Community Solar Workshop & Fair Woodbury
Agenda 1. Energy Efficiency best bang for your buck 2. Context for Clean Energy in Minnesota 3. Renewable Energy Options 4. Questions 5. Chat with resource experts and solar developers
Terry Chaney READY FOR SOLAR? WHY ENERGY EFFICIENCY MATTERS Neighborhood Energy Connection Home Energy Squad Outreach Specialist 651-338-6226 terryc@thenec.org
Energy Efficiency Solves Problems Lower monthly energy consumption Lower monthly energy costs Solve comfort problems like drafts and cold spots Prevent issues like ice dams Address uncontrolled moisture and ventilation problems all through efficiency improvement projects (and earn rebates and other incentives and use competitive financing, if needed)
Energy Efficiency Means What Again? Using less energy to provide the same service Energy efficient homes have: Fully insulated attic & walls Efficient lighting and appliances Efficient heating system Efficient water heater
Energy Efficiency: The Smart Step Toward Solar The cheapest energy is the energy that you do not use. Reducing the amount of energy you consume, increases the % of your home that is powered by solar energy.
Energy Efficiency Lowers Energy Bills The average Roseville household spends $1,852/year on gas & electric utilities. 55% Heating and Air Conditioning 15% Lights & Electronics 15% Appliances 15% Water Heating MN Department of Commerce- Division of Energy Resources
Energy Efficiency, with The NEC Every Step of the Way SOLAR ENERGY WINDOWS APPLIANCES WATER HEATING HEATING & COOLING INSULATING & VENTILATION AIR SEALING LIGHTING LOW COST/NO COST BEHAVIOR
Have an Energy Auditor analyze your home Your home is unique! HOME ENERGY AUDIT Infrared Camera Scan Blower Door Test CO2 Test & More
Get those low cost measures installed by the pros HOME ENERGY SQUAD: A quick, hands-on service that installs key energy-saving measures in your home. Sign up today for either a $40 or $20 visit.
After the presentation, stop by the NEC table Ask Figure Learn us questions out your best next step about potential energy efficiency rebates Sign up for an Xcel Energy audit: $100 Infrared Audit or a $60 Blower Door Audit Combine it with a $20 Home Squad Visit
Community Solar Gardens 101 Lissa Pawlisch Clean Energy Resource Teams (CERTs) UM Extension Regional Sustainable Development Partnerships
Statewide Partnership & Collaboration
CERTs: We re here to help CERTs Mission: Connect individuals and their communities to the resources they need to identify and implement community-based clean energy projects
Agenda 1. Energy Efficiency best bang for your buck 2. Context for Clean Energy in Minnesota 3. Renewable Energy Options On-site Solar, Community Solar, Green Pricing 4. Questions 5. Chat with resource experts and solar developers
Minnesota Key Energy Policies 1. Conservation Improvement Program (electric and gas): o Requires utilities to spend a certain amount of annual revenue on efficiency investments (Gas.5%, Electric 1.5%, Xcel 2%) 2. Net Metering (electric): Customers must be compensated for electricity they generate and feed into the local utility s grid (1,000 kw limit for investor-owned utilities, 40 kw limit for coops and muni s) 3. Renewable Energy Standards (electric): o o o Xcel Energy generate/procure 30% by 2020, plus 1.5% solar Investor-owned utilities generate/procure 25% by 2025, plus 1.5% solar Cooperative and municipal utilities generate/procure 25% by 2025 Photo credits: http://realhousewivesofmn.com/category/minnesota-activities/
Consumer Solar Technologies 1. Electric (PV) 2. Thermal: Air Heat 3. Thermal: Hot Water
The Current State of Solar Now over 30 GW of solar PV installed in US Enough to power > 6 million homes SEIA Solar Market Insight Report
Solar Prices are Falling Source: http://cleantechnica.com/ 2014/09/04/solar-panelcost-trends-10-charts/
The Solar PV Future
Is there Enough Sunlight?
