it don’t mean a thing without good marketing!! · marketing solar . for agricultural uses. it...

of 46/46
Marketing Solar for Agricultural Uses It Don’t Mean a Thing Without Good Marketing!!

Post on 30-Jul-2020

0 views

Category:

Documents

0 download

Embed Size (px)

TRANSCRIPT

  • Marketing Solar for Agricultural Uses

    It Don’t Mean a Thing Without Good Marketing!!

  • 2

    MY AGENDA

    Survey of agricultural uses

    Economics – case studies

    Marketing solar in Minnesota

  • 3

    Energy Harvest Group

    Solar thermal for agriculture

    Distributed energy storage

    Urban Solar Farm for Peak Power

  • 4

    Industrial process heatAgricultureCommercial hot waterDomestic hot water

    Not space-heating !!

  • 5Monthly DHW Load

  • 6

  • 7

    Stock wateringElectric fencingEmergency powerElectric grid support

  • 8

    The Two Sides of Solar

    ReducesReducesDemandDemand

    ProducesProducesEnergyEnergy

  • Solar Thermal vs. PV comparison

    Solar Thermal

    50 – 75% Efficient

    Photovoltaics

    17-23% Efficient

    Solar Thermal is my first choice!

  • Reliability

    4.6 Megawatt AZ Solar Electric Plant

    Online since 2002Availability 99.72%No onsite staffRemotely monitored

    Annual maintenance cost 0.16% of installed cost

  • 11

  • The Guts of a SystemThe Guts of a System

  • 13

  • 14

    Intention planningStructural engineering first!!Keeping it in the budget Incentives & Financing toolsPreparation for “Phase II”

    Streamline the GANTT chart

  • 16

    Solar Energy is variable

    PrimaryFossil Fuel is stored

    Backup

    Solar Energy is our PaycheckFossil Fuel our Savings Account

  • Stock Watering

    17

  • PV Tracker

    18

  • Wool-drying19

  • Bavarian Farmhouse20

  • Utilize the Roof space !!

    21

  • BARN VENTILATION

    Lumber Drying

    22

  • 23Residential SDHW & PV

  • 26

    Weekday Water Usage

    12:00 AM 6:00 AM 12:00 PM 6:00 PM 12:00 AMTime of Day

    Hot

    wat

    er u

    sage

    Single Family HomeApartment Building

  • 8 each 4’ X 10’ collectors and racks

    $18,000

    Hardware & plumbing $ 3,000

    2 each 120-gallon storage tanks

    $ 2,500

    Heating plant tie-in $ 3,000

    Engineering & Labor $ 6,000

    Total $32,500

  • Solar Energy

    High front-end cost

    Long life of product

    Low maintenance

    No fuel costs !

    Fossil Fuel

    Low front-end cost

    Shorter life

    Higher maintenance

    Consumes fuel

    Replacement cost!

  • simple payback = Front-end cost

    Yearly savings

    but consider:

    energy price inflation

    incentives

    depreciation

  • Assumptions (Inputs) Annual Cash Flow ModelTotal Installed Cost ($): $32,500

    Allocation to Business (%): 100 Year Net O&M Net Net Loan Annual Total

    Annual Therms Saved: 800 Energy Costs Depreciat. Payments Cash Flow Cash FlowPrice/ therm ($) $1.0000 0 ($17,718) ($17,718)

    Energy Inflation Rate (%): 7Loan Down payment (%): 100 1 $800 $0 $2,383 $0 $3,183 ($14,535)

    Down Payment ($): $32,500 2 $856 $0 $1,430 $0 $2,286 ($12,249)Amount of Loan ($): $0 3 $916 $0 $858 $0 $1,774 ($10,475)

    Interest Rate (%): 4 4 $980 ($250) $858 $0 $1,588 ($8,887)Loan Term (Years): 5 5 $1,049 $0 $429 $0 $1,478 ($7,409)

    Month Installed: 0 6 $1,122 $0 $0 $0 $1,122 ($6,287)Net Federal Tax Rate (%): 30 7 $1,201 $0 $0 $0 $1,201 ($5,087)

    Net State Tax Rate (%): 8 8 $1,285 ($270) $0 $0 $1,015 ($4,072)O & M Cost ($/therm): $0.020 9 $1,375 $0 $0 $0 $1,375 ($2,698)

    O & M Inflation Rate (%): 2 10 $1,471 $0 $0 $0 $1,471 ($1,227)Utility Rebate (%): 10.00 11 $1,574 $0 $0 $0 $1,574 $347

    State Tax Credit (%): 0 12 $1,684 ($1,300) $0 $0 $384 $731Federal Tax Credit (%): 30 13 $1,802 $0 $0 $0 $1,802 $2,533 Basis for Depreciation $19,600 14 $1,928 $0 $0 $0 $1,928 $4,460

