Trump Disses Solar; HRC's Big Plan

For the 200,000+ of us working in the solar industry plus those who are fans of solar, it's vital to know where the presidential candidates stand.

On Sept 26, Donald Trump, who declared his four (maybe six) bankruptcies mean "nothing", said the Solyndra bankruptcy in 2012 was another matter. Granted, the Solyndra demise was not good for the industry or taxpayers but many of us know the company's modules were outliers; there was no way they could compete against the ever-dropping prices (and higher efficiency) of crystalline cell panels. Solyndra was barely a blip on the solar industry screen as multi-gigawatts of solar projects have been installed worldwide.

In October Trump said solar installations take 32 years to reach payback. We know this is a ludicrous assessment. Here in CA, paybacks can be met in as little as four years depending on the grid cost of electricity. Finally, Trump wants to get rid of the Clean Power Plan and kickstart the coal industry for more jobs (and more dirty power). Today, what coal mines still produce are profitable only through automation; 90% of mining jobs have been replaced by machines in the past 20 years. Those jobs simply won't be coming back. Furthermore, natural gas is cheaper and cleaner. Even Kansas rejected two proposed coal-fired plants two years ago because of the filth they would produce.

Hillary Clinton wants to install 500 million panels in four years. That's a tall order, for sure, but think of the possibilities. Production capacity stateside is not nearly there now but it would sure stimulate existing solar panel makers to grow and get others started. Then there are the inverters, switch gear, monitors and racking that will need to be made. This all means jobs, jobs and more jobs, some of which can be had by former coal miners!

So, if you're concerned about where the solar industry is going and your future in it, do the right thing this Tuesday.

Solar Top Power Source by 2050

The 17.5 megawatt/22 megawatt Victor Phelan project, located
in San Bernardino, Calif., is part of six Recurrent Energy developed
projects acquired by Google and KKR.

 Credit: Recurrent Energy

As solar photovoltaic (PV) installations globally hit 100MW daily, the sun could be the world's top source of energy by 2050. The projection comes from two reports and covered in an article by Lucas Mearian in Computerworld magazine yesterday (full article http://goo.gl/G5ua77).

Issued by the International Energy Agency (IEA) the reports disclose that PV panels could produce 16% of the world's electricity and solar thermal electricity could add 11%. (Solar thermal power comes from concentrating the sun's rays to produce steam which turns a turbine.) The combined 27% would lead all other sources of power by mid-century. 

Just since the end of 2013, the IEA reported that PV panels capable of producing 137 billion watts (gigawatts) of power. Better yet, and perhaps just as important, solar could reduce CO2 emissions by six billion tons during the next 40 years, according to the reports. 

Panels on roofs powering homes and businesses comprise around one-half of all installations and as a distributed energy source, the technology is "unbeatable" said one of the reports.

Solar power, reports the IEA, is expected to drop to four cents per kilowatt-hour (kWh) by 2050. Right now in the U.S., the average cost per residential kWh is about 13 cents and seven cents for industrial power. 

Maria van der Hoeven, executive director of the Paris-based IEA, said the reports are not forecasts but detail expected technology advancements and policy upgrade required to meet those goals by 2050,

"The repid cost decrease of photovoltaic modules and systems in the last few years has opened new perspectives for using solar energy as a major source of electricity in the coming years," said van der Hoeven. "However, both technologies [PV and concentrated solar] are very capital intensive: almost all expenditure are made upfront. Lowering the cost..is thus of primary importance for achieving the vision in these roadmaps."

Solar power in the U.S. has grown six times since just 2010, according to the Energy Information Administration (EIA), a federal agency charged with following the nation's energy production across all sources. Also, a federally-funded report which studied two U.S. utilities--one in the Northeast and another in the Southwest--said rooftop solar could cut utility profits by 15% or more in the next eight years.  

                                                                                 

California HERO program: Solar for the rest of us

Summer weather stays sizzling in California usually through October. Right now CA residents are using more air conditioning than they likely did in June and July. Without solar power they can expect a monster electricity bill next month.

The California HERO Program is changing that scenario.

In 2008-09 California passed legislation authorizing cities and counties to establish voluntary programs to finance energy efficiency, water efficiency and renewable energy products that are permanently attached to a home and business owners' property. 

The resulting CA HERO Program provides low-interest loans that are paid with property taxes in terms of 5-, 10-, 15- and 20-year terms. Payments are tax deductible.

Eligible properties:

--All developed property. No new construciton or add-ons
--Mobile and manufactured homes, condos, HOAs
--Property must be a HERO community; enter your zip code at www.heroprogram.com to be sure
--Mortgage debt not to exceed 90% of property value; amount financed not to exceed 10% of property value
--Property taxes current; no liens of any kind

Early adopters of solar in the state have had their systems now ten years or more. Their savings can total more than $100,000 depending on their consumption. More and more solar is going mainstream as power rates keep climbing despite the falling prices of natural gas which produces most of the electricity in CA. 

Interested CA residents can contact dbrands72@gmail.com for more information. 

Solar Hot Water: No More Leaky Roofs

Solar hot water systems (solar thermal) work well all over the country but many owners complain of the extra weight of a solar collector on the roof, leaks that can occur over the years and the difficulty and expense of correcting such problems. 

Finally, a solar hot water alternative.