Is My Site Good For Solar? Do I have a south facing roof or location? Are there shade issues? When do I anticipate re-roofing? Is my roof structurally sound? Am I going to be in the home for a while? Is my home energy efficient? talk to a solar installer!
mn.gov/solarapp The Minnesota Solar Suitability App displays solar insolation and solar photovoltaic (PV) potential with 1 square meter resolution for the entire state of Minnesota. It was created using Lidar data and GIS technology. mn.gov/solarapp
Other Options: Rooftop Solar The Minnesota Solar Suitability App displays solar insolation and solar photovoltaic (PV) potential with 1 square meter resolution for the entire state of Minnesota. It was created using Lidar data and GIS technology. mn.gov/solarapp
Community Solar Gardens Point to yours!
Community Solar Gardens Definition: Centrallylocated solar PV systems that provide electricity to participating subscribers solargardens.mncerts.org
How does it work? 3 rd Party Operator develops & runs garden. Maintains relationship w/ subscriber for payment. Utility provides subscriber w/ bill credit. UTILITY: approves garden, tracks production, provides credit. Xcel Energy Program OPERATOR: primary group running the solar garden SUBSCRIBERS: individuals or groups to get solar power
Subscribing to a Solar Garden Source: WaterproofPaper.com
Subscribing to a Solar Garden Washington County Active Application: 64 MW Active Applications: 48 Initial: 1 In Review: 2 Reviewed: 33 Design and Construction: 28 Complete: 0
Developers with Solar Gardens Serving Washington County Here at the event tonight: Able Energy MN Community Solar / Novel Energy Cooperative Energy Futures Selling but not in attendance: NRG SolarCity Sold out in Washington County: Community Energy GreenMark / Ameresco SunShare Not currently working with residents: Geronimo Energy Innovative Power Systems SoCore
How to get started? 1. Determine how much electricity you use per year 2. Decide how much of your usage you want to offset/can offset. 3. Sign up via subscription model that s right for you. 4. Watch for credits on your bill
Subscribing to a Solar Garden (Xcel Energy Program) 1. What is your annual electricity usage?
Subscribing to a Solar Garden (Xcel Energy Program) 1. What is your annual electricity usage? o 9,600 kwh
Subscribing to a Solar Garden (Xcel Energy Program) 1. What is your annual electricity usage? o 9,600 kwh 2. How much of your usage do you want to offset with solar?
Subscribing to a Solar Garden (Xcel Energy Program) 1. Determine how much electricity you use per year o 9,600 kwh 2. How much of your usage do you want to offset with solar? o 100% 8 kw of solar could provide 100% of the electricity used by the typical MN home
Subscribing to a Solar Garden (Xcel Energy Program) 1. Determine how much electricity you use per year o 9,600 kwh 2. How much of your usage do you want to offset with solar? o 100% 3. Which company has an offer that meets your goals? 8 kw of solar could provide 100% of the electricity used by the typical MN home
AVAILABLE Research Solar CSG Developers PROJECTS Visit the CERTs table later to get a flyer with the web address! cleanenergyprojectbuilder.org
Find a company that you like Pricing: What is the pricing structure? Is payment tied to production? Transferability or Early Termination: What happens if you move or want to cancel? What are the fees associated with that? Project Construction and Timing: At what stage in the process is the project? When can you expect your first bill credit? YOUR Goals and Values: Garden location? Developer business model? Customer service? Cost Savings?
