They seem an unlikely pair: Portland, Oregon, where it’s cloudy almost two-thirds of the year, and solar energy, which needs the sun to work. Yet, according to the Shining Cities 2019 report, Portland ranks 20th among major U.S. cities in total installed solar PV capacity. What gives?
Maybe the citizens of Portland know a few things about solar power that the rest of us don’t, at least the ones using solar for their homes and businesses. This guide is here to offer helpful information on why Portland and solar may make an excellent pair for you.
3 Facts to Know About Solar in Portland
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In 2016, Oregon passed a renewable energy bill requiring Portland General Electric and Pacific Power to stop using coal-fired plants by 2035. In 2017, the City along with Multnomah County set a goal to meet 100 percent of community-wide energy needs with renewable energy by 2050.
more With the passing of this law, Oregon is the first state in the United States to ban coal from its electric supply.
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Even though Portland has many cloudy days in winter and spring, it also gets lots of sunshine in the summer and fall. In fact, Portland is at lower latitude than Berlin, and Germany leads the world in solar installs per capita.
more In fact, clouds have the ability to boost solar production thanks to the “edge of cloud effect.” As the cloud starts to pass in front of the sun or when the sun emerges from behind the cloud, light refraction concentrates the sunlight. That results in a temporary surge in solar panel output.
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Just south of Portland, the Oregon Solar Highway Program was launched in 2008. With 594 solar panels in the DOT right-of-way, the array offsets one-third of the energy needs for highway lighting in the area.
more While that array produces 120,000 kWh annually, a second project seven miles south hosts 6,994 solar panels and produces nearly 2 million kWh each year. Power from both arrays goes onto the Portland General Electric grid for PGE customers and the Oregon Department of Transportation.
IN-DEPTH: Portland Solar
When it comes to solar energy in Portland, it’s all about the incentives. Why? Because utility rates in the city and surrounding areas are cheap, by national standards at least. Combine that with the sometimes “inconvenient” weather and you have a recipe that’s not always the best when it comes to solar power. Fortunately, low energy rates and uncooperative weather haven’t stopped the environmentally conscious citizens of Northwest Oregon from taking advantage of an excellent green energy resource. Below is a discussion of the elements that determine whether or not solar makes for a good return on investment for consumers in Portland, and why incentives play such a crucial role in that equation.
Does solar even work in Oregon? The answer is yes. And that’s due to the strong incentives provided by the state and utilities, and by the federal tax credit.
Electricity Prices in Portland
The two major utilities providing electricity to Portland and its surrounding area are Portland General Electric (PGE) and Pacific Power. Average electricity rates in Portland are: $0.11 per kWh residential; $0.08 commercial; and $0.05 industrial. These figures are lower than the national averages of $0.13 residential; $0.10 commercial; and $0.06 industrial.
Without the need for a lot of air conditioning, Oregon residents are a conservative lot when it comes to energy consumption. The U.S. Energy Information Administration ranks Oregon 36th in the U.S. in per-capita energy consumption.
While low rates and low consumption suggest solar isn’t important in Portland, the fact is that the national long-term trend of residential electricity prices increasing about 3.5 percent a year keep solar a financially smart idea over the 25-30 year lifespan of a solar array
Portland’s Photovoltaic Potential
The term “photovoltaic potential” refers to an estimate of the amount of solar photovoltaic (PV) power that might be obtained from a given area (city, neighborhood, rooftop, etc.). Differences in PV potential depend on any number of factors including geographic location, facing direction and slope of roof, surrounding trees and shade, and more. For example, the mature tree growth in many of Portland’s older residential neighborhoods often plays an important factor in PV potential for a given home.
Portland Policies & Incentives
Federal, state and local renewable energy policies and incentive programs play an instrumental
role in the economic feasibility of solar power, particularly for residential consumers. As mentioned,
utility incentives and government tax credit programs for solar are of particular importance to
residential solar customers in the Portland area. Here is a closer look at those programs:
For PGE customers who purchase a residential solar system. The Energy Trust will pay the system’s purchaser/homeowner $.55/watt, up to a maximum payment of $5,500. Payment is normally made directly to the system’s installer.
