1. Introduction to Renewables Milton Geiger Energy Extension Coordinator WSARE Agricultural Renewable Energy Training Seminar November 29, 2011

2. This morning’s performance Overview of key terminology & concepts What are the renewables? Thermal Electric Why people want to own a renewable energy system? Why not… Incentives Tools and resources

3. What are the typical RE systems? Biomass Heat, power, and transportation fuels Geothermal Direct use and heat pumps Hydroelectric Solar Thermal Photovoltaic (PV) Concentrated thermal Wind

4. Renewable technologies – Danger of “lumping” All solar based (except direct use geothermal) BUT Diverse applications and cost structure

5. Renewable energy – Sources and uses

6. Terms and definitions – Where On-grid Uses existing utilities (e.g. electric or natural gas) to back-up Off-grid Battery-based (e.g. residence) or Battery-less (e.g. stock water pumping)

7. Terms and definitions – Size “Large-scale” Selling electricity (thermal energy) into the market “Small-scale” Designed to principally offset electricity consumption Net metered

8. Terms and definitions – Net metered Net metering & interconnection A policy that allows the connection of electricity-producing RE systems to the grid; Allows owner to use the reliability of the grid while receiving the full retail rate for production; Serves as an incentive that varies by state.

9. Terms and definitions – Power vs. Energy Energy = Power x Time Source: Our Wind Coop

10. Terms and definitions – How much is a kilowatt-hour? Let’s go for a walk…

11. Why renewables! Economic considerations Independence from existing energy sources Concern for the environment Educational

12. Why not renewables? Maintenance Responsible for energy production, not simply delivered as a service Intermittent resource Sun and wind cannot economically be stored Cost Can be more expensive than existing energy from grid or fossil fuel heating resources

13. Key incentives Utility incentives Generally small and targeted State incentives Different by state Federal incentives Robust and plentiful (for now) Can be used with most types of renewables!

14. Incentives – Residential vs. commercial vs. non-profit

15. Incentives – Key non-NRCS federal incentives Residential Tax Benefits 30% tax credit on solar (thermal & PV), wind, & geothermal heat pumps (no limit) Expires 12/31/2016 for most 30% tax credit on water heaters, furnaces, boilers, heat pumps, air conditioners, insulation, windows, doors, & roofs ($500 max) (Expires 12/31/11)

16. Incentives - Federal Commercial Business Investment Tax Credits (ITC) 30% for small wind and solar (electric and thermal) 10% for geothermal heat pumps Production Tax Credits (PTC) For larger systems, including hydroelectric, if selling into the grid Modified Accelerated Cost Recovery System (MACRS) Rapid depreciation schedule USDA Rural Development Rural Energy for America (REAP) grants and loans 25% grants for RE and EE Specific rural and small business eligibility requirements

17. Incentives – Using them well… Example: Solar thermal for commercial purposes 120 gallons/day use with cost $10,500 With all incentives net cost of ~$3000 Example: Solar electric for commercial purposes 4.22 kW system with cost of $34,000 With all incentives net cost of $10,000 possible Possible to have between 50-75% of project cost funded by incentives!

18. Tools and resources - Play time Database of State Incentives for Renewables & Efficiency (DSIRE) North Carolina State Solar Center and the Department of Energy http://www.dsireusa.org/ IMBY (In My BackYard) NREL http://www.nrel.gov/eis/imby/ NRCS Energy Self Assessment http://www.ruralenergy.wisc.edu/default.aspx Energy Matter’s Solar Estimator (advocacy group) http://www.solar-estimate.org http://renewables.uwyo.edu/resources/assessment-tools/