7 Cost Effective Insulation Cellulose in the attic floor, R 3.5 per inch (18” for an R-63)Low Density Foam in the walls, R 3.9 per inch (12” for a cavity insulation of R-46.8).Note, We now mainly use ThermoSeal 500, R 3.8 per inch. It is a water based foam, reducing blowing agent off-gassing concerns.
8 The Groton Built in Townsend, MA in (a home with 12 months of utility statements showing positive energy)
25 Price PointInnovations in bringing Zero Energy Homes to the marketplace contribute to this price point:Utilizing the Federal PV cash incentives and the new S-RECSLease PV systemsCost effective HVAC systems
26 Solar Electric Installations R. Carter ScottTransformations, Inc.
29 Solar Electric System Farmhouse II Model 36 panels210 watts per panel3 strings of panelsRackingInverter
30 Solar Electric Installation Options Short on capital?Lease with no money downReceive a 10% discount on the power produced.Have the capital?Buy the systemEnjoy the incentivesBecome cash flow positive in about 6-7 years
31 Solar Electric Installations 7.56 kW Case Study---Costs The typical cost per watt is $5.50For the 7.56 kW system, the cost is $41,580Micro-inverters add about 50 cents per watt.High efficiency panels (SunPower ~18% efficiency) add about $1 per watt.
32 Solar Electric Installations 7.56 kW Case Study---Incentives The Federal tax credit is 30%: $12,474 for a $41,580 system.Massachusetts has a $1,000 tax credit per systemThe Massachusetts Clean Energy Center (CEC) has a $2,000 incentive (with MA component adder).Plus S-RECS (see next slides)
33 Renewable Portfolio Standards Massachusetts has a Renewable Portfolio Standard (RPS). It requires a growing percentage of the electricity to be renewable (RPS Class 1).For 2011, the RPS is 6% of the electricity sold.The RPS is expected to go up 1% per year for several years.
34 Solar Carve OutThere is a carve out for solar electricity (RPS Class 1 Solar Carve Out).The solar carve out percentage of 5% of the Renewable Energy Portfolio (RPS) standard.For 2011, the solar carve out is 5% of the 6% Renewable Portfolio Standard requirement (.05 times .06 or .003).
35 Alternative Compliance Payment Rates If the utility does not have the solar carve out percentage it either needs to pay the ACP rate for 2012 of $550 or…Purchase Solar Renewable Energy Credits.
36 S-RECs Cash Flow YR 1 An S-REC is 1,000 kilowatt hours or a megawatt This 7.56 kW system will generate about 9,072 kilowatt hours in the first year (9 SRECs).The utilities are currently paying about $20 less than the penalty for the S-RECS and there is an aggregator fee of about 7% ($530 *.93 = $493)9 S-RECs times $493 = $4,437 in year 1.
37 Solar Electric Installations S-REC Cash Flow YR 2-10 The system will likely lose about 1% efficiency per year in overall production.The ACP rate will decrease in value over the course of the rest of the S-REC life (years 2-10).With a averaged efficiency loss of about 5% and an averaged S-REC value reduction of about 20% (the chart DOER chart has an average reduction of 16%) year 2-10 should average about $3,328 per year or $29,952 in years 2-10.Total S-REC income of about $34,389 over 10 years!!!
38 Year ACP Rate per MWh 2012 $550 2013 2014 $523 2015 $496 2016 $472 YearACP Rate per MWh2012$55020132014$5232015$4962016$4722017$4482018$4262019$4042020$3842021$3652022$347
39 Solar Electric Installations Electrical output of the system The 7.56 kW system will generate about 9,072 kilowatt hours in the first year, and average about 8,618 per year for the first 10 yearsAt $.17 per kilowatt hour, that is $1465 per year or 14,650 over a ten year period.
40 Solar Electric Installations Total Revenue over 10 years The Federal tax credit: $12,474Massachusetts tax credit: $1,000The Massachusetts CEC: $2,000S-RECs: $34,389Electricity: $14,650Total Revenue: $64,513
41 Solar Electric Installations Total Revenue over 10 years Total Cost: $41,580 ($5.50 per watt)10 year return: $22,93320 more years of electricity and regular RECs free and clear!
43 Carbon Reduction Transportation Sector With a Positive Energy Home, we can reduce our share of the 40% of the carbon that is associated in the United States with the transportation sector.
44 Option 1: Produce more renewable energy With higher efficiency panels (18% instead of 14%), more power can be generated on the roof.Our 7.56 kW example can yield kW with SunPower panels.This is 33% additional power2.52 kW for our home
45 A Custom Home in Princeton, MA with a 14.4 kW PV system HERS Index of -9
53 Charging stations on the Street PV Powered AutomobileCharging stations on the Street
54 Some of the vehicles in the pipeline for 2010-12 NissanChevroletMitsubishiFordTeslaSmart
55 Plug-In Vehicles Enter Markets in Late 2010 - What is the Near-Term Achievable Market Penetration? Market penetration grows as vehicle production numbers increase, new models are introduced, and economies of scale drive down prices. (source: Southern California Edison) & Obama goal of 1 million Ev’s by 2020
57 Resources…The Massachusetts Clean Energy Center (CEC) website:The Massachusetts Department of Energy Resources website:The DSIRE website has lists of utility sponsored financial incentive programs, Mass CEC rebates, and all state and federal energy efficiency tax credits:The Transformations, Inc. website:
58 Net Zero Energy Housing Workshop Questions?Carter Scott, President, Transformations, Inc.Zero Energy HomesSolar Electric Installations