Solar for All awards are out. Now what?

The Inflation Reduction Act (IRA) of August 2022 created a variety of clean energy incentives and programs, including the $27 billion Greenhouse Gas Reduction Fund (GGRF). Solar for All is one of three programs under GGRF, which allocates $7 billion of Environmental Protection Agency (EPA) grants for solar projects designed to provide low-income and disadvantaged communities with energy cost savings and other related benefits.

Now that the EPA has announced all Solar for All awards, recipients and potential beneficiaries are asking – what’s next? An initial step for many recipients, such as Community Development Financing Institutions (CDFIs) and states, is standing up their program and issuing subawards to organizations who can help get funds to beneficiaries efficiently. There are many questions Solar for All recipients (awardees) should be asking potential subawardees to collect the qualifying information to ensure dollars are effectively deployed.

Key questions Solar for All recipients should ask potential subawardees

1. What are your organizational strengths and weaknesses? Does the subawardee have internal energy expertise to help evaluate potential solar and storage projects? Does their staff have sufficient time to devote to developing and executing this program? Do they have strong record keeping and other processes to ensure compliance with the daunting (and evolving) list of EPA rules, compliance and reporting requirements? Are they located in a part of the U.S. where solar will be harder or easier from a technical, economic and policy perspective?
2. Does your organization have a critical mass of eligible beneficiaries with a clear need? Subawardees must identify residents who would clearly benefit from solar or solar plus storage and provide proof of their program eligibility, such as residing in a low-income and disadvantaged community. Subawardees can also qualify by living on a tribal reservation or through participation in federal assistance programs, such as SNAP.
3. Does your organization feel confident identifying mature projects? For example, if the project is a residential solar portfolio, the subawardee must thoroughly survey the targeted homes to ensure roofs and electrical panels are solar-ready. If it is a community solar project, the subawardee must identify a feasible site near viable interconnection. Other important questions are: Is the project located within a state and utility service area with favorable or unfavorable community solar and net metering rules? Will the project meet all EPA requirements such as delivering at least 20% energy cost savings to the beneficiaries? Is the project compliant with federal procurement requirements such as Davis Bacon?