Winneshiek Energy District Energy and Climate Planning Local Investment and Wealth Community Mobilization Enabling Policy

Thank-You! o Break Free Steering Committee o Panelists o Green Iowa Americorps! o Contractors o Luther College Center for Sustainable Communities o Iowa Energy Center o USDA NRCS Conservation Innovation Grant o Northeast Iowa Funders Network supporting energy district replication, local wealth creation/retention

Outline o Energy Districts as “universal local” in energy and climate opportunity o Efficiency First! o Technical aspects of solar PV o Financial aspects of solar for farm/business o PANEL DISCUSSION

Energy Districts: Universal Local o Boots on the ground technical help, efficiency and renewable energy o Local investment, economic development, wealth creation – huge opportunity o Community mobilization and identity: Iowans do local well o Network is growing, best of locally-led plus state and federal partnership

Efficiency First! o Winneshiek Energy District Farm Energy Planning: talk to us here, sign up o Comprehensive analysis and report o Facilities and field operations depending on objectives o Qualifies you for NRCS-EQIP cost-share, REAP application o Supported by USDA NRCS CIG program o Homes and Businesses o Green Iowa Americorps for homes (at table), utility analyses for both o Building envelope, mechanicals, hot water, lighting, appliances, plug load o Financial incentives available

Solar PV Technical o Efficiency First – don’t oversize o Grid Connected, storage coming o Mounting location, inverter options o Start with contractor site assessment, quotes

Solar PV Technical (cont) o Sized in KW capacity, ~1,300kWh/KW/year ( o Interconnection process, costs, timeline: your contractor will work with your utility o Equipment, warranties (solar vs. wind?) o IOUs, COUs, and … GOT NET METERING?

Solar PV Financial o Installed costs: from $9 to $2.50/watt, o Net Energy Metering: most important option o Tax Incentives o Federal business ITC 30%, no cap, good through 2019 o Iowa ITC 50% of federal, $5/20K cap home/biz, future uncertain, **need to apply for certificate o MACRS Depreciation, basis reduced by half fed ITC

Solar PV Financial (cont) o REAP: USDA RD, 25%, farm/biz, competitive o AERLP: IA Energy Center, 0% interest o 40KW $2.50/watt installed: $100K o Production 40KW*1,350kWh*$0.12/kwh=$6,480/yr o 45% ITC + depreciation: $100K-$45K-$21K = $34K o Simple payback $34K/6,480 = 5.25 years o Interest, insurance, property tax (after 5 years), O&M … also hedge on power costs, stewardship, 25-year IRR

Solar PPA, NTE, others o No tax appetite? Try “Third Party” ownership o Power Purchase Agreement o No up-front from customer: taxable or non-taxable o Developer tax appetite o Benefits partially passed along o System transfer years o LOCAL developers = LOCAL SOLAR ECONOMIC DEVELOPMENT

Local Solar = Local $$$$$$ o Renewables are now, economics + environment o Questions are “how fast” and “who will own” o Local economic impacts potentially huge: first time in a century we have this opportunity o Decorah and Winneshiek leading Iowa (264 watts/cap) o Energy District movement is growing, “Keep Your Energy Local”

Panel Discussion o For more information: o Winneshiek Energy District o