In the tiny town of Tenna in Switzerland local residents came together to replace the old and dilapidated ski lift at their local mountain resort. Instead of simply replacing the lift they decided to break some new ground and funded the world’s first solar powered ski lift.
The system produces 90000 kilowatt-hours per year or nearly 3 times the amount of energy needed to run the lift. The modules also are able to track the sun and shed snow when necessary.
So, when is Mt Hood going to follow suit and solarize its lifts?
Low Cost Solutions for Lighting in the Developing World
Here in the US many of us take light for granted. We flip a switch and our incandescent, compact fluorescent, or LED lights up. Much of the world is without this luxury. Children huddle around kerosene lamps at night just to be able to study. Solar energy has the possibility of bringing light to many around the world but the technology is still expensive (but getting cheaper) and their are other hurdles as well (batteries, maintenance, installation). Many researchers and scientists are developing new innovative low cost measures to provide light for rural areas. One such technology that struck me as very innovative is the “solar bottle bulb”. The materials required are a plastic 1 liter bottle, sheet roofing metal, water, and chlorine.
The Portland Bureau of planning and sustainability recently released an RFP (request for proposal) for “Private-Sector Partnerships to Finance Community-Supported Solar Electric Systems on Public Facilities”. In layman’s terms, an RFP to help generate models for community supported solar energy projects on public facilities.
The Problem
Not everyone has the ability to install solar panels on their home. They might be renters instead of homeowners, have a low credit score, have a roof with too much shade or an improper orientation, not have the funds for a residential size system, or live in a condo. There are numerous reasons why solar doesn’t work for everyone even if they are enthusiastic about the technology.
Non profits, schools, and public buildings also struggle to be able to install solar. Even though many of these institutions have ideal rooftops and sites for solar, they lack the tax appetite to make effective use of the available incentives. Without outside grant money, there is little financial incentive for these institutions to install solar panels.
What if there could be a way to connect the community members who want to be a part of a solar project but can’t with the non-profts and schools that need solar the most?
The Solution
Community solar is a way to connect community members, businesses, and non-profits in a collaborative way that benefits all. There are various models that have been used across the country with varying degrees of success. To read more about these different approaches have a look at our past article on community solar programs.
The Portland community solar RFP devised a simple flowchart that helps conceptualize the community driven approach.
At the center of the diagram is a local for profit business with a tax appetite that can benefit from tax incentives. The business initially owns the system and gets a 30% federal tax credit as well as the accelerated depreciation. The business also receives monthly production payments that come from Oregon’s feed-in tariff program. To make the deal economically viable for a business a part of the upfront cost would also need to be provided by community members. In exchange for community financial support, the members can receive either monetary reimbursement or some kind of tangible benefit (a coupon, retail item).
The non-profit/school/public facility is the site host and would be the beneficiary of a reduced energy bill and in the case of a school would have the educational benefits associated with having a solar array.
The USDA is seeking applications for energy efficiency and renewable energy projects. REAP (Rural Energy For America) program grants are awarded on a competitive basis and can cover up to 25% of project costs. For 2012, the USDA has about $25.4 million for its annual budget to fund REAP activities, which will support $12.5 million in grants and the remainder in loan guarantee rewards. Oregon has seen it’s yearly REAP budget decreased by 2/3 this year resulting in a highly competitive program. This year we are only submitting applications for grants requesting $20,000 or less in funding ($80,000 total eligible project costs). Applications are due in by March 30th so there is little time to lose. Typical grant writing costs approximately $1600 for simplified $20,000 or less grant requests..
Below is an example of how the costs break down for a typical 9kW system installed on a rural agricultural property with Washington made solar modules and inverters. This system can produce on average about 9000kwh/year.
Cost: $67,500 REAP Grant: $16,875 Federal Tax Credit: $20,250 Washington Production Incentive Income: $40,000 (over 8 years)
Plus approximately $1000/year of energy savings and depreciation benefits.
We just completed a solar install over at Coeur de Terre Vineyard in Mcminnville, Oregon. This 9.9kW system consists of 45 Solarworld modules and 45 Enphase micro inverters. Great Pinot Noirs and a great looking solar energy system. The perfect combination!
