Solar Powering Your Community Workshop

Actionable Steps for Adopting Solar in Your Community

Wednesday, September 26, 2012

8:30 a.m.-12:30 p.m.

Hosted by

Ohio-Kentucky-Indiana Regional Council of Governments

About the SunShot Solar Outreach Partnership

SolarOPs is a U.S. Department of Energy (DOE) program designed to increase the use and integration of solar energy in communities across the United States. The International City/County Management Association (ICMA) and ICLEI-Local Governments for Sustainability and their partners were competitively selected by DOE to conduct outreach to local governments across the United States, enabling them to replicate successful solar practices and quickly expand local adoption of solar energy. The U.S. Department of Energy SunShot Initiative is a collaborative national effort to make solar energy systems cost-competitive with other forms of energy before 2020. To drive down the cost of solar electricity, the U.S. Department of Energy is supporting efforts by private companies, academia, and national laboratories.

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Regional Solar Workshop: Greater Cincinnati

Agenda
8:30 8:40 8:50 9:20 10:05 10:15
Welcome (5-10 Min) Edwin Humphrey, OKI President SunShot Intro (5 Min) & Agenda Overview (5 Min) Philip Haddix, Project Manager, The Solar Foundation Solar 101 Module (30 Min) Philip Haddix, Project Manager, The Solar Foundation Innovative Financing (45 minutes) Justin Barnes, Senior Policy Analyst, North Carolina Solar Center Break (10 minutes)

Expert Panel (60 minutes) Steve Melink, Melink Corporation (20 minutes) Local project successes and perspective on local challenges Siobhan (Shauvaun) Pritchard, Dovetail Solar &Wind (20 minutes) Solar Successes in our Community Larry Falkin, City of Cincinnati (20 minutes) Cincinnatis solar utilization, solar power purchase agreement and LEED incentive Panel/Audience Discussion (30 minutes) Moderated by Julie Jones, Green Umbrella ReNew Action Team Chair What are the opportunities and benefits of solar for our communities and region? Wrap Up & Closing Remarks (15 minutes) Travis Miller, OKI Regional Planning Manager Boxed Lunch, Networking and Opening of Mini Expo

11:15

11:45 12:00

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Justin Barnes co-coordinates the N.C. Solar Center's activities under

the SunShot Solar Outreach Partnership, a project funded by the U.S. Department of Energy. In addition, Justin leads DSIRE's policy research in Maryland, New Jersey, New York and Pennsylvania, and contributes heavily to DSIRE's federal policy research. Justin also manages DSIRE's quantitative RPS research and has spearheaded research on state-level public benefits funds that support renewables. His research interests include innovative financing mechanisms, solar renewable energy certificate (SREC) markets, and net metering in states with retail electric choice. He joined the N.C. Solar Center in 2007. Justin received an M.S. in environmental policy from Michigan Technological

Larry Falkin

is Director of the City of Cincinnatis Office of Environmental Quality (OEQ). OEQs mission is to lead Cincinnati city government and the broader community toward sustainability and the practice of good environmental stewardship. OEQ has actively promoted energy efficiency and renewable energy use by Cincinnati City Government and the broader community. The City has completed energy efficiency retrofits on 70 City buildings, reducing energy costs by more than $1 million/year, and has completed solar panel installations on 20 City buildings, with another one currently under construction. Prior to his current role, Mr. Falkin held positions with: the City of Kansas City, MO; the U.S. EPA; and the Environmental Compliance Oversight Corporation (ECOCorp). Mr. Falkin has a B.A. from SUNY-Binghamton and a J.D. from Pace University.

Philip Haddix manages a number of The Solar Foundations projects and performs research in support of new and existing initiatives. Philip is active in executing the foundations duties under the SunShot Solar Outreach Partnership program and is assisting in the planning and implementation of the organizations proposed SolarSmart Schools initiative. Philips prior professional experiences in the energy and environmental arena include stints with the Sierra Club/Blue Green Alliance and the Solar Energy Industries Association. He holds a Masters of Public Affairs from the School of Public and Environmental Affairs at Indiana University with concentrations in Energy and Environmental Policy and a bachelors degree in Anthropology from the University of West Georgia. Philip has also been accredited as a LEED Green Associate by the U.S. Green Building Council. University and a B.S. in geography from the University of Oklahoma.

Philip Haddix, Project Manager:

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Julie Jones, Chief Marketing Officer for Solar Earth and Chair of the
renewable energy action team under the Green Umbrella, has a back ground in high efficiency and green energy projects for fortune 500 companies, major industrial customers, and municipality from her time with Cinergy Solutions (the on-site power division of Cinergy Corp. now Duke). With experience in both traditional and social media marketing, Ms. Jones, is uniquely qualified to put the spot light on solar power and raise awareness of the growing potential and innovation in the solar industry. A self described solar enthusiast, Ms. Jones has been watching the solar field for years and is posed to position Solar Earth as an industry leader.