Subscribing to a Solar Garden (Xcel Energy Program) 1. Determine how much electricity you use per year o 9,600 kwh 2. How much of your usage do you want to offset with solar? o 100% 3. Which company has an offer that meets your goals? Pricing: $.14/kWh x 1.0275 each year (2.75% escalator)
How much does it cost? $/kwh Bill credits Set annually by Public Utilities Commission, based on average electricity prices $/kwh Subscription payment Set by developer, explained in contract
Once the garden begins producing electricity You will A) Begin making payments to the developer for your subscription Key Details Pay in dollars per unit electricity produced (most contracts) Payment rate set by developer in contract Most contracts have starting rate x annual escalator Polar Solar Pricing: $.14/kWh x 1.0275 each year (2.75% escalator)
Once the garden begins producing electricity You will A) Begin making payments to the developer for your subscription B) Begin receiving credits on your monthly Xcel bill Key Details Pay in dollars per unit electricity produced (most contracts) Payment rate set by developer in contract Most contracts have starting rate x annual escalator Credited in dollars per unit electricity produced Bill Credit rate is based on avg. cost of electricity Rate is updated annually by Public Utilities Commission to match changing electricity prices Standard rate (retail cost of electricity: $.12596/kWh Standard + $.02 incentive (Gardens > 250 kw): $.14596/kWh Standard + $.03 incentive (Gardens 250 kw): $.15506/kWh MOST COMMON
Once the garden begins producing electricity You will A) Begin making payments to the developer for your subscription B) Begin receiving credits on your monthly Xcel bill C) Continue to pay your monthly Xcel bill Key Details Pay in dollars per unit electricity produced (most contracts) Payment rate set by developer in contract Most contracts have starting rate x annual escalator Credited in dollars per unit electricity produced Bill Credit rate is based on avg. cost of electricity Rate is updated annually by Public Utilities Commission to match changing electricity prices If monthly bill > $0, you pay the difference If monthly bill < $0, a credit is carried to the following month If annual credits > annual bills, Xcel will write you a check at end of year
Monthly costs/savings (800kWh/month @ 100% subscribed) MONTH 1 Monthly Xcel Energy Bill ($.12596/kWh) Bill Credit ($.14596/kWh) Payment to Solar Garden Developer ($.14000/kWh) Without Solar Garden Subscription With Solar Garden Subscription $100.77 $100.77 N/A -$116.77 N/A $112 TOTAL Monthly Cost $100.77 $96
Rates over 25 years (assuming bill credit rate increases by 3.5% each year on average, due to increasing electricity prices) $/kwh Produced by Garden $0.33 $0.28 $0.23 $0.18 $0.13 $0.146 SUBSCRIPTION RATE BILL CREDIT RATE (3.5% Annual Increase) $0.1400 $0.308 $0.268 $0.08 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Years Subscribed
Costs/Savings at specific points in time (assuming bill credit rate increases by 3.5% each year on average, due to increasing electricity prices) Monthly Costs/Savings at Different Points in Time (Monthly difference between bill credit and payment to the developer) Year 5 $ per month Year 10 $ per month Year 15 $ per month Year 20 $ per month Year 25 $ per month $6.80 $10.36 $15.37 $22.20 $31.31 Cumulative Savings over 25 Years (Cumulative Savings after 5 difference between years bill credits and payments to the developer) Savings after 10 years Savings after 15 years Savings after 20 years Savings after 25 years $341 $852 $1,599 $2,662 $4,137
Bill Credits Changing Pre-2017 Gardens: ARR + REC Bill credit? $0.14596 2017 Gardens: Value of Solar (VOS) Rate Bill credit? $0.0995
MNCERTs.org/solargardens
Alternatives: Green Pricing Photo credits: http://realhousewivesofmn.com/category/minnesota-activities/
Which option meets your needs? Solar Garden Green Pricing Pricing Opportunity to save money Small cost Renewable Energy Contribute to state mandates Always beyond state mandates Simplicity Complex sign-up process Easy sign-up process Term 20-25 years 1 year Amount Any amount up to 120% of usage 100 kwh blocks OR 100% of usage Key Contact Private Developer Utility Company Delivery of benefit Utility bill Utility bill
Questions? Lissa Pawlisch CERT Director UM Extension Regional Sustainable Development Partnerships pawl0048@umn.edu Terry Chaney Home Energy Squad Outreach Specialist Neighborhood Energy Connection terryc@thenec.org
Tips for Your Networking
Networking with Developers