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The Economics of Load Defection: How Grid-Connected Solar-Plus-Battery Systems Will Compete with Traditional Electric Service, Why it Matters, and Possible Paths Forward

AUTHOR: Bronski, Peter; Creyts, Jon; Doig, Stephen; Guccione, Leia; Mandel, Jamie; Rader, Bodhi; Touati, Herve; Seif, Daniel
DOCUMENT ID: 2015-05
YEAR: 2015
DOCUMENT TYPE: Report or White Paper
PUBLISHER: Rocky Mountain Institute

In particular, we sought to answer two core questions:
1. Lowest-Cost Economics: When grid-connected customers have the option to source their entire load either from a) the grid, b) a solar- plus-battery system, or c) some combination of the grid, solar PV, and batteries, how does that configuration change over time based on lowest-cost economics for the customer? And how do the relative contributions of grid- and self-sourced electricity change over time to meet customer load?

2. Implications: What are the potential implications for utilities, third-party solar and battery providers, financiers/investors, customers, and other electricity system stakeholders? And what opportunities might be found in grid-connected solar-plus-battery systems?

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