December 2012 www.solarpowerworldonline.com
Technology • Development • Installation
INSIDE: >> DEVELOPMENTS: A Burst Of Color Page 6
>> business Issues: Solar Should Get FIT Page 44
Top
100 Solar Contractors Page 25
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Industrial Wireless
Industrial Ethernet
Serial Connectivity and Networking
Embedded Computing
Smart Solar Ideas from Moxa
The IA3341 Series RISC-based Industrial Embedded Computer Moxa ART 32-bit ARM 9 Industrial Processor 4 DIs and 4 DOs with 3 KV digital isolation protection 2 AIs and 2 thermocouple inputs; sensor types J, K, T, E, R, S, B, N 2 software selectable RS-232/422/485 serial ports 50 bps to 921.6 Kbps serial speed, supporting non-standard baudrates Dual 10/100 Mbps Ethernet ports for network redundancy SD socket for storage expansion
Rcore Software Platform Moxa’s Rcore ready-to-run platform makes it easy for programmers to develop embedded software. Rcore includes easy-to-use application libraries, tested bug-free sample code, and requires less time for the concept validation and development cycle enabling a faster time-to-market that meets or exceeds customer requirements. The Rcore Community also offers our partners easy access to software and technical knowledge about embedded systems, along with an interactive forum to share knowledge with embedded computing professionals. Visit http://rcorecommunity.moxa.com/ for details.
Supports Modbus TCP library to retrieve AI and thermocouple data
Use your Smart Phone to scan for more information.
Moxa, Inc.
Tel: 1-888-669-2872 Fax: 1-714-528-6778 usa@moxa.com www.moxa.com
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Editorial Advisory Board Natalie Holtgrefe Solectria Renewables Jose Gomez Ingeteam Steve Hogan Spire Gary Mull Westinghouse Solar Devon Cichoski SolarWorld Marcelo Gomez Unirac Justin Barnes North Carolina (State University) Solar Center Scott Wiater Standard Solar
What do you think? Discuss this, and other solar issues at www.engineering exchange.com
THE
FI RS T
WO RD
Thank You For Making Me Feel At Home During a 17-year career, I’ve been fortunate enough to have told some good stories and made some lifelong friends. But something different happened when I joined the solar industry. I feel what the prodigal son must have felt as he crested that final hill on the way back to his father’s house. Joy. Giddiness. A strong impulse to rush headlong into his father’s open, inviting arms. In other words, I feel like I’ve finally come home. I’m humbled and grateful to all who have welcomed and educated me in the past year, so I wanted to take a moment to say thank you to:
• My wife of 17 years (and soulmate of 24 years) Beth, my son Ryan and my daughter Maggie. I literally couldn’t do this without them. Their support for my solar adventures has been steadfast and true, and I couldn’t love them any more if I tried; • Scott McCafferty, CEO of WTWH Media, for taking a chance in hiring me last year to run this magazine; • Paul Heney, who lit my way home. I’m eternally grateful you thought of me when this job opened; • The hardest working editorial team in the solar industry: Kathie Zipp, Steven Bushong, Mark Rook, Jessica East and Matt Claney. With the number of projects we work on (with more on the way), they accomplish amazing tasks. I can’t thank them enough; • The hardest working sales team in the industry: Mike Emich, Todd Tidmore, Suren Sagadevan, Tom Lazar, Courtney Seel, Jim Powers and Neel Gleason; • Our incomparable support team, who don’t often get the recognition they deserve: Marshall Matheson, Dave Miyares, Pat Curran, Stacy Combest, Bruce Sprague, Mary Heidelhoff, Lance Brown and Heather Centorbi; • Tor Valenza; • Carter Lavin; • Yann Brandt; • Tom Cheyney; • Raina Brett Russo; • Rhone Resch; • Monique Hanus; • Scott Wiater; • Randy Zechman; and • Shira Weizen, Carol O’Connell and Olga Estrina. I’m bullish on where the solar industry is heading. May 2013 bring you everything you desire — and I look forward to taking that journey with you.
Frank Andorka
Editorial Director fandorka@solarpowerworldonline.com
www.solarpowerworldonline.com
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[ SO L AR
SNA P S H O T ]
Sources: The bar charts are from Vote Solar (www. votesolar.org), a San Francisco-based solar advocacy group. The graphic is from One Block Off The Grid (1bog.org), a San Francisco-based organization working to connect homeowners with solar power.
Editor’s Note: Solar Power World brings you a new department called “Solar Snapshot,” which will provide a glimpse of the solar industry in pictures. If you have an infographic you’d like to see on this page, email it to Editorial Director Frank Andorka at fandorka@ solarpowerworldonline.com.
www.solarpowerworldonline.com
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December 2012 • vol 2 no 6 EDITORIAL
New MEDIA/WEB/ Business DevELOPMENT
Editorial Director Frank Andorka 440.234.4531 x110 fandorka@wtwhmedia.com @SolarFrankA @SolarPowerWrld
SALES National Sales Manager
Web Development Manager B. David Miyares 440.234.4531 x105 dmiyares@wtwhmedia.com @wtwh_webdave
Todd Tidmore 512.426.2378 ttidmore@wtwhmedia.com @wtwh_ttidmore Key Account Manager
Web Development Specialist
Associate Editor Kathie Zipp 440.234.4531 x107 kzipp@wtwhmedia.com @SolarKathieZ @SolarPowerWrld
Patrick Amigo 858.603.2984 pamigo@wtwhmedia.com @amigo_patrick Integrated Media Manager
Assistant Editor Steven Bushong 440.234.4531 x118 sbushong@wtwhmedia.com @SolarStevenB @SolarPowerWrld Director, Creative Services Mark Rook 440.234.4531 x103 mrook@wtwhmedia.com @wtwh_graphics
Jessica East 440.234.4531 x112 jeast@wtwhmedia.com @wtwh_MsMedia Business Development Manager Patrick Curran 440.234.4531 x109 pcurran@wtwhmedia.com @wtwhseopatrick
Stacy Combest 440.234.4531 x119 scombest@wtwhmedia.com @wtwh_scombest
Matthew Claney Traffic Manager Mary Heideloff 440.234.4531 mheideloff@wtwhmedia.com
Director, Audience Development Bruce Sprague 440.234.4531 x153 bsprague@wtwhmedia.com
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Jim Powers 312.925.7793 jpowers@wtwhmedia.com @jpowers_media
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CORPORATE Publisher Mike Emich 508.446.1823 memich@wtwhmedia.com Managing Director
Becky Sagadevan 866.930.1640 becky@wtwhmedia.com
Scott McCafferty 310.279.3844 smccafferty@wtwhmedia.com SVP Online Media Marshall Matheson 805.895.3609 mmatheson@wtwhmedia.com
WTWH Media, LLC 2019 Center Street, Suite 300, Cleveland, OH 44113 Ph: 440.234.4531
•
Fax: 216.453.0617
2011, 2012
SOLAR power WORLD does not pass judgment on subjects of controversy nor enter into disputes with or between any individuals or organizations. SOLAR POWER WORLD is also an independent forum for the expression of opinions relevant to industry issues. Letters to the editor and by-lined articles express the views of the author and not necessarily of the publisher or publication. Every effort is made to provide accurate information. However, the publisher assumes no responsibility for accuracy of submitted advertising and editorial information. Non-commissioned articles and news releases cannot be acknowledged. Unsolicited materials cannot be returned nor will this organization assume responsibility for their care. SOLAR POWER WORLD does not endorse any products, programs, or services of advertisers or editorial contributors. Copyright© 2012 by WTWH Media, LLC. No part of this publication may be reproduced in any form or by any means, electronic or mechanical, or by recording, or by any information storage or retrieval systems, without written permission from the publisher. Subscription rates: Free and controlled circulation to qualified subscribers. Non-qualified persons may subscribe at the following rates: U.S. and possessions, 1 year: $125; 2 years: $200; 3 years $275; Canadian and foreign, 1 year: $195; only U.S. funds are accepted. Single copies $15. Subscriptions are prepaid by check or money orders only. Subscriber Services: To order a subscription or change your address, please visit our web site at www.solarpowerworldonline.com solar power world (ISSN 2164-7135) is published by WTWH Media, LLC, 2019 Center Street, Suite 300, Cleveland, OH 44113.
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w w w. s o l a r p o w e r w o r l d o n l i n e . c o m
D ecem ber
contents
6 D e pa r t m e n t s
06 Developments 11 State of the State 12 Q&A 14 Future of Finance 16 Solar Marketing 18 Training 20 Racking and Mounting
25 Top 100
Top
6
You’ve been waiting anxiously for it — now it’s finally arrived. We present to you the Top 100 Solar Contractors in the United States.
36 Power to the (Hawaiian) People REC Solar will develop the Anahola Solar Project, the largest PV installation in Hawaii.
40 Centralized vs. Distributed Power Generation in Mixed Rooftop & Carport PV Systems
44 Feed-in Tariffs: The Proven Road Not Taken
56
The time for talk is over. The time for FITs is now.
Ad Index
n o
100 Solar Contractors
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2
F e at u r e s
52 Products Contractors Corner
v o l
03 Solar Snapshots
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36
01 The First Word
2 0 1 2
48 Break the Rules of Traditional Module Production Former Applied Materials scientists developed a hybrid solar module with higher performance.
Cover art: image: istockphoto.com
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[DEVELOP MENT S
RESI D ENT I A L ]
K athi e Z i pp/ A s s o ci ate E d i to r
Colored Modules Bridge Gap Between Solar And Aesthetics Not everyone welcomes the rising interest in solar. Homeowners associations and historic preservation committees have resisted, sometimes in court, residents who wish to install panels on their houses. But Ventura, Calif.-based Colored Solar offers colored and patterned solar modules to help break down those barriers.
The Department of Energy has said that price and performance are the two main reasons why residential homeowners do not invest in a solar system. But Colored Solar and Dow Solar have completed market research showing that aesthetics are also important. “What we learned from the consumer is that they value the look of their homes because it is an expression of who they are,” says Jane Palmieri, vice president at Dow Solar. “Homeowners want, expect and deserve a solar product that they can be proud to display.” The modules accent and blend into architectural features such as awnings, railings and roofing systems, as well as commercial building exteriors. The 225-W panels run at 15% to 16% efficiency, making them comparable to conventional black models, based on testing at the National Renewable Energy Laboratory. The manufacturer says they install like conventional panels and are comparably priced, with a 25-year power warranty and 5-year workmanship warranty. Palmieri says options such as colored solar panels and Dow’s PowerHouse solar shingle have solved the “aesthetics issue” and brought solar to new populations and communities. SPW Colored Solar www.coloredsolar.com Learn more by listening to our Solar Speaks Podcast with Colored Solar COO Paul Wise at www.solarpowerworldonline.com
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A Solution To Sandy:
PV Kit Powers Homes During Grid Outages
If only you could keep your food cold or your lights on during power outages. Mage Solar’s emergency kit may do just the trick. The company has introduced a 3-kW emergency kit that it says can provide reliable power during grid outages, such as in the case of Hurricane Sandy. Most appropriate for the residential or small commercial market, the kit contains the company’s Powertec Plus solar modules, pitched-roof mounting and balance-of-system components. It also includes a solar inverter with a charge controller unit to charge an existing battery system or directly provide electricity to appliances, other devices and communication equipment. The device quickly responds to any power requirement and provides electricity from the PV-array when the grid is unavailable. Traditional grid-tied PV systems usually lack this feature, which has often been a drawback during prolonged power outages. Besides being both grid-interactive and stand-alone capable, the unit also regulates the charging of back-up batteries. The unit connects to existing 48-V battery set-ups or integrates with new batteries. “In light of the recent storms and natural disasters, we feel that a combined grid-tied and stand-alone PV-system allows the greatest flexibility and independence during power outages,” says Joe Thomas, president and CEO of Mage Solar USA. “The kit is a safe solution for customers who want dependable power no matter what.” SPW Mage Solar USA www.magesolar.com
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Solar Shoe Helps Shingled-Roof Mounting The Chem Link Solar Shoe helps mount solar panels on shingled and low-slope roofs. The device is made from a high-strength thermal setting polyurethane that can resist heavy impact at high and low temperatures. The manufacturer says the Solar Shoe can be installed quickly and easily on new and existing shingled roofs with an M-1 adhesive and sealant. The elastomeric properties of M-1 provide vibration absorption to the solar panel assembly. When properly installed, the Solar Shoe provides 2 in. of clearance beneath the panel. SPW . Chem Link www.chemlink.comÂ
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[ D EVEL O PM ENT S
UT IL IT Y]
California’s Hybrid Renewable Projects
Sometimes renewables just work better together. This is the case with two Kern County projects, which have recently completed and begun producing clean energy in Southern California. The 140-MW Pacific Wind and 143-MWp (megawatt peak) Catalina Solar projects were developed and contracted independently but are close enough to each other to share certain infrastructure, and thus evolve into one of the largest wind and solar hybrid projects in the United States. Pacific Wind began operation in August 2012, and the first phase of Catalina Solar will begin operation in December 2012. Both deliver carbon-free electricity into the grid for the benefit of San Diego Gas & Electric Company’s (SDG&E) generation portfolio under two separate power purchase agreements. These new projects bring the total renewable megawatts under long-term agreements with SDG&E to 343 MW, all of which are generated in Kern County. Consisting of REpower MM92 turbines, Pacific Wind generates electricity to supply approximately 56,000 homes with renewable energy. Catalina Solar is comprised of 82 MWp Solar Frontier and 60 MWp First Solar PV modules and is expected to generate electricity for 35,000 homes. EDF Renewable Services, formerly enXco Service Corp., will provide operations-and-maintenance services for both projects.