Instead of a heavy, potentially leaky rooftop solar collector, Sun Bandit^® uses standard photovoltaic (PV) panels thus heating water electrically and holding it in a tank located in the house. The Sun Bandit^® provides clean reliable solar hot water that can run entirely off-grid too. Even better the system call be self-installed at a fraction of a regular solar thermal unit.

How much water can be heated?

Solar hot water systems (solar thermal) work well all over the country but many owners complain of the extra weight of a solar collector on the roof, leaks that can occur over the years and the difficulty and expense of correcting such problems.

Finally, a solar hot water alternative.

Instead of a heavy, potentially leaky rooftop solar collector, Sun Bandit^® uses standard photovoltaic (PV) panels thus heating water electrically and holding it in a tank located in the house. The Sun Bandit^® provides clean reliable solar hot water that can run entirely off-grid too. Even better the system call be self-installed at a fraction of a regular solar thermal unit.

How much water can be heated?

Families grow in all sizes. The Sun Bandit^® comes in 30, 50, 80 and 119 gallon electric water heater kits and four installation packages.

Sun Bandit makes going solar easy with kits that include the Sun Bandit^® Hybrid Water Heater, Sun Bandit^® Micro-Grid Inverter(s), tier-one PV panels and a fully-flashed rooftop mounting system.

Don't want to install the Sun Bandit^® yourself?

Suacci Solar is the Sun Bandit^® authorized dealer/installer in Southern California and will provide the kit or turnkey installation. Typical installation is around $5500 and is eligible for the 30% federal solar tax credit. Contact through David Brands at 760/908-3770.

Life on earth relies on the sun but we can be utilizing much more of its plentiful energy. Sun Bandit^® is a good way.

                                                                           

(For a short YouTube video on how the Sun Bandit^® works:  http://goo.gl/Ee4TGC)

Home Solar 5kW: From $17,500 Installed

 

Air conditioning:  To use or not to use?

Are you one of those SoCal homeowners who has air conditioning but hesitates to use it because of the high cost of electricity? Well, that same sun frying your household is the same sun that can keep it cool when you need it.

Right now, Free Solar Advice is offering a complete 5000-Watt  DC (5kWdc) system for $17,500 installed, tax included. (Larger size systems quoted as requested.) Deduct the 30% federal solar tax credit and the net cost is $12,250.  (Outside of San Diego, check for cash rebates at http://www.dsireusa.org/) Many of you in San Diego, Riverside, San Bernardino, Orange and LA counties will see payback in as little as four years.

If you have cash, this is an investment you will never regret. Once you saved as much as your net solar cost, your system will continue to produce reliable, free power for 30 years or more.

Don't have the cash? If you have home equity, banks are loosening up on loans. If you're a San Diego County resident with 680+ FICO score we can connect you with a low-interest loan from SD Metropolitan Credit Union.

Installation details:*

20 Top-grade 250W panels in single array
20 Micro-inverters (one for each panel)
1  Monitoring system
1  Set Standard racking for asphalt shingle roof
Tax, permits, interconnect, inspections included

* Extras:

Tile roof:  Add $500
Multiple arrays: $250 each
Service panel upgrade:  125Amp, $1500; 200Amp, $2500
Outside SD County in SoCal:  $500
Ground-mounted systems quoted individually

System installed by CA licensed electrical contractor (C-10); 10-year limited system warranty plus factory warranties on panels and micro-inverters.

Payments made in three progressive installments. Offer good through June 30, 2014. Call 760/908-3770 or email dbrands72@gmail.com. 

                                                                                

Solar 2014: Buy, Lease or PPA? Buy

 
As utilities are using more solar and wind--both free energy sources--to power the grid than ever before we might think electricity rates could level off, if not actually go down. But this hasn't been the case. Moderate to heavy electricity consumers here in California saw their rates rise between 20 to 40%. 

So if you haven't gone solar yet, make it a 2014 resolution. With today's cheap panel pricing, installing solar could be less stressful than your other resolution... dropping weight! 

So how cheap is cheap?

Well, in 1977 panel cost per watt was around $77; ten years ago, about $5; and today it's around .74--yes, 74 cents a watt. The typical 24-watt panel in '77 would have cost $1848. Today, the average wholesale price of a standard 250W module is about $185. Bearing this in mind, the cost for a typical 5kW (5000Wdc) solar installation in CA is as low as $18,750 or $3.75/watt turnkey. Rebates and tax credits will defray much of that cost, too.

So now the question is whether to purchase or go with a lease or power purchase agreement (PPA). If you can afford it or have access to a low-interest loan, buy it.

The lease/PPA will commit you to a 15, 20 or 25-year lease. Down payments can be 0 or an amount the lessee (homeowner) can cough up to reduce the monthly payment. The monthly lease payment (unless prepaid) can be fixed or set with a 1-3% annual escalator. All incentives are taken by the lessor who owns the system. Lease/PPAs are also transferable.

Some like the idea that any maintenance or repairs are the duty of the lessor. But be careful here. The lessee (you) in most cases is responsible for keeping panels clean for optimal production and damage other than panel and inverter problems or poor wiring, must be covered by homeowner's insurance. Finally, at lease/PPA end of term, the homeowner has the choice to renew, purchase at market value or have the system removed at the lessor's expense. Here's the hitch to consider:  If you total the payments over the lease/PPA term, the amount can be more than the original purchase price AND the lessor will have taken the incentives.

