Toni Black

Transcription

1 Backgrounder FOR IMMEDIATE RELEASE AVAILABLE FOR INTERVIEW PRESS CONTACT: Kendra Bonnett Toni Black BLACK PLATINUM SOLAR & ELECTRIC DELIVERS ON THE DREAMS AND EXPECTATIONS HOMEOWNERS HAVE FOR SOLAR ENERGY Phoenix, AZ These days many of us watch the prices of crude oil and natural gas even more carefully than we watch the stock market. Our lifestyles, our very lives, depend on it. And as energy costs continue to climb, sustainable energy sources and alternatives to fossil fuels are topics of serious discussion. With more than 300 days of sunshine each year, solar seems a practical choice for the average Arizona business or homeowner. But while we know that solar power is hip. It s trendy, and it s green. Does it make dollars and sense? This is the Number One question. In fact, among your readers, right now, someone is probably asking: With Renewable Energy incentives shrinking, is solar still a good investment? Can I really eliminate my electric bill? 1

2 How long is the payoff on a solar system? Should I wait for better technology and prices to drop further? Can I find an honest contractor to do my installation? This backgrounder is designed to give you solid, no-nonsense answers to these questions and more the questions your readers are asking Black Platinum Solar & Electric every day. Meet John and Toni Black owners of Black Platinum Solar who have been delivering on homeowners dreams to go solar in the Phoenix Metropolitan Area since As of June 9, 2011, they have installed 60 grid-tied photovoltaic (PV) electrical systems ranging in size from 8 panels to 111 panels that have produced a total of 1.24 GWh (gigawatt hours) of solar electricity. Black Platinum Solar designs to the specific needs of each customer factoring in budget, electrical usage requirements and the home (everything from very basic to multi-area roof designs) and its orientation on the property. The company uses some of the best technology available in the world today, and most specifically the Enphase Energy microinverter system (see page 7). To help you focus on what your readers really want to know about solar energy solutions, we ve selected topics based on actual questions prospective customers are asking Black Platinum Solar as well as on what a Google keyword analysis shows to be the most searched words and phrases. Is Solar Worth It? Bottom line, yes. Arizona Public Service (APS) recently announced another step-down in its Renewable Energy Incentive Program to $1.45 per watt for residential, grid-tied PV electrical systems. Those who know that only a year ago the incentive was $3 per watt might think they ve 2

3 missed their opportunity. But when all the benefits are factored in, residential customers will still pay only about 50 percent of their system costs out of pocket, and that s not that far from where it was 2 or 3 years ago. Here s how it breaks down (we ll base our numbers on a typical 10kW system): First, even with the step-down, APS is still paying an incentive of $1.45 per watt, which translates to $14,500 on a 10kW solar installation. Second, the Federal tax credit is still in place. Homeowners can take a dollar-for-dollar tax credit of 30 percent of their total system cost, which they can apply in its entirety in a single tax year or carry credits forward, as needed and until used up, all the way through Arizona also has a state tax credit of 25 percent (capped at $1,000 per residence). Third, the price of solar panels has come down significantly. At the same time, the technology is better and more efficient. Equipment costs have dropped somewhere between $1 and $2 per watt in the last two years alone. So a 10kW solar electric system costs between $10,000 and $20,000 LESS and that s before incentives and tax credits are factored in. Fourth, homeowners won t pay sales tax on their systems. While that exemption doesn t put money directly in one s pocket, it also doesn t add a couple thousand dollars to the cost. And solar is the one home improvement that adds value to a home without raising property taxes. APS estimates that a PV electric system increases home value as much as $25,000 or more (depending on system, size and home). There are enough savings, says Black Platinum Solar s Vice President and COO John Black, that more than one customer has commented that the rate of return on his investment to convert his home to solar power is greater than that on his 401K today. 3

4 Investment is the operative word here because installing a PV electrical system will still require a capital expenditure. But S&P Equity Research predicts that the United States could see at least a 60 percent rise in unit installations in 2011 even while incentives are shrinking. What do these people know that could help your readers make the right decision for their homes and businesses? Can I really eliminate my electric bill? Yes that is the question. As Black Platinum Solar s President and CEO Toni Black explains: Cost is a major concern. People know that energy costs are going up; they want to put in a PV electrical system to protect their future now while the renewable energy incentives and tax credits are in place to bring down the out-of-pocket outlay. They are also looking to eliminate their electric costs and never pay an electric bill again, as long as they remain in their home. Ahhh to never pay another electric bill. While this is doable, John Black stresses: There is a difference between a system that covers 100 percent of electrical need at peak performance and a system that covers 100 percent of the electric bill. It s the difference between lowering one s bill and zero, where zero means never paying an electric bill again. Here s the dirty little secret: As long as the customer is tied to the grid, service delivery fees, meter-reading fees and taxes will apply. But business and homeowners shouldn t start thinking about going off-grid. That brings a host of challenges, costs, maintenance issues and limitations of their own (see page 10). Rather, if their budget allows, they should work with an installer that can design a system to their specific needs. It starts with USAGE because every home is different. Every customer is different. Every need is different. There is no chart, no cookie-cutter formula that determines what the average 4