“Pacific Wind and Catalina Solar are the direct result of California’s renewable energy mandate, as well as the federal production tax credit and the investment tax credit,” says Mark Tholke, vice president of EDF Renewable Energy’s Southwest Region. “The PTC for wind, and more recently the ITC for solar, assist renewable resources in leveling the playing field against fossil fuels, which have decades of government incentives behind them. Congressional support and passage of the PTC is critical to preserve these jobs and future economic benefits.” As part of EDF Renewable Energy’s workforce development and community investment program, the company presented a $30,000 check to Rosamond High School for the purchase and installation of a solarpowered baseball field scoreboard. This support coupled with last year’s $160,000 contribution to the Clean Energy Training Program at Kern Community College District demonstrates the company’s long-term commitment to the communities of Kern County. Pacific Wind and Catalina Solar represent EDF Renewable Energy’s 20th and 21st owned renewable energy projects in California generating a combined 771 MW of clean energy for the state. SPW EDF Renewable Energy www.edf-re.com
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Now, get an end-to-end solar solution from a provider you can count on.
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Reduce energy and capital costs with an end-to-end electrical infrastructure from Schneider Electric. Solar experts on a global scale
How much time and money could you save with a state-of-the-art solar solution — one that’s reliable, efficient, and custom designed to your project requirements? No matter the size or scale of the project, Schneider Electric™ has a bankable photovoltaic (PV) solution to fit your needs. It’s all part of our offer as the world leader in energy management.
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From residential homes to large buildings and off-grid to power plants, we offer an appropriate electrical infrastructure that reduces your energy costs and is guaranteed to meet local specifications. With our state-of-the-art inverters, an extensive background in backup power supplies, and our end-to-end electrical solutions, no one is better able to offer you: > Solar farm solutions with guaranteed high availability > Large building solutions that cut operating costs > Residential solar packages with quick, easy installation
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Download the New 2012 Schneider Electric Solar Catalog, and earn a chance to win an Apple® iPad® 2! Visit www.SEreply.com Key Code u917v ©2012 Schneider Electric. All Rights Reserved. Schneider Electric is a trademark owned by Schneider Electric Industries SAS or its affiliated companies. All other trademarks are property of their respective owners. www.schneider-electric.com • 998-3240_US_ipad2
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Solar State-By-State Report: New York Vote Solar authors solar initiative updates, which we publish here, state by state. This installment focuses on New York. With growing electricity needs, strong public support for solar and impressive in-state financial and manufacturing might, New York is well-positioned to be a leader in the new energy economy. We’re working to help change all that by setting aggressive, long-term goals and designing smart programs that will unleash New York’s solar potential. 2012 Recap The New York legislature shut its doors for 2012 without passing the Solar Jobs Act or any long-term solar program. Although the Empire State missed a significant opportunity for solar power, we wielded tremendous momentum since the beginning of the year. And through it all, Governor Cuomo reaffirmed his commitment to making New York a solar leader, first with his New York Sun Initiative (NYSI) and then with his proposal to extend this program out through 2022. While Albany did not pass big, bold solar policies this year, New York’s residential tax credit was broadened to include solar systems that are leased through a third-party. Legislation was also passed to ensure that New York city’s property tax abatement would be extended past the end of 2012. Policies Driving Solar Today Over the past several years, New York has primarily supported solar development through incentive programs administered by the New York State Energy Research and Development Authority (NYSERDA) as part of the state’s renewable portfolio standard (RPS). And on Long Island, the Long Island Power Authority (LIPA) has followed suit by offering rebates for residential and commercial systems. In 2012, both agencies doubled down on their support for solar as part of Governor Cuomo’s New York Sun Initiative. Along with the positive developments under NYSI, policies such as net metering and tax incentives have established an important foundation upon which New York can build. Vote Solar Campaign Priorities With no clear future trajectory, New York’s current solar incentive programs fall short of delivering on the goal of an incentive-free and sustainable solar
market. The policies that support solar development today must be designed with an eye for tomorrow to fundamentally transform New York into a leading market for solar. The state has an unusual opportunity to revisit its solar programs in a comprehensive fashion and build a sustainable market where cost-competitive solar energy is a core component for a 21st century energy infrastructure. In 2013, Vote Solar will pursue a fourpoint plan in advocating for policies that will transform New York’s solar market. 1. Design NYSI to transform the market by 2022. 2. Deliver over 3,500 MW of cost effective retail and wholesale solar capacity. 3. Reduce costs and eliminate barriers for solar development. 4. Adopt transparent, efficient and consistent permitting and interconnection processes, and increase net-metering program limits. 5. Unleash private sector investment through broader access to solar. 6. Enable shared solar and Solarize opportunities, and establish financing programs such as commercial PACE. 7. Maximize grid resiliency using solar energy. 8. Prioritize solar energy in a post- Hurricane Sandy paradigm, including market access for combined solar and storage technologies. SPW Vote Solar’s lead for New York is Peter Olmsted. He can be reached at peter@votesolar.org.
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Peter Olmsted is Vote Solar’s lead for New York. He can be reached at peter@votesolar.org.
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Q&A [Q&A]
Solar Speaks: Mike Dooley This Q&A includes excerpts from one of our most-downloaded podcasts. Listen to this and other Solar Speaks podcasts at http://www.solarpowerworldonline.com/solar-speaks-podcast-series/.
Mike Dooley VP of Marketing at Advanced Energy
Q Can you start off by telling us a little about
Advanced Energy?
A Advanced Energy is an American-based company with facilities in Fort Collins, Colo., and Bend, Ore. We’ve been in business for 30 years. The solar division is approximately half of Advanced Energy, the other half being in power conditioning for equipment in the semiconductor business. We’ve been active in the solar business, specifically in North America, in all three market segments— residential, commercial and utility. We’ve had strong growth in all of these as the North American market has grown over the past couple of years.
Q What have been some of the highlights for
Advanced Energy in 2012?
A We’re very excited to open our own manufacturing facility in Ontario, Canada. We made the investment to maintain maximum flexibility and responsiveness to our customers, there and we see Ontario as a strong, growth-oriented market. Additionally, we’ve made some strong agreements with companies in China and India to grow our international presence—a key initiative of the corporation as we look to new markets for PV. We’ve also announced our 500TX product, a 500-kW solar inverter that we expect will be a strong player in the larger commercial and utility market. It’s had good success since its initial launch in the first half of this year. A clean energy project in New Jersey was one of the first programs to use the 500TX, and we’re excited to have a number of such key stakeholder projects.
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Q What is Advanced Energy excited about
going into 2013?
A We continue to be excited about the North American market, our home market and one of strong growth. The utility business continues to grow, and we have a solid presence there. We have deep relationships with a number of strong players — developers, EPCs and also the end customer, the utility. We believe the utility market will be a strong one for us going forward. But the commercial market is also strong, even with its ups and downs with some policy changes — in New Jersey specifically. But there’s also new states coming on board—New York, Massachusetts and Maryland—that continue to be strong in the commercial segment. Since we have strong presence in all of these regions, we feel we’ll be able to capitalize on those new markets as they continue to grow.
Q What trends do you see in the U.S.
solar industry?
A One big trend is continually dropping module costs. I think that’s really the catalyst for a lot of the growth we see in the overall solar industry. Also, there’s a strong trend toward PPAs extending from what was once a utility and commercial market down into the residential market. PPAs have become a strong driver for the industry as a whole. There’s also stronger grid-interconnection requirements. As the utility market continues to grow, we’re seeing higher and higher penetration of PV. That requires higher and higher levels of specific grid controls. Advanced Energy has spent a lot of resources to make sure that our products can fully take advantage of specific grid-control requirements and perform to the optimum level that the utilities require.
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[Q&A]
Q&A
Q What would you say are some of the greatest
inverter challenges for the industry?
A One of the biggest challenges is continuing to drive down the cost curve. We’ve been able to do that successfully with changes in our manufacturing strategies, some of which I outlined in discussing our Ontario facility. We’ve also made close partnerships with vendors and maintained these relationships with over the years. That continued challenge of providing higher value at a lower cost is a challenge to everyone in the industry. I think we’re uniquely situated to ride that wave successfully. Also, grid penetration continues to be discussed, but has not been as big of an issue as some have anticipated. You see grid penetration being much higher in Germany and Japan, for instance, without adversely affecting the grid. But it’s an educational process for us and others in the PV market to ensure the ultimate consumers and policy makers that the grid penetration levels we’re talking about won’t be disruptive to the grid and are, in fact, stabilizing to the grid as a whole.
Q How does Advanced Energy work to
resolve these challenges?
WASHERS & STAMPINGS FREE CATALOGUE & BROCHURE
A Education by AE and other industry leaders is a positive thing. We do that through a number of mechanisms. We’re aggressive in putting out white papers on our webpage that cover a range of topics, such as grid interconnection. We’re also active in speaking at conferences. We have a strong technical team that we love to get out in front of customers and industry experts and present the history and the technology that we at AE are very proud of. Q How will the recent election affect
the solar industry?
A I think solar is here for the long haul. There are always changes in any energy market based upon price and policy. But the solar market is here to stay. It’s a large market with active and aggressive growth curves. We’re positive about the future. It continues to have a declining cost structure that we see projected out for years to come. New financing mechanisms are opening up the market to more customer segments. This enables people at any level to participate in the solar revolution. SPW
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[FUTURE OF FINANCE]
Puerto Rico: A Myth, Or The Next Hot Spot For U.S. Solar? Editor’s Note: This article is the fourth in a bi-monthly series intended to help our readers understand the current states of play in the U.S. solar financing markets.
Robert Sternthal president of Reznick Capital Markets Securities
For the last two years, Reznick Capital Markets has been focusing on Puerto Rico with several clients that are developing wind and solar projects. After several years of PREPA (the sole utility on Puerto Rico) issuing over 1 GW of PPOAs (same as PPAs, but including operation), few developers have successfully built renewable energy projects on the islands. I will attempt to explain the current market and the potential future for renewable energy on the Commonwealth. Like the United States, Puerto Rico benefits from the investment tax credit (ITC) that allows U.S. investors to recover a 30% tax credit against project costs. Only three renewable projects built on the island to date — two wind and one solar — have been eligible for the 1603 Grant, although there may be a few others that will use safe-harbored panels. Under current ITC rules, it’s possible for U.S. corporations — and potentially U.S. partnerships — that own projects developed in Puerto Rico to avail themselves of the ITC. As recently as six months ago, we witnessed an influx of major U.S. solar developers, panel manufacturers and utility companies seeking to find projects in Puerto Rico. They did this through acquiring PPOAs already issued and executed, or by acquiring master PPOAs issued by PREPA that allow developers the rights to build 100 MW under an expedited process, or by acquiring land rights and hoping to secure their own PPOA from the utility. All PPOAs issued by PREPA are the same, with the exception of tenor (20 or 25 years), and are made public. The economic terms of the PPOAs are excellent — $0.15/kWh, escalating 2% annually
— especially when compared to current pricing in the United States. In addition, the initial PPOAs were also issued with matching renewable energy credits (REC) contracts with PREPA, whereby the owner would also receive $0.035/kWh per REC for the life of the PPOA. The master PPOAs and more recent PPOAs did not include RECs. But these are crucial to making the projects economically viable because of the cost of incorporating a system that will meet PREPA’s minimum technical requirements (MTRs) that will protect Puerto Rico’s fragile electricity grid from immediate ramp-downs or ramp-ups from utility-scale solar projects. Unlike the United States, only a few of the large tax-equity investors have demonstrated a willingness to finance projects in Puerto Rico. Some of those have stalled due the developers’ inability to secure the proper agreement with PREPA that secures interconnection rights by meeting the MTRs. The ambiguity surrounding the MTRs has caused several lenders and tax-equity investors, as well as some developers, to delay the financing of certain renewable energy projects. Consequently, many developers on Puerto Rico with viable projects have been unable to secure financing and move their projects forward. The current roster of developers and sponsors in Puerto Rico look much like earlier-day developers in the United States’ solar market, a virtual smorgasbord made up of local developers, engineering, procurement and construction (EPC) contractors and/or panel manufacturers, private equity sponsors (U.S., European and Asian) and more sophisticated solar developers. Given the
Sternthal is president of Reznick Capital Markets Securities and has extensive experience in financing renewable energy transactions, whether they are in the wind, solar or biomass sectors. Working alongside Reznick Group and Reznick Think Energy, Reznick Capital Markets Securities offers one of the most comprehensive financial advisory platforms in the industry.
