SLO County Solar Roofs Group #2 Mark Bilodeau Chris Heisler Adam Hipp Patrick Luther Allen Trac Jesse Kantor

Stepping Stone Approach Our approach is not a plan for county wide sustainability, it is a step towards it. By leveraging existing infrastructure and expanding to future homes, our approach hopes speed the adoption of residential solar power systems.

Where California Gets Its Energy Source:

Energy Byproducts To simplify the analysis we’ll just look at the most famous byproduct, CO 2. Kg of CO 2 per KWh Natural Gas Nuclear0 Large Hydro0 Coal Renewable(Biomass) Source:

Average California Household The average household in California uses about 6,500 kilowatt-hours (kWh) per year. This amounts to about 900 kg of CO 2 put into the atmosphere per house per year! Single-family new house construction building permits (SLO city): 2002: 180 buildings 2003: 154 buildings = 162,000 kg CO 2 = 138,600 kg CO 2 Source:

Available Solar Systems Fits most roof types including metal, concrete, asphalt, and mission style. Trackers Ground Mounted Systems

Roof Systems

Trackers Trackers move with the sun to maximize energy production They increase production by 30 percent.

Ground Mounted Systems Ground mounted systems allow great flexibility of placement.

Sunline-8 Astropower Kit (Small System) Cost- $7,149 before rebates 1,608 kWh on average produced per year. This is 25% of average household energy usage. Requirements- South facing roof with 100 square foot area. 20 year warranty 40+ year life expectancy

Medium Sized System 3kW peak power generating capability. Equivalent to about 4,270 kWh of energy production per year Produces about 66% of average yearly household energy. Cost is about $14,000 after rebates but before tax incentives.

Larger System Forty eight 120 Watt solar modules on a 3,500 square foot house. Produces 8,200 kWh per year which is more than a standard household uses. (6,500 kWh average per household) Cost after rebate and tax incentives $28,354 Used South facing roof as well as North facing roof with reverse pitch.

SLO COUNTY PV Project

Assumptions Average Household uses 500KWHrs/month SLO County has 102,275 housing units There already is a market for solar cells as indicated in Group 1’s presentation. We want to jump start that. Make installments

Considerations Efficiency increases from 100W/Panel by 1W/year Prices decrease by 10% for the first five years and 5% there after

First Installment: 2010 Mainly Government Buildings Aiming for 500 building Cost 52Million Energy Produced= kWH/month Power Savings= $84,480/month Years to pay off= 51 years

Second Installment: 2020 Built in new housing projects Aiming for 20% of the new houses Cost 23.8Million Energy Produced= 844,800kWH/month Power Savings= $92,928/month Years to pay off= 21.3 years

Third Installment: 2040 Built in new housing projects + replacement of pre-existing systems + installation onto 30,000 developed homes without the system Aiming for 20% of the new houses Cost 28.4Million Energy Produced= 16,972,800kWH/month Power Savings= $1,867,008/month Years to pay off= years

SLO COUNTY PV Project Summary After the fourth installment, we reached the average household energy use of 500kWH/month.

Million Solar Roofs “Capturing the sun’s warmth can help us turn down the Earth’s temperature.” – President Bill Clinton, June A venture between government and the private sector to grow the demand for solar energy technologies. Goal of installing one million solar energy systems on America’s roofs by the year Source:

Million Solar Roofs Significant Economic and Environmental Benefits The reduction of emissions of pollutants The creation of high tech jobs Providing a resilient source of electricity Increasing our Nation’s fuel diversity Enhancing the competitiveness of the U.S. solar industry

Million Solar Roofs Programs Net metering laws or rules -- allows the user to be interconnected with local utility in order to monitor a “net” consumption or production of electricity, reflected in one’s billing statement. Renewable portfolio standards – either encourages the use of renewable energy by setting targets for electricity generated from renewable sources; or requires suppliers of electricity to develop portfolios with a certain percentage of renewable content. System benefit charges -- allows utilities to add a charge to a consumer’s bill. The funds collected can be spent on renewable technologies and energy efficiency improvements. Buydown programs -- financial incentives to “buy down” the relatively high up- front costs of an installed solar system. Tax incentives of various types

State and Local Partnerships Access to the Million Solar Roofs Small Grants program for State and Local Partnerships Assistance in obtaining low-cost loans, buy-down grants, and other financial assistance Training, technical assistance, and information from Department of Energy’s Regional Offices Recognition and support on a national, regional, and local basis Linkage with solar energy businesses, associations, and related industries that can provide assistance to local partnerships and others interested in solar energy applications Source:

California Incentives Anaheim Public Utilities - PV Buydown Program $4.00/watt up to $7,000 Burbank Water & Power - Residential & Commercial Solar Support $3.00/watt up to $9,000 California Property Tax Exemption for Solar Systems 100% of projected value; from 1/99 to 1/06; systems not subject to prop taxes City of Palo Alto Utilities- PV Partners $4.00/watt up to $12,000 County of San Diego - Green Building Program waves building permit fees and plan check of PV systems Emerging Renewables (Rebate) Program $3.00/watt up over 6 months up to 75% of system’s installed costs; systems smaller than 30kW Glendale Water & Power - Solar Solutions Program $4.00/watt up to 50% of installed cost of system Source:

