Tuesday, September 23, 2014

Helping my friend Marcia get solar

I haven't done a post in a long while and my blog info is probably out of date, but my friend Marcia wants to get solar panels installed. So I'm going to add a some initial thoughts and links that I just looked up that are kinda helpful (as a refresher to me too).

Actual Solar Production from my system:

We are producing a lot of clean energy and generating above the predicted levels of energy production:
2014 YTD (thru 9/23): 2,196 kWh
2013: 2,706 kWh
2012: 2,945 kWh
2011: 2,923 kWh
Predicted/estimated annual production when installed: 2,781 kWh.

Initial Questions for you:
  1. Are you trying to maximize or optimize your solar? Maximize = if you just want to put as much solar on your roof because it's the right thing and you can afford. Optimize = pick the size of your install that gives you the most bang for your buck. If you want to optimize, you will not install more panels than the energy you use. And you might actually only install enough panels to offset your higher tier energy usage. You have to look at your electric bills - that's the first thing the solar installer will ask for, so you should get them ready anyways (12 months).
  2. Are you planning on refinancing your mortgage (rates are low)? If so, it makes so much sense to roll up the installation cost into your new mortgage. You are just adding a little more to your mortgage and reducing your electric bill, which turns out to be a wash (so it's like it's free).
  3. What's the condition of your roof? Will it need to be replaced soon? If so, you may want to do that along with your install. Again, if you can roll it into your refi, then it's cashflow wash.
  4. Do you have a lot of shade? If so, your house might not be a good candidate for solar PV, but have an installer come and evaluate.
Money & Incentives:
  • The Federal tax credit of 30% is still in effect until Dec 31, 2016. Solar system must be installed and in operation by that date.
  • Most of the California state incentives have already been claimed. The CSI site has the incentive status for the main independent power providers (PGE, SCE, and CSE). Your city/municipality power provider might still have incentives - so checkw ith them directly.
  • Most of the solar installers are now offering no money down lease deals. They are just financing the installation for you and you agree to buy power from them at set rates (power purchase arrangements). I haven't looked into these, but if you are planning to refinance your mortgage, then it's probably cheaper for you to roll that up into your refi. That's what I did.

Selecting an Installer:
When picking an installer, you want one that has been around for a long time and will be around for a long time because your salr installation should last 25-30 years. Any issues, you want to be able to call your installer company. Then also look at volume - you want an installer that has done tons of installations, not a newbie. For these reasons, you probably want to go with REC Solar (been around the longest) or Solar City (well funded public company). Verengo is top residential solar installer, but they haven't been around for that long - founded in 2008.

On a personal note, we went with Martifer Solar, which went bankrupt a year or so ago. We haven't had any issues, but when we have to replace the inverter (10 years), we'll have to find somebody new to do it.

Top installers in California based on aggregate residential kWs installed (data from Go Solar California site that tracks the Claifornia Solar Initiative applications):

Quick Google searches:
Top 10 installers listed by Solar America, a solar industry org.
Best and Worst Yelp Reviews of the Top 5 US Solar Installers.

Next Steps:
  1. Schedule a few estimates/evals with some solar installers.
  2. Check out my Home Buyer's Guide posts for how to evaluate the bids:
Part 3 of 3: A Home Buyer's Guide to Purchasing a Grid-Tied Solar PV System - Finalizing Your Decision

Annual Solar Production 2011-2014YTD

Annual Solar Production 2011-2014YTD

2014 YTD (thru 9/23): 2,196 kWh
2013: 2,706 kWh
2012: 2,945 kWh
2011: 2,923 kWh

Estimated annual production when installed: 2,781 kWh.