Steve Melink is the founder, owner, and president of Melink Corporation, a

provider of building commissioning services, energy-saving kitchen ventilation controls, and solar PV systems for the commercial and institutional building industry since 1987. Customers include national restaurant, retail, supermarket, and hotel chains, as well as schools, hospitals, and federal, state, and local governments. Steve is a licensed Professional Engineer in Ohio and holds a BSME degree from Vanderbilt University and MBA from Duke University. He is a board member of the USGBC Cincinnati Chapter, Cincinnati Green Umbrella, Green Energy Ohio, and Advance Energy Economy. He is also a member of American Society of Heating, Refrigeration, and Air Conditioning Engineers and Association of Energy Engineers. Melink Corporations headquarters in Cincinnati is the first LEED-Gold NC and LEED-Platinum EB certified office building in the State of Ohio. It is also Energy Star certified with a rating of 99 out of 100. In 2010 the Association of Energy Engineers awarded their building the Renewable Energy Project of the Year. And their building is one of the first in the U.S. and world to become net-zero energy. Steves goal is to help mainstream the sustainability movement through positive leadership. In addition to walking the talk at his home and business, he has actively promoted energy efficiency and renewable energy at the local, state and national level. He believes that energy is at the core of some of our most pressing challenges in the U.S, including economic growth, national security, environmental health.
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is Dovetail Solar and Winds Regional Development Manager for Southwestern Ohio, Indiana and Kentucky. Mrs. Pritchard oversees the coordination of project development, integrating the design and project management teams to yield cohesive project implementation. She joined Dovetail Solar and Wind in July, 2009 after 16 years in technical medical sales with both Pfizer, Inc. and Care Rehab. Mrs. Pritchard was awarded Green Energy Ohios Southwest Ohio Volunteer of the Year in 2010 for her leadership role in GEOs fundraising campaign and is in the NABCEP certification process. She serves as a board member for the Kentucky Solar Energy Society. Mrs. Pritchard holds a B.A. in Economics and Business Administration from Transylvania University and a MBA from Vanderbilt University. Some of the projects she has developed include: The Turkey Foot Middle School in Edgewood, KY, The Well Field Solar Project for the Village of St. Paris, OH, The PPA projects for The City of Cincinnati, the Waste Water Treatment Plants for the City of Xenia, OH, commercial projects at The Brazee Street Studios in Cincinnati, OH, BuyCastings Foundry and Offices in Miamisburg, OH, and the Bowman and Landes Turkey Farm in New Carlisle, OH.

Siobhan C. Pritchard

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Solar Powering Your Community Addressing Soft Costs and Barriers

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Justin B J ti Barnes
NC Solar Center / DSIRE justin_barnes@ncsu.edu (919) 515 - 5693

Philip H ddi Phili Haddix

The Solar Foundation phaddix@solarfound.org (202) 469-3743

About the SunShot Solar Outreach Partnership

About the SunShot Solar Outreach Partnership

Increase installed capacity of solar electricity in U.S. communities Streamline and standardize permitting and interconnection processes Improve planning and zoning codes/regulations for solar electric technologies Increase access to solar financing options

The SunShot Solar Outreach Partnership (SolarOPs) is a U.S. Department of Energy (DOE) program designed to increase the use and integration of solar energy in communities across the US.

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About the SunShot Solar Outreach Partnership

Resource Solar Powering Your Community Guide

About the SunShot Solar Outreach Partnership

Resource Sunshot Resource Center Case Studies Fact Sheets How-To Guides How To Model Ordinances Technical Reports

A comprehensive resource to assist local governments and stakeholders in building local g solar markets.
www.energy.gov

Sample Government Docs www4.eere.energy.gov/solar/sunshot/resource_center

About the SunShot Solar Outreach Partnership

Technical Support Ask an Expert Live Web Forums Ask an Expert Web Portal Peer Exchange Facilitation Peer In-Depth Consultations Customized Trainings www4.eere.energy.gov/solar/sunshot/resource_center For more information email: solar-usa@iclei.org

Poll Whos in the room?

Poll What is your experience with y p solar?