Purchasing will require up-front payment but with the low cost for installing and solar incentives this choice makes good financial sense (see http://www.dsireusa.org/ for incentives in your state). The federal solar tax credit is 30% of cost after any rebate and can be taken in whole or anytime before the end of 2016. Payback (when savings equal net cost) can be in as little as 3.5 years here in CA--an ROI of 12-18%. How many other investments will give that sort of return today? And when selling, people in CA are 20% more likely to buy a house with solar (or solar-ready) than those without.

What's more is most states require a 5- to 10-year system-wide limited warranty from the installer. Better yet, manufacturer's warranties on solar panels and inverters are the best anywhere. Virtually all panels have a 25-year production warranty (at 80%) and 5-10 year warranty on materials and workmanship (quality). Standard string inverters have a 10-year limited warranty and some micro-inverter makers are giving as much as a 25-year warranty. Systems will last 30 years or more; annual degradation of panels is below 1%!

So with payback in 3-5 years, that's 25-plus years of free power from the sun. Buy, if you can, and you'll never look back. 

(If you live in the San Diego area and are interested in solar power for your home or business, contact me at dbrands72@gmail.com. Reply in 72 hours or less.)                            

                                                                           

American Indians Making $$ on Solar in West

Airborne coal ash pollutes the air at Moapa Indian village.

The Energy Policy Act of 1992 opened development of renewable energy projects on American Indian reservations. Since then wind and solar projects have provided power to pump water and electrify homes of Native Americans both on and off the grid. While not perfect, solar provides jobs and lease revenue for tribes as it cleans up their air.

The 2010 Census lists 334 American Indian and Alaska Native reservations with 565 federally-registered tribes living on or off reservations. The 56.2 million acres of reservations which lie mostly west of the Mississippi however many states have them. This is about 4% of the U.S. landmass which is significant because it was determined some years ago that if just 1% of U.S. land was covered with solar panels, it would meet America's electricity demand.

The Obama Administration's all-of-the-above approach to energy development has allowed tribes to make their reservations available to large-scale solar projects. The first such project started in June when Sec of Interior Ken Salazar approved the 350-megawatt (MW) solar project on land of the Moapa Band of Paiute Indians northeast of Las Vegas, NV. Building in three stages of 100-150MW each 2000 acres, the project will generate lease payments, jobs and clean energy to improve the tribe's overall economy. Power will be used in the immediate area but most is being bought by Los Angeles Dept of Water & Power in a 25-year deal.

California, Washington, Nevada, Arizona, Utah, New Mexico and Oklahoma--seeing rapid population growth as the country moves West--have the most reservations in number and land mass. Reservation solar development could provide an answer to distributed energy throughout those states.

The fast-track of solar on reservations is not without its pitfalls, however. In 2011, tribes have filed suit against the federal government for installing solar near abondoned villages, Native drawings and other cultural landmarks (see http://www.reznetnews.org/node/103). The afore-mentioned Moapa solar project has required the relocation of 157 desert tortoises, a threatened species of the area, after ten died of predation and heat exhaustion as they fled the site of the solar array.

The BIA and BLM have both insisted that the concerns of Indians have been carefully considered. The Moapa solar project must also be measured against the antiquated, coal-burning Reid-Gardner Generating Station it is replacing. Asthma, lung disease, heart disease and cancer have plagued the community for decades, ills the Moapas blame on pollution from the Reid Gardner plant (see http://goo.gl/q0wwAZ).As for disrupting the native habitats of endangered species, more due diligence in environmental impact studies are forthcoming.

One band of the Kumeyaay Nation east of San Diego has looked into solar as a revenue generator in lieu of a third Indian casino in five-mile radius. Instead they completed an agreement with San Diego Gas & Electric to lease land for more high-producing wind turbines.
                                                                               

SolarWorld Reports Heavy Hit in 2012

SolarWorld plant in Freiburg, Germany.

SolarServer (www.solarserver.com) reported yesterday that SolarWorld AG of Bonn, Germany release selected results for 2012 showing a 42% decline in revenues to EUR 606 million ($792 million), an 81% operating margin drop with a net loss of EUR 477 million ($623 million).

On the bright side, SolarWorld reached an agreement with creditor over basic financial restructuring in a plan intended to allow a 60% reduction in its non-current liabilities. The plan includes a combined capital reduction and capital increase with debt-to-equity swap. Still, the plan needs approval of all pertinent committees.

Bloomberg reports SolarWorld has EUR 150 million ($196 million) worth of bonds maturing in 2016 plus EUR 400 million ($523 million) worth of bonds maturing in 2017.

SolarWorld attributes 2012 losses to both a 40% decline in solar photovoltaic (PV) module prices and a decline in shipments. SolarWorld  (www.solarworld-gt.de/en) is Germany's largest PV panel maker.

LDK Solar Update

Some upbeat news for LDK Solar (www.ldksolar.com).

Fulai Investments Ltd. (British Virgin Islands) agreed to purchase $25.7 million of new shares in LDK Solar Company Ltd. (Xinyu City, China). Fulai will buy 25 million shares at $1.03 per share. This is Fulai's second purchase of LDK stock in three months, the first being an agreement to purchase $31.1 million in stock in January 2013.

LDK and Suntech are two major Chinese PV manufacturers facing  major financial problems this year with the latter entering bankruptcy.

