Nearly a half year after a bungled ComEd computer billing system upgrade all but shut down the Illinois community solar program, thousands of impacted customers began receiving long-delayed renewable energy credits on their July bills.
In some cases, the credits totaled $600 or more worth of solar energy generated since February.
But another bill may not be so welcome, after solar energy providers begin seeking payment from subscribers for up to six months of solar power generated on their behalf. Even at a discounted rate, a lump sum $500 due may cause sticker shock for some participants in the community solar program.
“I can write the check … but if somebody of limited means gets a surprise $500 bill that’s due in 30 days, that could be an issue for some people,” said John, 66, a retired Chicago financial executive and community solar subscriber who received a $650 ComEd credit this week.
The customer, who lives in the East Lakeview neighborhood, declined to use his last name for fear that ComEd or his solar provider might pull the plug in response.
Created nearly a decade ago and boosted by the state’s 2021 Climate and Equitable Jobs Act, the Illinois community solar program allows customers who might not be able to install their own rooftop panels to subscribe to a shared installation connected to the electric grid. The customer pays the solar provider, and receives credits for their share of the power generated on their monthly bills.
The solar company bills the subscriber at a discount to standard electric delivery rates to provide an incentive for clean energy generation in the state.
When ComEd implemented a new computer billing system in February, it left its 4 million customers unable to see their balances or pay online for more than a week before it was ostensibly resolved. But for a third of ComEd’s 25,000 community solar subscribers at 96 installations across northern Illinois, the billing issues lasted for months.
“Appropriate solar credits are appearing on the July bills of our subscribed customers,” the utility said in an email.
While ComEd customers are getting large credits to offset future utility bills, the nearly as large community solar bills will soon be due upon arrival, creating potential cash flow problems for some subscribers.
ComEd customers can convert the credit into a refund check, if they successfully navigate the utility’s billing system to request it. Likewise, solar subscribers can request a payment plan equal to the number of months accumulated in the deferred renewable energy credits.
Like any customer service quest, getting that done may be challenging.
Nexamp, which has about 3,300 current subscribers in ComEd territory, has generated about $1.5 million in energy for them at its Illinois community solar farms since February, without receiving any payment.
“Customers are starting to see all those multi-cycle credits showing up at once,” said Nick Bihun, director of utility relationships at Nexamp. “And we are going to start sending bills to customers this week that correspond to those credits.”
To prepare subscribers for their forthcoming “big lump sum bills,” Nexamp is also doing a “communications blitz” this week, explaining the process, Bihun said.
By law, Nexamp is required to provide payment plans stretching out the amount due over the same number of months as the accumulated debt. Subscribers need to reach out to Nexamp to extend the payments, Bihum said.
Of greater concern to Nexamp is that some customers will simply take the ComEd credits and run, canceling the solar agreement and refusing to pay the bills.
“We’re in a very precarious position,” Bihum said. “We’re expecting a big spike in cancellations.”
Bihun said the ideal solution would be for ComEd to issue full refund checks for the energy credits, which customers could then turn around and use to pay the solar provider.
John, the retired Chicago finance executive, signed up two years ago with Solar Provider Group, which owns the Brush Creek solar farm in Freeport. After receiving the $650 credit on his July ComEd bill this week, he spent more than an hour navigating customer service at the utility before wrangling a commitment to issue a refund check within 30 business days.
“I was just dogged,” he said. “A lot of people won’t take the time.”
ComEd said solar customers will be given more information on how to request a refund.
“Customer service representatives are able to process the refund request, and we are issuing another communication to customers to further help them determine if they are eligible for a refund and the process to make that request,” the utility said Wednesday.
While the billing snafu was a blow, the state’s ambitious community solar program is still at the center of expansion plans for Nexamp.
Founded in 2007, Nexamp develops and operates community solar projects in 10 states, including about two dozen in Illinois. In January, Gov. J.B. Pritzker and Nexamp announced the company’s Loop office on North Wacker Drive would serve as a second national headquarters, bringing 50 new jobs as it pursues more than $2 billion in planned investments in Illinois.
The company got a boost Wednesday when Starbucks announced it was partnering with Nexamp on developing six new community solar projects in Illinois. The new solar farms, which are expected to come online next year, will provide savings to over 1,100 subscribers and electricity for 170 Illinois stores, a Starbucks spokesperson said.
rchannick@chicagotribune.com