HARNESSING THE POWER OF THE SUN FOR THE BENEFIT OF ALL WHO WE ARE • Full-service electrical contractor • Licensed, bonded and insured • Principals have combined 30+ years electrical and solar experience • All employees go through 4 or 5-year apprenticeship program • NABCEP Certified Solar Installers; LEED AP • Journeyman Electrician Lead on-site; Master Electrician oversees inspection. WHAT WE DO • Residential Electrical • Commercial Electrical • • • • • • • • New Construction Renovation Code Upgrades Back-up Power Emergency Service Lighting Controls Energy Audits and Conservation LEED Certification • Residential Solar • Commercial Solar HOW DOES SOLAR WORK? The best formula for a solar electric system is a high rate of insolation (solar resource) and high utility rates. The bad news: • Western Washington’s insolation is about 2/3 that of Sacramento. • Washington has some of the lowest utility rates in the country. The good news: • Washington has one of the best solar incentive programs in the world. so… HOW DOES SOLAR WORK IN WASHINGTON? Federal, State, Utility and Local programs pay YOU for producing energy. FEDERAL PROGRAMS • Federal Tax Credit for Individuals and Businesses • 30% of your total system cost is credited against tax liability • • You can take all of the credit in the first year, or roll it over into subsequent years until 12/31/2016 No maximum • Accelerated and Bonus Depreciation (MACRS) • 20% or MORE of your total system cost can be taken as depreciation credits • • • Available for commercial customers only!!! • Be wary of solar companies telling you this can be used on your house! Depreciation basis is 85% of system cost 50% bonus depreciation in year one; 20%, 32%, 19.2%, 11.52%, 11.52%, 5.76% • Department of Agriculture Grants (REAP) • Rural, agricultural small businesses may be eligible for a grant of 25% of total system cost through the USDA HOW DOES SOLAR WORK IN WASHINGTON? STATE PROGRAM • Renewable Energy Cost Recovery Incentive Payment Program • Enacted in 2005, secured through June 30, 2020 • • Trade group working on a new bill for 2014 NO SALES TAX! • Meant to encourage manufacturing in Washington • • Base rate of $0.15/kWh Multipliers of 2.4 for WA-made modules; 1.2 for WA-made inverters $0.15 x 2.4 $0.15 x 1.2 $0.36/kWh $0.18/kWh $0.54/kWh • Maximum payback of $5000/year through your utility • New Production Meter installed • Read once a year; year is July 1-June 30 HOW DOES SOLAR WORK IN WASHINGTON? NET METERING • YOU are USING the energy produced by your system • Depending on usage, this is an additional 9 to 9 ½ cents per kWh • • This amount will be absent from your normal utility bill Production is MUCH higher in summer; about 1/5-1/6 in winter 54¢ Rooftop Array 9.5¢ Production Meter House Panel Net Meter Total net benefit to you is up to 63.5¢ per kilowatt hour! CHOICES TO MAKE In-State Components or Out-of-State Components In-State Components • Higher payback = Better ROI • Often < 6 years rather than 11+ • Encourages jobs in Washington • NOT bad quality • Just less automation • Out-of-State Components • Lower overall cost • • • Better quality products? • Personal relationships with suppliers • • Modules can be 55% cheaper or more Overall project cost 30% cheaper or more More established, international brands Confidence in warranty Shorter lead times • Often available off-the-shelf NWE&S usually includes at least one in-State and one out-of-State option in every proposal CHOICES TO MAKE Module Selection Itek Energy (IT255 mono) • • • Made in Bellingham since 2008 Least expensive inState option Standard 60-cell module • • • Compatible with all inverter types Higher Efficiency modules available 10/25 Warranty • 10 years workmanship / 25 years 80% production Silicon Energy (SiE200) • • Made in Marysville since 2005 Incredibly durable • • • • Tested to 80 years!!! Double-glass construction Building friendly 49-cell module • • 48” repeat spacing Better aesthetics • 5 years workmanship / 15 years 90% / 30 years 80% 5/15/30 Warranty SolarWorld (SW270 mono) • • • • • Made in Hillsboro, OR • In USA since 1975 • Bought Shell Solar in Camarillo, CA German company Largest module manufacturer in US Higher efficiency 60cell module • Up to 270W • 10 years workmanship / 11 years 90% / 25 years 80.2% 10 / 11 / 25 Warranty CHOICES TO MAKE Inverter Selection—String Inverter or Micro-inverter? • 3-4% more efficient • • Equals more production 50%+ cheaper than micro-inverters • Best ROI • Integrated monitoring (some) • Integrated AC/DC disconnects • Strings of 10-14 modules typically • Suitable for unshaded modules with the same orientation. • More versatile • • Isolation of shading • • • Typically 1 inverter for 1 or 2 modules 1-2 modules shaded does not affect the output of the rest Any orientation • • Any number of modules is possible Modules can face different directions at different tilt angles Optional energy monitoring unit • Add $500 to total project cost CHOICES TO MAKE Inverter Selection—In-State