Last January, a survey of 10,237 U.S. adults, conducted by Pew Research Center, found that 8% had installed solar panels on their homes, and another 39% had given serious thought to installing solar panels within the previous 12 months.
However, the growth in solar energy alternatives has been mostly confined to commercial buildings and to single-family detached households. Lower-income households, which represent 43% of the U.S. population, are more likely to reside in multifamily buildings that don’t have the mechanical/electrical infrastructure to distribute rooftop-captured solar energy to individual apartments.
Allume Energy is looking to change that. The Australia-based company, with offices in Los Angeles, recently completed its first successful U.S. deployment of SolShare, the company’s shared solar energy technology. Its pilot in the U.S. is a complex in Orlando, Fla., where Allume has connected 65 apartments. Another smaller project in Jackson, Miss., has nine apartment connections. In Jackson, the local utility lowered the application cost because the building caters to lower-income tenants.
Controlling the energy flow
Here’s how SolShare works: Energy from a rooftop solar array flows into the building’s inverter that changes the energy to AC electricity. The inverter sends the electrical current through the SolShare unit to grid meters that are hooked up to apartments. (One SolShare unit can feed up to 10 grid meters.) The electrical distribution moves among the grid boxes several times per second, so when one meter is configured with limits for a particular tenant, the incoming energy gets allocated to the other meters. Any overflow can be sold back to the local energy grid.
Melissa Bergsneider, an executive account manager for Allume Energy, explains that prior to the introduction of the SolShare solution, most landlords were distributing solar energy only to their buildings’ common areas, like a lobby or gym. Those that have been delivering solar energy to apartments were faced with the challenge of how to divide the energy if, for example, a tenant goes on vacation, or an apartment unit is vacant.
SolShare, on the other hand, is “behind the meter,” and its software lets tenants monitor the energy usage. Landlords can still set the rules for how solar energy is allocated throughout the building. One of the advantages of this system, she says, is that it can connect as many apartments as needed. And unlike other so-called “social” solar systems, SolShare provides solar energy at the point of generation rather than exporting it back to the grid.
Allume Energy, which has been in business since 2015, has found that SolShare is reducing tenants’ energy bill, on average, by 30-35%. Bergsneider says that some landlords have been offering Solar as a Service, and are charging tenants a monthly fee for access.
Tax credit boosts demand
Bergsneider declined to disclose SolShare’s cost. She does note, though, that on past projects, SolShare accounted for between 6% and 8% of the total system installation.
Allume Energy’s primary target is low-rise attached rental houses, although it has installed SolShare in mixed-use buildings with commercial tenants. Most of SolShare’s demand is for retrofitting existing buildings, and Allume has been working with solar installation partners; the company has a training program, and a team member is on site for each installation.
Bergsneider attributes demand to the Solar Investment Tax Credit, which offers a 30% credit for individuals installing solar systems on residential properties. This tax credit was extended as part of the August 2022 passage of the Inflation Reduction Act. Bergsneider says there’s a 20% “adder” credit for properties with lower-income residents.
SolShare also helps developers and landlords decarbonize their buildings as part of their Environmental, Social, and Governance goals.
Currently, Allume Energy is focusing its expansion on the Southeast in the U.S. It has also been getting interest for SolShare from building owners in the Northeast and West Coast. Internationally, Allume Energy is targeting Australia, New Zealand, and the United Kingdom.
Related Stories
Urban Planning | Jun 15, 2023
Arizona limits housing projects in Phoenix area over groundwater supply concerns
Arizona will no longer grant certifications for new residential developments in Phoenix, it’s largest city, due to concerns over groundwater supply. The announcement indicates that the Phoenix area, currently the nation’s fastest-growing region in terms of population growth, will not be able to sustain its rapid growth because of limited freshwater resources.
Multifamily Housing | Jun 15, 2023
Alliance of Pittsburgh building owners slashes carbon emissions by 45%
The Pittsburgh 2030 District, an alliance of property owners in the Pittsburgh area, says that it has reduced carbon emissions by 44.8% below baseline. Begun in 2012 under the guidance of the Green Building Alliance (GBA), the Pittsburgh 2030 District encompasses more than 86 million sf of space within 556 buildings.
Industry Research | Jun 15, 2023
Exurbs and emerging suburbs having fastest population growth, says Cushman & Wakefield
Recently released county and metro-level population growth data by the U.S. Census Bureau shows that the fastest growing areas are found in exurbs and emerging suburbs.
Engineers | Jun 14, 2023
The high cost of low maintenance
Walter P Moore’s Javier Balma, PhD, PE, SE, and Webb Wright, PE, identify the primary causes of engineering failures, define proactive versus reactive maintenance, recognize the reasons for deferred maintenance, and identify the financial and safety risks related to deferred maintenance.
Mixed-Use | Jun 12, 2023
Goettsch Partners completes its largest China project to date: a mixed-used, five-tower complex
Chicago-based global architecture firm Goettsch Partners (GP) recently announced the completion of its largest project in China to date: the China Resources Qianhai Center, a mixed-use complex in the Qianhai district of Shenzhen. Developed by CR Land, the project includes five towers totaling almost 472,000 square meters (4.6 million sf).
Mixed-Use | Jun 6, 2023
Public-private partnerships crucial to central business district revitalization
Central Business Districts are under pressure to keep themselves relevant as they face competition from new, vibrant mixed-use neighborhoods emerging across the world’s largest cities.
Multifamily Housing | Jun 6, 2023
Minnesota expected to adopt building code that would cut energy use by 80%
Minnesota Gov. Tim Walz is expected to soon sign a bill that would change the state’s commercial building code so that new structures would use 80% less energy when compared to a 2004 baseline standard. The legislation aims for full implementation of the new code by 2036.
Student Housing | Jun 5, 2023
The power of student engagement: How on-campus student housing can increase enrollment
Studies have confirmed that students are more likely to graduate when they live on campus, particularly when the on-campus experience encourages student learning and engagement, writes Design Collaborative's Nathan Woods, AIA.
Multifamily Housing | Jun 1, 2023
Income-based electric bills spark debate on whether they would harm or hurt EV and heat pump adoption
Starting in 2024, the electric bills of most Californians could be based not only on how much power they use, but also on how much money they make. Those who have higher incomes would pay more; those with lower incomes would see their electric bills decline - a concept known as income-based electric bills.
Multifamily Housing | May 30, 2023
Boston’s new stretch code requires new multifamily structures to meet Passive House building requirements
Phius certifications are expected to become more common as states and cities boost green building standards. The City of Boston recently adopted Massachusetts’s so-called opt-in building code, a set of sustainability standards that goes beyond the standard state code.
