Solar Energy Glossary
Learn all of the most important solar energy terms and jargon here.
A
Link to: Avoided Cost
Avoided Cost
Avoided Cost is the marginal cost for a utility to produce one more unit of power. Because qualifying facilities (QFs) reduce the utility’s need to produce this additional power themselves, the price utilities pay for QF power has been set to the avoided, or marginal, cost.
B
Link to: Behind-the-Meter
Behind-the-meter
This term refers to the interconnection of a distributed generation (DG) system directly into a customer’s building (either home or business) and denotes that the generation will be consumed in that building first before any excess is exported to the grid.
Link to: BES
BES
Battery Energy Storage refers to the storage of distributed or conventional generation through the use of batteries for use by the customer or deployment to the grid at a desired time.
Link to: Buy All / Sell All
Buy All / Sell All
This term refers to an arrangement with a utility in which 100% of distributed generation (DG) is purchased by the utility for a fixed or variable price.
D
Link to: DG
DG
Distributed Generation – this term is used to refer to electricity generation less than 3MW in Georgia Power Service Territory and typically consumed close to the point of generation.
This can refer to multiple types of energy generation from fossil fuels to wind, solar and biomass.
I
Link to: In Front of the Meter
In Front of the Meter
This term refers to interconnection of a distributed generation (DG) system directly on the utility’s distribution network and denotes that generation will flow to the grid first and then to utility customers connected to that distribution system.
Link to: Interconnection
Interconnection
This is a utility term used to describe the point at which a distributed generation (DG) asset connects to either a utility customer’s premise or directly to the grid.
Link to: IPP
IPP
Independent Power Producer refers to a company that is selling distributed generation (DG) to a utility under a long-term contract.
K
Link to: kW
kW
kilowatt refers to measurement of energy, typically electricity of 1,000 watts.
A traditional, incandescent light bulb uses 100 watts of electricity.
Link to: kWh
kWh
A kilowatt hour refers to the consumption of electricity of 1,000 watts over 1 hour.
M
Link to: MW
MW
megawatt refers to the measurement of energy, typically electricity of 1,000,000 watts.
One megawatt is approximately enough energy to supply 100-125 homes for one year.
N
Link to: Net Metering
Net Metering
Refers to the credit given to a customer on their bill for behind-the-meter distributed generation (DG), like solar or wind.
This credit is equal to the retail rate the customer pays the utility for electricity provided through the grid.
P
Link to: PPA
PPA
Power Purchase Agreement is a contract for a fixed term, usually 10, 15, 20+ years between a distributed generation (DG) owner and a utility, or a utility customer for the provision of DG generation like solar, wind or biomass.
Link to: PSC
PSC
Public Service Commission – the Commission is made up of five elected commissioners representing citizens of GA across five geographic districts.
The PSC.
Link to: PURPA
PURPA
Refers to the Public Utility Regulatory Policies Act of 1978 (PURPA), which was implemented to encourage, the conservation of energy after the oil crisis, improve energy efficiency of electric utilities, establish equitable retail rates for electric consumers and encourage Independent Power Producers (IPPs) to develop distributed generation (DG) assets, or qualifying facilities (QFs).
Q
Link to: QF
QF
Qualified Facility is a distributed generation (DG) facility that falls into two categories:
- qualifying small power production facilities (less than 80MW);
- qualifying cogeneration facilities (electricity and some other energy form (i.e. steam).
R
Link to: Rate Tariff
Rate Tariff
Refers to the formula used by the utility to calculate a customer’s monthly bill and includes electricity consumption, energy demand, taxes and various fees.
Many utilities have different tariffs for different classes of customers: residential, commercial, industrial, etc.
Link to: RCB
RCB
Renewable Cost Benefit refers to the formula that GA Power uses to determine the value of solar and other distributed generation (DG) sold back to the company.
This formula is based on GA Power’s published avoided cost.
Link to: RNR
RNR
Renewable and Non-renewable Resource Schedule is a specific GA Power rate tariff for the customers wishing to sell distributed generation (DG) to the Company based on generation type: solar, wind, fuel cell, etc.
Link to: Rooftop Solar
Rooftop Solar
This term is used to describe a specific type of distributed generation (DG) when solar is placed on a building’s roof, either residential or commercial and to distinguish it from a solar garden or solar farm which is built on the ground.
S
Link to: SEPA
SEPA
Solar Energy Procurement Agreement is a special type of PPA created by GA HB57 to allow government, non-profit and other utility customers in Georgia to enter into a multi-year contract with a third party DG provider.
T
Link to: The Grid
The Grid
The grid is a term used to describe the entire network of transmission (power lines from a power plant to a utility substation) and distribution (power lines for a utility substation to your home or business) that moves electricity around a geographic area.
U
Link to: US
US
Utility Scale, this term refers to distributed generation (DG) projects that are typically larger than 50MW and are connected to the utility’s transmission network.
