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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

Avista solar energy project will go with lottery system

Avista Utilities will harness the sun for power generation through a community solar project in Spokane Valley.

More than 1,500 solar panels will be installed this summer at the intersection of Barker Road and Trent Avenue, generating about 500,000 kilowatt-hours of electricity annually, or enough to meet the needs of about 50 households.

Beginning Monday, Washington customers of the Spokane-based utility can enter a lottery to purchase a stake in the project. Buying a single panel costs $1,400, and thanks to state tax incentives, customers can expect to get about $1,800 back over five years for each panel purchased. The return on investment will show up as rebates on customer’s utility bills, said Kelly Magalsky, Avista’s solar initiative manager.

Washington has about three dozen community solar projects, including an Inland Power and Light project that was installed last year.

“We’re definitely not Phoenix, Arizona, but we get enough sunshine to make it worthwhile,” Magalsky said.

Many people are interested in solar energy, but some have shaded roofs and others don’t want to spend $15,000 for rooftop solar panels, he said. Community projects give people a taste of solar generation for a smaller investment.

Avista had been mulling a project and decided the time was right, Magalsky said. Prices for solar panels have dropped by about 50 percent in the past five years. Washington’s incentives for community solar projects expire in June 2020, so the project needed to get off the ground to allow customers to earn their return, he said.

The enrollment period for the lottery ends July 17. Residential customers who are chosen can purchase up to four solar panels, depending on their energy use. Commercial and industrial customers can purchase up to eight panels.

Crews are already preparing a 3-acre site at Avista’s Boulder Park property for the solar panels, which will be installed in late July or early August. The panels will be purchased from itek Energy, a Bellingham company.

Magalsky expects the community solar project to have about 600 owners, who will be able to track how much electricity the panels are producing. After the tax incentive expires in June 2020, ownership of the panels will revert to Avista. They should keep producing electricity for about 15 more years, Magalsky said.