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Clean Energy Incentive Programs – Connecticut Summary

Clean Energy Incentive Programs – Connecticut Summary. Dave Ljungquist Associate Director, Project Development February 18, 2010. Connecticut Clean Energy Fund. Created in 1998, launched in 2000

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Clean Energy Incentive Programs – Connecticut Summary

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  1. Clean Energy Incentive Programs – Connecticut Summary Dave Ljungquist Associate Director, Project Development February 18, 2010

  2. Connecticut Clean Energy Fund • Created in 1998, launched in 2000 • Mission: The CCEF promotes, develops and invests in clean energy sources for the benefit of Connecticut ratepayers • Funding: • Originally - surcharge on electric utility bills ~ $28 million/year • New – American Recovery & Reinvestment Act of 2009 ~ $20 million over next 30 months 3

  3. CCEF Goals • Create a supply of clean energy (installed capacity) • Foster the growth, development and commercialization of clean energy technologies • Stimulate use of clean energy by increasing public awareness

  4. Clean Energy Technologies -- Present Solar PV Wind Fuel Cells Biomass Landfill Gas Wave/Tidal Hydro Click here for more information.

  5. Clean Energy Technologies - New Ground-Source Heat Pump (Geothermal) Launched in January, 2010 Solar Thermal Launched in October, 2009

  6. CCEF Program Summary • Fuel Cells – On-site Renewable Dist. Gen. (OSDG) • $8 million ARRA, $12 million CCEF (all commercial) • Solar PV – Residential Programs • Residential rebate - $1.5 million ARRA, $1.5 million CCEF • Residential lease - $1.2 million • Both will exhaust funds by early Spring • Solar PV – Commercial Programs (OSDG) • For-profit grants - $4.3 million CCEF • NFP grants - $3.9 million CCEF, $1.5 million ARRA • No new applications being accepted • Backlog of commercial applications will likely exhaust funding by 6/30/2010 3

  7. CCEF Program Summary • Wind, hydro, other (OSDG) • $950,000 CCEF • Likely to last through fiscal year (6/30/2010) • Solar Thermal – new program • Launched in October • Residential rebate - $1.8 million ARRA • Commercial rebate - $1.8 million ARRA • Geothermal Ground Source Heat Pumps – new program • Launched in January • Residential rebate - $2.25 million ARRA • Commercial rebate - $2.25 million ARRA • Incentives will be combined with CEEF program 3

  8. Small Solar PV Rebate Program (Res.) • Up-front grant subsidizes purchase by homeowner • Up to $15,000 in incentives per project • Projects incented up to 10 kilowatts • Up to $1.75 per WattPTC for 1st five kW • Up to $1.25 per WattPTC for next five kW • Incented size limited to site’s peak demand • Must use listed installer • Pays approx. 30% of total system cost • Benefits: • Good solar resources in CT • Easy to site • Stabilize a portion of electric bill • Reduce greenhouse gas emissions Click here for more information.

  9. CT Solar Lease Program (residential) • Zero down payment with low fixed payments • Payments less than $110.00/month with typical 5 kW system • 15-year lease with option to extend for another 5 years at lower monthly cost, or purchase system outright, or have it removed • For homeowner customers of CL&P and UI who: • Install qualifying Solar PV systems • Reside in their 1 to 4 family owner-occupied homes • Have a household income of 200% or less of their area’s median income • Meet the credit and debt to income qualifications of the program • CT Solar Leasing, LLC owns the RECs and sets aside for each system owner a portion of REC sale proceeds to use for certain costs • www.ctsolarlease.com

  10. OSDG Program – Fuel Cell (Commercial) • Projects up to 2,000 kilowatts • Incentive cap = $2.50 per Watt • Incentive limited to site’s annual usage • Pays approx. 25-40% of total system cost • Benefits: • Stabilize a portion of electric bill • Reduce greenhouse gas emissions • Can provide emergency power and heat • Limitations: • Site must have a minimum 300 kW base load • Site must be able to use at least 50% of “waste” heat • Must have access to natural gas service Yale – Peabody Museum Middletown High School

  11. OSDG Program – Wind • Up to $4,000,000 in incentives • Projects up to 2,000 kilowatts • Up to $3.60 per Watt (most are much lower) • Incented size limited to site’s peak demand • Pays 20-50% of total system cost • Benefits: • Stabilize a portion of electric bill • Reduce greenhouse gas emissions • Can provide emergency power w/ battery backup • Limitations: • Generation is unpredictable and variable • Must have adequate wind resource (12 mph average) • Zoning restrictions may prevent siting • Wind resources in CT are limited (fair on coastline and some ridgelines)