Design is the adaptation of means to a pre-conceived end. The end can be purely for aesthetic purposes or to improve efficiency, functionality or a combination of all three. It has been said that the genius of Steve Jobs of Apple fame was his ability to combine technology and design. The seemingly benign and ubiquitous vacuum cleaner was revolutionized by Sir James Dyson, who after over 5,000 failed attempts
designed the “cyclonic” cleaner for a more beautiful and powerful product.
When considering the “design” of a solar energy system, whether for residential or commercial purposes, it is hard to envision anything other than a linear concept, that is, straight lines of solar panels arranged next to each other. However, recently several experimenters thought outside the box and came up with solar system designs that are anything but linear.
Seventh grader discovers more efficient solar design
First, Aidan, a 13 year old seventh grader from New York entered a contest sponsored by the American Museum of Natural History in an attempt to win the “Young Naturalist Award.” On a winter hiking trip in the Catskill Mountains of New York, he noticed that contrary to his belief that tree branches were nothing more than a tangled mess, he saw a pattern in the way tree branches grew. His research project studied the complex design of trees and how they “are more efficient than humans in collecting solar energy.” The more that young Aiden learned and experimented, the more he thought about creating a new way to arrange solar panels. In trying to understand the spiral nature of branches on different types of trees (i.e. oak vs. maple) Aiden concluded that the pattern of the branches followed the “Fibonacci” sequence as did many other forms of nature. He states: “I designed and built my own test model, copying the Fibonacci pattern of an oak tree……In place of leaves, I used PV solar cells hooked up in a series that produced up to 1/2 volt, so the peak output of the model was 5 volts. The entire design copied the pattern of an oak tree as closely as possible.” Aiden placed his solar Fibonacci tree model and a linear array in his backyard for two months. He found that the Fibonacci tree array captured 20% more electricity and collected 2 1/2 times more hours of sunlight during the day. Here is a more detailed review of the project. You can read more about Aidan’s project here as well. However, this claim of young Aiden has not been without controversy as it flies in the face, as some people believe, of common sense. For a review of the controversy surrounding Aiden’s project see this link.
Solar Origami
Jeffrey Grossman is an MIT power engineering professor. He states that standard flat solar panels are only “optimized to capture sunlight at one point of the sun’s trajectory-otherwise they need automated tracking systems to follow the sun.” In his attempt to increase the efficiency of the design itself of a solar array he turned to the ancient art of origami. He found that folded solar cell systems could produce constant power throughout the day and didn’t need tracking. He claims that his new designs are “up to 2 1/2 times more efficient per comparative length and width than traditional flat arrays.” ” Like young Aiden, Grossman was inspired by the way that trees spread their leaves in all directions to maximize their exposure to the sun. He worked with MIT graduate student Marco Bernardi to create a computer program that mimics the process of evolution. The computer program would randomize patterns of exposed surfaces and then choose the most efficient one to start the next generation — how Darwinian.
What resulted were gorgeous sun-capturing shapes that resemble origami. In some structures the surfaces also reflect upon each other, intensifying the sunlight and increasing energy gain. Grossman noticed that the larger the shapes, the more effective the arrays were — sometimes they reached 120 KWh per day when a traditional array would generate 50 KWh. He is continuing his research to find the most effective folding patterns and has teamed up with Professors Vladimir Bulović and David Perreault of EECS to create a prototype system.”
I don’t think that we’ll be seeing these designs in the backyards of urban areas as traditional flat panel arrays seem more appropriate. However, I can envision some of these designs springing up in our future cities, where Fibonacci Solar Trees or Origami Solar Constructs represent a bold message that the 21st century will be the age of renewable power.
The following appeared in the Vancouver Sun on December 2, 2011: “The sun does, however, have superpower potential. It is free, clean, and bathes the Earth with about 100,000 terawatts (trillion watts) of energy per year, which far exceeds the 15 terawatts humanity now consumes.” That is a whopping 6,666 times more than we use and only begs the question why don’t we utilize this free and clean energy source. Although not widely reported in the main stream media, it appears that an inexorable movement has begun towards utilizing this energy source thanks mainly to the various policies instituted by federal, state and local governments. Also, market forces have driven the cost of solar down to the point the grid parity can be achieved in large scale projects. One particular policy of note are mandates that utilities produce a certain percentage of their energy portfolio from renewable energy sources. The result is the birth of solar farms, large solar arrays on commercial buildings, and aggressive rebate programs to entice homeowners to invest in solar energy.