Now LDK Solar Defaults

On the heels of Suntech's bankruptcy last month, LDK Solar Company Ltd. (Xinyu City, China) failed to make  full payments of $23.8 million-worth of 4.75% convertible notes due this year.

LDK was able to reach a private agreement on some cash payments and payment postponement with two other holders of $16.6M in notes. The company is seeking settlement with owners of the balance of convertible notes.

LDK just released fourth quarter 2012 results showing a 54% year-over-year collapse to $136M, an operating loss of $409M with a net loss of $515M. Obviously, it was a bad quarter but one of seven recent quarters with heavy losses. PV cells and panels along with silicon wafers saw drops in sales. Still, LDK's CEO Xinghue Tong is confident financial obligations can be met.

"Our business continued to be affected by the significant challenges that remained pervasive throughout the solar industry," Tong said in a statement this week. "Our fourth quarter results reflect the industry-wide overcapacity and resulting pressure to ASP's [average selling prices] and margins."

Symptoms of the Fall:  Commentary

Chinese PV manufacturers are heavily responsible for the bottom dropping out of panel pricing worldwide. The 2008 US financial collapse had the Chinese dumping panels here in the US forcing stateside and foreign makers to sink or swim to this day.

As I see it, under the Chinese financial model--a blend of communism and pragmatic capitalism--business leaders were used to heavy government with less concern for profit in a free market. Conversely, self-funded, profit-minded competitors around the world must pay more attention to supply and demand. Spoiled, if you will, by the old way things were done, Chinese companies like LDK now had international investors to pay back. It's a lesson the Chinese had to learn sooner or later.

Solar margins continue tumbling

With solar margins continuously shrinking, one might think diversified corporations with solar subsidiaries are better capable and more determined to make solar profitable. But German companies Schott, Schuco and Bosch with solid core businesses scaled back or even ceased their solar operations rather than continue paying for a dying horse, so to speak.

Still, solar is growing worldwide. Cheap panel prices are great for individual and commercial consumers, of course. Dedicated solar manufacturers have found other ways to keep afloat. Beside their widely-acclaimed panels, Sunpower's leasing program has been a huge boost to the company's presence in the US. Sunpower is also generating revenue for inverters, monitoring and racking. Just as Ford started making more than just the Model T, Sunpower's moxie could prove the way of things to come.

PV Panels Drop 75% in 4 years

A white paper released by Bloomberg New Energy Finance (BNEF, New York, NY) compares the cost of solar photovoltaic (PV) generation and conventional generation and finds PV already competitive with daytime retail power prices in several nations.

The paper examines the 75% decline in panel prices since late 2008 against other generation technologies plus electricity rae hikes. PV power is actually cheaper than standard residential electricity rates in Australia, Denmark, Germany, Hawaii, Italy and Spain. Based on PV cost predictions, cheaper solar-powered electricity will also be the case for Brazil, California, France, Japan and Turkey as soon as 2015.

 
Solar Industry follows the pattern

The solar industry is experiencing what the auto and computer industries in their early emergence. In the U.S. during the early 1900's there were as many as 200 car makers. Standard attrition (failures), consolidation and automation trimmed car makers down to about 20. Today there are only--and barely--the Big Three auto makers left.

The emerging solar industry is somewhat different, however. While there are many more makers of high-grade silicon cells than just six years ago, companies that make only panels are finding it hard or impossible to stay in business on ever-decreasing margins. Diversified PV makers, those whose core revenue is generated by other products, have a better chance of hanging tough. Sunpower and Schuco are examples of this. Still, Schott Solar, whose parent company in Germany is huge in glass products, decided to bow out of PV earlier this summer. The 400MW plant in Albuquerque is scheduled to close by Nov. 1. One might surmise Schott simply decided not to drain its money-maker on its weakening solar sister.

As with all fierce competition, the consumer really wins. Residential solar systems in the San Diego market are selling for as much as half the cost of what the same size installations cost in 2006. Standard loans, same-as-cash loans and no-money-down leases also make going solar attractive to those hard hit by the housing crisis of 2008-09.


Not only cheaper but better

PV panels are now at historically low pricing but that has not been reflected in lower quality. As crystalline cell manufacturing gets better, the market is seeing higher wattage panels in the same unit sizes as before (module efficiency). What's more, most panels now have 10- and some even 12-year warranties on materials and workmanship besides the 25-year production warranties at 80% of original output. Inverters, too, are improving while dropping in price. Earlier last decade inverter efficiencies ranged in the 91.5 to 95% range; many of today's are running at 96%-plus. Similarly, inverter warranties were at five years but now run 10 years. Enphase micro-inverters are even warranted for 25 years.

 
Rebates are less important

The wildly successful California Solar Initiative is in its last steps of funding. Step 10 which pays .20/Wac has become much less a factor in PV installations as equipment costs of fallen so drastically.

Not wanting to sound trite but in a nutshell: It's never been a better time to go solar!

Solar Open House, Sat., 3/24

See PV at work...

Mark your calendar for next Saturday, March 24 for a Solar Open House at the Shubat residence in the Carmel Mountain area of north San Diego. The Shubat family has been reaping the rewards of solar since last spring. In fact, their system was over-sized in anticipation of their purchase of an electric vehicle later this year. This installation was featured in Solar Today magazine last summer:  http://goo.gl/WrvsE

Here's a chance to ask any questions about grid-tie systems, incentives, purchasing, leasing or borrowing. Stop by and have a piece of pizza. It'll be fun and informative. 

