Alaska’s first utility-led community solar farm has just completed one year of operation in South Anchorage, alongside the Chugach Electric Association (CEA) Retherford Substation. Thanks in part to oversubscription for the 500 kWac Chugach Community Solar Project serving 270 residential participants, the utility is now considering a second community solar project, according to CEA CEO Arthur Miller, earlier this year in a company statement. The project is representative of the growing opportunities for solar developers in Alaska, including those across the Canadian border.

“With a total project cost of $2.8 million, the electricity generated from the community solar project is the energy equivalent of about 0.02% of our annual retail energy sales,” says Miller. “And while the community solar program is only a small portion of that energy diversity, it’s an important signal that we are serious about reducing the need for natural gas and will continue to look for projects that work for our members and the cooperative.”

CEA tapped Anchorage-based Alaska Solar as the project developer, following several earlier solar projects between the two. Alaska Solar is the largest solar installer in the state. CEA is Alaska’s largest electric utility, serving more than 90,000 members.

The community solar project has been on the drawing board for a number of years. CEA had to redesign initial subscription terms to finally gain approval from the the Regulatory Commission of Alaska (RCA) in early 2024 to build the project. The program was designed for customers “who are unable or unwilling to install rooftop solar — whether due to renting, shading, structural limitations, or financial constraints,” CEA notes.

Participants subscribe to between one and 20 panels at a monthly cost of $9.21 per panel, each of which are expected to generate approximately 399 kWh per year. Energy credits from the panel generation are applied directly to the member’s bill.

The community solar project was structured to take advantage of the federal Investment Tax Credit (ITC), through which Chugach received over $900,000, lowering the subscription price for participants. No state or local funding was provided, the company indicated.

“Chugach’s Community Solar project has provided valuable experience in developing, operating, and managing a subscription-based solar program in Alaska. The project was fully subscribed at launch with all 1,560 panels and a large waitlist, demonstrating strong member interest in renewable energy options. We have also maintained approximately 90% subscriber retention through the first year, despite the program being positioned as a premium renewable energy offering rather than a guaranteed cost-savings program,” says Julie Hasquet, the senior manager of corporate communications at CEA, in an email response to SB.

“One of the key lessons has been the importance of setting clear expectations around seasonal production and long-term financial benefits. We have also gained valuable insight into subscriber management, production forecasting, and the unique challenges of operating solar in Alaska’s climate. These lessons will help inform how we evaluate and potentially structure future community solar projects,” Hasquet adds.

Broad support for community solar

During the regulatory review for the community solar project, CEA received support from the Alaska Public Interest Research Group (APIRG), in the form of a letter to the RCA in February 2024.

“Most Alaskans support rooftop solar energy, but many cannot receive benefits from this kind of solar because they rent, have a shaded roof, low credit score, or do not have sufficient capital. Community solar is an important opportunity for Alaskans to earn comparable financial benefits as their neighbors with rooftop solar,” APIRG wrote.

“Chugach’s Community Solar allows a larger group of citizens to invest through a monthly subscription in local and renewable power generation and diversify the grid without a prohibitive upfront investment. While there are currently no community solar arrays on Alaska’s Railbelt, Chugach’s project will change that reality,” the letter added.

The Railbelt is a North-South region of Alaska, from the Kenai Peninsula to Fairbanks that includes 75% of the state population. The Alaska Energy Authority (AEA) released its Statewide Railbelt Energy Vision in February of this year as “a long-range strategic framework to coordinate major energy initiatives across Alaska’s primary interconnected power grid,” the AEA reported earlier this year.

10 MW Beluga solar plant

Commercial and industrial scale solar is also warming in Alaska. CEA kicked off the construction of its 10 MW Beluga solar farm west of Anchorage in December 2025 with a planned startup in 2027 to enable the eligibility for the final round of federal tax credits.

The Beluga plant will be the largest in the region, contributing to the total state solar installation of just 36 MW, according to the Solar Industries Energy Association (SEIA).

“Chugach’s 10 MW represents an important investment in expanding and diversifying our generation portfolio while advancing our long-term carbon reduction goals. The project is under construction and is on track to begin commercial operation in 2027,” says Hasquet.

“Chugach sees solar as an important part of Alaska’s energy future and a key component of a diversified generation portfolio. We have been a leader in advancing solar energy in Alaska, with installations at both the Sullivan and Southcentral Power Plants that help offset station service needs, as well as the state’s largest rooftop solar installation at our Operations Building,” she says.

“Our first Community Solar project and 10 MW Beluga Solar project represent significant steps toward expanding solar generation in Alaska. Solar has a promising future in Alaska, and Chugach will continue to lead in its development, pursuing opportunities that make sense for our members while keeping affordability and reliability at the forefront,” Hasquet concludes.

Cross-border Alaska-BC Solar

The insolation conditions in Alaska are virtually matched in British Colombia and the Yukon, just across the 1,500 mile international border. Not surprisingly, some leading solar developers in the common region are pursuing cross-border deals.

Whitehorse, Yukon-based Solvest, for example, recently completed its first project in Alaska, involving the design and construction of a solar microgrid in Ouzinkie, a small community of 165 people located on Spruce Island in Alaska dependent on diesel power. Solvest partnered with Alaska Solar for local construction that was completed in October 2025.

To develop the project, the community partnered with Alaska Native Tribal Health Consortium (ANTHC), which secured funding and provided development support. The 297 kW solar and 1 MWh BESS system was designed to offset over $100,000 per year in diesel expenditures annually, as well as to provide up to 17 hours of backup power for critical infrastructure, Solvest reports.

The Native Village of Ouzinkie owns the system and sells power to the utility, using revenues to upgrade and maintain local water and sewer infrastructure. During construction, 13 residents were trained, including the town mayor who spent a day lifting solar panels with the crew, Solvest reports.

The project was financed in part by a $2.3 million grant from the U.S. Department of Energy’s Office of Clean Energy Demonstrations. Solvest declined to be interviewed for this story.

Charles W. Thurston is a regular contributor to Solar Builder Canada.

— Solar Builder magazine