Workshop Goal
Enable local governments to replicate successful solar practices and expand f l l ti d d local adoption of solar energy

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Activity: Identifying Benefits

Explore benefits
and

What is the greatest benefit solar can bring to your community? [Blue Card]

Ri h Now Right N

During S i D i Session

Aft B After Break k

Overcome barriers
Write answer on card Compile results Group discussion

Activity: Addressing Barriers

What is the greatest barrier to solar adoption in your community? [Green Card]

Installed Capacity

Ri h N Right Now

D i S i During Session

Aft B After Break k

Germany y 35.6%

Write answer on card

Compile results

Group discussion

http://www.map.ren21.net/GSR/GSR2012.pdf

Installed Capacity
Total installed solar capacity in the US Capacity installed in Germany in Dec 2011

The Cost of Solar in the US

4 GW 4 GW
Source: NREL (http://ases.conference-services.net/resources/252/2859/pdf/SOLAR2012_0599_full%20paper.pdf) (http://www.nrel.gov/docs/fy12osti/53347.pdf) (http://www.nrel.gov/docs/fy12osti/54689.pdf)

http://www.map.ren21.net/GSR/GSR2012.pdf

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The Cost of Solar in the US

The Cost of Solar in the US

Profits,Taxes, & Overhead

Source: NREL (http://ases.conference-services.net/resources/252/2859/pdf/SOLAR2012_0599_full%20paper.pdf) (http://www.nrel.gov/docs/fy12osti/53347.pdf) (http://www.nrel.gov/docs/fy12osti/54689.pdf)

Source: NREL (http://ases.conference-services.net/resources/252/2859/pdf/SOLAR2012_0599_full%20paper.pdf) (http://www.nrel.gov/docs/fy12osti/53347.pdf) (http://www.nrel.gov/docs/fy12osti/54689.pdf)

The Cost of Solar in the US

Solar Soft Costs

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Source: NREL (http://ases.conference-services.net/resources/252/2859/pdf/SOLAR2012_0599_full%20paper.pdf) (http://www.nrel.gov/docs/fy12osti/53347.pdf) (http://www.nrel.gov/docs/fy12osti/54689.pdf)

Solar Technologies

Solar Technologies

Solar Photovoltaic (PV)

Solar Hot Water

Concentrated Solar Power

Solar Photovoltaic (PV)

Solar Hot Water

Concentrated Solar Power

23

24

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Some Basic Terminology

Cell

Some Basic Terminology

Panel / Module

Array

Some Basic Terminology

Some Basic Terminology

Residence 5 kW Factory 1 MW+

Production Kilowatt-hour (kWh)

e- e- eCapacity / Power kilowatt (kW)

Office 50 500 kW

Utility 2 MW+

Benefits of Solar Energy

Local economy growth Local jobs Energy independence Stabilizes price volatility Valuable to utilities Smart investment

Fact: Solar works across the US

4.62KWh/m2/day

29

Source: National Renewable Energy Laboratory

30

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Regional Solar Market

20

Comparison: Regional PV Financial Incentives

Ohio Kentucky
RevolvingLoansforState g Agencies TVAPrograms OAQDAIncentives; Commercial/ Utility Exemptions $3.00/W; Max.$1,000 $3.00/W; Max.$500

MegawattsIn nstalledCapacity

Indiana
IP&LRebate: $2.00/Wupto19.9kW IP&LRateREP NIPSCOFeedinTariff Assessed valueofPV systemisexemptfrom Res/Com/Ind Prop.Tax

15

Rebates StateGrants

AEP Ohio:$1.50/Wupto 50%ofcostor$12k/$75k ECOLink; ; EnergyLoanFund LocalOption SRECs

10

State Loans PACEFinancing

Prod. Incentives Corp.TaxCredits

0 2008 2009 2010 2011 Pers. TaxCredits Prop. Tax Incentives

Ohio

Indiana

Kentucky

Source: IREC

Ohio State Loan Programs

Energy Conservation for Ohioans (ECO-Link):
Offers homeowners reduced interest rates on loans for renewable energy or energy efficiency upgrades offered by participating banks; maximum incentive = 3% rate reduction for up to $50,000 and 7 years of the bank loan

AEP Ohio: Solar Rebates

Multi-Sector, esp. Residential, Commercial, Public, Nonprofit $1.50/W Max incentive: 50% of system costs up to $12,000 t t $12 000 (Residential) or $75,000 (Non-residential) Net metering and Interconnection to AEP grid Surrender RECs (15 yrs.)

Energy Loan Fund:

Offers public entities, manufacturers, and small businesses loans for RE and EE upgrades Public and nonprofit entities: 90% of project costs or $1 million

Renewable Portfolio Standard

Renewable Portfolio Standard

Renewable Energy

$e
Fossil Fuel

Tworevenuestreams

Utility

Any electricity source

eRenewable Energy

REC $ $

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Renewable Portfolio Standard

Solar carve-out

Solar Renewable Energy Credits (SRECs)

Three Requirements: RPS solar carve out Unbundled, tradeable credits Penalty for non-compliance
solar alternative compliance payment (SACP)

Renewable Energy

Any electricity source

Alternative Energy Portfolio Standard

12.5% from renewables by 2024 for IOUs and retail suppliers At least half of this renewable energy must be generated at facilities in Ohio 12.5% from advanced energy resources by 2024 Solar carve-out of 0.5% of total electricity supply by 2024

SRECs in Ohio
SACP: $350/MWh (2012 and 2013); declines by $50 biannually Two Markets: In-State (50%) Out-of-State (50%) PA, IN, KY, WV, MI

Renewable Portfolio Standard

www.dsireusa.org / August 2012.

