Solar Power
for a
Stronger
Wisconsin
Tyler Huebner
RENEW Wisconsin
“Solar Power Wisconsin” Event
November 8, 2014
About RENEW Wisconsin
RENEW Wisconsin is a non-profit organization formed in 1991.
Main goals: advance clean
renewable energy in Wisconsin:
wind, solar,
bioenergy, hydropower
Supported by memberships from individuals and businesses, as well as
foundations, events, and consulting
Today’s Talk
• Solar Power Today
• Solar Power Tomorrow – Where it’s
headed & where we need to take it
“I’d put my money on the sun and
solar energy. What a source of
power! I hope we don’t have to wait
till oil and coal run out before we
tackle that.”
--Thomas Edison
Wisconsin’s Electricity Mix (2012):
Where we’re starting from today
WI Solar’s
Current
Contribution
0.02%
Source: Public Service Commission, Strategic Energy
Assessment for 2020, Page 14
Solar: where we can go
Solar’s Potential for US
Electricity Production
14% by 2030
27% by 2050
WI Solar’s
Current
Contribution
0.02%
Wisconsin’s Solar Resource
Solar Power Applications
Residential
Utility
Commercial
Photos: John Ahles, Energize LLC, and Sun Edison
Benefits of Solar
• The sun is free!
• The sun isn’t going to run out (~5 billion years)
•
•
•
•
•
•
•
Lock in electricity prices for 25+ years
Produce power where you need it
Produce power when it’s valuable
Flexible location and scalable
Distributed – not centralized
Local resources – not far-away
Exercise your personal values
• 25 year warranties on solar panels
• 25 year warranties on inverter (equipment)
• And now….it makes economic sense for many people, businesses,
and organizations
Material Cost Decreases
Price of solar
cells dropped
99 percent
since 1977.
Source: Bloomberg
New Energy Finance
Pricing Decreases
WI: 2013 residential system
$4.63 / watt
(source: Focus on Energy)
Residential Solar PV Economics
• Assume $3.50 per kW installed cost
• Assume 5 kW solar PV system, creates about 6,000 kWh of
electricity per year
•
•
•
•
•
System Price:
Focus on Energy Rebate:
Federal Tax Credit:
Net system price:
“Simple payback”:
$17,500
$2,400
$4,530
$10,570
14.7 years*
* 6000 kWh of electricity, assume 12 cents per kWh electric rate, $720 in energy
production per year. Lower payback if you are on “Time of Use” rates with higher prices
for peak times
Ownership & Financing Models
1. Own the system
Purchase outright
Get a Loan
–
–
•
•
Qualify for state rebates
Qualify for federal tax credit
Ownership & Financing Models
1. Own the system
Purchase outright
Get a Loan
–
–
•
•
1.
–
–
–
–
Qualify for state rebates
Qualify for federal tax credit
Lease the system / sign a “power
purchase agreement”
No up-front capital
Lock in 20+ year power rates
No hassle, performance guarantees
But… it’s “gray area” of Wisconsin law!
“Third Party” financing models allow more
people to participate in solar
Source: Solar Power to
the People: The Rise of
Rooftop Solar Among
the Middle Class.
Center for American
Progress, October
2013
“Community Solar” models
About 3 in 4 utility customers DON’T have good access to solar
(shading, roof condition, etc…)
Vernon Electric Coop (Westby)
1,001 panels | 305 kW (about 40 homes’ annual usage) | 120 owners
$600 per panel | $35 savings per year | 5.8% return
Photo: Vernon Electric Cooperative
“Community Solar” models
Vernon Electric Coop (Westby)
1,001 panels | 305 kW (about 40 homes’ annual usage) | 120 owners
$600 per panel | $35 savings per year | 5.8% return
St Croix Electric & Barron Electric as well
Photo: Vernon Electric Cooperative
Germany vs US installations
Where we need to go:
Further Cost Reductions
Where we need to go:
Further Cost Reductions
Lawrence Berkeley National Labs / DOE SunShot
http://emp.lbl.gov/sites/all/files/german-us-pv-priceppt.pdf
Wisconsin vs US installations
Solar Installations - US vs. WI
160,000
900
140,000
800
700
120,000
600
100,000
500
80,000
400
60,000
300
40,000
200
20,000
100
0
0
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US
Wisconsin
LBNL: Tracking the Sun VI
Wisconsin vs Minnesota Installations
Today to 2020
2020
2014
Each Logo =
14 MW of solar
(Annual usage of
~1750 homes)
National Security
Robin Eckstein
Iraq War Veteran, Appleton, WI
“If you’re not moving forward
on renewable energy, then
you’re not moving forward on
national security.”
