1. Solar Real Estate in Europe and Arizona April 14, 2010 Jennifer Del Castillo Re/Max Glendale, Arizona

2. Solar energy usage is expanding throughout Europe, with Germany in the lead. Combined photovoltaic modules and thermal collectors Solar school in Deutzen, Germany Solar retrofit apartment buildings

3. Renewable technologies are integrated into historic buildings and picturesque landscapes. Combined solar/wind farm St. Nicholas Church in Leipzig Energy-independent community

4. Solar homes are designed to provide building- integrated energy security. Solar town houses Solar suburb Solar model home

5. 20 20 by 2020 Europe's climate change opportunity Commission of the European Communities, January 23, 2008 “A reduction of at least 20% in greenhouse gases (GHG) by 2020 – rising to 30% if there is an international agreement committing other developed countries to ‘comparable emission reductions’…” “A 20% share of renewable energies in EU energy consumption by 2020.” (Current level 8.5 %) All EU countries are required to fulfill clean energy goals. In 2009, Germany generated 16.1 % of its electricity from renewable energies (mainly wind, biomass, and hydropower).

6. German grid feed-in legislation provides low-risk investment coverage of renewable generation. EEG (Erneuerbare Energien-Gesetz) The Renewable Energy Sources Act, revised in 2004 & 2009: www.erneuerbare-energien.de/files/pdfs/allgemein/application/pdf/eeg_verguetungsregelungen_en.pdf 20-year guaranteed payments per kWh are made for electricity fed into the grid from renewable sources. Priority grid feed-in insures that power can always be sold to utilities to pay back equipment investments. A degression factor reduces the feed-in tariffs each year for new installations, stimulating technological innovation and mass production of equipment. The degression policy should reduce the price of solar installations by about 40 % between 2009 and 2011.

7. Renewable feed-in tariffs are regular grid power rates augmented by compulsory utility price supports. The feed-in payments have been collected equitably from all grid customers. No government funding is involved. Mandatory price supports are already used in Germany for books, magazines, newspapers, and medicines to prevent bulk suppliers from undercutting small retailers. The payments received by producers must be declared as commercial income on individual tax returns. German feed-in tariffs are not subsidies, but instead legally guaranteed prices for producers.

8. Selected German renewable power feed-in tariffs and degression rates Feed-In Tariff € cents/kWh Degression Rate % p.a. EEG 2004EEG 2009EEG 2004EEG 2009 Biomass <150kW10.6711.671.51 Dedicated biomass bonus 6< 1301 Onshore wind5.5 - 8.709.7 + 0.5 grid regulation 21 Offshore wind6.19 – 9.116.520 Rooftop solar < 3057.443.0157 - 10 Freestanding solar33.1831.9458 - 11 On-site solar usage025.0107 - 10

9. Germany has nearly a million solar rooftops with solar capacity exceeding 10,000 MW. In 2009 alone, 3,000 MW of new photovoltaic capacity was added in Germany. Another 4,500 MW is predicted for 2010. Real estate websites offer solar homes as well as rooftops that can be leased by solar investors.

10. Solar installations in Arizona significantly moderate the effects of electricity price increases. A 5 kW photovoltaic installation can cover about half the electricity demand of an average Arizona household. As utility power rates continue to rise, a solar installation will pay for itself within 30 years (without rebates), while providing free power for many years thereafter.

11. Solar energy offers enduring benefits by providing electricity when it′s needed most. Solar power production coincides with the highest electricity demand due to air conditioning and midday food preparation.

12. The United States remains behind in global solar energy deployment.

13. Solar-equipped buildings are transforming consumers into prosumers. All new buildings erected in the European Union after 2020 must be “close to energy neutral” in order to comply with the Energy Performance of Buildings Directive (EPBD). This requirement can be fulfilled using renewable energy generation together with zero- energy architecture, assisted in some cases with motor vehicle battery storage.

14. Zero-energy architecture is being perfected in the European Union in preparation for 2020. Zero-energy houses require no conventional heating or cooling, making them fully cost- competitive despite higher construction costs. The interior air is constantly refreshed via subterranean intake ducts, maintaining the room temperature at a constant level throughout the year.

15. A solar strategy in Arizona would enhance energy security and create jobs in the local economy. Better media coverage is required to improve public knowledge. Current rebate programs for efficient air conditioning should be extended to include solar power generation. Effective renewable energy legislation in Arizona could incorporate Germany’s feed-in payback system to achieve comparable private and commercial acceptance. Building codes should require “solar-ready construction” of new homes to enable cost-effective retrofits at a later date. Zero-energy buildings built in Arizona should be adapted to the local climate for eliminating the need for conventional air conditioning.

16. For current solar home listings and further information: Jennifer Del Castillo Re/Max Preferred Choice 6751 N. Sunset Blvd. Suite #320 Glendale, Arizona 85305 Direct: 623-221-5452 Fax: 602-439-4557 Email: jenniferl@cox.net