5 homeowner requires. In short, there is no such thing as an average homeowner when it comes to installing a PV system. It s even possible for four people in one house to use less electricity than another house with just two people. The company designing and installing the system will need to see at least a year s worth of the homeowner s electrical usage (broken down by month) in order to determine the size of system needed. A homeowner can usually pull from these records together or download a report from the utility service. The installer will need to calculate for peak and off-peak production times. The true professional will factor in roof space, orientation, longitude and latitude, altitude, azimuth and roof tilt when calculating the number and placement of solar panels. In Arizona, production looks something like this (using APS as the model): If the system is put in around March or early April the customer will start producing more electricity than he or she uses. The utility company credits the excess to a sort-of solar kwh savings account. Then July through September and possibly into early October, when Arizona is at its hottest and demand exceeds production, the homeowner will draw upon those accumulated kilowatt hours. By the end of this period, he ll have used up almost all the banked kilowatt hours, but that s okay because from October through mid-december the system will be back to producing an excess. At the end of the year, the utility company calculates the excess and converts it into dollars, which go on the homeowner s electric account for the coming year. From the winter solstice in December, through January and into early February, the days are short and production drops. Once again, the homeowner will probably need to draw electricity from the grid. If the system is well designed and the homeowner has selected the correct rate plan (your installer can advise), there should be enough money in the account to cover the draw and pay service delivery 5

6 fees, meter-reading fees and taxes until solar production again exceeds usage. Under this scenario, it is possible to never pay another electric bill. What if my budget doesn t allow for a system that covers 100 percent of my electric bill? Not every budget allows for a system that will cover 100 percent of the electric bill. In fact, 50 percent systems are quite common. While a 50 percent system will reduce the amount of electricity purchased, it s important to remember that as long as electricity is consumed, the service delivery fees, meter-reading fees and taxes will apply. Rates, of course, vary from one utility company to another, but it s possible that even $30 worth of electricity usage could cost as much as $100 (and maybe more) when all the fees and taxes are factored in. In this scenario, the homeowner may want to talk with the installer about trying to design a system that will cover 50 percent of the electric bill, rather than 50 percent of electrical usage. If the homeowner doesn t currently have the budget for a 100 percent system, he or she could plan to build on to the system over time. This needs to be discussed with the installer at the time that the system is being designed. You don t want a cookie-cutter, one-size-fits-all system when you re planning to expand over time, advises John Black. And you want to know that you are getting quality solar panels no B or blemished panels, which are the equivalent of factory seconds. And two final considerations: First, any Renewable Energy incentive is applicable ONLY to the original system. Add-ons after initial activation of the system may qualify for incentives, but will require reapplying for a separate reservation, and there s no guarantee the same incentive rate will still be available. Finally, the larger the system, the better (or lower) the unit 6

7 price on equipment will most likely be. That s because the installer can pass along bulk purchase savings. What s my return on investment and how long is the payoff on my solar system? Systems that cover 100 percent of the electric bill will reach the payoff point faster, and these homeowners can estimate that the typical pay off is between five and 10 years. It will be longer for 50 percent systems. For the homeowner who expects to stay in his or her home for 10 years or more, an investment that protects what one is paying (or not paying) for electricity going forward, may make a lot of sense. As indicated above, APS estimates that a solar installation can increase the value of a home as much as $25,000 or more. But 2011 is a buyer s market. With about 16 percent of homes in Arizona vacant, solar may be the difference between selling one s home in a timely fashion and not. In any case, it s a hard number to prove, admits John Black, because people with solar rarely sell their homes. More than a few people have chosen to install PV electrical systems in order to do their part toward preserving the planet and helping the environment. Solar is a completely green technology, says Toni Black, that enables the homeowner to become a small electricgenerating plant with a zero carbon footprint. Should I wait for better technology and prices to drop further? There is no question that technology will continue to improve and prices will drop over time. Although as long as demand for panels remains strong in Europe and China, we probably won t 7

8 see any dramatic decreases. Solar costs have been declining by about 10 percent each year, but delaying installation is probably offset by what the homeowner will save in electricity now. Black Platinum Solar is a certified installer of Enphase Energy microinverter systems for a reason. Quite simply, Enphase is the best technology that we can offer to our customers, says John Black. Microinverters have been used in Europe for more than 15 years, providing customers increased energy harvest, greater reliability, simplified design and installation, and state-of-the-art monitoring and management. The list of benefits for Enphase microinverters is extensive: 15-year Standard Limited Warranty (25 years for the new M215 microinverters) with Rapid Replacement program, virtually 100 percent system uptime guarantee, greater energy production in low-light conditions and systems that regularly exceed NREL/PV Watts energy production estimates by anywhere from 4 percent to 14 percent. The real benefit of the Enphase Energy microinverter is the modular design. Traditional central inverter systems are designed with solar panels connected in series all sending DC electricity to a central, wall-mounted inverter. The central inverter converts DC electricity into AC power. Here s the problem: A central inverter represents a single point of failure. If this inverter goes down, the entire system shuts down. And that s not all. With all the solar panels feeding into the one inverter, a single underperforming panel in an array impacts the entire system. It s the old Christmas tree light effect. In the case of a partial failure, production will decrease, but it may go unnoticed for some time. Eventually the customer will notice the reduced energy production reflected in the electric bill. Then comes the challenge of finding the source of the problem, which will require taking the system apart and testing each panel separately. That s expensive. 8

