Phoenix   Grid Alternatives Solar Rehabilitation Presentation
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Phoenix Grid Alternatives Solar Rehabilitation Presentation

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HUD Phoenix Energy Workshop

HUD Phoenix Energy Workshop
September 16-17, 2008

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Phoenix   Grid Alternatives Solar Rehabilitation Presentation Phoenix Grid Alternatives Solar Rehabilitation Presentation Presentation Transcript

  • GRID Alternatives Solar for Low-Income Homeowners Incorporating Solar Energy Into City Programs Sept 16, 2008 Erica Mackie Executive Director GRID Alternatives Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Outline •Introduction to GRID Alternatives •Solar Basics and Benefits •Economics of Solar •Rebates •Tax Credits •City Housing Programs and Solar •GRID Alternatives’ Model and Protecting Families Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Background Non-profit organization CA licensed C-10 electrical contractor Mission: to empower communities in need by providing renewable energy and energy efficiency services, equipment and training Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Energy Efficiency Team Program Volunteer teams perform energy upgrades and water conservation measures for low- income, elderly, and disabled homeowners in partnership with local chapters of Rebuilding Together. Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Solar Affordable Housing Program Volunteer recruitment and training to provide free installation of solar electric systems Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Solar Basics Photo – voltaic Solar Electric Systems: - Use the sun’s light, not heat -Offset electricity usage not gas - Different from solar hot water and thermal systems -Grid-tied not off grid Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Why Solar for Low-Income Families •Environment Reduction of green house gases •Environmental Justice Power plants often sited in low-income communities High rates of asthma •Economic High energy costs Significant savings Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Why Local Housing Departments? Know their communities and are mission driven Provide breadth of rehab services tailored to low-income families •Enable homeowners to continue living safely in their homes •Low-income homes often not solar ready (roofs, fuses) Able to offer loan terms that can make it possible for day one positive cash flow Flexible so homeowners are not in jeopardy of defaulting on bank loan and losing their home Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Why A Non-Profit? Mission to serve low-income families Outreach and education are as important as design and installation How to maintain a solar electric system How to read and understand changes to utility bill How to use energy responsibly Sweat equity investment gives a greater sense of ownership Free installation makes solar affordable for low-income families Community involvement educates and brings together the whole community and proves solar is a viable solution in any community Provides “hands-on” experience for job training programs Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 1. Client identified either by GRID Alternatives or by Housing Dept Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 2. GRID conducts site visit and determines solar feasibility • Is there adequate roof space? -120 square feet per kW for pitched roof -175 square feet per kW for flat roof • Is the roof space unshaded? • Is the roof space facing south or southwest? • If working on retrofit project, is the roof in good condition or is reroofing planned? Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 3. GRID educates homeowner and provides costs/savings numbers Determine system size by matching system output with annual electricity use -Accounting for energy efficiency savings -Be conservative to avoid oversizing system Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 4. Housing Dept conducts site visit and determines additional scope of work, helps hire other contractors, and processes loan Housing Rehabilitation Program HUD – CDBG Home Improvement Program Loans Neighborhood Services Grants Program Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 5. GRID coordinates directly with roofer and electrical contractor Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 6. GRID processes all rebate, utility, and permit paperwork -Submit rebate reservation -Order materials -Pull permit -Submit utility interconnection agreement -Pass inspections -Submit Incentive Claim Form Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 7. GRID conducts mandatory training for volunteers Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 8. Housing Dept issues check from loan payable to solar equipment supplier Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 9. GRID installs system once all other rehab work is complete Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Working Together Step 10. GRID provides warranty and homeowner follow up and education Industry-standard warranties: 25-year Module warranty 15-year Inverter warranty 10-year Labor warranty Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Retail Cost of System •Cost of System Retail •Panels (approx. $6 per Watt) •Inverter (approx. $1 per Watt) •Balance of System (approx. $1 per Watt) •Installation (approx. $1-2 per Watt) 2.0 KW system approximately $20k Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Solar Resources www.dsireusa.org – Database of State Incentives for Renewables and Efficiency www.azsolarcenter.com – Arizona Solar Center – Non-profit promoting the use and utilization of solar energy www.arizonasolarindustry.org – Arizona Solar Energy Industries Association – Non-profit trade association Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Available Rebates APS •$3/Watt DC SPR •$3/Watt DC Tuscan Electric Power (TEP) and UniSource Energy (USE) •$3/Watt DC •Capped at 60% of costs •Combined tax credit plus rebate can be no more than 85% of costs (customer must pay 15% out of pocket) Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Tax Credits Arizona State Tax Credit •25% on up to $4,000 (max $1,000 tax credit) Federal Tax Credit •30% of out of pocket cost (after rebate) •$2,000 cap for residential and no cap for commercial Homeowner must have tax liability to take advantage of it Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Economic Benefit to the Homeowner Typical Size of PV System 2.0 kW Retail Cost of PV System ($9.50/W) $19,000 Rebate ($3/Watt DC Incentive) $ 6,000 Net Cost of PV System (with free installation from GRID $ 7,000 Alternatives) Estimated Monthly Savings (6.5 Sunhrs/day, $0.09/kWh) $ 36 /month Estimated Savings Over System Lifetime (3% electricity $18,000 price inflation) Net Savings to Homeowner (after loan payments at 3% $8,400 interest over 30 years and inverter replacement at 15 years) Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives Protecting Low-Income Families • Positive cash flow from day 1 • Extensive homeowner outreach and education throughout the process • Homeowner engagement and post installation education (how to read bill, how to save for inverter replacement, maintenance) • Mission based loan to assure not putting homeowners in jeopardy of loosing their home. • Coordination between loan program and solar installer to make sure additional health and safety issues are address and adequate coordination between roofer, electrical, and solar • Conservative savings estimates (Nameplate watts vs real world conditions, local sunhours, and utility price inflation) Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives GRID Alternatives and HUD Partnership Model • Outreach, homeowner education, community involvement, and installation costs funded from separate grants and donations (not passed on to homeowners) • GRID Alternatives assumes rebate cash flow for homeowners • Local government home rehab loan helps homeowner finance after rebate, after free installation hard equipment costs • Non-profit, mission based installer model with extensive homeowner education and follow-up (including labor warrantee) Generating Renewable Ideas for Development Alternatives
  • GRID Alternatives GRID Alternatives 1610 Harrison Street, Ste C Oakland, CA 94612 www.gridalternatives.org Tel: 510-550-8535 x314 Erica Mackie emackie@gridalternatives.org Generating Renewable Ideas for Development Alternatives