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Best Bang for the kW

Best Bang for the kW. ARRA Funded Small Solar Projects John Schmadeke, Agua Fria UHSD September 9, 2009. Funding Approval. AZ received $55.5 Million ARRA (Stimulus) funding for its Energy Grant Program.

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Best Bang for the kW

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  1. Best Bang for the kW ARRA Funded Small Solar Projects John Schmadeke, Agua Fria UHSD September 9, 2009

  2. Funding Approval • AZ received $55.5 Million ARRA (Stimulus) funding for its Energy Grant Program. • $20 Million was allocated to K-12 School Energy Projects, including small school solar projects. • The SFB will administer and award grant funding to AZ public K-12 (non-charter) schools. • Grant process; requests due by November 6, 2009 • Awards will be approved at the January 2010 SFB meeting.

  3. ARRA Funded Solar • $5.5 Million will be dedicated to small solar electric systems for small (sf.) districts. • SFB will invite applications from those districts who qualify. • System size is limited to 30 Kilowatts (kW) per district. • Funding intended to cover 25 installations.

  4. Speaking “Solar” • Photovoltaic (PV) panels produce direct current (DC), which like a battery, is not compatible with alternating current (AC) power systems. • PV panels are most common as crystalline or thin film technologies. Crystalline is 25% more efficient – smaller array, but more fragile. • An Inverter is required to convert the DC output of the panels to AC at the necessary voltage and frequency.

  5. How Much is “30kW DC”? • In the Phoenix area 1 kW of solar PV capacity can produce up to 1700 kWh per year. • If your district’s power costs are about 10¢ per kWh, then the peak output would be worth $3 each hour - at today’s rates. • In the Phoenix area we can anticipate the value to be about $5,100 the first year. (30 kW x 1,700 x $ .10 = $5,100)

  6. Lifetime Financials • Panels degrade about ½ % per year. • Utility rates have escalated 3% historically. • Panels have a useful lifetime of 25-30 years. • A 30kW system will cost about $6,750 / kW, or $202,000. • A 30kW system will produce 51,000 kW per year when new, and about 45,200 kW in the 25th year. • First year electrical savings is $5,100. • Lifetime savings will be $173,900, excluding rebates.

  7. 25 Year Performance

  8. Utility Rebates • The AZ Corporation sets solar energy rebates as part of the utility rate case. • For the remainder of this year APS has requested schools be treated as residential entities due to a surplus. $2.25 per watt, or $67,500 on a 30kW system. • Schools when classified by APS as a Commercial entity, earn production based incentives paid out quarterly. $ .22 per kWh up to 60% of installation cost over 10 years – maximum $101,000. (51,000 kWh x $.22 = $11,220 / year, over 9 years) • Other utilities – SRP, TEP, etc. ??? - TBD

  9. What will it look like? • PV panels are commonly mounted on roofs, shade structures, on the ground, or elevated to create shade. • Tracking mounting systems follow the sun to produce more kWh each day. • Typical systems produce about 1 kW for each 100 square feet. • A 30 kW system thus is in the 3000 sf range, or about the size of 4 classrooms.

  10. How can my District make the most of a small solar system? • It will not make up for the current economic downturn or loss of excess utilities!! • The systems do have beneficial economic results (stimulus) when considered as a distributed system of 815 kW. • 25 small systems state-wide will allow widespread educational benefit and hands-on experience to many districts.

  11. What are my options? • A district may elect to construct a system up to 30kW. • Economies of scale apply with increased size up to about 500kW, i.e. three 10kW systems cost more than one 30kW system. • A 30kW system might occupy about 50’ x 60’ on a roof above 4 classrooms; Or cover 15 parking stalls; Or provide 3000 sf of shaded outdoor dining space.

  12. How will Students benefit? • Solar panel operating data is great real-world information useful in math and science courses. Ensure the installer provides current and historical data via the web or school network. • Students and families can see renewable energy at work and participate in the generational transformation from fossil to renewable sources.

  13. Benefits to Adults • Administration and Board: Gain actual solar operating experience in your locale before considering a larger system. • Staff: Experience maintaining the system, from occasional panel cleaning, to trimming trees that might shade the panels.

  14. Other Considerations • Ensure the roof is in good condition before installing panels – costs to remove and replace panels increase the reroofing cost. However panels also can extend roof lifetime. • Inverters have an expected lifetime of about 15 years, panels 25-30 years. Plan for these expenses. Consider a maintenance agreement or maintenance reserve fund. • Vandals could damage components – minimize climbing aids; consider a safe location; verify insurance coverage.

  15. Questions & Comments Thank you

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