WHEN:    Saturday, March 24
TIME:      10am to 2pm
WHERE: 5367 Harvest Run Drive
                  San Diego, CA 92130

DIRECTIONS:

From I-5

1)  Take the exit toward CA-56 E/Local Bypass. 0.6 mi
2)  Merge onto I-5 Local Byp. 0.7 mi
3)  Take the Carmel Mountain Rd exit, EXIT 32. 0.2 mi
4)  Turn right onto Carmel Mountain Rd. 0.4 mi
5)  Turn right to stay on Carmel Mountain Rd. 1.4 mi
(Carmel Mountain Rd is 0.1 miles past Vista Sorrento Pky. If you are on Carmel Creek Rd and reach Lago di Grata Cir you've gone about 0.1 miles too far.)
6)  Turn right onto Harvest Run Dr. 0.3 mi
(Harvest Run Dr is 0.2 miles past Furlong Pl. If you reach Amberglades Ln you've gone about 0.3 miles too far.)
7)  5367 HARVEST RUN DR is on the right.

From I-15

1)  Merge onto Ted Williams Pky/CA-56 W.  6.5 mi
(If you are on Carmel Mountain Rd and reach Caminito Bolsa you've gone about 0.1 miles too far.)
2)  Take the Carmel Country Road exit, EXIT 2.  0.3 mi
3)  Turn left onto Carmel Country Rd. 1.7 mi
4)  Turn right onto Carmel Mountain Rd.  0.3 mi
(Carmel Mountain Rd is 0.1 miles past Stone Haven Way. If you are on Carmel Mountain Rd and reach Laurel Chase Dr you've gone about 0.1 miles too far.)
5)  Turn left onto Amberglades Ln.    0.2 mi
(Amberglades Ln is 0.1 miles past Plumcrest Ln. If you reach Cherry Hill Dr you've gone about 0.2 miles too far.)
6)  Turn right onto Harvest Run Dr.  0.04 mi
7)  5367 HARVEST RUN DR is on the left.
(If you reach Whispering Hills Ln you've gone a little too far.)

We'll see you next Saturday!

                                                                          

Electricity Rates to Increase 13% Nationwide

Preparing for the Smart Grid, renewable technologies

Electricity rate increases nationwide will range from 3 to 33% with the average at 12.64%. The statistics appear in the AEE 2012 Electricity Outlook prepared by Southern California Edison (http://goo.gl/uGmHD).

SCE reported the final decision on its 7.55% across-the-board rate increase request is due in March and would take effect in May. With approval, the increase will amount to $6.285 billion in added income. In the same report rates for PG&E were expected to rise 6.4%.

The report went on to detailed why SCE needs the funds. They included infrastructure replacement; operations and maintenance expense for capital-related projects, regulatory mandates, wildfire insureance and employee benefits; and Smart Grid enhancements. These include replacing poles, wires and transformers; increasing grid security; adding smart grid components need to integrate more renewable energy; getting the SCE region ready for plug-in electric vehicles; and maintaining a skilled work force.

Residential tiers at SCE would change as follows: Baseline (T1) from 12.5 to 13.1 cents per kilowatt-hour (kWh) or 5%; Tier 2 from 14.8 to 15.5 (5%); Tier 3 from 22.9 to 29.1 (27%); Tier 4 from 26.4 to 32.6 (23%) and Tier 5 from 29.9 to 36.1 (21%). CARE (discounted) customers will see a 14% increase in Tiers 3-5.

Steep as they are, these increases could be a lot worse. SCE serves some 13 million residential and commercial customers so the burden is spread around. SCE is not only the largest utility in California but it comprises 80% of the gross revenues of its parent, Edison International in New Jersey.

With most states adopting renewable energy standards, ratepayers will see increases related both to the increasing costs of fossil fuels but also in upgrading infrastructure for the Smart Grid and renewable energy technologies. As always, the best way to mitigate the rising costs or power to home and work is solar power. A PV system provides both clean energy for 30 years or more but hedges against future rate hikes during its lifecycle. 
 

   

CA Farmers Drill Wells, Pump with Solar

Drill, baby, drill! Then go solar.... 

Sometimes solutions to problems are hidden in plain sight. Two avocado farmers in San Diego County experienced exactly that.

Their problems were two-fold: The skyrocketing cost of water for irrigation and the equally exploding costs to pump it. Their solution, tripped upon by sheer necessity, came by drilling for their own water, digging their own ponds to hold it and building solar power systems to pump it. Even better, a lot of the equipment and labor was already on hand.

Of course, drilling the wells and making the holding areas cost money but the medium- and long-term savings are considerable. What's more, water availability and the rising
cost for it is mitigated. Going solar however, required some outside expertise.

Enter Larry Slominski.

Slominski's been in solar since way before solar was cool. His first-hand experience ranges from installing off-grid PV systems in Micronesia while in the Peace Corps to a 2MW grid-tied installation at the Fresno-Yosemite International Airport.

Larry Slominski

A mechanical engineer by training, Slominski has been involved with every facet of the solar industry including both crystalline and amorphous-silicon panel technologies; single- and dual-access trackers; concentrated PV; string and micro-inverters; and all forms of ballasted, BIPV and penetrating roof applications and ground-mounted projects. Walking with him at a solar trade show and seeing someone in every third booth hailing Larry like a long-lost army buddy, you know he is a maven of the solar field.