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[FUTURE OF FINANCE]
technical complexity associated with meeting the MTRs, it is critical that all projects have at least one member of the development group consist of an experienced EPC, U.S. or foreign sponsor or developer, or a utility with renewable energy experience as well as battery storage solutions. With the election of Governor-Elect Alejandro Garcia Padilla, a green energy advocate, Puerto Rico will most certainly see a positive change in PREPA’s desire to execute renewable energy projects and to work with developers to meet the MTRs and get connected to the grid. Thanks to a lack of an ITC for U.S. wind farms, the overwhelming majority of renewables on Puerto Rico going forward will be utility-scale solar projects. The ramping up of solar projects on the island will most likely
create a boom in job and technical growth in the industry, and the operating and maintenance requirements going forward will maintain a solid number of those jobs. Consequently, starting in the first half of 2013, I would expect that we will start seeing Puerto Rico become the next hot development spot in the U.S. solar market. As more utility-scale solar projects are completed, other developers and financiers will become more comfortable with PREPA and the rest of the permitting requirements,
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creating a domino effect whereby more projects will be completed. The financing of these solar projects will most likely be as varied as the current developers and sponsors with PPOAs in the market. SPW
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[MARKETING]
Realistic Advocacy for Solar Installers The solar industry enjoys bipartisan and nearly
Carter Lavin
Lavin is The Solar Marketing Group’s Business Development Manager and helps renewable energy companies analyze the market, articulate their messages, and connect with their targeted audience to achieve their marketing and communications goals.
16
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universal support among Americans. Ninety percent of Americans think solar power should be a larger part of our energy supply, and 76% of Americans think the United States should move to a sustainable energy future through “a reduction in our reliance on nuclear power, natural gas and coal, and instead, launch a national initiative to boost renewable energy and energy efficiency.” It’s great being popular, but that hasn’t translated to political victories. The Treasury Grant program expired, and the fate of the 1603 tax credit program is up in the air. How can an industry that is so popular among the people be so unpopular among elected officials? People point to the deep pockets and well-heeled lobbyists of the fossil fuel industry, to Congressional gridlock and, of course, to Solyndra. But often the blame is levied on installers. Industry advocates, environmental groups and even Bill Clinton have called on solar installers to spread the solar gospel, dispel anti-solar myths, go to state and national capitals, and reach out to their communities. Many of these groups provide resources to help installers with these efforts. SEIA is always full of useful facts. One Block Off the Grid makes really engaging infographics. Vote Solar has a whole section of ideal legislation for installers to push. While those resources are helpful, they don’t address the biggest hurdle to installer activism: time and money. Solar installation is a rough business. It’s a lot of traveling to project sites, time on rooftops, filling out paperwork and permits, negotiating with suppliers, getting leads and closing deals — all with small margins. For many smaller installers, their team members are either on a roof or talking with potential customers. With thin margins and little free time, it’s unfair for the rest of the industry to look to installers to engage in heavy public-relations or governmentaffairs campaigns. While installers are consumerfacing, have local roots and “Joe the Plumber” appeal — which theoretically make them a ideal messenger for the industry — they do not have the time or money to be both installer and primary messenger.
12 • 2012
But even given their time constraints, here are a few actions installers can take.
• Letter to the editor
Have a form letter at the ready. If you see an antisolar piece in your local paper send it before the ink is even dry on the article. It could go something like this:
My name is ____, I started ____ in _____ with _____. For the last ___ years we’ve helped ____ families save money on their electric bill, and trained and hired _____ community members. While the …..
• Invite your local Congressional, state and
municipal representatives to project sites or to visit your offices. You might not have the time to go to the state capital or to Washington D.C., but your officials spend a lot of time in their home districts, and most love a chance to say they support local businesses and new technologies.
Your first invite should be a standing one, but whenever you do something even remotely interesting (100th install, hired 5 new people, school project, etc.), send another invitation.
• Take on a high school intern.
One of the best ways to get people to support solar is for them to know someone involved in the industry. The more people who know someone working in solar or someone who installed solar, the better. Many high schools have programs to place students temporarily with local companies to teach them about how businesses work. Set up a partnership with local schools. This will spread solar awareness and potentially plant the seed for a solar school project.
There are plenty of other ways for installers to advocate for the industry, but these are some of the easiest and most effective ones. SPW
www.solarpowerworldonline.com
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[TRAINING]
Not Always Sunny On The Sales Side After talking to an alumnus of the MAGE Solar
Sylvia Minton Senior vice president for MAGE Solar Member of Board of Directors for MAGE Solar Academy
Academy at a recent event, it dawned on me. “My goodness,” I thought. “These guys are incredibly smart, well -trained, and they know their profession inside out. These guys talk codes, connectors and currents in their sleep.” The level of workmanship and expertise of installers today is light years from what I remember when I first entered the industry several years ago. “The increase in the number of certifications we award each year closely tracks the growth of the industry,” according to North American Board of Certified Energy Practitioners (NABCEP) Executive Director Ezra Auerbach. “As of November, we have 1937 active certified PV installers and 269 certified PV technical sales professionals. Since 2009, our certificant population has increased by more than 200%.” While these numbers indicate the increase of specialization, many small and mid-sized businesses are not in a position to hire salespeople. That’s where I hear many installers have trouble. They’re fine with installations, but they encounter difficulties when selling consumers on the benefits of solar. While a solar business-and-technical-sales course is probably a sound business decision, there are a few staples any installer should mention in the initial consultation with clients:
Provide a current list of federal, state, local and utility programs that support clean energy projects, whether it’s:
• incentives; • rebate programs; • grants; or • tax credits.
Keep track of application deadlines for the clients. They will never forget the company that helped them through the process.
• Expertise
need and run ROI model;
Association has for solar; and
• Assistance with the process
• Any rules and regulations the Home Owner • The net-metering policy from the local utility You need to provide to your customer:
• Financing options
Training_12-12_Vs3.indd 18
• Knowledge of incentive programs
• Power bills from last two years to calculate kW-
SOLAR POWER WORLD
programs tailored for every situation. Whether through partnerships with reputable finance companies, panel suppliers or other financing companies, make sure to check into this service opportunity. A reliable, solid integrator should have this in his quiver. Invest the time to take your client at least through the initial application process — a favor he will never forget.
Your customer needs to provide:
18
Show them you’re an industry insider by pitching incentives that might be going away soon— or will become available shortly. Although this can occasionally mean that your customer decides to maybe wait another few months to commit to installing a system, you will convince consumers that you have their best interests at heart.
This may be an old hat for you, but your customer may be confounded going through this process for the first time. Prove that you’re an expert by providing them a list of required documents.
Ideally, you are partnered with strong suppliers who don’t just hand you the modules and leave you on your own. Ideally, they offer you the complete system, including financing
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[TRAINING] • Details on the Agency Having
Jurisdiction (AHJ) codes and permits Lay out for your customers in simple terms what needs to happen for the installation to go smoothly through the inspection process (e.g. PE- stamps or disconnects). Offer to pull permits and talk to the local authorities instead of making them do it. Make them aware of the costs or fees associated with the process. Clarify that the system owner is responsible for paying fines but do your due diligence so this doesn’t occur.
You and your customer should discuss:
• Will the roof need to be replaced in
the next few years?
• How long are the building owners
planning on remaining on the
property? How likely is it they will relocate or expand?
• Is a roof install the best option?
Would a ground or pole mount also be an option — perhaps even a tracker? Canopies and carport-type set-ups are becoming increasingly popular as they can also provide a cool architectural focus; similarly awnings and trellises can integrate PV nicely into the overall look of the building. Just make sure you and your customer keep an open mind about various options.
• How much solar will the customer
customer is on real-time pricing) and offset some of the electricity costs?
• Lastly, both make a commitment
to keep and document all receipts, correspondence, bills and other documentation related to the install. This will help tremendously should any questions arise later and when applying for grants and tax credits.
These tips are not silver bullets, but they might serve as general guidelines to help you through the sales process. It’s exactly how an excellent integrator distinguishes himself from the crowd. SPW
actually need? Considering netmetering policies, state and federal incentives, and rebate programs, does it make sense to go for net-zero, or is it more economical to just shave off the greatest need (e.g., if the
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[RACKING
m o u n t ing ]
an d
Sandy vs. SolarDock Mounting System Holds Strong Against Hurricane
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St e ve n B u s h o n g/ As s i s tan t E di to r
As Hurricane Sandy tumbled trees and entwined power lines, it also threatened solar installations along the East Coast. The late-October hurricane threatened an estimated 325 MW of solar capacity in New Jersey, New York and Delaware. Contractors along the coast reported few incidences of damage, though, as secure racking kept installations from budging. Expecting the worst, many solar companies in the region closed offices ahead of the storm. After Sandy passed, employees at Somerset, N.J.-based GeoPeak Energy busied themselves by assessing systems remotely and on-site. Marketing efforts largely took a back seat to verifying systems, says Andrew Brown, a company manager. “Our customers were more worried about their health and safety than getting additional solar power,” Brown says. “It’s been a slow process since the storm hit, but things are getting back to normal.” Brown says only a few of the company’s installations were affected by the storm, which blasted systems with wind and debris. High winds can catch the backside of panels, leading to cracks in crystals or movement of modules. Pfister Energy, a Hawthorne, N.J.-based company, discovered a few systems compromised by the storm in the northern part of the state. Wind gusts in Ridgewood, where a ballasted commercial installation
suffered damages, reached 80 mph. Panels flew from the roof, and the racking was mangled, says company president Wayne Pfister. Failure of a single racking system is unacceptable, he says. “That’s what they’re up there for, and that’s what they’re designed to do — to hold up against a 120 mile-per-hour gust,” Pfister says. “If they don’t hold up, there’s no point in using them.” One racking system, however, survived the storm in every case, according to installers and its manufacturer. SolarDock, a ballasted system with a ventilated closed back, held up in more than 200 locations in the hurricane’s path. “This is the second hurricane in about a year, and I will say that in both cases we fared significantly well,” says SolarDock partner Ed O’Brien. “Once we put the system on the roof, we don’t want to see it move a tenth of an inch.” O’Brien and two business partners began down a path that would become SolarDock in 2002. Working in commercial real estate at the time, they were contracted to build the headquarters of AstroPower, a large panel manufacturer that later declared bankruptcy, in Newark. The project included
Funland, a small family amusement park just south of Delaware Beach, installed a 22-kW system to help reduce carbon emissions. The system, which uses SolarDock racking, held up against Hurricane Sandy.
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[ R A CKI N G
an d
m o u n t ing ]
“This is the second hurricane in about Hurricane Sandy dam aged the sy here, in ph stems show otos provide n d by Pfister Energy.
a year, and I will say that in both cases we fared significantly well. Once we put the system on the roof, we don’t want to see it move a tenth of an inch.”
a 330-kW rooftop solar installation. Building along the Delaware River presented a high-wind load, though, and the hired racking company, San Francisco-based Powerlite, was forced to penetrate the roof — often the second choice of contractors when protecting against wind loads. O’Brien and his partners were left dissatisfied, he says, so he and the team took to designing a flat-roof system that emphasized ballasted mounting that could withstand high wind loads while protecting the roof— features that they considered absolute requirements for use on their own buildings and future projects. That system became SolarDock. “We wanted to make sure we could put these on the roof without penetration,” he says. “We wanted to do this with normal roof capacities. We also wanted something that was fast and easy.” The company says SolarDock, a gravity-based system with straps, installs at a rate of 15-kw per worker per day and is appropriate for wind zones up to 120 mph. O’Brien says the goal is to use less than 5 lbs./sq. ft. of distributed ballast load within the envelope of the system, but greater ballast is needed for higher wind zones — up to 6 or 7 lbs. for the highest speeds. About 45 miles inland of New Jersey’s 22
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battered shoreline, a 794-kW installation in Marlton, held by SolarDock racking, showed no damage after the hurricane. Though south of Sandy’s focused fury, the town experienced the heavy rain, downed trees and power outages common from Atlantic City to Cleveland. Southern Exposure CEO Joe McGowan oversaw the system’s installation in the fall of 2011. In the days after the hurricane, the online monitoring system showed no abnormalities, but he still made the hour-long trip from his base in Philadelphia to be sure. The area experienced 80-mph winds. “Were we anxious? Yes, but you’re always anxious,” says McGowan. The system is on a mixed-use warehouse-office constructed in 1980. The roof has particularly stringent load requirements. In the end, the system amounted to 2.73 lbs./sq. ft. After the storm, McGowan measured spots along the perimeter of the system, which was outfitted with optional wind deflectors along the northern-exposed rows, forcing wind to encounter the system at an aerodynamic 45 degrees. All the rows, and the 3,318 Motech panels interconnected by a T-bar system, held in place. “The system is still performing 15% over projections,” McGowan says. SolarDock tested the system under high wind loads at a University of Maryland wind tunnel. The company used half-size docks in a variety of configurations. Once wind speeds approach 100 mph, the current becomes chaotic, requiring multiple tests. The difference in SolarDock is its closed back and full-frame support, which protects panels from uplift forces, even at tilt angles up to 35 degrees, according to the company. The closed back, which is ventilated to prevent heat build-up, also protects wiring and ballast, which would otherwise experience freeze-thaw more easily. “Other systems out there are openback and act like wings,” O’Brien says. The back changes the dominant force from uplift to sliding, and by connecting multiple rows, it has enough stability to overcome rolling and yawing pressures.