There is no exact definition of what constitutes a “solar farm.” However, it is the kind of thing that you know it when you see it. The following list represents true “solar farms” that no one would dispute. They are referred to as “photovoltaic power stations” (this list taken from Wikipedia).
“As of December 2011, the largest photovoltaic (PV) power plants in the world are the Golmud Solar Park (China, 200 MW), Sarnia Photovoltaic Power Plant (Canada, 97 MW), Montalto di Castro Photovoltaic Power Station (Italy, 84.2 MW), Finsterwalde Solar Park (Germany, 80.7 MW), Ohotnikovo Solar Park (Ukraine, 80 MW), Lieberose Photovoltaic Park (Germany, 71.8 MW), Rovigo Photovoltaic Power Plant (Italy, 70 MW), Olmedilla Photovoltaic Park (Spain, 60 MW), and the Strasskirchen Solar Park (Germany, 54 MW).[1]
There are also many large plants under construction. The Desert Sunlight Project is a 550 MW solar power plant under construction in Riverside County, California, that will use thin-film solar photovoltaic modules made by First Solar.[2] The Blythe Solar Power Project is a 500 MW photovoltaic station under construction in Riverside County, California. The Agua Caliente Solar Project is a 290 megawatt photovoltaic solar generating facility being built in Yuma County, Arizona. The California Valley Solar Ranch (CVSR) is a 250 megawatt (MW) solar photovoltaic power plant, which is being built by SunPower in the Carrizo Plain, northeast of California Valley.[3] The 230 MW Antelope Valley Solar Ranch is a First Solar photovoltaic project which is under construction in the Antelope Valley area of the Western Mojave Desert, and due to be completed in 2013.[4]” This trend of ever increasing large commercial solar farms will only accelerate as we move forward.
Warren Buffet invests in solar
Consider the Topaz Solar farm project presently under construction in California which will be the second largest solar farm in the world. It will produce 550 megawatts (a megawatt is 1,000,000 watts) and it is estimated that it will be able to power 160,000 homes. It is being constructed on the Carrizo Plain on the eastern edge of San Luis Obispo County and is scheduled to be completed by 2015. The solar farm was a project by First Solar, a large publicly traded manufacturer of thin film panels. However, the project was struggling to secure the necessary financing. Several days ago, Warren Buffett through MidAmerican Energy Holdings Co.—part of Buffet’s Berkshire Hathaway—announced that it had entered into “definitive agreements” with First Solar to take over the $2 billion, 550-megawatt photovoltaic power plant. When a person of Buffett’s stature gets involved, solar energy is turning a corner. The Topaz project is a risk-free stable stream of profitable income for 25 years, exactly the kind of investment the likes of Buffett require. What is interesting to note is that “the project will be decommissioned and restored to habitat after 35 years of operation.” This trend towards solar farms will continue as “tax credits for wind in the U.S. expire at the end of next year, while solar ones run till 2016.”
Large scale Oregon projects
Large scale solar projects are being built here in Oregon too. Consider a project that came to life in Aurora, Oregon. Under Portland General Electric’s solar payment option program, which buys electricity produced by customers and transfers it to the electric grid, the 500 kilowatt system is also Clackamas County’s largest ground-mounted solar array, practically hidden on some of the area’s oldest farmland. It cost $2,000,000.00 and was 50% financed by Umpqua Bank. It generates $20,000.00 a month for the owner and will be profitable after seven years. For further information on a project of this size or smaller contact jesse@futurecitysolar.com.
Here are some photos from recent solar installations in the Portland metro area. These installs are using Solarworld modules and Enphase micro inverters.
They are finally here, an affordable solution for solar power systems in Washington state that can still take full advantage of the Washington production incentives. Itek Energy, a Bellingham based solar module manufacturer is now producing high quality 240W panels that qualify for Washington’s enhanced production incentive. With made in Washington modules and inverters customers qualify to receive $0.54/kwh for the energy they produce up to a maximum of $5000 of income per year until 2020. That is a potential $40,000 of income.