For Pacific Power customers who purchase a residential solar system, the Energy Trust will pay the system’s purchaser/homeowner $.70/watt, up to a maximum payment of $7,000.
Generally, the easiest thing to do is to call a local solar installation company and have them come out and do a solar assessment on your home. Everybody offers that as a free service.
Permitting & Interconnection Ease in Portland
Two issues that every residential solar system installation will encounter are permitting and interconnection. A building permit and payment of applicable fees are required for all solar energy system installations. Other permits (such as electrical) may also be required. The project will be reviewed under provisions of the Oregon Solar Installation Specialty Code (OSISC) and installation must meet or exceed the minimum code standards as outlined in the National Electrical Code (NEC).
PGE and Pacific Power each require specific electrical information before application for interconnection or net metering. PGE requires an inverter specification sheet. Pacific Power requires both an inverter specification sheet and a simple one-line diagram showing the locations of Pacific Power’s meter and disconnection switch.
The payback period for solar if you have those incentives and tax credits – a homeowner is normally looking at somewhere between five and seven years, on average, to break even, if they purchase the system. Without those programs, your payback period goes up to 15 to 20 years. If that’s the case, in probably 99 percent of the cases, [homeowners] are out.
Solar Companies in Portland
- Est. 2014
- 111 SW 5th Ave, Ste. 3150
Portland, OR 97204 - 503-444-3438
503 Solar provides solar residential, commercial and maintenance services to the Portland area. It offers residential customers a complimentary site assessment and handles all interfacing with the city and electrical company to complete the application process.
- Est. 2007
- 1887 SE Milport Road
Milwaukie, OR 97222 - 503-420-8680
Specializes in residential and commercial PV systems using 100 percent in-house labor. Most residential projects include 10-year workmanship warranty, 10-year production guarantee, and 10-year free equipment replacement program.
- Est. 2009
- 3720 SW 141st, St. 203
Beaverton, OR 97005 - 503-430-0640
Abacus designs and installs solar PV systems for roofs, carports, and yards. Abacus is a trade ally of the Energy Trust of Oregon and founding contractor of Weatherize for Good.
- Est. 2008
- 9150 SW Pioneer Court, Ste. D
Wilsonville, OR 97070 - 503-635-0117
Thirty-eight years experience in conservation contracting, first in California and then moving to the Portland area in 2007. Serves the Portland, Clackamas, Gresham, and Beaverton areas.
- Est. 1999
- 990 Spruce St NE
Salem, OR 97301 - 503-365-8191
Fully manufacturer-certified roofing contractor providing services throughout Salem, Albany, Corvallis, Portland and western Oregon. Provides assistance with solar financing.
- Est. 1971
- 550 SW Maple St.
Hillsboro, OR 97123 - 503-846-1575
Locally owned and operated business based in Hillsboro, Oregon. Has provided commercial and residential roofing services in Oregon and Washington since 1971.
- Est. 2004
- 22267 S Kamrath Road
Oregon City, OR 97045 - 503-632-2420
Locally owned and operated. Offers full-service electrical contractor services including panel upgrades and changes, electrical system inspections and more, in addition to solar installations.
- Est. 1945
- 17201 NE Sacramento St.
Portland, OR 97230 - 503-419-3300
Headquartered in Portland, Christenson Electric is a full-service contractor whose services include solar, wind and biomass renewable energy sources. Has installed 50 commercial and utility-scale projects to date.
- Est. 2009
- 236 SE Baker St
McMinnville, OR 97128 - 503-857-0099
Installs both residential and commercial solar systems. Serves the Portland area from its offices in McMinnville.
- Est. 1946
- 2121 NW Thurman St.
