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Institutional Transition in the Electric Power Grid: Solar PV in California

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https://ir.library.oregonstate.edu/concern/graduate_projects/hh63sx59t

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  • Net energy metering (NEM), the diffusion of residential photovoltaics (PV), and the smart grid transition are three accelerants of change that impact the rate of transitory change in the electric power grid system. Institutional relationships that underpin the old central station model now appear to be fracturing under the weight of that change. Like many states with NEM policy, California experiences heated disputes between investor owned utilities and the PV community over grid service valuation. The challenge for the California Public Utility Commission is to apply present NEM policy while revising it under legislative directive, all in the context of other state and federal policies that exacerbate elements of the conflict. This essay begins by qualitatively examining the present institutional setting in the state by using the Institutional Analysis and Development (IAD) framework. Quantitative exploratory spatial inquiry in the framework features location quotient data methodology of residential installation data, and finds statistically significant clusters of high and low values, as well as local cluster and hot spots of residential PV installations in the California study area.
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