This 794-kW system in Marlton, N.J., uses SolarDock mounting. The building, constructed in the 1980s, has stringent load requirements. The overall weight of the system is 2.73 lbs./sq. ft., and it held up to Hurricane Sandy’s winds.
With T-bars holding the rows together, ballast can be distributed around the roof — with a greater amount of it in the leading edges of the system — which takes about 80 percent of the sliding force, O’Brien says. Little ballast is placed in the center, making it more appropriate for structurally deficient buildings. In the summer, SolarDock announced two improvements to its system, including a thinner gauge aluminum, reduced from 0.063 to 0.050. In new wind-tunnel testing, the impact of building structure is incorporated in the data, allowing a more accurate assessment of ballast needs. Since Hurricane Sandy, SolarDock has reported only one system that sustained damage, but it was the result of improper installation by the contractor, who had altered the string design plan and did not use enough ballast. Owners of Funland, a boardwalk amusement park just south of Delaware www.solarpowerworldonline.com
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Beach, installed a 22-kW system using SolarDock in 2008. The system, which is engineered for 90-mph gusts, sits on a roof in the midway over games such as ski ball and a goblet toss. Winds at Funland reached a gusty, yet relatively timid 35 mph during the hurricane. “We lucked out, really,” says operations manager Ian Curry. “We’ve had worse winds that weren’t associated with hurricanes.” SolarDock held then, too. SPW
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To p 1 0 0 S o l a r P o w e r W o r l d
Simply The Best
Fr a n k A n d orka/ Edit or ia l D ire ct or
All companies love to be ranked. Whether it’s by the Better Business Bureau, Angie’s List or the Inc. 5000, company rankings give us a measure of how we stack up against the competition and gives us a sense of what we have to do to get better. That’s why Solar Power World decided it was time for the industry to recognize its outstanding leaders in the fields of utility, commercial and residential installations. We launched the Top 100 Solar Contractors survey on Aug. 1 and closed it in the middle of October, and we were pleased with the response. In all, 195 companies took time to fill out the application (the full rankings are on our website www.solarpowerworldonline.com). We compiled the data, analyzed it and created several lists based on the number of megawatts (MW) companies installed in 2011. We broke the overall list down into utility, commercial and residential contractors so companies were only competing against businesses of similar sizes. We’ve presented the results on the following pages, but we wanted to highlight the top-ranked companies in all three categories here. We’d like to congratulate First Solar of Tempe, Ariz., for topping the overall list and ranking No. 1 on the utility-scale installer list, with 400 MW installed in 2011. The people at the company clearly worked hard despite serious headwinds in 2012, and we’re pleased to give them top honors. Swinerton Renewable Energy of San Diego, ranked No. 11 overall and led our commercial company list with 33.5 MW installed. Verengo Solar of Torrance, Calif., finished No. 28 overall and topped our residential installer list with 10.1 MW installed. Here are some other interesting data we collected:
Top
100 Solar Contractors
• Not surprisingly, California had the most companies on the list with 24. New Jersey came in second with 11, and Pennsylvania ranked No. 3 with 7. • The Top 100 companies installed a combined 1.3 GW of solar power in 2011. The average number of MW installed was 13.2. The median was 3. • The Top 100 companies employ 25,868 workers, or approximately 22% of the 119,000 solar workers projected to be in the workforce by the end of the year. The number rises to 32,515 employees, or 27%, if all applicants are factored into the equation. • The average number of employees in the Top 100 is 259. The median is 35. • The mean year companies on the list were founded is 1997. The median year is 2005. • Swinerton Renewable Energy (presumably in a different form) is the oldest company on the
list, founded in 1888. Solar United Network of Roseville, Calif., Gehrlicher Solar America Corp. of Springfield, N.J., Clark EcoEnergy of Smoketown, Pa., and Crider Americas Solar of Cedar Creek, Texas, are the youngest companies on the list, founded in 2010.
• Sunpower had the most companies cite them as their preferred panel supplier, with SolarWorld coming in second. MAGE finished third. • SMA nearly doubled its closest rival Enphase as the most preferred inverter manufacturer (43 to 24). • Unirac dominated the racking-and-mounting solutions category as the preferred racking supplier of 33 companies. Ironridge ranked second, and Schletter ranked No. 3. And now, without further ado, we present to you the Solar Power World Top 100 Solar Contractors. www.solarpowerworldonline.com
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To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2 Company
City
State
Co. Founded
Employees
Total Installed MW
MW Installed 2011
1
First Solar
Tempe
AZ
1999
5800
1384
400
2
Signal Energy
Chattanooga
TN
2005
148
150
71
3
E Light Wind and Solar
Englewood
CO
1998
155
190
67
4
SOLON Corp.
Tucson
AZ
1997
75
87
50
5
GES-USA
Conshohocken
PA
1982
4200
255
49
6
Hypower
Fort Lauderdale
FL
1991
250
120
40
7
Sonali Solar
Closter
NJ
2000
50
500+
40
8
White Construction
Clinton
IN
1947
2000+
100+
37
9
Swinerton Renewable Energy
San Diego
CA
1888
1200
103.1
33.5
10
American Capital Energy
Lowell
MA
2005
52
56
33
11
REC Solar Inc.
San Luis Obispo
CA
1997
675
111
30.5
12
Sachs Electric
Fenton
MO
1925
500-999
30
30
13
Bombard Renewable Energy
Las Vegas
NV
1982
50+
60
28
14
CSI Electrical Contractors
Santa Fe Springs
CA
1990
400+
108
27
15
Borrego Solar Systems
San Diego
CA
1980
102
60.8
23.7
16
Vanguard Energy Partners
Branchburg
NJ
2008
67
52
23
17
Advanced Solar Products
Flemington
NJ
1991
38
45
16
18
Inovateus Solar
South Bend
IN
2008
24
80
15
19
Tecta Solar
Ft. Washington
PA
2000
2400
31.5
15
20
Advanced Green Technologies
Ft. Lauderdale
FL
2007
25
50
13
21
Newkirk Electric
Muskegon
MI
1961
400
70
12
22
Sunetric
Kailua
HI
2004
130
30
12
23
Verengo Solar
Torrance
CA
2008
600
27
10.1
24
Cenergy Power
Carlsbad
CA
2008
35
23
10
25
ESA Renwables
Lake Mary
FL
2009
20
60
10
26
River City Solar
West Sacramento
CA
2003
10
35
10
27
Mercury Solar Systems
Port Chester
NY
1986
160
49.6
9.96
28
Sunetric
Kailua
HI
2004
140
35.7
9.2
29
CBeyond Solar
Torrance
CA
2001
43
17
9
30
Standard Solar
Rockville
MD
2004
75
23.08
8.5
31
Strata Solar
Chapel Hill
NC
2009
40
25
8
32
GeoPeak Energy
Somerset
NJ
2009
50
16
7
33
Hamilton Solar
Reno
NV
2009
50
11
7
34
GreenBrilliance
Sterling
VA
2007
50
10
6
35
Solar Topps LLC
Tempe
AZ
2009
49
12
6
36
Absolutely Energized Solar
Monroe
NJ
2002
35
17.4
5.4
37
Solar Universe
Livermore
CA
2009
30
18
5.04
38
CBeyond Solar
Torrance
CA
2008
26
7.4
5
39
New York Light Energy
Latham
NY
2009
24
14
5
40
Pfister Energy
Hawthorne
NJ
2005
35
15
5
41
Solar United Network
Roseville
CA
2010
75
10
5
42
MB Herzog Electric, Inc
Paramount
CA
1978
100
15
4.9
43
Namaste Solar
Boulder
CO
2004
106
20
4.17
44
Solar Energy World
Whippany
NJ
2009
63
5
3.5
45
Meridian Solar
Austin
TX
1999
28
12
3.5
46
Hannah Solar
Atlanta
GA
2008
15
6.9
3.5
47
Broadway Renewable Strategies
Boston
MA
1938
150
8.8
3.4
48
Brite Idea Energy
Egg Harbor Township
NJ
2006
25
7
3
49
ESI
Jonestown
PA
2008
45
9
3
50
Ross Solar Group
Brookfield
CT
2007
19
9
3
26
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To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2 Company
City
State
Co. Founded
Employees
Total Installed MW
MW Installed 2011
51
Solar Alliance of America
San Diego
CA
2009
40
8
3
52
Solar Community
Austin
TX
2007
35
5+
3
53
Sullivan Solar Power
San Diego
CA
2004
85
10
3
54
Elite Electric Inc.
Riverside
CA
1979
48
8.7
2.8
55
OnForce Solar
Bronx
NY
2007
22
4
2.5
56
Radiance Solar
Atlanta
GA
2007
15
3.5
2.5
57
Solular
Marlton
NJ
2009
50
6
2.5
58
Paradise Energy Solutions
Gap
PA
2009
50
3.7
2.47
59
PPC Solar
Taos
NM
1979
15
4.6
2.37
60
Solar Source
Largo
FL
1984
45
77.6
2.33
61
Axium Solar
Plano
TX
2008
40
3.8
2.31
62
The Solar Co.
Castro Valley
CA
2004
110
7.228
2.135
63
Stellar Energy GP
Rohnert Park
CA
2004
50
20
2.019
64
Aztec Solar
Rancho Cordova
CA
1980
30
5
2
65
Douglass Colony Group
Commerce City
CO
1947
350
5
2
66
Gehrlicher Solar America Corp.
Springfield
NJ
2010
30
23
2
67
Great Lakes Energy
Windsor
Non-U.S.
2008
24
2.2
2
68
IES Residential
San Antonio
TX
1999
>3000
20
2
69
Monolith Solar Associates
Rensselaer
NY
2009
33
3.5
2
70
American Electric
Honolulu
HI
1946
175
5
1.8
71
Hoku Solar
Honolulu
HI
2001
26
4.68
1.76
72
Clark EcoEnergy
Smoketown
PA
2010
10
1.8
1.7
73
Solar Design Tech
Ogden
UT
1998
12-16
10.5
1.7
74
Solar World NC Corp.
Wilmington
NC
2008
19
2
1.7
75
LightWave Solar
Antioch
TN
2006
35
4.7
1.548
76
DCS Energy
Colchester
CT
2006
10
4
1.2
77
Independent Power Systems
Boulder
CO
1996
40
10
1.2
78
LA Solar Systems
Glendale
CA
2004
18
5
1.2
79
Dovetail Solar and Wind
Athens
OH
1995
37
4.8
1.1
80
Simpler Solar
Tallahassee
FL
1980
7
180
1.1
81
SUNation Solar Systems
Oakdale
NY
2003
28
6.371
1.075
82
TNG Energy Soltuions
Huntington Beach
CA
2009
4
1.1
1.05
83
Alliance Energy and Mechanical
Murrieta
CA
2006
23
3
1
84
Berkowatts Electric
Lakewood
NJ
2009
25
2
1
85
BlueChip Energy
Lake Mary
FL
2009
180
3
1
86
Crider Americas Solar
Cedar Creek
TX
2010
10
2.1
1
87
Energy Independent Solution
Pittsburgh
PA
2007
11
1.35
1
88
Got Electric
Germantown
MD
2006
10
6
1
89
HelioTek Corp.
San Diego
CA
2008
24
2
1
90
Herca Solar
Oceanside
CA
2004
30
10
1
91
Renewable Energy Alternatives
Chicago
IL
1997
12
1
1
92
RER Energy Group
Reading
PA
2009
15
5.8
1
93
Summerwind Solar
Phoenix
AZ
2009
50+
4
1
94
Sun Solar Energy Solutions
Bakersfield
CA
2005
25
3
1
95
altPower
New York
NY
1998
6
2.88
0.54
96
Current Electric Co.
Brookfield
WI
1983
35
1
0.5
97
Imagine Energy
Portland
OR
2003
22
3
0.5
98
Innovative Power Systems, Inc.
