benefit from renewable energy without needing individual solar systems on their properties.