Performance Incentives: IN
Indianapolis Power & Light Rate Renewable Energy Production (REP)
15 year contract; $0.24/kWh (20 kW 100 kW); $0.20/kWh (100 kW 10 MW)

NIPSCO Feed-in Tariff:

Washington DC and 2 territories,have Renewable Portfolio Standards

29 states,+

15 year max. contract term; $0.30/kWh (10 kW or less); $0.26/kWh (10kW 2 MW); 500 kW allocated for small scale solar ( 10 kW)

(8 states and 2 territories have renewable portfolio goals).

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Performance Incentives: KY
TVA Generation Partners:
Up to 50 kW; $1,000 + $0.12/kWh above retail; 10-yr. contract;

Net Metering

TVA Mid-Size Program Standard Offer:

50 kW 20 MW; variable seasonal/TOD rates from $0.035/kWh - $0.16/kWh; Avg. $0.055/kWh (3% escalation); 10 to 20-yr. contract

Net metering allows customers to export p power to the grid during times of excess g g generation, and receive credits that can be applied to later electricity usage

Net Metering: Overview

Morning

Net Metering: Overview

Afternoon

ExcessCredits

Customer

Utility

Customer

Utility

Net Metering: Overview

Night

Net Metering: State Policies

www.dsireusa.org / August 2012.

DC

Customer

Utility

Solar covers 100% of the customers load, even at night!

+ Washington DC & 4 territories,have adopted a net metering policy.

Note:Numbersindicateindividualsystemcapacitylimitinkilowatts.Somelimitsvarybycustomertype,technologyand/orapplication.Otherlimitsmightalsoapply. Thismapgenerallydoesnotaddressstatutorychangesuntiladministrativeruleshavebeenadoptedtoimplementsuch changes.

43 states,

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Net Metering: Market Share

Net Metering: Resources

Resource Freeing the Grid

More than 93%

of distributed PV Installations are net-metered

Provides a report card for state policy on net metering and interconnection

http://freeingthegrid.org/

Source: IREC (http://www.irecusa.org/wp-content/uploads/IRECSolarMarketTrends-2012-web.pdf)

Net Metering: Ohio

Net Metering: Ohio

Source: Freeing the Grid

Source: Freeing the Grid

Net Metering: Ohio

Net Metering: Resources

Resource Interstate Renewable Energy Council

Recommendations:
Credit Net Excess Generation at the retail rate and provide the option of indefinite rollover Adopt safe harbor language to protect customer-sited generators from extra and/or unanticipated fees Specify that customer RECs belong to the

IREC developed its model rules in an effort to capture best practices in state net metering policies.
www.irecusa.org

Source: Freeing the Grid

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Interconnection

Interconnection: Best Practices

1. Use standard forms and agreements

5,000+ utilities
with unique interconnection procedures

2. Implement expedited process 3. Implement simplified procedure for small solar arrays

Source: NREL (http://www.nrel.gov/docs/fy12osti/54689.pdf

Interconnection: Ohio

Interconnection: Resources
Resource Interstate Renewable Energy Council

Recommendations:
Remove requirements for redundant external disconnect switch Expand interconnection procedures to all utilities (i.e., munis and co-ops)

IREC developed model interconnection procedures in an effort to capture emerging best practices in this vital area.
www.irecusa.org

PV and Property Taxes

Ohio Air Quality Development Authority Air-Quality Improvement Tax Incentives
Qualifying projects (including PV) financed through OAQDA bonds or notes can receive a 100% exemption from p personal and real property taxes p p y

Solar Access
Solar Access Laws:
1. Increase the likelihood that properties will receive sunlight 2. 2 Protect the rights of property owners to install solar 3. Reduce the risk that systems will be shaded after installation

Qualified Energy Property Tax Exemptions:

Systems 250 kW exempt from utility real and property taxes Systems > 250 kW also exempt, but requires payment in lieu of taxes of $7,000/MW Applies to facilities that generate electricity for sale to 3rd parties

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Solar Access

Solar Easements: Ohio

Ohio law allows property owners to create binding solar easements for the purpose of protecting and maintaining proper access to sunlight. Easements must be executed in writing and are subject to the same conveyance and recording requirements as other easements.
U.S. Virgin Islands

DC

Solar Easements Provision Solar Rights Provision Solar Easements and Solar Rights Provisions

Local option to create solar rights provision

Source: DSIRE

Solar Access
Resource Solar ABCs A comprehensive review of solar access law in the US Suggested standards for a model ordinance

Q &A

www.solarabcs.org

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Understanding Solar Financing

PACE Private PPA/Lease Sponsored Loan QECBs Public PPA/Lease NonQECB Debt New Model?