St. Paul
MN
1998
15
3
0.5
99
Altenergy Incorporated
Charlottesville
VA
2005
12
1.1
0.47
Arizona Energy Pros Incorporated
Phoenix
AZ
2009
29
1.18
0.47
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RESIDENTIAL
To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2 Sumit Bhatnagar 35 | 4 Managing Partner, GreenBrilliance What’s the thing you enjoy most about being in the solar industry?
Where do you see the solar industry in five years?
The solar industry is unique. The most exciting thing in this line of business is its constant change. It’s like a classic roller-coaster ride. Chasing the moving target with lots of unknowns and high pressure is the thing that keeps me going. The opportunities I get to take solar to homes and business in the United States and to the masses in India and other parts of the world is phenomenal and extremely gratifying.
I have never been more optimistic. The solar industry is transitioning from its nascency to maturity. We are all riding this wave. The sky is the limit in solar, and there is so much more in store for us all. I see this industry taking over as a center stage in all economies worldwide. The facts of global warming, need to save fossil fuels, push to be efficient and greener are all leading in the right direction, and solar is a huge facilitator and problem solver.
What’s the most important piece of technical advice would you offer your peer? 1. Verengo Solar 23 overall / 1 market 2. River City Solar 26 overall / 2 market 3. Solar Topps LLC 34 overall / 3 market 4. GreenBrilliance 35 overall / 4 market 5. Solar Universe 37 overall / 5 market
Please do what you are best in and be fair to the customers and the solar industry. We are a new industry and a close family in some ways. Let’s keep healthy competition going and promote the industry rather than hurting it by giving in on short-term gains. These gains are not really gains — they will come around and bite us all in the long term. What’s the most important business lesson you’ve learned since you’ve been in the industry? 1. An educated customer is your best customer, no matter which part of the world. 2. Your prime focus should be quality and service. No matter what, always deliver top quality materials with unparalleled service. Do not compromise on any of these to save money and increase your bottom-line. You will be short lived.
Joe Bono 37 | 5 CEO, Solar Universe What do you enjoy most about being in the solar industry? The consumer. Our business model is about keeping the consumer first. All too often, our industry puts technology first and that’s a miss. Great consumer solutions, terrific installs and personal follow up equals a good experience and more referrals. When it all comes together, everyone wins. What do you enjoy least about the solar industry? Let’s face it: Our industry has had some intensely poor press and much of it is not deserved. As an industry, we have done good work, and we need to showcase that. We are very proud of our net-promoter score, our customers love our work, and we need to shout that from the rooftops. 28
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To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2
RESIDENTIAL
Randy Bishop 23 | 1 CEO, Verengo Solar What’s the thing you enjoy most about being in the solar industry? Knowing that every time we install a product, we’re helping save a customer money and helping make the planet greener. What do you enjoy least about being in the solar industry? Because our industry is so new, there is a tremendous amount of change, which can make planning challenging. What’s the most important piece of technical advice you would offer your peers? You can’t be too process-oriented in this business. There are so many complex processes (financing, utility interconnection, installation permitting, site assessment, etc.) that can quickly overwhelm a company that isn’t ready to deal with it. What’s the most important business lesson you’ve learned since you’ve been in the industry? Hire great people, and let them do their thing. Where do you see the solar industry in five years? Growing quickly, increasingly mainstream, and continuing to be an employment engine for the U.S. economy.
What piece of technical advice would you offer your peers? Our consumers expect us to know the technical details and place their confidence in us for a job well done. When it comes to technical advice, focus on the consumer first and exceed their expectations. Consumers want the benefits of solar more than a technical dissertation. What’s the most important business lesson you have learned since you have been in the industry? No one model or approach is going to prevail in solar long-term, so remain flexible. Create opportunities for others to prosper and always keep the consumer front and center. Where do you see the solar industry in five years? On millions of consumers rooftops. www.solarpowerworldonline.com
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COMMERCIAL
To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2 Mike Hall 15 | 3
CEO of Borrego Solar What’s the thing you enjoy most about being in the solar industry? I enjoy the people. The industry attracts passionate individuals who believe that they can make a difference and enjoy working in a dynamic environment. I find that people tend to be driven to get results and that the industry is too young to have developed an entrenched way of thinking. What do you enjoy least about being in the solar industry? It is really a roller coaster of an industry. By every metric, the industry changes massively every year. If you look at size of the market, number of companies, $/Watt, or even $/BTU for natural gas, they all have undergone massive changes in short time frames. This forces companies to re-evaluate their strategy and operations constantly. While exciting, it can also be exhausting. What’s the most important business lesson you’ve learned since you’ve been in the industry? I’ve learned how to say no to an opportunity. It’s easy to get sucked into chasing every market and every project. In the end, though, it’s hard to execute profitably on all types of projects. Another important lesson is that growth in and of itself can’t be a company’s No. 1 priority or objective. As business managers, we have a responsibility to our shareholders to increase shareholder value, and as an organization we are responsible to our customers and employees for upholding our core values. While growth can be part of these things, it alone cannot be the end game.
David Morosoli 11 | 2
VP and commercial division general manager at REC Solar, Inc. What’s the thing you enjoy most about being in the solar industry? Having a positive impact on our environment, followed by the good jobs our business is creating throughout the country. I spent years in high-tech companies, where eventually jobs ended up in low-cost overseas locations. Solar construction jobs will always stay in the United States. What’s the most important piece of technical advice would you offer your peers? Learn from every job. Experience is only beneficial to the extent that you’re using lessons learned from prior actions. As a part of our project close-out, we gather the team and drill down into where we were timely, efficient and cost-effective, and where we may have experienced delays or unexpected cost. These lessons are then shared with sales, design and operations teams.
What’s the most important piece of technical advice would you offer your peers? The technical advice would be for manufacturers of modules and non-module equipment to band together to influence emerging codes and standards, in order to make sure that they are rational.
Lyle Rawlings President and CEO of Advanced Solar Products
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What’s the most important business lesson you’ve learned since you’ve been in the industry? I’ve learned to put more emphasis on marketing and development on new markets more than a year in advance of the time we need to be active in them.
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To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2
COMMERCIAL
Alex Rivera 16 | 4
Senior VP of project development at Vanguard Energy Partners What’s the thing you enjoy most about being in the solar industry? The ability to design and build sustainable energy plants for the end users which yield substantial energy cost savings. What do you enjoy least about being in the solar industry? The complexity of the tax driven financial structures necessary at times to monetize solar developments. What’s the most important piece of technical advice would you offer your peers? Ensure the solar energy off-taker’s understanding of how solar photovoltaic energy interacts with the specific site’s electrical gear and local distribution circuits. What’s the most important business lesson you’ve learned since you’ve been in the industry? Managing financial and technical expectations. Making sure the solar energy end user understands what to expect from the energy facility and the possible risks of the local and federal incentive programs as it relates to the expected investment payback period.
George W. Hershman 9 | 1 VP, division manager at Swinerton Renewable Energy·
What’s the most important piece of technical advice would you offer your peers? Understand the demands of the solar market and build an organization that responds to the challenges. Be flexible and adapt to the constant change. Be passionate about it and surround yourself with passionate people. Make it less technical and more personal.
1. Swinerton Renewable Energy 9 overall / 1 market 2. REC Solar 11 overall / 2 market
What’s the most important business lesson you’ve learned since you’ve been in the industry? Recognizing that maturing markets aren’t mature and that means changes are expected and inevitable. The solar market is emerging and will have highs and lows and you need to plan for both.
3. Borrego Solar Systems 15 overall / 3 market 4. Vanguard Energy Partners 16 overall / 4 market 5. Advanced Solar Products 17 overall / 5 market
What do you enjoy least about being in the solar industry? The continued change of regulations and political support make it difficult to strategically business-plan into the future. Lack of clarity in government support, through incentives and tax programs for solar, causes anxiety in the market that stunts growth opportunities and ultimately slows down job creation. www.solarpowerworldonline.com
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UTILITY
To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2 Perry Herrmann 3 | 3
Javier Muniz 5 | 5
President and CEO, E Light Wind and Solar
CEO, USA of GES USA
What’s the thing you enjoy most about being in the solar industry?
What do you enjoy least about being in the solar industry?
The opportunity to help our nation become more energy independent while helping the environment. Providing employment opportunities in a recessed economy, and working with our partners to lower installation costs.
I would like to see a stable renewable energy policy in place for the United States. Establishing a strong renewable energy policy would remove a lot of the uncertainty in the market and open the door to more opportunities. Renewable energy policies will benefit all levels of the value chain from the developer, to the contractors — all the way to the consumer.
What do you enjoy least about being in the solar industry?
1. First Solar 1 overall / 1 market 2. Signal Energy 2 overall / 2 market 3. E-Light Wind And Solar 3 overall / 3 market 4. SOLON Corp. 4 overall / 4 market
Employees being away from their families for extended periods of time because of the remoteness of the project sites. What’s the most important business lesson you’ve learned since you’ve been in the industry? Utility-scale projects are very labor intensive: Don’t assume the local labor pool will be large enough to support your project. Where do you see the solar industry in five years? I see a strong pipeline of work for the next two years, but it is difficult to say after that.
5. GES-USA 5 overall / 5 market
What’s the most important business lesson you’ve learned since you’ve been in the industry? The most important business lesson I have learned is that the market is constantly changing. The best thing we can do as a company is be flexible and adapt quickly to market and client needs. By being flexibile, we are able to broaden the services we can offer. A service provider’s main goal should be to solve a client’s issue quickly and efficiently, but it is important to note that the solution for today may not be the solution for tomorrow. Our company slogan, “With you all the way,” reinforces this idea of constantly supporting our clients through the ever-changing market.
Ben Fischer 2 | 2 President, Signal Energy What’s the thing you enjoy most about being in the solar industry? The opportunity to build our nation’s clean energy future. I often think the story of my hometown, Chattanooga, Tenn., as a powerful metaphor for the solar and renewable energy industry’s potential in the United States. Chattanooga was once called the dirtiest city in America, with air quality so bad that families actively sought to leave the city for their health. Decades later we turned our air quality and our image around with a deliberately orchestrated renaissance driven by our public 32
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and private leadership. Now, the Chattanooga area is vibrant with a growing sense of community and is successfully recruiting major employers like Amazon, Volkswagen, Alstom and Wacker Chemie. The United States is in a similar position, and Signal Energy is part of that renaissance, helping developers bring large-scale, innovative solar energy projects to market. What do you enjoy least about being in the solar industry? Partisan gridlock in Washington and across the country doesn’t foster the certainty needed to fully realize the potential of the solar energy industry. Certainty is needed to continue to attract the billions of dollars of private investment and add to the hundreds of thousands of solar energy jobs already created.
12/11/12 10:05 PM
To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2
UTILITY
Jim Tyler 1 | 1 VP, Project Development at First Solar
Daniel S. Alcombright 4 | 4 President and CEO, SOLON Corporation What’s the most important piece of technical advice you would offer your peers? Standardization. To continue to penetrate the market we, as an industry, must continue to lower costs and improve performance. Let’s face it, electricity is a commodity. Price is the determining factor. I believe the key to continued cost improvements is standardization throughout the process: in products, installation, permitting and financing. Solar needs to be as easy as ordering and installing a cable TV dish. Where do you see the solar industry in five years? I see the evolution of solar in three stages. The first stage were the years prior to 2009, which I think of as a “hobby” phase – where solar was a feel good thing that people did, and utilities and IPPs were in a tinkering mode. Now we’re in what I refer to as “Solar 1.0” – from 2009 to 2013. The industry is driven by incentives – either at a government or utility level, and these incentives are fueling the industry growth. The utilities and IPPs have moved from a tinkering mode to a scale-up mode, and developers and manufacturers are becoming more experienced. We are closing in on solar’s tipping point – retail grid parity, and we are beginning to see the start of organic growth.
But the United States has a strong history of innovation and problem-solving so I am hopeful that we can position ourselves to capitalize on the growing multi-billion dollar industry. What’s the most important piece of technical advice would you offer your peers? One of the most valuable tools that an owner or developer of solar projects can have in its planning toolbox is a good preconstruction value-engineering methodology. Developers can realize large short- and long-term economic paybacks if they commit time and resources to value-engineer each aspect of the engineering and construction of a solar project early in the development process. Engaging an experienced design/build contractor at an early stage to perform this value engineering analysis can ensure that a project is designed in a way that maximizes long-term energy production and shortterm capital costs for construction.