Source: October 2, 2014 Talk
Department of Defense
Renewable Energy
-
20% DoD energy from
renewables by 2020
-
Navy: 50% by 2020
-
Army & Air Force:
25% by 2025
-
$7 billion request for
proposals in 2012
http://www.eesi.org/files/dod_eere_factsheet
_072711.pdf
Debbie Dooley – Georgia Tea Party
“I’m a right-wing radical
grandmother, and I like
green energy.”
“If we have rooftop solar, we
are less vulnerable to
terrorist attack.”
Solar Creates Jobs
Solar Creates Jobs
The Subsidy Question
Source: DBL Investors, (Nancy Pfund and Ben Healey)
Looking to the Future of Wisconsin Solar
0.02%
“Let’s give solar a shot at
being a walk-on to
Wisconsin’s energy team.”
Mark Tauscher, former
Green Bay Packer
Growing Solar in Wisconsin
1. Education & Motivation – thank you for coming today!
1. Make it easier for people to participate
a. Allow third-party ownership (nearly 70% nationally of installs use this)
i. “No-money-down” solar options
ii. Can the government or a utility control your decisions on your property?
iii. “Get out of the way” of private enterprise: $3.3 Billion in 2013 investment
b. Expand community solar programs
c. Cut red tape (permitting, interconnection) to save hassle, time, and money
2. Let’s set a goal
a. Minnesota – 1.5% of electricity by 2020 law,
10% by 2030 goal
Photo: Heidi Speight, RENEW Wisconsin; Church solar in Hartland, WI
Valuing Solar’s Benefits
Clockwise:
We Energies 2009 Study
Mississippi 2014 Study
Minnesota 2014 Study
Solar + Battery Storage
U.S. Electricity Industry Trade Group - 2013
Wisconsin’s Electric Sales 1990-2012
80,000,000
70,000,000
60,000,000
MWh Sales
50,000,000
40,000,000
30,000,000
20,000,000
10,000,000
1990
1995
2000
2005
US Energy Information
Administration (EIA)
2010
U.S. Electricity Industry Trade Group - 2014
“The bottom line is
that the electric
utility industry needs
the electrification of
the transportation
sector to remain
viable and
sustainable in the
long term.”
Electric Vehicles – The Opportunity
Courtesy of Greentech Media, July 22, 2014
Electric Vehicles
Tesla Model S
2013 Motor Trend Car of the Year
“It drives like a sports car, eager
and agile and instantly
responsive. But it's also as
smoothly effortless as a RollsRoyce, can carry almost as
much stuff as a Chevy Equinox,
and is more efficient than a
Toyota Prius.”
Electric Vehicles
Nissan Leaf
Ford C-max
Chevy Volt
Bringing It Together
Solar is a tremendous opportunity:
• For you – save money & live your values
• For Wisconsin – create local jobs and increase our energy security
(local resources plus diversity of our portfolio)
Policies changes would make it easier and cheaper
Utilities are getting involved to offer you options
Technologies are evolving: can solar, storage, and electric vehicles
work together to give customers what they want while
strengthening the entire system?
RENEW Wisconsin’s Annual Summit
Friday, January 9th, 2015
Union South at the
UW-Madison Campus
8am registration &
networking
Thank You!
Solar Power for a
Stronger Wisconsin
Tyler Huebner
RENEW Wisconsin
tyler.huebner@renewwisconsin.org
608-255-4044 ext 1