Financing

Morris Model

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Third Party Ownership

Third Party Ownership

Pros Cons
Market electricity price risk Opportunities may be limited in some locations Dont keep RECs No upfront cost No O&M costs Low risk Developer Predictable payments

PowerPurchase Agreement

e$ Customer
REC

3rd-Party Solar PV Power Purchase Agreements (PPAs)

www.dsireusa.org / August 2012

Qualified Energy Conservation Bonds

What?
Tax credit or direct payment subsidy

Why?
RI:maybelimitedto certainsectors UT:limitedto certainsectors

Subsidy lowers the effective cost of capital

VA:seenotes

R l Relevance f S l ? for Solar?

Financing public facilities (numerous) Green Community programs (a few)

AZ:limitedto certainsectors

At least 22 states + PR authorize or allow 3rd-party solar PV PPAs

How?
State allocation or automatic allocation

Authorized by state or otherwise currently in use, at least in certain jurisdictions within in the state Apparently disallowed by state or otherwise restricted by legal barriers Status unclear or unknown

Puerto Rico

Note: This map is intended to serve as an unofficial guide; it does not constitute legal advice. Seek qualified legal expertise before making binding financial decisions related to a 3rd-party PPA. See following slides for additional important information and authority references.

Qualified Energy Conservation Bonds

Property Assessed Clean Energy

City creates type of land-secured financing district or similar legal mechanism (a special assessment district)

Property owners voluntarily signup for financing and make energy improvements

Proceeds from revenue bond or other financing provided to property owner to pay for energy project

Property owner pays assessment through property tax bill (up to 20 years)

Local Examples??? Kentucky: Allocation mostly gone ($3M left) Ohio: 11 issuances to date ($95M left) Indiana: 2 issuances to date ($8.4M in state allocation remaining)
Source: National Association of State Energy State Energy Officials: State Financing Energy Resources.

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Property Assessed Clean Energy

www.dsireusa.org / August 2012.

Innovative: Morris Model

Public Debt PPA

MORRIS MODEL

28 states,
+ Washington DC, authorize PACE (27 states have passed legislation and HI permits it based on existing law). .
Source: NREL . 2011. Financing Solar PV at Government Sites with PPAs and Public Debt

PACE financing authorized by the state*

*The Federal Housing Financing Agency (FHFA) issued a statement in July 2010 concerning the senior lien status associated with most PACE programs. In response to the FHFA statement, most local PACE programs have been suspended until further clarification is provided.

Replication of Morris Model

Legality of PPA Model

Innovative: PACE + PPA

PACE PPA

Untested

Laws Governing Public Contracts Laws Governing Bonding Laws Government Procurement

Source: NREL . 2011. Financing Solar PV at Government Sites with PPAs and Public Debt

Source.Vote Solar. 2012. Commercial Scale Solar Financing PACE and Third-Party Ownership

Mitigate Soft Costs

Customer Acquisition

$0.56
per Watt

Solarize Group Purchasing

Source: NREL (http://www.nrel.gov/docs/fy12osti/54689.pdf)

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Solarize: Advantages
Barriers
High upfront cost Complexity Customer inertia

Solarize: Advantages
Benefits to Local Government: Low implementation cost: $10,000 - $20,000 Quick turn-around: 9 Months Long-term impact: Sustainable ecosystem

Solutions
Group purchase Community outreach Limited-time offer

Solarize: Process

Solarize: Case Study

Select Installer

Marketing & Workshops

Enrollment

Site Assessment

Decision & Installation

Harvard, Massachusetts Population: 6,520

Source:Wikipedia

Solarize: Case Study

Solarize Mass Harvard
Select Installer
April 2011

Group Purchasing
Average PV Cost July 2011: $5.75 / watt

Marketing & Workshops

Enrollment

Site Assessment

Decision & Installation

Dec 2011

April 2011

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Solarize: Case Study

Solarize Mass Harvard
Select Installer Marketing & Workshops
May July 2011

Solarize: Case Study

Marketing Strategy:
Electronic survey of 1,100 households

Enrollment

Site Assessment

Decision & Installation

Dec 2011

Email newsletters and direct mailings Float in July 4 parade Articles and advertisements in local newspaper Facebook page and online discussion board
Source:Vote Solar

April 2011

Solarize: Case Study

Solarize Mass Harvard
Select Installer Marketing & Workshops
429households signedup

