AG Ellison Announces End to Community Solar Garden Exit Fees

(KNSI) – Minnesota Attorney General Keith Ellison’s office says it has secured nearly $85,000 for community solar garden customers who were hit with excessive early-termination fees.

The fines ranged from $250 to $500 per household. Minnesota law allows for the fees to be charged, but there must be justification for the amount charged. The agreement applies to customers of four different companies: FastSun Solar, Cypress Creek Renewables, Generate Capital, and Global Atlantic Financial Group.

Community solar gardens are large arrays that produce power, which is then put onto the grid to be used across the state. Xcel Energy pays the operators for the electricity they use, and the operators turn around and enter into a secondary contract with homeowners in the area. They sell credits that can be applied to household utility bills, reducing their total owed.

Early-termination fees are also nullified when other options are available, such as entering into an agreement with a separate customer. Under the agreement with the AG’s office, the four operators have agreed not to charge the fees going forward, even if they are written into current contracts.

The St. Cloud Community Solar Garden is located in Foley. It generates enough power for 150 homes.

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