What’s the thing you enjoy most about being in the solar industry? In my role, I’ve had an opportunity to travel the world, advancing the message of solar power. I have gained a real appreciation of the effects which are beginning to materialize. In several regions, solar PV is already at price parity with fossil-fuel-based energy sources without national or local subsidies. Solar PV has passed that tipping point. Now it is simply a matter of time — through continued innovation in energy density, construction methodology and financial engineering — before other highsolar insolation regions to also achieve parity. The story of solar PV is really just beginning, as one of the critical ways to reduce CO2 emissions while satisfying the demand curves for new energy sources. Being at the forefront of this trend is truly exciting. We are making a difference. What do you enjoy least about being in the solar industry? As with any emerging industry, growth and decline cycles are inevitable. The industry as a whole has entered the first significant trough in its short history and will likely be in it for at least two more years. During this period of consolidation, downsizing, bankruptcy, etc., many hard working people will find themselves out of jobs, losing benefits or taking pay cuts. The solar industry is still relatively small. I have many friends in other solar companies who have already felt these effects. This is the toughest thing in any cyclical industry. People want security and stability, and their losses are very disturbing. What’s the most important piece of technical advice you would offer your peers? LCOE (Levelized Cost of Energy) rules. Energy doesn’t come in different colors, shapes and sizes. The cost per kWhr is what matters — period. The number of interacting variables that make up LCOE is exceedingly complicated. As a vertically integrated company, First Solar is in a unique position to fully understand the entire value chain on a global scale. The hype from one supplier or another with respect to module efficiency or cost per watt or the next big thing in string-level monitoring is naturally dressed up to highlight their advantages and underplay their disadvantages. But the reality is that the largest single driver of LCOE is the cost of capital. A change in debt rate of 1% is roughly equivalent to $0.20/Wdc. If it’s not a bankable, proven, reliable technology that provides for 25 years of steady cash flows with minimum risk to the debt provider, then they will increase their cost of debt, which increases LCOE. The bottom line is this: Do your diligence to get to the root of bankability and risk. So the most important piece of technical advice is actually financial.
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OTHER VOICES
To p 1 0 0 S o l a r C o n t r a c t o r s 2 0 1 2
Odes Armijo-Caster
Owner/COO, Sacred Power Corp., Albuquerque, N.M. What’s the most important business lesson you’ve learned since you’ve been in the industry? You have to persevere. As tax credits came and went in the 1980s, as solar went through a boom and bust in the same time frame, I learned to stay focused on what I believed in: Solar will be the next energy resource to power our planet. As such, being able to ramp up production when the business climate is favorable, as well as stabilizing, maintaining and being resourceful during slow periods of growth, is absolutely critical to surviving in this industry long term. Where do you see the solar industry in five years? My favorite analogy to describe where I see solar in the next five years is the parallel to how the communication industry evolved. We went from telephone lines to cell phones and because of the progression of battery technology, the cell phones have become less bulky yet with even more capabilities. The PV industry is headed down the same path; as battery technology becomes better with more electric cars and other battery operated equipment, electric power will no longer be needed to be provided by utility lines, but by standalone solar power supplies located at each and every house.
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OTHER VOICES
Markus Wilhelm
CEO, Strata Solar
Where do you see the solar industry in five years? Solar is “disruptive technology” (like MP3 players or e-books). Over time, it will be cheaper than most traditional energy sources, fundamentally changing the way the world looks at energy production. You will find solar generation capacity everywhere. Not just utility scale farms, commercial rooftops and green homes, but solar will be everywhere. Events like Hurricane Sandy and the enduring loss of power after these tragic events really brings to light the vulnerabilities of our current energy infrastructure. As solar energy continues to proliferate, future storms will have a far less-lasting impact on energy demand as nongrid-tied systems will be far more numerous, allowing for a near immediate energy response to areas in need. We witnessed many clever solar applications being used in the aftermath of the recent storm, from small solar phone charging stations that returned critical communication capacity, to larger portable charging stations that were used to power some of the major central relief centers. This brings into sharp focus not only the need for a fundamental change in our relationship to power and power production, but also the many and varied opportunities there will be as a result of fresh thinking and the lowered costs of solar energy. Solar is playing a critical role in our nations energy evolution.
Daniel Ros
CEO, ESA Renewables What’s the thing you enjoy most about being in the solar industry? The solar industry provides the opportunity to do business worldwide. I enjoy interacting with a diverse variety of people and entities (governments, utilities, banks, investors, engineers, installers), creating business value, and positively contributing to environmental sustainability. What’s the most important piece of technical advice would you offer your peers? You must strictly follow and comply with the specific bankability requirements of every region to achieve success.
What’s the most important business lesson you’ve learned since you’ve been in the industry? Be cautious of unstable regulations that may be reconsidered and modified. Where do you see the solar industry in five years? I expect the industry to reach grid parity in five years, becoming subsidy-free and self-profitable.
www.solarpowerworldonline.com
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REC Solar will develop the Anahola Solar Project, the largest PV installation in Hawaii.
Power To The (Hawaiian) People
H
awaii’s beautiful weather and sun is perfect for more than a tan. As so many developers have realized, the sunny state is an ideal place for solar energy. After all, the major islands average more than 200 days of sun a year.
But sun alone cannot always spur a state’s solar industry. Policies
must also support renewable energy development for it to succeed.
ro
At A Glanc t c e je
Anahola So lar
P
Be n Hi g g i n s / D i r e c t o r o f G o v e rnm ent A f f a irs/R EC So la r
Hawaii ahola, Kaua’i, n A : n o ti ca o • L 3 MW DC MW AC / 14.5 2 1 : e iz S m • Syste 2013 : September • Completion ricity Annual Elect • Estimated ,000 MWh More than 24 Production: 45-W panels 9,328) REC 2 (5 : ls e n a P r • Sola n 500 kW (24) AE Solaro : rs e rt e v In • es 350 apNRack Seri • Racking: Sn
Hawaii’s mix of insolation and supportive politics has made it a leader in renewables from whom other states could learn. Hawaii has the largest renewable portfolio standard (RPS) in the United States, requiring 40% of its energy be derived from renewable energy by 2030. Additionally, Hawaii has a three-tier feed-intariff for renewable energy. These policies have allowed Hawaiian solar to pass grid parity — that is, solar electricity is now cheaper than electricity produced from conventional sources — which is a significant achievement for a state that relies on imported oil for 83% of its electricity generation. Such conditions have drawn many solar companies to the Aloha state. REC Solar, in particular, has ambitious plans.
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I N S TA L L AT I O N P R A C T I C E S
Together with the Kauai Island Utility Cooperative (KIUC), REC Solar will develop the largest photovoltaic (PV) project in Hawaii. The 12-MW AC (14.53 MW DC) Anahola Solar Project will be a ground-mounted system built on Kauai, the oldest of the main Hawaiian Islands. Getting Started The partnership began last December when KIUC Renewable Solutions One awarded the engineering, procurement and construction contract for the system to San Luis Obispo, Calif.-based REC Solar. This is the second utilityscale project that REC Solar and KIUC will develop together. A third partner
product innovations for practical and affordable installations so simple it’s scarySM 855.670.1212 | zillarac.com
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is the Homestead Community Development Corp., a tax-exempt arm of the Anahola Hawaiian Homes Association of Kauai. The next step was to perform an environmental assessment of the 55-acre site, located on the Hawaiian Homelands on Kauai’s Northeastern Shore. This also included a cultural assessment by a team with knowledge of the Anahola Hawaiian Homelands. Construction was allowed to begin recently. System Design The system was designed to generate as much power as possible from the area. It also had to withstand the corrosive Hawaiian coastal environment to minimize maintenance costs. To do this, the inverters and associated equipment will be housed in enclosures for protection from sun, wind, rain, dust and even vandalism. Equipment pads will be formed from 3,000-psi concrete to allow electrical channels to form a 90 degree bend into transformers, or in other words into transformers, switchgear, inverters, AC disconnects, DC disconnects, monitoring equipment and courtesy electrical and internet outlets. The system will also include an integrated battery-storage system to alleviate intermittency and act as a source of spinning reserves while providing frequency and voltage ancillary services.
Benefits The project is expected to create up to 100 local jobs. Construction should finish in September 2013 and generate more than 565,000 MWh of clean electricity over 25 years, which is equivalent to one of the following: • CO2 emissions from over 894,000 barrels of oil consumed; • CO2 emissions from over 43 million gallons of gasoline consumed; • Annual greenhouse gas emissions from more than 75,000 cars; or • Carbon sequestered by 9.8 million trees grown for ten years. SPW
Discuss This and other Solar issues at www.engineeringexchange.com
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Financing Though a considerable project, the Anahola Solar Project found financial support. The U.S. Department of Agriculture’s Rural Utilities Service (RUS) provided funds for constructing the integrated PV and battery energy storage systems. REC Solar and KIUC worked together to complete the RUS agreement and procure the first shipment of solar panels to the site. This was necessary to qualify for the 1603 Program of the American Recovery and Reinvestment Act (before its expiration on Dec. 31, 2011) and secure a cash payment.
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IN VER TER INS IDE R
Centralized VS Distributed Power Generation in Mixed Rooftop & Carport PV Systems
Alvaro Zanon/photovoltaic applications engineer at REFUsol
I
n an ideal world where design and environmental constraints do not exist, all photovoltaic (PV) systems would look almost identical. However, real PV projects are typically subject to a variety of factors that significantly affect physical configuration and performance — usually in a negative way. Such factors include shading, soiling, module mismatch, different module types and orientations, or large temperature fluctuations. While central inverters have been the common choice in the U.S. market for PV systems for decades, a distributed design approach using string inverters is gaining increasing popularity. Among string inverters, transformerless (TL) inverters offer several advantages not present in their transformer-based counterparts — regardless of size — such as higher efficiency, lighter weight and more compact form.
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Table 1 System Summary This study had two main goals: • To investigate the benefits from a technical and economic standpoint of designing PV systems using central inverters (centralized approach) versus using TL string inverters (distributed approach) • To evaluate which approach is the most potent tool for combating the negative effects previously mentioned
System Definition To provide a holistic comparison between the two design approaches, three array configurations of sizes 100 kW, 260 kW and 500 kW were created for each (detailed description provided in Table 1). For the purpose of defining realistic temperature profiles, the study assumed Newark, N.J., as the location of the project. All systems assumed a south-facing roof at a 20° tilt to accommodate 60% of the modules with minimal obstructions and shading, along with a west-facing carport at a 5° tilt large enough for the remaining 40% of the modules. The three array sizes were created, simulated and evaluated separately using both central inverters and REFUsol 20K-UL string inverters. Furthermore, the response to ›voltage and current mismatch was analyzed by adding inter-row shading on the rooftop portion, and shading from trees over the carport portion. Additionally, a constant module-mismatch factor, as well as a varying soiling factor over the course of the year, was introduced in the simulations to evaluate their effect on both inverter approaches.
scope of this study, it seems apparent from Figure 1 that system cost no longer becomes a deciding factor between central and string inverters. Other factors such as energy production, reliability or uptime (which will be studied later on) need to be brought into consideration.
Figure 1 Total cost of each array configuration
Cost Analysis The study showed that when considering all system costs, the centralized approach was found to be more expensive than the distributed approach by upwards of $0.16/W (15% gross margin added). An interesting trend arose when plotting the total system cost versus the size of each array configuration (Figure 1). Under this scenario, it’s clear that string inverters are a more costeffective solution for systems up to 500 kW. Although larger system sizes were out of the www.solarpowerworldonline.com
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IN VE RTE R INS IDE R
Figure 2 Balance of System Cost of each array
Alvaro Zanon is a photovoltaic applications engineer at REFUsol. He designs and plans commercial and utility-scale PV projects. He can be reached at alvaro.zanon@refusol.com.
When considering only balance of system (BoS) costs, the distributed concept reduced the cost by up to 25%. Breaking down the results into each individual system size, the results showed that total BoS costs (material and labor) were reduced by 25%, 15%, and 9% respectively with distributed inverters compared to 100-kW, 260-kW, and 500-kW central inverters. The results displayed in Figure 2 show these differences in more detail. The higher BoS costs of the centralized arrays are originated by the amount and price of DC wiring and equipment. Proportionally, the cost of DC wiring and equipment of the centralized arrays is higher than the cost of AC wiring and equipment of the distributed arrays.
Energy Production In the distributed approach, the PV arrays are broken up into smaller sub-arrays, each with its own TLÂ inverter and, therefore, its own MPPT tracking system. This system granularity translates into a higher energy production and reduced effect on output from individual inverter failure. Energy modeling of these designs show distributed inverters outperformed central inverters by approximately 42
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The study showed that when considering all system costs, the centralized approach was found to be more expensive than the distributed approach by upwards of $0.16/W (15% gross margin added).
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I NV E R T E R I N S I D E R
1.5%. Although the distributed system had slightly higher ohmic losses than the central system by 0.2% of 0.3%, the high AC losses of the distributed inverter were comparable to the high DC losses of a central inverter. More importantly, the string inverter efficiency losses were noticeably lower (~ 2%) than the central inverters (~4%) used in this study. Table 2 shows the energy production values for each array along with the sources of energy losses.