  12. CCEF Solar Thermal (New Program) • Use sunlight to heat domestic hot water • Typical System Components: • Solar collectors (flat plate or evacuated tube) • Water tank • Rack, plumbing, valves, pumps, etc. • System Considerations: • Demand for DHW (showers, cafeteria) • Building usage (daily, seasonal) • Size to meet 50-70% of DHW needs

  13. CCEF Solar Thermal Program • Federal: ARRA State Energy Program (SEP) • $1.8M for residential projects • $1.8M for commercial/industrial/ institutional projects • $0.4 for administration • Incentives: • Residential and for-profit CI&I -- $500 per MMBtu of October-March system output • Not-for-profit -- $900 per MMBtu of Oct-Mar output • Typically covers 20 – 30% of cost • Maximum incentive limits: • CI&I for-profit - $50,000 • Not-for-profit and governmental - $82,500 • Open to all Connecticut applicants 13

  14. Geothermal Heat Pumps (New Program) • Use constant temperature of earth to provide heating, cooling and dehumidification • Typical System Components: • Underground pipe loops • Indoor heat pump unit • Air-handling system • System Considerations: • Subsurface conditions (rocky v. sandy) • Height of water table • Building structure & insulation • Each 1,000 sf requires 1-2 tons • Est’d cost $6K-$10K per ton

  15. CCEF Ground Source Heat Pump Program • Federal: ARRA State Energy Program (SEP) • $2.25M for residential projects • $2.25M for commercial/industrial/institutional projects • $0.5 for administration • Incentives: • Residential (new construction) -- $1,200 per ton of air-conditioning capacity • Residential (retrofits of existing building) -- $2,000 per ton • CI&I for-profit -- $1,200 per ton • CI&I not-for-profit -- $2,000 per ton • Covers about 20 – 30% of cost • Maximum incentive limits: • Residential – 6 tons • CI&I – 100 tons (150 tons for schools) • Open to all Connecticut applicants 15

  16. The Application Process • Non-competitive (first come, first served) • Information and application forms are on-line • Process steps include: • Application evaluation by staff • Calculation of the incentive amount • Approval of the incentive (staff or CCEF Board) • Notification of incentive award • Verification of successful installation • Payment of incentive! • See our website!! www.ctcleanenergy.com

  17. What’s the Future Hold? State Funds • May be able to keep current funding ($28 million/year) • Residential PV programs will probably continue • No more commercial PV grant program; CCEF pushing for “Solar REC” program like New Jersey’s • Fuel cell program will continue • Wind/hydro/biomass will continue or grow • Feasibility study funding will likely increase Federal Funds • Got $20 million, to be used by April, 2012 (as discussed) • Nothing more forecast • Hope that future federal programs provide long-term funding 17 Click here for more information.

  18. Clean Energy Communities Program • Steps: • Commit to 20% by 2010 Campaign • Commit to EPA Community Energy Challenge • Households and businesses support clean energy through CTCleanEnergyOptions sign-ups and clean energy systems • Reward: Earn clean energy systems • Solar PV • Solar Thermal • Wind Click here for more information.

  19. Communities Solar PV Opportunities • Each 100 points earns 1 kW of solar PV (or equivalent value technology ) • Minimum 4 kW installation • Bonus kW for achieving milestones • Option to purchase additional kW • Limited grants available for towns to enhance earned kW • Towns may use block grants to purchase additional kW • Benefit from economies of scale Common Ground High School - New Haven

  20. Program Contacts Dave Ljungquist: 860-257-2352 Rick Ross: 860-257-2887 (fuel cells) Christin Cifaldi: 860-257-2891 (solar photovoltaic) Bill Colonis: 860-257-2888 (solar thermal, geothermal) Connecticut Clean Energy Fund 200 Corporate Place, 3rd Floor Rocky Hill, CT 06067 http://www.ctcleanenergy.com

  21. Community Programs Contacts Bob Wall: 860-257-2354 Jillian Carbone: 860-257-2881 Connecticut Clean Energy Fund 200 Corporate Place, 3rd Floor Rocky Hill, CT 06067 http://www.ctcleanenergy.com/communities http://www.ctcleanenergy.com/YourCommunity/HighPerformanceSchools/tabid/104/Default.aspx

  22. Visit us online at ctcleanenergy.com

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