Solarize: Case Study

Solarize Mass Harvard
Decision & Installation
Dec 2011 151feasible households

Enrollment
June Oct 2011

Site Assessment

Select Installer

Marketing & Workshops

Enrollment

Site Assessment
Oct 2011

Decision & Installation

Dec 2011

April 2011

April 2011

Solarize: Case Study

Solarize Mass Harvard
Select Installer Marketing & Workshops Site Assessment
75Contracts

Group Purchasing

403kWcapacity contracted

Enrollment

Decision & Installation

Oct Dec 2011

April 2011

Dec 2011

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Solarize: Case Study

Solarize: Lasting Impact

75 new installations totaling 403 kW 30% reduction in installation costs d ti 575% increase in residential installations
Source: NREL

Lasting Impact

Solarize: Resources
Resource The Solarize Guidebook A roadmap for project planners and solar advocates who want to create their own successful S l i campaigns. f l Solarize i

Q &A

www.nrel.gov

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

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INSERT LOCAL EXPERT DECK

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Page 29

Page 33

12:00

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Agenda
08:30 08:50 08:50 09:20 09:20 10:05 10:05 10:15 10:15 11:15 11:15 11:45 11:45 12:00 12:00 Introductions & Overview Solar 101: The Local Solar Policy Environment Understanding Solar Financing Options Break Panel of Local Experts Panelist and Audience Discussion Wrap Up and Closing Remarks Boxed Lunch, Networking, Mini-Expo

Activity: Identifying Benefits

What is the greatest benefit solar can bring to your community? [Blue Card]

Justin B J ti Barnes
NC Solar Center / DSIRE justin_barnes@ncsu.edu (919) 515 - 5693

Philip H ddi Phili Haddix

The Solar Foundation phaddix@solarfound.org

Right N Ri h Now

During S i D i Session

Aft B After Break k

Write answer on card

Compile results

Group discussion

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Activity: Addressing Barriers

What is the greatest barrier to solar adoption in your community? [Green Card]

[ [Results from Survey] y]

Ri h Now Right N

During S i D i Session

Aft B After Break k

Write answer on card

Compile results

Group discussion

Activity: Next Steps

[ [Results from Survey] y]

What do you pledge to do when you leave todays workshop? [Orange Card]

Net Metering: Virtual

School

Net Metering: Meter Aggregation

Landfill TownHall

DC

Aggregation of some from authorized by state

ButIts complicated B I li d
PoliceStation

No direct connection necessary

Ownershiprequirements Contiguousvs.noncontiguous properties Multiplecustomers Multiplegenerators Modifiedsystem/aggregatesystem sizelimits

Rolloverrates Distancelimitations Numberofaccounts Howtoaddressaccountson differenttariffs

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Process

Ownership Structure Decision

Are you a taxpaying entity? Option 1: Direct Ownership Do you have access to financing or available cash? How does this compare to other opportunities?

Decideon Ownership Structure

C you enter into long-term contracts? Can i l ? Do you want to own the system? Option 2: Third Party Ownership Do you have a municipal utility? Do you need the RECs for compliance?

Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Decideon ecide on Ownership Structure

Third Party Ownership

Decideon ecide on Ownership Structure

Third Party Ownership

Option 2: Third Party Ownership

Option 2: Third Party Ownership

Step 1: Location Selection

Who is using the energy? Where is the energy being used? What is the users energy load?

Step 1: Location Selection

Rooftop

Ground

What is the users energy cost?

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Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Step 2: Site Assessment

Solar Access Rights Interconnection Wind loading
Third Party Ownership

Decideon Ownership Structure

Roof age, type, & warranty Electrical configuration Slope, Shading and orientation

Option 2: Third Party Ownership

Step 2: Site Assessment

Usable acreage Slope Distance to transmission lines Distance to graded roads Conservation areas

Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Decideon ecide on Ownership Structure

Third Party Ownership

Option 2: Third Party Ownership

Step 3: Finance Project

Direct purchase Grant financed ESCO/performance contracting Loans Bonds

Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Decideon ecide on Ownership Structure

Third Party Ownership

Option 2: Third Party Ownership

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Step 4: Installer Procurement

EPC = Engineer, Procure, Construct
Designs the project Completes necessary permitting requirements Works with the utility to file for interconnection Assists in procuring components Applies for incentives Manages project construction

Process
Direct Ownership
Location Selection Site Assessment Finance Project Installer Procurement Construction

Decideon Ownership Structure

Third Party Ownership

Option 2: Third Party Ownership

Direct Ownership
Pros
Low cost electricity REC revenue Maximize underutilized spaces

Process
Direct Ownership

Cons
Large upfront cost Long term management Cant take all incentives Development risk Performance risk
Decideon ecide on Ownership Structure