Inverter Response To Negative Effects The south-facing array on the roof and the west-facing array mounted on the carport(s) experienced different amounts of irradiation throughout the year because of their different orientations and shading conditions. Since current is directly proportional to irradiance and additive inside the inverter, the performance of either the central and string inverters will not be significantly altered. As opposed to having multiple string inverters, however, all parallel circuits of a central inverter are held at the same voltage by the inverter. If this is different than the arrays’ maximum power point voltage, there will be a power loss. This was confirmed by energy modeling analyses in PVsyst.
Over a year, hourly data modeling showed a 0.24% power loss due to voltage mismatch on a single inverter. As such, an additional 0.24% mismatch loss has been added to the central array inverters.
Additional Benefits The light weight of TL inverters allows for direct mounting on either the carport or on one of the building walls, eliminating the need for a concrete pad and a lifting crane. Time and cost can be further saved since most TL inverters have builtin DC-fused combiners and disconnects. Finally, maintenance and servicing is much easier and inexpensive with the distributed concept. If there is a problem with one of the string inverters, it can be easily exchanged for a new one in the field by a general electrician. In the United States, the most popular approach is centralized inverters, but the distributed concept does offer the system designer a new approach with added flexibility and performance expansion. SPW
Table 2 Energy Production Yield Annual DC Annual AC Inverter (kWh/kWp/yr) Wiring Loss Wiring Loss Efficiency 100 kW Distributed 1,271 -1.1% -0.4% -2.1% Inverters 100 kW Central Inverter 1,251 -1.1% -0.1% -4.4% 260 kW Distributed 1,272 -0.9% -0.5% -2.1% Inverters 260 kW Central Inverter 1,263 -1.1% -0.1% -3.7% 500 kW Distributed 1,275 -0.8% -0.5% -2.1% Inverters 500 kW Central Inverter 1,213 -1.0% -0.0% -7.5%
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{
Feed-in Tariffs:
The Proven Road Not Taken Feed-in tariffs (FIT) are a policy
J. Peter Lynch, an advisor to Principal Solar, is a pioneer in the renewable energy sector of the investmentbanking industry and regarded as an expert in renewable energy. Peter brings a wealth of knowledge from his 35 years as a Wall Street security analyst, independent security analyst and private investor in small, emerging technology firms.
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mechanism designed to accelerate investments in renewable energy technologies. Renewable energy producers are paid a set rate for the electricity they create, usually differentiated according to the technology used (wind, solar, biomass, etc.) and the size of the installation. FITs guarantee that anyone who generates electricity from a renewable energy source — whether a homeowner, small business or large utility — is able to sell electricity into the grid and receive long-term payments for each kilowatt-hour produced1. This provides much needed investment certainty. Payments are set at pre-established rates (often higher than market price) to ensure developers earn profitable returns, and FITs decrease at a designated rate over time. The compensation rate reduction for newly constructed plants (degression rate) is necessary and possible because the market growth is accompanied by a reduction in the costs of producing the systems with which power is generated. The faster the market grows, the more vigorously the 12 • 2012
compensation for new plants can be cut. Under the current German Renewable Energy Sources Act, for example, the annual solar degression rates vary from 8% to 10% a year, depending on market growth. What is certain is that the degression curve can’t be too steep, so the compensation rates do not fall below the threshold at which a return starts to be earned in later years. Otherwise, investors in new manufacturing facilities would fear for the future of the sales markets they intend to target, weakening their readiness to invest. Over the past decade, the FIT is credited for the rapid deployment of wind and solar power among world renewable energy leaders Denmark, Germany and Spain. Similar policies have since been adopted by many other countries, making the FIT the most successful tool for promoting renewables. Because payment levels are performance-based, the incentive is placed on producers to maximize the overall output and efficiency of their projects. To illustrate the effectiveness of the FIT in Germany, the installed capacity of German solar PV has increased from about 1 GW in 2004
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Overall, world energy demand is expected to increase by more than 50 percent by 2030
Source: OECD/IEA World Energy Outlook 2004
(1 billion watts — roughly the output of a nuclear power plant) to over 26 GW at the end of 2011. While at the same time, the FIT price has decreased from over fifty to sixty euro cents per kWh to less than twenty euro cents per kWh. This is exactly what a welldesigned FIT should do. It has worked as planned in Germany, a country with half the solar insolation (exposure to the sun’s rays ) of the United States.2 More than 80 jurisdictions around the world now use or have used FITs to pay for new renewable generation.3 In fact, FITs now dominate policy for renewable energy worldwide, with 60% more jurisdictions — states, provinces and entire countries — using FITs than are now using quota systems such as Renewable Portfolio Standards or
Renewable Energy Standards.4 The United States needs a nationwide FIT to kick-start the renewable energy industry, restore U.S. leadership in this market and accelerate expansion of the renewable industry worldwide. The rapid expansion of the renewable energy industry is a win-win for every country, for future generations and is a critical component to the long-term survival of humanity. Why is a FIT critical? The world is running out of cheap fossil fuels. No other replacement source of energy abundant enough to sustain energy needs for more than forty or fifty years currently exists. If the United States were not running out of “cheap” fossil fuels, there would be no
drilling for oil through 20,000 ft of water and then 10,000 ft of ocean bedrock to reach an oil field — an expensive, technically complex, dangerous and risky investment fraught with uncontrollable variables. Overall, world energy demand is expected to increase by more than 50% by 2030.5 Any attempt to understand or forecast global energy requirements must take account of population growth. At the beginning of the 20th century, world population was about 1.5 billion. Today, it’s more than 7 billion and growing at the rate of 90 million a year. By 2025, the world’s population is expected to reach 8 billion.6 The current world energy consumption rate is about 16 TW (a terrawatt is a trillion watts of power) per year. The direct solar energy that arrives on Earth during an average four-week period, (roughly 1,853 TW/yrs.) is greater than the total remaining reserves (1,755TW/yrs.) of all fossil fuels.7 Clearly, the only current technically feasible, long-term solution today is renewable energy. Going forward, the strategy should be to accelerate the worldwide development of renewable as quickly as possible. By far the cheapest and only proven means to accomplish this is by establishing a nationwide FIT. Key Benefits of FITs •It is proven. Germany, a country that receives half the average insolation that the United States receives, set a 2010 target of 12.5% share of renewable energy in electric generation in 2000. In 2007, it surpassed that goal with 15.1%, 20% better and two years ahead of schedule. Since Germany has launched its FIT program, about 35 to 40 countries have followed suit and implemented FIT programs.
•It pays for itself in less than a year. In 2008, Germany’s additional cost for its national FIT was
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$3.2 billion euros. The German Federal Ministry for the Environment calculated the FITs return cost as: • $7.8 billion euros from reduced amounts of fossil and nuclear fuels purchased • $9.2 billion euros saved from the avoidance of external costs.8 A total of $17 billion in savings for $3.2 billion in additional costs is clearly a superior return.
• The return-on-investment is independent of taxpayer funds. A FIT is not a subsidy, and no new public debt is needed to fund such a program, making it a stable and self-sustaining proposition in any economic and political environments.
• It decreases production costs and cost-per-watt installed.
• It encourages private investment,
creates jobs, expands manufacturing and increases private-sector research and development.
• It dramatically reduces government
bureaucracy and red tape associated with
typical power purchase agreements (PPAs) by magnitudes.
• It enhances national security by lessening U.S. dependence on foreign oil, while helping to decrease the massive associated cash drain Opposition to FITs The No. 1 opponents of FITs are local electric utilities. These utilities argue that FITs work contrary to the market, which is a silly and inaccurate argument since most
utilities are not driven by the market. They are monopolies and, by definition, do not respond to market forces. Positive results in a developed country like Germany show that FITs are far more market-oriented than monopolies. Furthermore, powerful contributors, such as utilities and fossil fuel companies, do not want infringement on their businesses and will oppose efforts to kick-start an industry that will compete against them. But there is no economically valid opposition to FITs if the primary consideration is the lowest longterm cost, the welfare of the country and the long-term health of the planet. Germany vs. The United States The primary reason FITs are working in Germany — and not in the United States — is the respective mindsets in each country,
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Feed-in Tariff Law in Germany, Cost to buy electricity and levelized cost of energy over the lifetime through 2015 (Source: Werner Bergholz, Jacobs University)
evidenced in the following quotes: We decided we will reduce the CO2 [by 40%] by 2020 [and 80%] by 2050. Then, we debated the instruments that could make this possible and decided on feed-in tariffs. I hear arguments (spoken in 2009) we discussed in Germany 10 or 15 years ago. It’s the same debate. In Germany, we made a decision; we made a law….the renewable Energy Resources Act (FITs). It worked. You can see the results. — Willi Voigt, former minister of the German state of Schleswig-Holstein, one of the early adopters of FITs.9 The Germans made a decision to benefit all their citizens and then followed through with it. The United States has not been able to make this kind of decision, despite the fact that every U.S. president since Richard Nixon has recognized the country’s unsustainable energy path and vowed to move toward less dependence on oil. In that time, the country’s oil dependency has more than doubled. Unlike other countries, America has taken a reactive stance in terms of energy, but the current, catastrophic trajectory of energy consumption demands a proven, proactive solution. Opponents of renewable energy — the fossil fuel industries and their Congressional cohorts — have strived to obscure the energy crisis through the media and keep a critical and obvious solution (FITs) from reaching the American people. What would German installation costs mean for the U.S. solar market, where sunshine is more abundant? Americans could buy solar on long-term contracts, with no subsidies, for 18.6 cents per kWh in Minneapolis and just 15.4 cents in Los Angeles, not counting existing or future tax credits.10 FITs are not theories. They have been demonstrated and proven. They do not need further research, development or testing. In fact, FITs are currently operating programs that have been developed and honed in highly industrialized countries and in successful operation for more than 12 years. The United States can learn from the FIT in Germany, a country that was
quick to recognize the transparency and effectiveness of a FIT. It is interesting to note that in 2006 China avoided implementing a FIT, saying FITs triggered too rapid market growth. In 2011, however, the Chinese implemented a FIT program, and their domestic market is now booming with solar manufacturing having scaled up to where it can address this huge new market without reliance on imports. A FIT program is the most effective way to spark rapid development of the massive renewable energy required to keep the United States going strong. Renewable energy projects in the United States have often met resistance from wary investors, but FIT policies remove uncertainty by ensuring that anyone with access to sun and wind can receive funding for a set period.11 The United States needs to stop the current politically distorted debate and start with real action. The time for talk is over. The time for FITs is now. SPW End Notes 1 World Watch Institute; North American Feedin Tariff Polices Take Off; http://www.worldwatch. org/node/6221; accessed July 20, 2012. 2 Deutsche Bank Group; DB Climate Change Advisors; 2011. 3 Gipe, Paul; Snapshot of Feed-in Tariffs around the World in 2011; Renewable Energy World; October 6, 2011; http://www.renewableenergyworld.com/rea/ news/article/2011/10/snapshot-of-feed-in-tariffsaround-the-world-in-2011; accessed August 7, 2012. 4 Gipe; October 6, 2011. 5 World Nuclear Association; Uranium, Electricity and Climate Change; http://www. www.solarpowerworldonline.com
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world-nuclear.org/education/ueg.htm; accessed August 7, 2012. 6 World Nuclear Association 7 BP Statistical Review of World Energy 2008. Note: The direct sunlight number is from only land masses and is discounted 65 percent due to losses through the atmosphere and clouds. 8 Germany calculates the avoidance of costs related to using renewable energy vs. fossil fuels, such as: damage to climate, impact of air pollution and toxic wastes on health, and cost of cleaning rivers and other bodies of water. The US does not include such costs in project or technology analysis, which will result in enormous long-term negative impacts, as well as a significant additional burden on US taxpayers. 9 Lynch, Peter; Renewable Energy World, Feed-In Tariffs: The Proven Road NOT Taken…Why?; November 23, 2011; http:// www.renewableenergyworld.com/rea/news/ article/2011/11/feed-in-tariffs-the-proven-roadnot-takenwhy; accessed August 7, 2012. 10 Farrell, John; Renewable Energy World; German Policy Could Make Solar in America Wunderbar; March 20, 2012; http://www. renewableenergyworld.com/rea/blog/ post/2012/03/german-policy-could-make-solarin-america-wunderbar; accessed August 7, 2012. 11 World Watch Institute.
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the Rules of
Traditional Module Production Natasha Townsend Associate Electrical Engineering Editor Design World
Two former Applied Materials scientists developed a hybrid solar module with higher performance
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Editor’s Note: Townsend talked with Chris Beitel, Silevo’s vice president of business development. The story about the engineering of Silevo’s Triex technology came from this conversation.
