CEPM Report Outlines Benefits of Distributed Energy

The Center for Energy Policy and Management (CEPM) at Washington & Jefferson College has released a new report, Distributed Energy in Pennsylvania: A Distributed-Generation Solution for Pennsylvania’s Energy Future, offering a comprehensive analysis of how locally produced energy, especially community solar, can help modernize the state’s energy system, lower costs, and strengthen grid reliability.

The report details how rising capacity market prices in the PJM region, aging transmission infrastructure, and growing electricity demand are placing increasing pressure on Pennsylvania ratepayers. It argues that distributed generation—energy produced close to where it is used—can provide a cost-effective, reliable energy solution that empowers consumers and communities alike. Community solar, which allows ratepayers to subscribe to a shared local solar project and receive credit on their utility bill for the energy produced, is highlighted as one of the most promising models within distributed generation.

Among the key findings:

• Community solar could generate $1.8 billion in economic output for Pennsylvania and create over 11,000 jobs, according to a Penn State study cited in the report.

• Distributed generation can reduce exposure to PJM volatility, helping stabilize electricity costs for households and small businesses.

• Expanded access to community energy would open participation to renters and low-income residents, not just homeowners.

“Distributed generation gives Pennsylvanians the opportunity to lower their bills and take control of their energy future,” said Corey Young, Director of the Center for Energy Policy and Management. “We need thoughtful legislation and regulatory clarity so that the Commonwealth can support our residents, protect the grid, and strengthen Pennsylvania’s economy without sacrificing competition or choice.”

“Small-scale solar is one of the cheapest, fastest, and cleanest ways we can help meet soaring energy demand, reduce strain on the grid, and lower energy costs for Pennsylvanians,” said Representative Mandy Steele, PA-33. “Pennsylvania should do everything possible to enable more local solar projects across the state.”

The report is designed to help lawmakers and the public understand the benefits of community solar and what it would take to unlock them. It calls for legislative action to preserve net energy metering, authorize community solar programs, and integrate distributed generation into the state’s broader clean energy strategy. It also underscores the importance of local leadership and streamlined permitting to accelerate deployment.

The full report, Distributed Energy in Pennsylvania: A Distributed-Generation Solution for Pennsylvania’s Energy Future, is available at www.wjenergy.org.