MassCEC Areas of Focus Idea Research Development Manufacturing Project/Installation Renewable Investments in Clean Technology Energy Generation Workforce Development Clean Energy Sector Development
MassCEC Eligible Customers Source of funding is a Systems Benefits Change on ratepayers’ electric bill Available for customers of IOUs and MLPs that opt-inA list of eligible MLPs is available at:http://www.masscec.com/solar
Renewable Energy Generation Division Idea Research Development Manufacturing Project/Installation Renewable Energy Generation Offshore Low Income SREC Comm. Solar Comm. Hydro Comm. Wind Wind & Partnerships Management Marine
Program Overview Commonwealth Solar Commonwealth Solar Commonwealth Solar I Commonwealth Solar II Stimulus
Rebates and Other Incentives Rebates SRECs Database of State Incentives for Renewables & Efficiency (www.dsireusa.org) Federal Tax Credits • Accelerated Depreciation (MACRS) • Investment Tax Credit (ITC) State Tax Credits • Property Tax Exemption • Sales Tax Exemption Other Incentives • Net Metering
Project Financing ModelsVarious Options Available: Direct Ownership Maximizes value of electricity generated 3rd Party Ownership Hedges against future electricity price increases Minimizes up front cost and O&M costs Leverages tax incentives to reduce overall project cost Leasing Potential revenue generator
3rd Party Ownership Commonwealth Solar 3rd Party Ownership Projects 160 140 120 100 # of Projects 80 Commercial Public 60 Residential 40 20 0 Month
Public Projects Yarmouth Town Hall 12.6 kW System
Public Projects (cont.) Medway Public High School 132 kW System
Public Projects (cont.) Watertown Police Station 28.42 kW
Commonwealth WindPrograms overview Micro Scale Community Scale Commercial Scale • Assistance for commercial- Assistance for public and Rebates for construction scale wind projects in early, high- non-public utility-scale of responsibly-sited and risk, stages.Purpose wind projects, from early well-performing small • Identify and evaluate potential assessment to wind installations sites for commercial wind construction projects (state facilitated wind) 100 kW – 10 MW, typicallyEligibility Turbines <100 kW ~ 2.5 MW – 30 MW net metered • Feasibility study grants up to $55,000 • Site Assessment • Installation rebates • Development Loans up to services for public entities determined by kW and $250,000 • Feasibility Study grantsIncentive kWh produced. • Early-stage technical and up to $85,000 • Maximum of environmental site assessments • Design & Construction $130,000. (state facilitated wind) grants up to $400,000 • This program is being modified to address earlier stage risk.
Map of Community Scale Wind ProjectsInstalled and Pipeline as of 12/07/10
Community Scale WindAwards as of 12/07/10* Design & Site Assessments Feasibility Studies ConstructionFunds awarded $300,296 $5,120,017 $23,708,840MW awarded 48.4 MWProjects awarded 50 102 42Average cost $6,005 $58,668 $4,107,008$/projectAverage incentive % of 100% 86% 14%costMW installed 15.9 * Data includes projects from the Large On-site Renewables Initiative (LORI) and the Community Wind Collaborative, predecessor programs that made awards for community scale wind projects prior to launch of Commonwealth Wind in 2009.