-- California's existing distribution network could accommodate 5.4 gigawatts of community-scale solar and storage, unlocking about $6.5 billion in potential ratepayer savings over two decades, Renewable America strategists said in a white paper on Tuesday.
The report said that so-called "middle-mile" projects, solar and storage assets interconnected at the distribution level, offer a faster and cheaper path to decarbonization than large utility-scale developments, while easing pressure on California's strained grid.
Renewable America estimates that fully utilizing available distribution capacity could also reduce resource adequacy costs by $4.6 billion and avoid about $2 billion in transmission upgrade expenditures.
The analysis shows that, unlike utility-scale projects that often take five to 10 years to reach operation, community-scale systems can typically be deployed in two to three years, a timeline that is key as electricity demand grows and grid constraints tighten.
"California has been focused on the first mile, large utility-scale renewables, and the last mile-rooftop solar, but the middle mile is where the real opportunity lies," said Peter Asmus, principal at Pathfinder Communications and author of the report. "The infrastructure is already there."
Community Choice Aggregators, which now serve more than one-third of California electricity customers, are identified as the key deployment channel.
The report said CCAs are positioned to accelerate distributed energy buildout, though regulatory and structural barriers continue to slow progress.
California has expanded renewable energy deployment in recent years as it works toward its clean electricity targets, but faces continued constraints from transmission bottlenecks, permitting delays and rising demand.