“ Case Histories of Sustainable Green Communities” April 24, 2013 Seeking Energy Independence Why???? Dependence on Foreign oil - over 50% imported. Billions of Dollars Going out Cost of Protecting Oil sources Health care costs going up Climate change – Global warming Saudi Arabia Looks to NREL for Solar Monitoring Expertise by Bill Scanlon, NREL | April 22, 2013 | Saudi Arabia is jumping headlong into renewable energy, with plans to install more solar and wind power in the next 20 years than the rest of the world has installed to date. Historic Prices over 30 Years • Average Cost Of New Home • 1980 • Average Cost of New Car • 1980 • Average Cost Gallon Of gas • 1980 $1.19 , • Average Cost Loaf of Bread • 1980 $68,700.00 , 2008 $7,200.00 , 50 cents , $238,880 , 2008 2009 $2.051 , $27,958 , 2013 $3.85, 2008 $2.79 , Future Energy Cost? Increase in Energy Consumption Projected to be - • 57 % by Year 2020 • 200% to 300% by Year 2050. Electric Power cost escalation @3%/yr Green means.. Economic Development.. Saving money.. Save energy & natural resources. Create healthy and productive environment for people. Green Benefits ??? *Control the Budget -Energy Costs of Municipal Operations * Save money-avoid waste * Improve local economy * Conserve Natural Resources… * improve community image with innovation and new technology How Communities Can Go Solar in New York State ? How to go green with Solar? New York State is promoting solarpowered public buildings and lights. How do we achieve this? Solar PV works better in Cold climate. Rochester weather better than Germany who is world leader in solar power production Solar power in Cold Climate of Rochester NY is Feasible • Germany is World’s top Solar Producer with colder climate. New Jersey is #2 in USA * Solar panels work better under cold and wet conditions • Day light is sufficient to make power ,Sunshine makes more power in summer • Snow melts and cleans the panels after snowfall • Cost of PV system reduced 70% in last 5 years • NYS has best financial incentives in the Nation • Private Capital available to finance project Under Power Purchase Agreement Another Banner Year for Solar Power: Industry Breaks Records in 2012 .. March 14, 2013 By Jennifer Runyon, Managing Editor, RenewableEnergyWorld.com In 2012, the U.S. solar industry grew 76 percent over 2011, adding 3.3 GW of new solar capacity. Total U.S. PV Installed Capacity Approaching 10 GW (Equal to Ten Nuclear Plants) CA – AZ – Hi – NJ – MD - NY New York Rises – 2013 Plan NYSERDA’s Competitive Solar Program, PON 2589, funds solar PV systems for public buildings. You can achieve net-zero energy and rely on your own power! In the end, everyone wins! STEP 1: Energy Conservation & Efficiency STEP 2: GREEN ENERGY GENERATION WIND SOLAR GEOTHERMAL Outdoor Lighting Manufacturing Warehouses & Buildings Heating & Maintenance Buildings Office Buildings Steps for Implementing Green Community Initiatives Involve all major departments in assessment of current practices Hold joint meetings to brainstorm ideas for conservation and savings in operating costs Prepare a Work Plan with various departments involving Engineering, Environmental, Parks, Planning, highway, Building facilities, Purchasing etc. Adopt Sustainable Green Plan and inform the residents Procure Federal & State grants or incentives for Energy Conservation/ Generation Set up Energy Independence goals and review achievement date. List of Potential Stakeholders Village Mayor & Town Supervisor Engineering & Buildings Treasurer / Purchasing Environmental Services Planning & Zoning Public Works, Water, WWTP, Transportation Fire Protection, Street Lighting Public safety – Police Parks and Recreation Chamber of Commerce Industrial Development Agencies Energy Independence Steps? 1. How much Energy we use now? 2. What can we do to reduce the demand? 3. Determine the Kwh per year needed after Improvements. 4. Evaluate potential technologies to make Green Power 5. Wind Turbines- 2500 to 3000 hours per Year 6. Solar PV generation – 1100 hours per Year 7. Get solar grants and implement energy generation measures-PON 2589 due March and September 2013 8. Make Green Kwh per year = to Demand / yr. EXAMPLE Avon- Town & Village Energy Use Summary Town of Avon : 11 accounts – 377,590 kwh/ yr. Village of Avon : 10 active accounts- 1,262,358 Kwh/ year Total Energy use / yr.= 1,639,948 Kwh/ yr. Average cost of power = 9.3 cents / Kwh Demand Charge average= 3 cents per Kwh Energy Planning Strategy Adopt Vision to be Net Zero Community Reduce power consumption via energy retrofits Produce Green energy via Solar PV Small Wind Turbines where practical Seek grants from NYS Promote tourism to show Green Energy Project. Energy Independence Via PON 2589- Bid for Large solar PV? 1. Pursue NYSERDA grant via Bid process under PON 2589 . Total $140M available 30% to 50% 2. Seek Letter of Interest and Qualifications from NYSERDA approved local solar system installers? 