Portland, OR 97210 - 503-593-2828
EC Company offers a wide variety of electrical services, including solar installation. The company places a great deal of importance on giving back to the community by sponsoring and volunteering with a number of local charitable organizations.
- Est. 2010
- 3123 SE Belmont St.
Portland, OR 97214 - 503-967-5786
Designer and installer of solar PV systems in the Pacific Northwest. Additionally, provides mechanical and electrical engineering services, as well as construction build-outs and remodels.
- Est. 2013
- PO Box 51
Beavercreek, OR 97004 - 503-680-3718
Has installed and managed more than 250 solar projects ranging from a few kilowatts (kW) to more than 100kW. Works closely with local manufacturers and distributors to offer the best prices available.
- Est. 2009
- 14605 SW Bonanza Court
Beaverton, OR 97007 - 503-735-5650
A family-owned and operated business handling jobs from single-family homes to apartments. Evergreen is a trade ally of the Energy Trust of Oregon.
- Est. 2015
- 601 Main St., Ste. M2
Vancouver, WA 98660 - 360-977-8753
Serving both SW Washington State and the Portland, Oregon areas. GreenLight Solar offers $0 down and $0 out-of-pocket options with free installation on all solar projects.
- Est. 1974
- 2700 W. Second St.
The Dalles, OR 97058 - 541-296-5574
Electrical contracting firm serving the Columbia River Watershed in both Oregon and Washington State. Approximately 15 percent of work is residential, with the rest commercial and industrial.
- Est. 2003
- 2406 N. Kerby Ave.
Portland, OR 97227 - 503-477-9585
Solar installation and design. Helped pioneer S-5! permitting in Portland in 2007 and wrote the fire-safety provisions in the 2008 Oregon Specialty Solar Code.
- Est. 1999
- 360 SE Baseline
Hillsboro, OR 97123 - 503-681-4738
Provides solar residential installation services to the North Coast, Portland Metro, and Mid-Willamette areas. Maintains offices in Portland and Seaside.
- Est. 2015
- 6926 SE Morrison St.
Portland, OR 97215 - 971-203-4414
LightSource Energy is a full-service solar design and installation company for your residential, business, and non-profit customers. The company is a trade ally with the Energy Trust of Oregon.
- Est. 2009
- N/A
- 800-808-1955
Woman-owned solar installation business providing residential and commercial service across the state. Committed to using locally made panels and 100 percent in-house labor paid living wages.
- Est. 1947
- 804 N Alberta
Portland, OR 97217 - 503-288-7461
Specializes in the sale, design, and installation of photovoltaic systems. Neil Kelly Company is a certified benefit company (B Corporation).
- Est. 1947
- 1709 SE 3rd Ave.
Portland, OR 97214 - 503-234-9900
Oregon Electric Group (OEG) is one of the largest electrical contracting companies in Northwest U.S. Primarily deals with commercial projects but also handles solar residential.
- Est. 1976
- 30532 SE Bluff Rd
Gresham, OR 97080 - 503-663-5881
Serving the Portland Metro area from offices in Gresham. Family owned and operated.
- Est. 2011
- 556 Sommerset Road
Woodland, WA 98674 - 503-828-9500
Does business as Solar Universe in the Portland Area. Serves both Oregon and Washington State. Has completed more than 300 solar installations.
- Est. N/A
- 13479 SE Rolling Meadows Drive
Happy Valley, OR 97086 - 503-498-1843
Family-owned business located in Happy Valley providing PV installations and electrical contracting services. Services areas include Portland, Happy Valley, Hillsboro, Beaverton and others.
- Est. 2009
- 20915 SW 105th Ave.
Tualatin, OR 97062 - 866-874-2042
RS Energy offers 25-year warranties on all solar modules and a 10-year installation warranty on all systems. Assigns a dedicated project manager to each client to act as his or her point of contact through each stage of the installation process.