9 Enphase Energy microinverters are attached beneath each solar module. Converting power from DC to AC at the modular level and exporting the power directly to the system leads to gains of 4 percent to 14 percent in energy harvest. And not only are these units easily swapped out in the event of a failure, but the exclusive Enlighten 24/7 web-based monitoring and management system provides real-time tracking from computer and mobile devices. The peace of mind this system provides our customers is so important, says Toni Black, we chose to include a free five-year subscription to the Enlighten monitoring service with every installation we do. But Enphase has done us one better: Now all systems come with free LIFETIME Enlighten monitoring. Homeowners and service providers can monitor the Enphase system from any Internet service even a smartphone. A Black Platinum Solar customer on vacation in the Australian rainforest reported: Hi John, This is amazing. We are in the (Australian) rain forest. Absolutely no signs of civilization, in the middle of absolutely dense forest, and I am able to get on the Internet. Such is technology!!! I checked my solar panels, and we were able to see the entire panels working for the past seven days. It was really neat..." Can I find an honest contractor to do my installation? Ask a group of homeowners about contractors and you re inviting them to unleash torrent of pent up frustration and anger. Sometimes it seems that customer service just isn t what it used to be. That s not to say good contractors and honest solar installers don t exist. You may just need to look a little harder, ask enough questions and check references. Perhaps the best place to start is the APS Qualified Solar Installer (QSI) list at Another is 9

10 click on the Find a Pro button, enter your zip code, and start reading reviews. If we could give homeowners only one piece of advice, says Toni Black, it would be this: Ask your questions, no matter how insignificant or silly you might think they are. Understand the process thoroughly because not all systems are created equal and neither are all solar contractors. And know what to look for in a contractor: Beware of the salesperson that tries to sell you a cookie-cutter system without thoroughly analyzing your electrical usage, understanding your objectives and studying your property and home. Look for attention to detail. A good solar installer will fasten your solar panel mounts directly into the roof trusses. And rather than running unsightly conduits off the edge of the roof and down an outside wall, where possible, they ll run the cabling from the roof straight into the attic and inside walls, so it s more aesthetically pleasing. Find the contractor who is willing to take the time to talk with you and explain every aspect of the installation. You need all your questions answered if you re to make an educated decision and select the right system for your needs. Remember retrofitting a mistake or undersized system can be difficult and expensive. Make sure your contractor explains the difference between covering electrical usage and covering the bill. Even if you re only putting in a 50 percent system, you probably want to work with your installer to come as close as possible to covering 50 percent of your annual electric bill. 10

11 Can I build my own PV solar system and save money? Search the Internet for solar power, and you ll find information about do-it-yourself (DIY) kits and plans for PV electrical systems. You ll also find a lot of information about solar enabling the homeowner to go off the grid entirely. Well that s a good thing because the handy person who builds his own solar panels won t be allowed on the grid. Utility companies like APS have strict licensing requirements for both the equipment and installation. They won t allow someone to build their own solar panels, slap them on the roof and connect the system to their grid. And the DIYer who buys commercially manufactured equipment but chooses to install it himself may negate his warranties. Nor can he take advantage of utility rebate or incentive programs. As for usage, here s one final word of advice. Homeowners who plan to increase their electrical usage habits after the PV electrical system is installed need to advise their solar installer of this intention up front when they provide their usage records. This way the installer can account for that increase in the design the key to performance and savings is attention to the details throughout the design process. Having a PV electrical system does not give homeowners a license to leave on every light in the house. If they suddenly begin out-using their power production, they ll soon be back to paying electric bills. About Black Platinum Solar Since its founding in 2007, Black Platinum Solar has been custom designing and installing photovoltaic (PV) systems for residential customers. As of April 8, 2011, their 60 grid-tied Enphase Energy microinverter PV systems have produced in excess of 1.24 GWh (gigawatt hours) of electricity. Although BPSE has also installed 3 central inverter systems, they have no 11

12 production statistics for these, as there was no remote monitoring system for them. Black Platinum Solar is committed to understanding customers needs and delivering on the promise; they don t walk away from the complicated install. John and Toni Black are well known to Phoenix residents for their construction business established in 2003, Black Platinum Custom Homes. Customer service translates into communication and ensuring that 1) the customer has all the information needed to make an educated decision, and 2) Black Platinum fully understands what the customer wants and their usage requirements. Black Platinum is a turnkey service provider, which means we will handle everything required to install and activate your PV system. Black Platinum is a certified installer of Enphase Energy microinverter systems and an Arizona Public Service Qualified Solar Installer (QSI). # # # 12