I
n 2007, two Applied Materials scientists founded Silevo, a module manufacturer based in Silicon Valley. The pair developed a hybrid-module concept by coupling several different materials already designated for solar. They also implemented semiconductor properties and used production methods from flat-panel display industries. None of the materials they used are new, but they have been packaged together in such a way to create a higher-performance device. The company’s Triex technology focuses on three areas: conversion efficiency, module costs and low temperature coefficients (kWhr/kWp). The company’s first approach in its PV cell development was to purchase finished, phosphene-doped n-type wafers. To achieve a phosphene-doped wafer, www.solarpowerworldonline.com
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monosilicon ingot growth occurs. The wafers are then sliced by the manufacturers, and Silevo builds the modules. The two critical aspects of the wafers are minority carrier lifetimes (MCL) and the bulk resistivity of the material. The wafer process has wide specifications when it comes to the requirement for MCL (the speed at which there is a recombination of electrons whole pairs). In most cases, the higher the MCL, the higher the performance. As a result of higher performance, the more costly the wafer becomes. Silevo outsources these n-type wafers cost-effectively, which plays directly into its overall cost advantage. Since they do not require an aggressive specification for wafers as others do, a lower-cost wafer can be sourced. Researchers were prompted to use an n-type substrate versus a p-type substrate because the n-type has two distinct advantages. First, when increasing the minority life carrier (MLC) in PV cells, the n-type can produce higher MCL, leading to high conversion efficiencies. Second, boron-doping (a requirement for p-type) usually creates a light-induced degradation (LID) effect; resulting in cells/panels that can decay 2% to 3% when initially exposed to sunlight. Conversely, an n-type wafer infused with phosphene does not experience
LID. When eliminating the LID, it reduced the short circuit current losses, which leads to more power out of the cells. Silevo has demonstrated 22.1% conversion efficiency at a cell level, as validated by Sandia National Labs, making it one of the highest energy densities in the industry. Silevo does not use Cadmium Telluride (CdTe) in its device. Instead, it uses doped amorphous silicon (a-Si) and a thin, thermaloxide step to produce the emitter. The device is a P-O- I -O-N, with a symmetric look. The top half is doped with an n-layer or p-layer (P)
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a-Si doped (depending upon whether a front or back contact is used). Next, the oxide layer (O) helps with the passivation. Then the i-layer (I) is essentially the n-type silicon substrate. On the backside of the device, there is another oxide layer (O) then followed by a doped n-type layer (N). Through further research, researchers discovered that copper (Cu) possessed two attributes that make it a better solar material than silver (Ag): lower resistivity at a lower temperature process and cost-effectiveness. Nearly all crystalline silicon (c-Si) technologies that use Ag nanopastes create their own metal electrode/ contact system. To remove resistivity in Ag, the temperature in Ag has to be raised or the thickness of the Ag needs to be increased. To enable higher conversion efficiencies with highly resistive films, PV competitors use three bussbars to conduct the current out of the cell, since the bussbars are packed closer together to overcome the resistivity challenges of Ag metallization. Since Silevo’s devices uses copper, achieving lowering resistivity allows a reduction in the number of bussbars required to conduct current out of the device. Eliminating bussbars reduces shading of the active device and loss in conversion efficiency, while allowing deposits to lower film thicknesses that reduce material consumption. To make a costefficient cell also accounted for the cost in materials. The doubling of the Ag price over the past two years was significant in designing PV cells. Some companies have attempted to do Cu-based cells previously but have been unsuccessful. Because Ag costs became the second largest cost component of standard c-Si technology, replacing Ag with the use of electroplating Cu saves 70% on metallization costs based on $40/oz spot Ag costs. In other words, the cost of a Ag metallization scheme is about $0.12/Wp versus a Cu approach which is $0.03/ Wp. As with any element, there are two challenges with using copper: diffusion and adhesion. If Cu diffuses into the silicon substrate, there is a great likelihood of destroying the material. Thus, there will be no MCL, and recombination will be immediate. Adhesion is the event when Cu is peeled off. Silevo deposits a blanket film barrier and seed layer into
el-junction n n u t a d e s u Researchers ovide a low r p o t h c a o r app ce, fairing n a t is s e r l a ic electr rd singlea d n a t s n a h better t rformance. e p n o s e ic v junction de
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its device. The purpose is to prevent any Cu diffusion into the substrate, and it creates good adhesion between the Cu material and the underlying substrate. The company learned that coupling tunneling oxide with a doped a-Si formed a layer to the emitter. This reaction reduced temperature coefficients and produced high voltages. The temperature coefficient in the company’s panels is lower than the typical 240Watt peaks (Wp) of mc-Si panels. (To calculate Wp, multiply the short-circuit current density by the open-circuit voltage.) The significance of a lower temperature coefficient is in lifecycle costs after 5, 10, 15, 20 and 25 years of constant performance. It produces 10% more energy generated over the lifetime of a project. Silevo reduced the short-circuit current density to eliminate the LID Researchers used a tunnel-junction approach to provide a low electrical resistance, fairing better than standard single-junction devices on performance. With the tunneling approach, the main goal is to improve voltage while maintaining the similar current and fill factor to boost the power. Because Silevo can get high voltage and a high MCL, there is a boost in the conversion efficiency of the device. Standard c-Si devices can garner 18% to 19% conversion efficiency in volume production, while the company’s devices are above 22% — better than production costs of triple junction and Group IV semiconductorrelated devices. Triple junction and Group IV semiconductor technologies can offer high efficiencies, but they are expensive to produce. Silevo opted to choose the best performance/ cost ratio when designing its PV cells. Although their technology behaves just as the others when it comes to the electrical architecture, the efficiency or power density of a panel creates large differences in the amount of balance of systems (BOS) costs overall. As a rule of thumb, 50% of the BOS costs are efficiency dependent. Land costs, mountingstructure quantities/costs, cabling quantities/ costs, installation labor hours/cost all depend on the efficiency of a panel. As an example, one can save in land, mounting, cabling and labor costs for a 10-MW project that uses fewer panels to garner 10 MW.
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Thermalito Water & Sewer District Oroville, CA, USA
Understanding real-world performance of a module is important when contemplating what type of array is being set-up. Maintaining good temperature coefficients sustains the energy yield in real-world conditions. Modules and corresponding installations are quoted at Pmax values, which are measured at standard test conditions (STC). STC measurements are usually performed indoors in a well-controlled environment where the temperature to the cell/ module is maintained at 25°C (72°F), and the light exposure is controlled to 1000 W/m2. When panels are installed outdoors, both the light exposure and temperature of the module will vary based on the surrounding environment. For example, in Arizona ambient temperatures often reach 40°C, and the number of sunny days is greater than 300 days/year. Conversely, in Germany ambient temperatures peak at 30°C, with averages year round being 20°C, and the number of sunny days is around 180 days/year or so. Another example is a 200 W panel made from two different types of technology may have different amounts of energy harvested over a given year. Triex modules also recently passed stringent Potential Induced Degradation (PID) and extended Damp Heat (DH) testing, during which modules are biased at high voltages and also exposed to elevated temperatures and humidity levels (biased DH: 85 degrees Celsius + 85 percent Relative Humidity (RH) + negative system voltage of 1,000 volts) for a duration of 1,500 hours with minimal degradation well below required thresholds. The PID and DH tests were conducted to determine quality and reliability performance by Renewable Energy Test Center (RETC), a TÜV SÜD America’s partner for PV testing. Silevo’s Triex modules have also completed extended DH testing with 2,000 hours of 85 degrees Celsius and 85 percent RH, twice the IEC 61215 requirement with negligible degradation. As a result, the technology has proven reliable, well beyond certification requirements. Typically, modules’ exposure times to these elevated conditions range between 100 and 200 hours, but in Silevo’s case, the Triex technology was exposed seven to 15 times longer, demonstrating the company’s detailed focus on long-term reliability performance. Results indicate that the company combines reliability, high efficiency, high energy harvest and costeffectiveness into the Triex module technology. SPW
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Fuse Holder Mounts To Busbar Woehner says its new fuse holder boosts safety and provides savings to combiner box and inverter manufacturers. The AEL10×38 fuse holder mounts directly onto a busbar and offers a UL4248-18 listing at 1000 V DC for 10×38 fuses as large as 30 A. It features a combined mounting function with the busbar connection and mounts tool-free on to the company’s one-pole busbar structure with a single snap.
Woehner USA www.woehner.com
DC Subcombiner Option At 500 kW At 97.5%, Solectria Renewables says its transformer-based 500-kW Smartgrid Inverter, 500PE, has the highest CEC efficiency in the industry. The SGI 225-500 series of inverters can come with DC subcombiner circuit breakers, which eliminate additional components and labor. The PV output circuit conductors are terminated at the lugs and installed on molded-case circuit breakers inside the inverter, eliminating the need for external DC disconnects.
Solectria Renewables www.solren.com
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[ PR O D U C T S ]
Grounding Clip Goes Between Panels The Top Clip is a grounded module attachment for use between panels. The center bolt gives a snug and secure attachment, while four small grounding screws transfer grounding between PV modules. The Top Clip, which is UL 467 listed and offers 650A of grounding, secures modules that use 5/16 to 5/18 in. mounting hardware.
Zilla www.zillarac.com
A Clip For Frames The PowAR Snap 90B is a one-piece attachment clip for framed modules that snaps into a standard channeled strut or aluminum rail. A one-piece design consisting of a flanged slot that slides on to the underside of the module frame, the clip allows the modules to be installed flush against each other, requiring fewer rails. The 90B meets UL 2703, Section 21.
ARaymond Tinnerman www.araymondtinnerman.com
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[PRODUCTS ]
An Option For Solar Grounding Ilsco offers a ground lugs solution with the GBL-4DBTH copper lay-in connector with a stainless steel hex head screw. The hex head screw ensures there is no drill drift when it is torqued down, which reduces the chance of damaging a rack or panel. It also speeds up installation. The manufacturer says this product is an enhancement to its ground lugs, the GBL-4DBT, which is UL-listed and CSA-certified.
Ilsco ilsco.com
Energy Management For Utilities The OptiGrid Stored Energy Solutions is a flexible, turnkey energy-management system for utility-scale applications. It is available in the full range of battery chemistries offered by the manufacturer, including tubular technology, traditional flat-plate valve regulated, traditional flat-plate flooded, lithium ion and advanced lead acid designs and alloys.
EnerSys optigrid.enersys.com
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Technology • Development • Installation
INSIDE: >> RACKING AND MOUNTING: NEW CELLS FOR ALCATRAZ PAGE 22
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[CONTRACTORS C O R N E R ]
Namasté Solar, Boulder, Colo.
Blake Jones
C o - F o u n d e r, P r e s i d e n t and CEO
Namasté, a well-known reverential greeting from India literally means “I bow to you.” It’s meant as a recognition that the spark of life lives in each person. It implies respectful, peaceful coexistence. That’s a challenging philosophical framework for any company to espouse, but employeeowned Namasté Solar, based in Boulder, Colo., does it anyway — and is successful. Namasté Solar is Colorado’s largest solar installer and No. 6 on Solar Power World’s ranking of top residential installers in the United States. Its business is split evenly evenly into residential and commercial segments and employs more than 100 people. Namasté has added 40 employees in the past three years. Co-Founder, President and CEO Blake Jones says he and his two friends started the business in 2004 based on several key values, including:
• Giving employees input on all company decisions (based on a one-employee, one-vote basis);
• Having a flat, egalitarian salary structure and
complete transparency (everyone knows how much their colleagues make, and it employs a 4:1 cap in salaries, meaning Jones can’t make more than four times what his lowest paid employee makes); and
• Giving back to the community (Namasté gives 20% of its after-tax profits to local non-profits).
“These are values my partners and I wanted to instill in the company,” Jones says. “Those values were important then, and they’re just as important to us now.” Namasté’s growth has been partially fueled by Colorado’s renewable energy standard (RES), which includes a mandate for 30% renewable energy in the state by 2020, with a 3% carve-out for residential installations. It has resulted in between 11,000 and 15,000 solar installations in the state, of which Namasté has done more than 2,000 (that’s between 13% and 18% of the total). Within Colorado, Namasté only does residential installations, but it works in all 50 states on commercial business, either as the installer of record or as a consultant to projects. “Wherever there is work,” Jones says. There is a looming challenge for the state’s industry, however, regarding its RES. “As is happening in a lot of states, Colorado is reaching its RES far ahead of schedule, and the industry doesn’t know what will happen once that 30% level is reached,” Blake says. “The industry is going to put forward a legislative fix to raise the standard. We’ve done it successfully before, and we expect to do it successfully again.” SPW
For the full interview with Blake Jones of Namasté Solar, go to www.solarpowerworldonline.com/ contractorscorner to hear the podcast.
Namasté Solar Vital Statistics:
3-year growth:..................80% (in employees) Employees:.....................100 Founded:.........................2004 Website: www.namastesolar.com
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12/10/12 9:18 PM
SolarBridge 12-12.indd 1
12/6/12 12:16 PM
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