Average system costs with the Itek Energy modules and string inverters range from $6.75-$7.50/W based on system size and difficulty of installation. An average 4kW home system would range in price from $27,000 to $30,000. With the Washington production incentive and 30% federal tax credit systems can usually pay back with 10 years.
There has never been a better time to consider an investment in solar energy in the Evergreen State. Every month that passes by is another month of production incentives being missed out upon.
Community Solar is a concept that has broad appeal, after all, who doesn’t like the words “community” and “solar”? There have been a variety of approaches over the years ranging from utility sponsored programs, to neighborhood bulk purchase programs, to community-owned solar “gardens”. This post will take a look at the variety of community based solar projects.
Why community solar?
A 2008 study released by the National Renewable Energy Laboratory found that only between 22-27% of residential rooftops are suitable for solar. Too much shade, poor roof orientation, and roof obstacles are just a few of the causes that can make solar impractical for a residence. Solar is also generally not an option for renters and condominium owners. Unfortunately, even if some of the people who fit into the above category are eager to invest in solar energy, they have little to no options available for them.
Then there are our non profits, our schools, fire stations, places of worship, the very pillars of our community. These institutions often cannot take advantage of the generous tax incentives that are available because they have no tax liability, and therefore cannot utilize the federal tax credit or accelerated depreciation. Without these federal incentives it is often financially impossible for these community institutions to own a solar energy system.
Community solar projects enable all community members; renters, condo owners, non profits, etc, to make an investment in solar energy.
Large Scale Community-Owned Solar
The solar energy incentives in WA have a production based incentive that pays a premium rate for on site electric generation. This program is particularly unique because the Department of Revenue will pay an even higher rate, nearly double, for “community solar projects”. In Washington, these community solar projects must be located on a community building; fire station, school, etc. and can have multiple investors for the project. In turn, these investors can reap the financial rewards by receiving the Washington production incentive, as well as the federal incentives. The community solar project in Ellensburg, WA is an example of this approach.
Tangerine Power, a Washington based company, is looking to develop a community solar model locally that can be expanded nationally. They sell “Sun Slices” for $1000 each that go towards the construction of a community solar project. The purchasers of the Sun Slices will have the $1000 investment recouped in 10 years but they don’t actually earn a return on their investment. It is a way for community members to invest in solar energy, locally in their community. Despite the lack of economic return, their pioneering project in Edmonds, WA has successfully been funded.
The Clean Energy Collective, a Colorado start-up, has developed a way for anyone who pays an electric bill to own a portion of a solar energy project. Their model involves Remote Metering technology which allows any portion of solar energy owned by the rate payer, be it one solar module or fifty modules, to be net metered against their utility bill. The customer then is also able to take advantage of the federal tax credit. So, let’s say you are a renter and pay your monthly electric bill but would love to take part in solar ownership. Through the Clean Energy Collective, you can purchase one solar module for as little as $525 and have the production of that one solar module be net metered against your bill. Brilliant! And since these community projects are large scale solar installations they can often be installed on a perfect site (ideal tilt, orientation, no shading) and have the benefit of lowered installation costs through economy of scale.
Closer to home in Portland, OR, Million Monarchs, strives to develop “collaborative” solar energy projects. Founder Sean Patrick describes Collaborative Solar as “a set of Community Focused, Creative strategies that generate funds and public support for the transformation of “Community Pillars” into safe, independent energy producers.” Through creative fundraising campaigns and grassroots organizing, Million Monarchs is on a mission to bring solar ownership to the non profits that provide essential services to our community.
Solar Mosaic is yet another organization that is thinking outside the box and creating opportunities for people to invest in solar energy projects on community buildings.
In Summary
There are still many obstacles to make community solar a reality on a national scale. The SEC has very strict rules regarding investment in community solar projects to garner a profit. Many utilities are unwilling to allow Remote Metering that makes the Clean Energy Collective model so effective in Colorado. But the solar movement is gaining traction nationally and it is just a matter of time before everyone in the country has an opportunity, be it large or small, to make an investment in solar energy for themselves and their community.