3. Determine the annual Kwh per year production goal needed to serve Municipal energy requirements. 4. Establish long term power purchase agreement terms and state in the LOI solicitation. 5. Solar PV generation – 940 hours per Year 6. Review LOI and select preferred vendor. 7. Submit bid for NYSERDA grants by August 29, 2013 8. Install system under PPA after NYSERDA acceptance of bid. Here’s how the Process works Bid submission by applicant and approval by NYSERDA Finance- Design and Build PV System Solar contractor becomes power provider under PPA lasting up to 20 years, at a rate less than current power provider rate After 20 yrs the solar PV system is turned over to the community, providing a long-term, low-cost power solution. The community saves money for another 20 YRS + = Too good to be True? How can Developer afford to do it? NYSERDA grants (30%) based on Bid for 2MW max and Federal tax incentives for green power 30%+ depreciation benefit Receive money from the host municipality for electrical consumption via PPA NYSERDA payment source SBC/RPS tax paid by all consumers What are the costs? Zero Capital cost. The municipality leases the project site to the contractor for a symbolic $100./ yr. Under PPA municipality buys solar power for 10- 20 years at lower cost than the current power provider. When contract expires, the municipality buys the solar PV system back for Fair market value and gets low-cost electricity for another 20 years! PPA Summary Chart Solar PV Cost Vs. Grid Power Cost $0.190 $0.180 $0.170 $0.160 $0.150 $0.140 Electricity Cost Rate ($/kWh) $0.130 $0.120 $0.110 $0.100 Grid Power Rate $0.090 30 yr PV Rate $0.080 $0.070 $0.060 $0.050 $0.040 $0.030 $0.020 $0.010 $- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Years Example Power Purchase Agreement $120,000.000 System Size: 352 kW $100,000.000 $80,000.000 12¢/kWh (Current Utility Rate) Net Present Worth of Savings: $60,000.000 Grid Power Cost ($) Solar Power Cost ($) $572,209 $40,000.000 11.3 ¢/kWh (Solar Rate years 1-15) $20,000.000 10.8 ¢/kWh (Solar Rate years 16-20) 3.0¢/kWh (O&M years 21-30) Post-PPA with Option to Buy 20-year PPA $1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Year Savings What’s the Time Schedule ? * The proposal for First round was due by NYSERDA on December 5, 2012 @ 5:00 PM. The second round was due on March 14, 2013 The last round is due August 29, 2013. Program to continue for 10 Years but lower grants Municipal Contribution & Costs? The municipality leases the project site to Developer for nominal cost As agreed in PPA, Municipality purchases electricity at a rate lower than the current power cost Upon end of PPA, Municipality buys the solar PV system and receives low-cost electricity for 25+ years! EXAMPLE of ENERGY IMPLEMENTATION PROJECTS Energy efficient lighting retrofits and upgrades for swimming pool heating Producing clean power on-site for Town Hall (wind, solar, geothermal, etc.). Daylight Harvesting. Solar Thermal technology for preheat pool water and building spaces. Improve building envelope insulation. Heat Destratification Fans Solar Water Heating Geo-thermal Energy Systems Alternative Energy and Conservation Philadelphia, PA Million Solar Roofs Community Partnerships Keene, NH – Geothermal System – Bio-diesel Program – Methane Recovery 32 Energy Conservation via LED 50% savings and 20 +year lamp life 33 Alternative Energy and Conservation Austin, TX – Wash Wise Rebate Program – Light bulb exchange program Chula Vista, CA – Energy Efficient Network Software 34 Solar Powered Electric Vehicle Charging Station Freedom from dependence on Oil ? Cost = 4-6 Cents/KWH Natures gift of wind is helping some areas develop clean renewable energy in the Nation. Upstate New York has good potential. Taiwanese Wind turbines for Urban Application 200w-50kw Large Systems in Progress Grant Awards for NYSERDA Solar Projects – PON 2589 (NY Sun Competitive Program) Communities on track to become Net Zero: Village of Scottsville Village of Dundee Village of Medina Village of Scottsville Strategic Energy Plan Village of Medina WWTP Village of Medina Compost Facility Town of Williamson WWTP Village of Lyons WWTP Village of Elba WWTP Summary of Green Benefits Control future cost of energy Gain independence from rising energy costs National recognition, destination point Promotes sustainability Saves money- energy, water and natural resources Creates healthy environment Control tax rates via growth “Green Solutions -It is the right thing to do... for a better tomorrow….” SERVE THE CLIENT BENEFIT THE COMMUNITY PROTECT THE ENVIRONMENT 585-272-7310 www.larsen-engineers.com