Slominski worked with the two farmers on practical panel array plans on the land made available. His services also included compliance, permitting, rebate and tax incentive advisement, equipment selection and procurement, project oversight, inspection preparation and system commissioning.

"Solar panel prices are at an all-time low and when you add incentives along with the high cost of energy and water, in these cases," says Slominski, "it's a great time to go solar." He said when on-staff farm labor is added to the mix, payback can come in less than five years. One of the two farmers, he says, will save a cool million by taking this new tack.

"Farmers know if they cannot control external market forces, they can  vastly improve their bottom line by drilling their own wells and utilizing solar power," Slominski concludes, "and these two alternatives have been there in plain sight for quite awhile."

For inquiries contact Larry Slominski at LTS Energy, 760/505-6822 (lslominski@aol.com) or David Brands, 760/908-3770 (dbrands72@gmail.com).

Sunpower Lease: A Dissection

Finally, a Sunpower PV system for the rest of us...

Take it from one who's both sold Sunpower systems and sold against Sunpower during 10 years in the industry. It's better to sell it. And now it's even easier to lease it.

This writer has been skeptical of solar leases in the past. It was reasoned that after a lessee makes the monthly lease payment and pays the utility what the PV system did not produce (net metering), the savings would be quite minimal.

Well, Sunpower makes a better case for leasing.

First off, the other two nationwide solar leasing programs, Solar City and SunRun, lease for 15 years while Sunpower leases are for 20. Furthermore, Sunpower underwrites the leases on its own equipment. This shows a confidence in its products (panels, inverters, monitors, racking) and a commitment to stated kilowatt-hour projections over the 20-year lease term.

For those new to solar, Sunpower is the Tiffany of solar panels. Using the highest grade silicon, Sunpower leads the industry with 18 and 19% efficiency panels; suitable standard panels are around 14%. Thus, a Sunpower 230W panel (18%) takes about 13.6 square feet and a similar 14% module requires 17 to 18 square feet. This means a Sunpower system makes a smaller footprint on a roof if space is an issue and allows for expansion later if more space is available. Sunpower was the first to make all-black panels (frames, cells and substrate) which improve aesthetics and mitigate reflective glare.

Now for some numbers.

Sunpower offers both no-money-down monthly contracts and prepaid leases (see comparison below). Here in California solar leases can offer modest savings to mondo savings depending upon the ratepayer's bills. This blogger has presented lease proposals that will save $50 on a $225 bill and $400 on a $1000 monthly bill, again with no money down.

Click on this lease comparison for a detailed view. Direct purchase price for this 6.9kW system is $42,523.

Monthly lease payments can be modified (cheaper at the beginning) with annual escalators of 1-4.5%. In a state whose Big 3 utility (PG&E, SCE and SDG&E) rates increase between 6-7% annually, such escalators keep Sunpower lessees below the norm.

Finally, Sunpower offers the prepaid lease. This method comes between 50% and 75% of a purchased Sunpower system price. The prepaid lease can nearly eliminate all power costs for the 20 year term. All leases have set year-by-year termination values in case the lessee moves. In such case the lease holder can add the termination value to the asking price of the house or offer the buyer to take over the lease.

Credit requirement: Prospective lessees need only have a 700+ FICO score and own their houses to qualify. The credit check takes about a day and is reported only a pass/fail. Think about this: A homeowner can be upside down on his mortgage and jobless but a 700 or better credit score gets him the lease.

End of Lease: Much like a power purchase agreement, at the end of the lease term lessees can either renegotiate their lease; purchase their system; or have it removed.

As lessor, Sunpower is responsible for the system's operation. However, lessees are required to keep the system safe and panels clean for optimum production. This is no different than a tenant performing general upkeep of an apartment.

The sweet spot of the Sunpower lease is that it allows people who maybe never could afford to purchase a top-of-the-line PV system the chance to benefit from PV without upfront costs. One of my customers is saving a modest $50 per month on his bill. "It might not be much but savings is savings and we didn't have to layout anything to get it."

(For inquiries about the Sunpower residential solar lease in San Diego and Orange counties, call David Brands a 760/908-3770 or email david@clarysolar.com.)

Blogger Featured in Solar Today Magazine

Getting publicity is sure great but for someone like me it's a little difficult to "toot my own horn." Still, if you have spare time during lunch or whenever, take a look. http://goo.gl/WrvsE

Many thanks to author and friend Dr. Mary Beth McCabe for interviewing me and writing this article which was totally unsolicited by this writer or Clary Solar. Mary Beth owns Sun Marketing and specializes in the marketing and promotions of solar power from assisting individual installers with building image to strategic planning for solar integrators and manufacturers. She can be contacted at mbmccabe@sunmarketing.net.

Also, special thanks to both Mary Beth and her husband, Allen Shubat, for purchasing a 6.9kWdc system. It is always impressive when people actually practice what they preach. --DB

June: Dow, NASDAQ, Solar Drop More

Month finishes strong though

The Dow Jones Industrial Average dropped 158 points during June to finish at 12412, about a 1.3% decline. The NASDAQ fell 60 points during the month to end at 60.22, a 2.17% slip. Issues in the 20 Solar Stocks Index (20SSI) however finished nearly flat from May finishing at 391 points, just a 2.5 point slip or .6%.