Third Party Ownership

Location Selection

Developer Procurement

PPA&Lease Negotiation

Construction

Process
Direct Ownership

Process
Direct Ownership

Decideon ecide on Ownership Structure

Third Party Ownership

Decideon ecide on Ownership Structure

PPA&Lease Negotiation Construction

Third Party Ownership

Location Selection

Developer Procurement

Location Selection

Developer Procurement

PPA&Lease Negotiation

Construction

RFPvs RFQ

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Step 2: Developer Procurement

Avoid Five Common Pitfalls:
RFP/RFQ specifications are too restrictive or too unstructured Competing measures of system efficiency Finding sufficient number of qualified bidders Lack of effective O&M program Lack of strong monitoring program
Source: NREL Webinar Procuring and Implementing Solar Projects on Public Buildings: How to Avoid Common Pitfalls December 8, 2010

Step 2: Developer Procurement

In Santa Clara County, CA, nine municipalities collaboratively bid out 47 sites. Benefits include:

50% savings in administrative costs 10-15% reduction in energy cost

Source: NREL Webinar Procuring and Implementing Solar Projects on Public Buildings: How to Avoid Common Pitfalls December 8, 2010

Process
Direct Ownership

Step 3: Contract Negotiation

Negotiation points:
Fixed or floating electricity price Price escalator

Decideon ecide on Ownership Structure

Contract term length

Third Party Ownership

Property taxes
PPA&Lease Negotiation Construction

Location Selection

Developer Procurement

Liability Performance guarantee Regulatory risk

Process
Direct Ownership

Third Party Ownership

Pros
No upfront cost No O&M costs

Cons
Market electricity price risk Limited oppo tu ty in te opportunity PA Dont keep RECs

Decideon ecide on Ownership Structure

Low risk
Third Party Ownership

Location Selection

Developer Procurement

PPA&Lease Negotiation

Predictable payments
Construction

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Factors PPA Providers Look For

States that allow PPA providers to operate without being regulated as utility State financial incentives tax credit or rebate REC market Good net metering and interconnection PPA providers allowed to net meter

Case Study: Kansas City

The City will lease 40 80 rooftop grid connected 25 kW solar PV installations

Source: Solar Ready KC

Case Study: Kansas City

Direct Ownership

Decideon ecide on Ownership Structure

Third Party Ownership

Location Selection

Developer Procurement

PPA&Lease Negotiation

Construction

Proposalsdue July2012

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OKISolarWorkshop
CincinnatiZooSolarCanopy CaseStudy
September26,2012
PresenterName Title Phone Email

Project Goals

SolidifyCincinnatiZooasNationsGreenest DemonstrateandEducatetheRegionOnSolarPV MorePredictablePowerCostForTheZoo SpurEconomicDevelopmentintheUptownArea

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ProjectChallenges
CostOfElectricPowerRelativelyLow AdditionalCostOfElevatedStructure AdditionalCostOfReconfiguringActiveParkingLot AdditionalCostToUpgradeElectricalInfrastructure MajorIncentive 1603Grant WasTimeSensitive

ElectricRateInflation
$0.11 $0.10 $0.09
Price ePerkWh

5.2%CAGR

12.4%Gap

$0.08 4.1%CAGR $0.07 $0 07 $0.06 $0.05 5.3%CAGR $0.04 2003 USCommercial 2004 2005 2006 OhioCommercial 2007 2008 6.0%CAGR 10.4%Gap

USIndustrial

OhioIndustrial

UtilityRateShocksArePossible
AgingCoalFleetWillRequireNewGeneration UtilitiesMustMeetOhioRenewablePortfolioStandards RenewableEnergy AdvancedEnergy:CleanCoal,Nuclear,EnergyEfficiency FederalEnergyPolicyand/orCleanAirRegulation

SmartGrid

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GlobalPVIndustryIsGrowingRapidly
Growth1978 2008From1MWpto>5GWp
6000.0 5500.0 5000.0 4500.0 4000.0 3500.0 3000.0 2500.0 2000.0 1500.0 1000.0 500.0 0.0 252.0 1.0 5.3 17.5 24.9 54.1 114.1 1049.8 1984.6 3073.0 5491.8

2003-2008 CAGR: 61.5%

CincinnatiZooSavings Years825
$800,000 $700,000

$600,000
Annu Savings ual

$500,000 5%Inflation 5% Inflation $400,000 7%Inflation 9%Inflation $300,000

$200,000

$100,000

$0 1 2 3 4 5 6 7 8 9 10
Year

11

12

13

14

15

16

17

18

PowerPurchaseAgreement

Variable
Period EnergyCost EnergyCostInflation

Amount
25Years $0.08 5.5%

Driver
NoUpfrontCost CurrentRate FutureExpectations

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FinancingFactors
TypeofInstallation SolarRadiation CurrentElectricRates FederalIncentives StateIncentives SRECs NMTCs DebtInterestRate EquityInvestorROR

Q Questions?