Itek Energy (Eltek Theia line) Silicon Energy (SiE3840 and 5300) • • • • String inverter Established, Norwegian brand assembled in Bellingham Available in 2.0kW, 2.9kW, 3.8kW, 4.4kW Strings of 10-13 modules Integrated monitoring system 230V-600V range • • 10-year warranty 97.3% max efficiency • • • • • • • • • • String inverter Made in Marysville Available in 3.84kW or 5.3kW Strings of 11-14 modules 235V-600V range Bundled with Silicon Energy modules • Not compatible with micro-inverters 10-year warranty 96.7% max efficiency Blue Frog Solar (APS 200 or 500) • • • • • • Only micro-inverter made in WA Made in Poulsbo since 2012 Available as one per module (APS200) or one per 2 modules (APS 500) Optional monitoring unit for $500 25-year warranty 95.5% max efficiency CHOICES TO MAKE Inverter Selection—Out-of-State SMA (SunnyBoy line) • String inverter German Company with 40% world market share Made in USA Available in nearly any size Strings of 9-13 modules Available monitoring interface 150V-600V range • • 10-year warranty 97.2% max efficiency • • • • • • Enphase (M215 and M500) • • • • • • • Micro-inverter Largest micro-inverter manufacturer in the world Made in China Available as one per module (M215) or one per two modules (M500) Optional monitoring unit for $500 25-year warranty 96.3% max efficiency CHOICES AND RETURN ON INVESTMENT Typical NWE&S Package Offerings 5.1kW System Itek / Theia • • • • • • 5.1kW System Itek / Blue Frog • • • • 20 x 255-watt modules 10 x Blue Frog APS500 micro-inverters Price per watt = $5.70 Total system cost = $29.070 Expected output = 5610 kWh/year • • 20 x 270-watt modules One SunnyBoy 5000w string inverter Price per watt = $3.80 Total system cost = $20,520 Expected output = 6075 kWh/year • Return on investment = • Return on investment = 20 x 255-watt modules One 4.4kW Theia string inverter Price per watt = $5.20 Total system cost = $26,520 Expected output = 5738 kWh/year • • Return on investment = 5.1 years 5.4kW System SolarWorld / SMA • • 5.7 years • • 9.2 years Assumptions: 180° azimuth; 20° tilt; 98% sun access; 9.5¢ average utility rate; 0.5% degradation rate; 4.1% utility rate increase CHOICES WE’VE MADE FOR YOU Sunmodo Racking Systems—Flat Roof, Metal Roof, Ground Mount, Shingle • All aluminum and stainless steel components • • Prevents rust for LONG LIFE You do NOT want cheap, galvanized steel • Vancouver, Washington-based company • 10-year product / 5-year finish warranty • Premium product • Mechanically anchored CHOICES WE’VE MADE FOR YOU We Choose Safety AND Performance • DC and AC Disconnects • • Required by National Electric Code Not required (in many cases) locally • Many contractors make the dangerous choice to cut this corner • We value our employees and will never ask them to do something that makes them uncomfortable Rain, Ice or Snow • • Wire Gauge and Type • The gauge of the wire can seriously affect production • • Smaller wire = more voltage drop We size wire for less than 2% drop Safety Equipment Safety before schedule!! Permanent anchors or temporary scaffolding may be required OTHER FACTORS AFFECTING PRICING & ROI • System size • • • • • Roof height • Under 50’ assumed in packages Adds to labor hours • Needs upgrade per code Eligible for 30% ITC Distance to panel Steep roofs add greatly to labor hours • Economy of scale Outdated wiring • Roof pitch • • Metal roofs • • Much simpler Actually DECREASE COST Conduit runs in the attic or under the eaves and equipment mounted inside (such as inverter) are optional aesthetic customer options that will increase cost. FACTORS AFFECTING PRODUCTION Orientation • • • • 180° (true south) is ideal East- or westfacing arrays about 20% less No north! • Tilt Angle • • Shading and soiling can severely affect output! • NWE&S will not sell a system that will be severely shaded • We assume 3% losses from soiling throughout the year • Regular cleaning of modules is recommended 32° ideal in Seattle area Better to mount flush to roof for wind loads THE PROCESS • • • Initial contact • • Usually a phone conversation between you and NWE&S Set a date for in-person consultation and site assessment • • Sometimes surprisingly accurate Sometimes NOT—why we always want a site assessment • • • Customer goals and preferences Review sample proposal for familiarity Rooftop measurements and Suneye readings Google Earth In-person consultation and site assessment • • Proposal and Contract • • Usually sent via email Deposit gets materials on order • • • • CONFIDENCE IN NUMBERS Sometimes up to 6-8 weeks for delivery of materials; sometimes in stock 65% deposit for in-State materials; 50% for out-of-State materials Paperwork and Permits • Utility, City/County or L&I, DOR, IRS • • Office manager schedules work Inspection upon completion Construction and Inspection THE SITE ASSESSMENT: CONFIDENCE IN NUMBERS An accurate bid cannot usually be done remotely • Solmetric Suneye • • • Fisheye lens takes shot of skyline(s) Automatically calculates solar access