Despite weak performance for solar stocks this year, the industry continues to be one of the few bright growth sectors. Spain's and Italy's reduction in solar feed-in tariffs have led to a glut in panel inventories and unprecedented low wholesale pricing worldwide.

20 Solar Stocks Index as of 6/30/11

	Close 5/31/11	Close 6/30/11	Up/Down	% Change	Close 1/5/09*	Close 3/6/09**
Dow Jones DJIA	12570	12412	-158	-1.272%	8952.89	6626.95
NASDAQ	2835.3	2775.08	-60.22	-2.170	1628.03	1293.85
Amtech Systems ASYS	21.88	20.60	-1.28	-6.213	4.00	2.73
Applied Materials AMAT	13.78	13.01	-.77	-5.918	10.67	8.70
Canadian Solar CSIQ	9.85	11.52	+1.69	+16.95	7.00	3.0601
ECD (UniSolar) ENER	1.40	1.17	-.23	-19.66	29.33	17.45
Entech Solar ENSL.OB	.09	.07	-.02	-28.57	.28	.23
Evergreen Solar ESLR	.70	.58	-.12	-20.68	3.60	1.03
First Solar FSLR	124.25	130.66	+6.41	+5.158	157.80	108.49
GT Solar Int. SOLR	12.76	16.15	+3.37	+26.56	4.00	4.02
Hanwha SolarOne HSOL f/k/a Solarfun	6.73	6.41	-.32	-4.992	6.12	2.30
JA Solar JASO	6.03	5.50	-.53	-9.636	5.09	1.91
Kyocera KYO	105.45	101.69	-3.74	-3.697	71.87	54.21
LDK Solar LDK	7.59	7.36	-.23	-3.125	14.84	4.40
MEMC Elect. WFR	10.52	8.27	-27.20	-12.45	15.76	13.68
Renesola SOL	7.42	5.24	-2.18	-41.60	5.15	2.1201
Satcon SATC	2.66	2.41	-.25	-10.37	1.60	1.23
SunPower SPWRA	21.06	19.30	-.1.76	-9.119	45.13	23.39
SunTech STP	8.12	7.90	-.22	-2.784	13.55	5.34
Trina Solar TSL	22.95	22.47	-.48	-2.136	10.09	7.23
Westinghouse Solar (Akeena) WEST	1.13	1.56	+.43	+38.05	2.28	.61
Yingli YGE	9.18	9.19	+.01	+.1089	7.25	3.888
20SSI Weekly Cumulative:	Previous 393.55	Current 391.06	Change -2.49/.6367%		1/05/09* 415.41	3/06/09** 266.01

* The starting date of the 20 Solar Stock Index (20SSI).
** The Concensus "new" bull market began on Monday, March 9, 2009.
NOTE: All above stocks have market capitalization of $100M+ except Westinghouse Solar (formerly Akeena), Amtel Systems
and Entech Solar. This listing is strictly informational and implies neither endorsement or disapproval of any stock listed. Comments are always welcome.

May: Major Stock Indexes Down

Poor economic data gets blame

The Dow Industrials slipped over 1.9% in May, the first monthly drop in six month. The Dow closed Tuesday a 12570, 241 points down from April. The NASDAQ fared only slightly better with a 1.35% drop to finish at 2835, a 38-point slide from last month. Eighteen in the 20 Solar Stocks Index (20SSI) were slammed in May with the index finishing at 393.55, a 47-point slip or nearly 12%.

Only 38,000 jobs were added last month when analysts projected 175,000. Also, the Institute for Supply Management reported growth in the U.S. manufacturing sector slowed to 53.5% in May from 60.4% in April, the largest one-month drop since 1984.

Supplies of solar panels are backing up, according to a source for this blog, and some major manufacturers appear to be dumping modules at unprecedented low pricing. It would appear a good time for consumers to add solar power to their homes. The question is how many are in a position to do so.


20 Solar Stocks Index as of 5/31/11

	Close 4/29/11	Close 5/31/11	Up/Down	% Change	Close 1/5/09*	Close 3/6/09**
Dow Jones DJIA	12810.54	12570	-240.54	-1.913%	8952.89	6626.95
NASDAQ	2873.54	2835.30	-38.24	-1.348	1628.03	1293.85
Amtech Systems ASYS	22.68	21.88	-.80	-3.656	4.00	2.73
Applied Materials AMAT	15.69	13.78	-1.91	-13.86	10.67	8.70
Canadian Solar CSIQ	10.80	9.85	-.95	-9.644	7.00	3.0601
ECD (UniSolar) ENER	2.00	1.40	-.60	-42.86	29.33	17.45
Entech Solar ENSL.OB	.0433	.09	+.0467	+207.8	.28	.23
Evergreen Solar ESLR	1.35	.70	-.65	-92.85	3.60	1.03
First Solar FSLR	139.57	124.25	-15.32	-12.24	157.80	108.49
GT Solar Int. SOLR	11.17	12.76	+1.59	+14.23	4.00	4.02
Hanwha SolarOne HSOL f/k/a Solarfun	6.83	6.73	-.10	-1.485	6.12	2.30
JA Solar JASO	6.85	6.03	-.82	-13.59	5.09	1.91
Kyocera KYO	109.91	105.45	-4.46	-4.229	71.87	54.21
LDK Solar LDK	11.51	7.59	-3.92	-51.64	14.84	4.40
MEMC Elect. WFR	11.83	10.52	-1.31	-12.45	15.76	13.68
Renesola SOL	9.18	7.42	-1.76	-23.72	5.15	2.1201
Satcon SATC	3.21	2.66	-.55	-20.67	1.60	1.23
SunPower SPWRA	21.69	21.06	-.63	-2.991	45.13	23.39
SunTech STP	8.97	8.12	-.85	-10.46	13.55	5.34
Trina Solar TSL	28.47	22.95	-5.52	-24.05	10.09	7.23
Westinghouse Solar (Akeena) WEST	.455	1.13	+.675	+48.35	2.28	.61
Yingli YGE	12.53	9.18	-3.35	-36.49	7.25	3.888
20SSI Weekly Cumulative:	Previous 440.42	Current 393.55	Change -46.87/11.9%		1/05/09* 415.41	3/06/09** 266.01