California Incentives LADWP - Solar Incentive Program Systems smaller than 30kW, $3.50/watt for systems manufactured outside of LA and $4.50/watt for systems manufactured within LA up to 75% of eligible cost Redding Electric - Vantage Renewable Energy Rebate Program 50% of project cost up to $10,000 Roseville Electric - PV Buy Down Program $4.00/watt up to maximum 5kW system/$20,000 SELFGEN - Self-Generation Program $4.50/watt up to 50% of projected cost; Customers of PG&E, SDG&E, Edison and SoCal Gas SMUD - PV Pioneer II Loan 50% of cost loan available Source:

California Incentives Solar or Wind Energy System Credit - Personal $4.50/watt or 7.5% of net installed system cost, whichever is less; state income tax credit Tax Deduction for Interest on Loans for Energy Efficiency 100% of interest from loan is tax deductible Source:

SLO County PV with Incentives Assumption Using the medium sized solar array  Produces 3kW max peak power  Accounts for 66% of household energy usage.  Cost without rebates assumed to be $26,000 Using the large sized solar array  Produces 5760 kW max peak power  Produces 8200 kWh yearly 126% of the yearly usage  Cost without rebates is 40,000.

Fiscal Impact of Rebates Compare the cost benefits and pay off time of two different rebates for a photovoltaic system to a system that receives no rebate. First rebate $2.33 per watt with a cap at $7000. Second rebate is $4.00 per watt with a cap of $12,000.

PV System With Rebates (Medium Sized Array) Rebate of $2.33 per watt. System cost of $19,000. Years to pay off.  First installment 51 yrs.  Second installment 21 yrs  Third installment 11 yrs Rebate of $4.00 per watt System cost of $14,000. Years to pay off.  First installment 51 yrs  Second installment 12 yrs  Third installment 6 yrs

Comparison of years to pay off for non rebate and rebate system. ($2.33 per watt) The first installment does not see a change because the rebates do not affect government buildings. The second installment sees a decrease in payoff time of 5 yrs from 21 yrs to 16 yrs. The third installment sees a decrease in payoff time of 3 yrs from 11 yrs to 8 yrs.

Comparison of years to pay off for non rebate and rebate system. ($4.00 per watt) Once again the first installment will not be affected. The second installment sees a decrease in payoff time of 10 yrs from 21 yrs to 11 yrs. The third installment sees a decrease in payoff time of 5 yrs from 11 yrs to 6 yrs.

PV System With Rebates (Large Sized Array) Rebate of $2.33 per watt (max of $7,000). System cost of $33,000. Years to pay off.  First installment 36.2 yrs  Second installment 15  Third installment 8.2 yrs Rebate of $4.00 per watt (max of $12,000) System cost of $28,000. Years to pay off.  First installment 36.2 yrs  Second installment 12.7 yrs  Third installment 7 yrs

Comparison of years to pay off for non rebate and rebate large system. ($2.33 per watt max of $7,000) The first installment does not see a change because the rebates do not affect government buildings. The second installment sees a decrease in payoff time of 3 yrs from 18 yrs to 15 yrs. The third installment sees a decrease in payoff time of 2 yrs from 10 yrs to 8 yrs.

Comparison of years to pay off for non rebate and rebate large system. ($4.00 per watt max of $12,000) The first installment does not see a change because the rebates do not affect government buildings. The second installment sees a decrease in payoff time of 5 yrs from 18 yrs to 13 yrs. The third installment sees a decrease in payoff time of 3 yrs from 10 yrs to 7 yrs.

Conclusions of Photovoltaic Plan The non-residential building benefit much more from installing the larger system. The payoff time goes from 51.2 yrs. to 36.2 yrs with the larger system. Residential housing does not benefit much from installing the larger system. The payoff time is about the same with rebates. Could possibly save more by selling energy back to the energy company.

Environmental Impact (medium system) Assuming the average household uses 6500 kWh per year and that produces 900 kg of CO 2. The first installment will save 2552 kg of CO 2 per building.  This leads to a total of 1.28 Million kg of carbon dioxide saved.

Environmental Impact (medium system cont.) The second installment will cut kg of carbon dioxide per household, which leads to a total 1.4 Million kg of carbon dioxide. The third stage cuts the production of carbon dioxide by kg per household, with a total of 28.2 Million kg of carbon dioxide.

Environmental Impact (larger system) Since all energy necessities are met by the larger system then 100% of the carbon dioxide normally produced by the household is eliminated. Other carbon dioxide can be prevented using the surplus energy of the PV system.

Conclusion By means of governmental action PV systems can contribute to a savings in energy, decrease the amount of carbon dioxide, and contribute to the sustainability of our world.