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Solar Makes Sense in Our Communities and Businesses

The City of Powell St. P i St Paris Washington Court House The City of Xenia City of Athens The City of Cincinnati
Siobhan C. Pritchard Regional Development Manager

The Reasons Are Clear Why Solar Makes Sense

Cost savings over the long term (longer now with

SREC declines)
Locks in a long term stable cost of electricity Moves a portion of operational expense to depreciable

capital expense (if using a PPA, depreciation is monetized and passed to end user) Reductions in greenhouse gas emissions Enables you/your community or business to be viewed as an environmental steward

The Requirements/Attributes of Funded PPAs

1. Investment Grade Host; What

is Your Bond Rating? 2. Favorable Site Conditions 3. Quality Component Selection 4. Realistic Production Modeling

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City of Powell Live Cameras

Powell Building and System Monitoring

Copyright 2009 Dovetail Solar and Wind

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TURKEY FOOT MIDDLE SCHOOL

384.5kW Roof PV System

58kW Solar Bus Canopy

Village of St. Paris Ohio

66kW Well Field

Washington Court House

250kW Service Center

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City of Xenia, Ford Road Waste Water

City of Xenia, Glady Run Waste Water

Glady Run Waste Water Treatment Plant, 158kW

Glady Run Waste Water Treatment Plant

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Athens Community Center

225 KW Solar Canopies

City of Cincinnati, College Hill Recreation Center 158.76kW

City of Cincinnati, College Hill Recreation Ctr. 158kW

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City of Cincinnati, Beekman Garage, 209kW

Beekman Garage, 209.49kW

How Did These Municipalities Make Solar Work?

Powell: Federal Energy Efficiency Grant of which solar was a component St. Paris: State of Ohio Department of Development 50% Grant, Monetized Depreciation, SRECs, 30% Federal ITC Washington Court House: State of Ohio Department of Development 50% Grant, Monetized Depreciation, SRECs, 30% Federal ITC City of Xenia: PPA, SRECs, Monetized Depreciation, 30% Federal ITC City of Cincinnati: PPA, SRECs, Monetized Depreciation, 30% FITC

Copyright 2009 Dovetail Solar and Wind

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The Take Away Points

Be Ready When Opportunity Knocks! Work with Reputable, Experienced EPC

Contractors
Start reviewing possible sites: Flat, unobstructed land, or Unobstructed rooftops with newer roofs Close to load centers Considerable loads, 200kW and above Power costs of 8-9 cents per kwatt hour and above

Meadow Springs Farm

Bowman & LandesTurkey Farm

Twenty First Century Energy Corp.

Beightler Armory

Turkey Foot Middle School

The City of Washington Courthouse, Ohio

Cincinnati Zoo Schott Education Center

Dovetail Solar and Wind

Founded in 1995 - one of Ohios

oldest & largest renewable energy design and installation firms Implement Solar Electric, Wind, & Solar Thermal systems throughout Ohio and surrounding states Offices in Athens, Cleveland, Columbus, Cincinnati, Toledo and Southern Michigan Over 240 systems installed (more than 4.5 MegaWatts)

Copyright 2009 Dovetail Solar and Wind

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Discussion and Q&A

Siobhan C. Pritchard Dovetail Solar & Wind
(513) 535-7445
spritchard@dovetailsolar.com

www.dovetailsolar.com

Commercial Solar, Pitched Metal Roof

Payback of under 10 years on roof or ground mounts Bowman and Landes Turkey Farms, New Carlisle, OH,

51kW

Commercial Flat Roof

Fortin Ironworks, Columbus, OH 69kW

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Commercial Metal Roof

Downing Enterprises, near Akron, OH, 44.8kW

Dual Purpose Raised Solar Structures

Challenges
Costs Financing Z i Zoning Permitting FAA-- https://oeaaa.faa.gov/oeaaa/external/portal.jsp

Copyright 2009 Dovetail Solar and Wind

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FAA Criteria
Within 10,000 feet of an airport, Within 5,000 feet of a public use heliport, Any highway, railroad or other traverse way whose

p prescribed adjusted height would exceed standards, j g ,

When requested by the FAA, Any construction or alteration located on a public

use airport or heliport regardless of height or location, Within an undetermined distance of a navigational beacon

Discussion and Q&A

Dovetail Solar & Wind Siobhan Pritchard SouthwesternOhio (513) 535-7445 spritchard@dovetailsolar.com www.dovetailsolar.com

Copyright 2009 Dovetail Solar and Wind

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