Solar co-op offers South Florida consumers savings through bulk purchasing power

In this file photo, rooftop solar panels absorb power from the sun to help energize a South Florida home, reducing the homeowner's Florida Power & Light bill. A non-profit organization, Solar United Neighbors, is launching a Broward Solar Co-op that it says can help consumers save up to 20% off the cost of a solar installation.

By Ron Hurtibise | rhurtibise@sunsentinel.com | South Florida Sun Sentinel

PUBLISHED: July 14, 2022 at 4:51 AM EDT | UPDATED: July 14, 2022 at 8:53 AM EDT

So you've been thinking about installing solar panels on your roof.

The advantages are well known: With solar panels, you don't need to purchase as much electricity from Florida Power & Light. You can get retail credit by selling electricity back to the grid. The power you generate with solar reduces the amount generated by FPL's natural gas-fueled plants.

But you've also heard complaints about unscrupulous operators who sell questionable systems and make promises they cannot keep. You might have opened your front door to an unfamiliar company peddling solar installations. You've seen a list of company names but have no idea which are reputable and which to avoid.

A nonprofit advocacy group, Solar United Neighbors, says it can help you make a smart purchase at the best possible price if you join one of its solar co-ops.

The organization is seeking potential customers to form its sixth Broward County Solar Co-op this summer. According to a S.U.N. news release, 73 co-ops have been formed in Florida since 2015 that have helped homeowners in nearly all of the state's metro areas learn about and install solar systems.

In Broward, Palm Beach and Miami-Dade counties, 19 co-ops have led to 385 installations that cost a total $7.2 million, or $18,574 per installation — before applying the federal tax credit, which is currently 26%.

"Our co-ops organize 50 to 100 neighbors in a group to go solar together," S.U.N.'s website says. "People love the community approach. Our experts support you through each stage of the solar process."

Co-op members "leverage bulk purchasing power to get discounted pricing and a quality installation," the site says, "while still signing individual contracts that ensure the right system for their home."

Consumers who purchase a system through S.U.N.'s co-op typically save about 20% compared to purchasing a system on their own, said Laura Tellez, the organization's South Florida program director, in an interview.

Installation prices, which "vary from region to region and co-op to co-op," are set in a competitive bidding process run by volunteer groups of co-op members. S.U.N. plays no role in selecting contractors or setting prices, she said.

S.U.N. has no preferred solar installation or marketing agreement with any particular installer. Whichever company is selected pays S.U.N. $600 per installation, the site says.

Typically, solar installers pay referral fees for new customers leads or referrals, Tellez said, and the $600 is comparable to those. S.U.N. uses the money to expand program options, host community outreach events, and develop free educational materials for its website and published guides, she said.

Co-op membership is also open to existing rooftop solar owners as well as anyone who wants to support expansion of renewable energy generation.

The organization's website is loaded with tips and information for cities, businesses, farmers, nonprofits, and condo buildings interested in installing solar systems. Consumers can read testimonials from members of previous co-ops who installed their own systems, and learn about the federal solar investment tax credit (currently 26% of a system's cost), battery storage systems, electric vehicles, how to deal with homeowner associations and more.

Pros and cons of financing options are explained on the site, such as conventional bank loans, home equity loans, credit union loans, federal government-backed loans, Property Assessed Clean Energy (PACE) financing and installer-backed financing. The site also includes information about incentives offered by 13 states, including Florida, where S.U.N. solar co-ops are offered.

S.U.N. also presents webinars with rooftop solar basics and members of previous co-ops sharing their experiences.

Joining the co-op is free and comes with no obligation to install rooftop solar. But the organization asks potential members to be "fairly certain" they want to pursue a solar installation.

Consumers provide their contact information and street address, along with the name of their utility provider, a copy of a recent electric bill, the type of roof they have and its age, if they plan to finance their system and how, whether they are interested in battery storage for their system, and whether they own a plug-in electric vehicle.

Charity Navigator, a watchdog organization that rates nonprofits based on how they use donated funds, assigned S.U.N. a finance and accountability score of 94 out of 100 based on information from its 2019 IRS Form 990 return.

Community "partners" listed on the organization's website include Broward County, the cities of Boca Raton, Delray Beach, Boynton Beach, Sunrise and Pompano Beach, Audubon Everglades, Broward Climate Alliance, Southeast Florida Clean Cities Coalition, Southern Alliance for Clean Energy and Palm Beach County Environmental Coalition.

Jennifer Jurado, Broward County's chief resilience officer, is quoted in S.U.N.'s news release as saying that Broward County is an "enthusiastic supporter" of S.U.N.'s efforts. The program is "truly a valuable service for those eager to engage in solar solutions, but new to the technology and not sure where to start," the statement said.

Jurado did not immediately respond to a request for comment on Wednesday.

The deadline to join the new Broward co-op is Nov. 30. Miami-Dade County residents can join a separate co-op forming in that county by Aug. 31. And a new Palm Beach County co-op will be announced later this year, Tellez said.

For more information about joining a solar co-op in Florida, go to solarunitedneighbors.org/co-ops/florida and select one of the counties from the list of co-op links.

Ron Hurtibise covers business and consumer issues for the South Florida Sun Sentinel. He can be reached by phone at 954-356-4071, on Twitter @ronhurtibise or by email at rhurtibise@sunsentinel.com.