- Est. 1992
- 3730 SE Lafayette Court
Portland, OR 97202 - 503-238-4502
First company in the State of Oregon to become a licensed “Solar Heating and Cooling Installer.” Has installed thousands of thermal solar, photovoltaic and other renewable energy systems.
- Est. 2008
- 79 South East Taylor St., Ste. 401
Portland, OR 97214 - 503-360-1109
Solterra is one of the largest installers of residential solar in the Pacific Northwest. It also designs, builds and leases LEED Platinum apartments in Seattle and Portland.
- Est. 1960
- 1904 SE Ochoco St.
Milwaukie, OR 97222 - 503-462-6500
Stoner Electric Group is a full-service electrical contractor whose expertise includes alternative energy sources including solar PV, wind and electric vehicle charging. Maintains offices in Milwaukie and Vancouver.
- Est. 2010
- 1631 NE Broadway, #320
Portland, OR 97232 - 503-407-6820
Emphasis on designing and installing superior quality solar arrays for both residential and agricultural settings in the Pacific Northwest. Services include both roof-mounted and ground-mounted installation.
- Est. 1988
- 7935 E Burnside St.
Portland, OR 97215 - 503-705-9550
Designs and installs residential solar systems using such manufacturers as SunPower, SolarWorld, Suniva, Conergy and Phono. Maintains Oregon operations in Portland and Bend.
- Est. 2010
- 1535 NW 136th Ave.
Portland, OR 97229 - 503-828-4839
Full-service PV specialty company based in Portland and serving the North Willamette Valley and surrounding counties. Products come with a full warranty including labor, parts, and periodic maintenance and cleaning.
- Est. 2009
- 1339 SE 8th, Suite B
Portland, OR 97214 - 503-208-4786
Locally owned, full-service solar energy contractor serving Oregon and Southwest Washington. Specializes in design and installation of custom solar electric and solar hot water systems.
The Oregon market has grown slower than others because we have lower power rates than most areas of the country and a little less sun than you might have in California or Arizona, obviously. But we’ve had nice, steady growth and that growth is continuing. We have good incentive programs here in Oregon, so everybody’s busy and life is good.
LIBRARY OF SOLAR RESOURCES: Portland
- City of Portland: Planning and Sustainability – Official city government website offering information on policies, incentive and tax credit programs, and more regarding residential solar energy in the City of Portland.
- Energy Trust of Oregon – The Energy Trust of Oregon is an independent nonprofit organization focused on providing utility customers with low-cost, clean energy solutions. Its website offers detailed information regarding its on-the-ground outreach programs, technical services, cash-back incentives and connections to local contractors for customers of Portland General Electric and Pacific Power in the Northwest Oregon area.
- Oregon Solar Energy Industries Association (OSEIA) – The OSEIA is a trade organization founded in 1981 dedicated to the promotion of clean, renewable solar technologies. OSEIA works with industry leaders, academic scholars, legislators, government, and non-profit agencies to advocate for solar energy. This website offers access to solar news and information for Portland and around the state as well as a directory of member contractors, installers, manufacturers and others.
- Pacific Power – One of the two major electric energy utilities serving Portland and the surrounding area. This site provides extensive information on rates, regulations, utility policies, solar incentives and more. Pacific Power provides electric service to more than 764,000 customers in Oregon, California and Washington State. Part of PacifiCorp.
- Portland General Electric (PGE) – The other major utility serving the Portland area. PGE began providing electricity to customers in the northern Willamette Valley in 1889. It currently serves more than 840,000 customers within a 4,000-square mile service area that includes 52 Oregon cities. The site provides information regarding its solar incentive plan, as well as other renewable energy sources, such as wind.
- Solar Oregon – Solar Oregon is a 501(c)(3) nonprofit organization founded in 1979 to support its member organizations, individuals, corporations and partners in the promotion of solar energy. Solar Oregon leads tours, delivers workshops and advocates for pro-solar policies to aid Oregon and Southwest Washington State homeowners and communities navigate and accelerate the development of solar energy.