    15 $2,063 $0 $0 $0 $2,063 $6,523

  • 31

    Assumptions (Inputs) Financed Cash FlowTotal Installed Cost ($): $30,000

    Allocation to Business (%): 100 Year Net O&M Net Net Loan Annual TotalAnnual Therms Saved: 850 Energy Cost Deprec. Payments Cash Flow Cash Flow

    Price/ therm: $1.0000 0 ($2,079) ($2,079)Energy Inflation Rate (%): 7

    Loan Downpayment (%): 25 1 $850 $0 $2,554 ($4,826) ($1,423) ($3,502)

    Down Payment: $7,500 2 $910 $0 $1,532 ($4,826) ($2,385) ($5,886)

    Amount of Loan: $22,500 3 $973 $0 $919 ($4,826) ($2,934) ($8,820)

    Interest Rate (%): 4 4 $1,041 ($250) $919 ($4,826) ($3,116) ($11,936)

    Loan Term (Years): 5 5 $1,114 $0 $460 $0 $1,574 ($10,362)

    Month Installed: 0 6 $1,192 $0 $0 $0 $1,192 ($9,170)

    Net Federal Tax Rate (%): 30 7 $1,276 $0 $0 $0 $1,276 ($7,894)

    Net State Tax Rate (%): 8 8 $1,365 ($270) $0 $0 $1,095 ($6,799)

    O & M Cost ($/therm): $0.020 9 $1,460 $0 $0 $0 $1,460 ($5,339)

    O & M Inflation Rate (%): 2 10 $1,563 $0 $0 $0 $1,563 ($3,776)

    USDA & Utility Rebates (%): 30.00 11 $1,672 $0 $0 $0 $1,672 ($2,104)

    State Tax Credit (%): 0 12 $1,789 ($1,300) $0 $0 $489 ($1,615)

    Federal Tax Credit (%): 30 13 $1,914 $0 $0 $0 $1,914 $300

    Basis for Depreciation $21,000 14 $2,048 $0 $0 $0 $2,048 $2,348

    15 $2,192 $0 $0 $0 $2,192 $4,540

  • Space Heat and SDHW

  • 33

  • 34

  • 26 4x10 panelsContractor

    $ 50,000

    Hardware & plumbing $ 3,000

    450-gallon storage tank $ 2,000

    DHW and Furnace tie-in $ 3,000

    Admin & Engineering $ 4,000

    Labor $10,000

    Total $72,000

    Solar Thermal – 1200 SF

  • Large Commercial System

  • 37

    Commercial Grid Tie200 each, 200 watt collectors and racks and blocks

    $ 235,000

    Hardware & wiring parts $ 25,000

    Inverters $ 20,000

    Crew & Electrician Labor $ 60,000

    Engineering & crane $ 10,000

    Total $ 350,000

  • Price of Solar Electricity

    Amortized Cost = Total cost

    Total production

    Over 25 years = $350,0001,300,000 kwh

    Raw Cost = 27¢ /kwh

    Subsidized Cost = 13¢ /kwh

  • 41

    Product or service

    Local manufacturing !!

    Market researchLook for Opportunities Improve the economics

    Government support

    Utility support

  • Solar Skies MFG is the Midwest’s Leading manufacturer of Solar Thermal Collectors

    Solar Skies is located in West Central MN in the town of Starbuck.

  • 43

    Farmers & ranchersFood industryAnimal handlersBankersHVAC contractorsElectrical contractors

  • 44

    Build awareness

    RE on Schools

    Contractor trainingMinimize risk for banksLocal expertiseBuild business modelsCreate green jobsLocal vs. International

  • Contact Us At:Minnesota Renewable Energy Society2928 5th Avenue SouthMinneapolis, MN 55408

    Phone: (612) 308-4757General Info E-mail: [email protected]: www.MNRenewables.org

    mailto:[email protected]://www.mnrenewables.org/

  • Ralph Jacobson [email protected]

    46

    mailto:[email protected]

    Slide Number 1MY AGENDAEnergy Harvest GroupSlide Number 4Slide Number 5Slide Number 6Slide Number 7The Two Sides of SolarSolar Thermal vs. PV comparisonReliabilitySlide Number 11The Guts of a SystemSlide Number 13Slide Number 14Slide Number 15Slide Number 16Stock WateringPV TrackerWool-dryingBavarian FarmhouseUtilize the Roof space !!BARN VENTILATIONResidential SDHW & PVSlide Number 24Slide Number 25Slide Number 26Slide Number 27Slide Number 28Slide Number 29Slide Number 30Slide Number 31Slide Number 32Slide Number 33Slide Number 34Solar Thermal – 1200 SFSlide Number 36Slide Number 37Price of Solar ElectricitySlide Number 39Slide Number 40Slide Number 41Slide Number 42Slide Number 43Slide Number 44Slide Number 45Ralph Jacobson�[email protected]