* The starting date of the 20 Solar Stock Index (20SSI).
** The Concensus "new" bull market began on Monday, March 9, 2009.
NOTE: All above stocks have market capitalization of $100M+ except Westinghouse Solar (formerly Akeena), Amtel Systems
and Entech Solar. This listing is strictly informational and implies neither endorsement or disapproval of any stock listed. Comments are always welcome.

April: Dow, NASDAQ Climb; Solar Slips

Only four solar winners

The Dow had a bumpy April but still was able to finish 490 points ahead since March to end at 12810.54, nearly a 4% gain. The NASDAQ also had a good month gaining 92 points to 2873.54, a 3.3% rise. Issues in the 20 Solar Stocks Index fared poorly however as 15 stocks lost value and the index closed today at 440.42, over an 8% drop.

Spring is usually good to solar as contracts pick up after winter. Also, the BP Gulf disaster of a year ago; damaging strip mining in Appalachia; and the continuing nuclear crisis in Japan would make one think a serious turn to renewables would be natural. But there's nothing natural or logical to our growing energy problems when Big Oil, King Coal and nuclear lobbies command the attention and control of a duplicitous Congress. Solar, wind and geothermal are all ready to take their places in the nation's energy industry but stalwart corporate interests continue to stymie any political or moral will to change.

As the wicked talons of greed become more and more conspicuous (including banking, HMOs, NFL, tax breaks for the elite) it seems they keep attaining more instead of being held in check. And the middle class (sans Teabaggers) gets less political access, higher gas and food prices, outrageous credit card interest and fees and paychecks that seem to shrink month by month.


20 Solar Stocks Index as of 4/29/11

	Close 3/31/11	Close 4/29/11	Up/Down	% Change	Close 1/5/09*	Close 3/6/09**
Dow Jones DJIA	12319.73	12810.54	+490.27	+3.983%	8952.89	6626.95
NASDAQ	2781.07	2873.54	+92.47	+3.324	1628.03	1293.85
Amtel Systems ASYS	24.24	22.68	-1.56	16.878	4.00	2.73
Applied Materials AMAT	15.62	15.69	+.07	+.4481	10.67	8.70
Canadian Solar CSIQ	11.28	10.80	-.48	-4.444	7.00	3.0601
ECD (UniSolar) ENER	2.26	2.00	-.26	-13.00	29.33	17.45
Entech Solar ENSL.OB	.05	.0433	-.0067	-15.47	.28	.23
Evergreen Solar ESLR	.599	1.35	+.751	+25.37	3.60	1.03
First Solar FSLR	160.84	139.57	-21.27	-15.23	157.80	108.49
GT Solar Int. SOLR	10.67	11.17	+.50	+4.686	4.00	4.02
Hanwha SolarOne HSOL f/k/a Solarfun	7.58	6.83	-.75	-10.98	6.12	2.30
JA Solar JASO	7.01	6.85	-.16	-2.335	5.09	1.91
Kyocera KYO	100.91	109.91	+9.00	+8.918	71.87	54.21
LDK Solar LDK	12.24	11.51	-.73	-6.342	14.84	4.40
MEMC Elect. WFR	12.96	11.83	-1.13	-9.551	15.76	13.68
Renesola SOL	10.55	9.18	-1.37	-14.92	5.15	2.1201
Satcon SATC	3.86	3.21	-.65	-20.24	1.60	1.23
SunPower SPWRA	17.14	21.69	+4.55	+26.54	45.13	23.39
SunTech STP	9.86	8.97	-.89	-9.921	13.55	5.34
Trina Solar TSL	30.09	28.47	-1.62	-5.690	10.09	7.23
Westinghouse Solar (Akeena) WEST	.475	.455	-.020	-4.395	2.28	.61
Yingli YGE	12.89	12.53	-.36	-2.873	7.25	3.888
20SSI Weekly Cumulative:	Previous 477.42	Current 440.42	Change -37/8.401%		1/05/09* 415.41	3/06/09** 266.01

* The starting date of the 20 Solar Stock Index (20SSI).
** The Concensus "new" bull market began on Monday, March 9, 2009.
NOTE: All above stocks have market capitalization of $100M+ except Westinghouse Solar (formerly Akeena), Amtel Systems
and Entech Solar. This listing is strictly informational and implies neither endorsement or disapproval of any stock listed. Comments are always welcome.