Used for de-rating PVSyst report • PV Syst—University of Geneva • • • • • Required by largest utilities (not in WA) Comprehensive, based on TMY data DC/AC losses, module tolerances, mismatches, soiling, etc. Hourly, daily, monthly data available Not PVWatts (free online) • Accurate roof measurements • • • • Pitch Obstructions Roof structure Roof quality THE PROPOSAL BEWARE HIDDEN COSTS! • One-page summary with all relevant figures • 3 options, based on YOUR input • • • In-State and out-of-State options Scalable options to fit your budget More options available if you don’t like what you see • Single, lump-sum cost--We will beat any competitor’s bid • Industry-standard price per watt • Easy apples-to-apples comparison • All permits and other incidental costs included • Only option is $500 ECU for micro-inverter systems THE PROPOSAL THE PRODUCT OF THE SITE ASSESSMENT AND CONSULTATION • • Options shown clearly on roof Summary of each option • Cash flow chart for each option • • Cash flow graph for non-numbers people Break-even point clearly shown THE CONTRACT Highlights from 9 Pages of Legalese • 5-year workmanship warranty from Northwest Electric & Solar • Lump sum price and payment terms clearly stated in dollars and cents • Process for changes • Notice to proceed (from you) and 14-day schedule * Large projects may need more time • NWE&S insurance is $1,000,000 liability / $2,000,000 aggregate • License information • Bond information • Mechanic’s lien PERMITS AND PAPERWORK Electrical Permit • Always required • Through City, County or State Department of Labor & Industries • • Slightly different requirements in different areas • Cost varies • Code compliance varies Always paid for and acquired by NWE&S Building Permit • • • Not usually required • System size in kW • Total system weight • Other structures • Non-flush mount Through your local building and planning authority—City or County Different requirements in different areas • Fire aisles • Setbacks System Certification • Utility “new” service • Production meter • Utility Certification • Department of Revenue Certification • Sales Tax Exemption • IRS Form 5695 • Annual Production Incentive Form • NWE&S fills out all for your signature CONSTRUCTION AND SCHEDULE Once you’ve signed a contract…. Lead Times • • • Modules are the driving factor— usually 6-8 weeks Inverters and racking are < 3 weeks Materials storage on site? Safety • Roof anchors • • • We will “call the job” for the day if necessary Might need access to the inside • • • Permanent? Dangerous Conditions • Construction • 100% safe to leave a key with us There will always be a journeyman electrician on site Typical installation is 2-3 men, 3 days Scheduled through our office manager, Jeramy THE CONSTRUCTION PROCESS Getting Your System Up and Running Install anchors • Directly into joists or purlins • Waterproofed with silicon gel • Might need attic access Install rails • Rails run perpendicular to joists/purlins • 2 rails per row of modules • Typically anchored every 48” “Fly glass” • Modules clamped to rails with top clips (end and midclamps) • Usually less than 3 lbs/ft² Install the rest • • • • Inverter(s) Disconnect(s) Conduit and wire New meter box Test the system • Test all DC circuits • Test input/output at the inverter Final inspection • Once approved, the utility will install the new production meter and you’re making clean energy! MAINTENANCE ETCETERA Your System and Your Pocketbook The only regular maintenance we recommend is module cleaning • • • • • • • Remember soiling is now the #1 factor in production Clean 3-4 times/year or as needed Keep modules free from leaves, bird droppings and other obstructions Will naturally shed snow Pay special attention to aperture area and corners Keep an eye on energy production through your inverter or monitoring unit Compare to production meter regularly NWE&S will provide you with a customer care manual with all maintenance, warranty and paperwork Remember that production is largely dependent on the weather and the season. If you think there is an issue with your array, please contact NWE&S immediately to troubleshoot. Remember to file your IRS form 5695 and your annual State production incentive paperwork with the utility. CHOOSING NWE&S A Local, Family-oriented, Trustworthy Company We’re building NWE&S on customer service • Most of our business comes from repeat/referral customers • • Customer referral program gives $100/kW for leads that turn into jobs Solar installer of choice for many General Contractors and Green Builders • Angie’s List Super Service Award • Better Business Bureau A Rating • Perfect 5-star rating on Yelp We care about Washington, our Country and our World • We’re from Kirkland, Edmonds, Tonasket, etc. • Active in local trade groups • • Solar Washington Master Builders Association • Husky and Cougar-friendly • LITERALLY, A FAMILY COMPANY You’re making a 25+ year investment. You want a company that will be here for you in 2038 and beyond!