Tuesday, March 23, 2010

Sunsational tour

If you're unsure about committing to solar and want to hear from families who've made the commitment, check out the latest sales trend -- the solar open house.

The solar open house is not a home for sale, but rather, a home where the owner showcases energy-efficient features, whether it be a solar water heater or solar photovoltaic (PV) system, to the public.

Companies such as RevoluSun and Sunetric hold the solar open homes every weekend throughout Oahu, with signs pointing the way to the address, just like traditional open houses. Clients volunteer to hold the open house.

It's a way to reach out to potential customers, who can get first-hand information from other clients, according to RevoluSun principal Eric Carlson.

Susan Chandler, a professor and director of the Public Policy Center at the University of Hawaii, has volunteered her home for a solar open house.

In October, Chandler decided to invest $13,000 in a 1.35-kilowatt solar PV system on the rooftop of her 1970s St. Louis Heights home, which has a sweeping view of Diamond Head and Waikiki. It was an additional investment to the solar water heating system she already had in place on top of the garage for the last 15 years.

TAX CREDITS

» Federal: 30 percent for each solar photovoltaic system. Set to expire in 2016.

» State: 35 percent of the cost of equipment and installation of a solar PV system. No set expiration date.

» Hawaii Energy Efficiency Program's solar water heater rebate: $750. For more info:www.hawaiienergy.com

» Find your sun zone:hsblinks.com/241

GREEN LOANS

» Available from UH Federal Credit Union:www.uhfcu.com

REVOLUSUN SOLAR OPEN HOUSE

» Place: 1002 Paako St., Kailua

» When: 11 a.m. to 5 p.m. Saturday

» Information: www.revolusun.com

SUNETRIC SOLAR OPEN HOUSE

» Place: 1407 Aalapapa Drive, Lanikai

» When: 11 a.m. to 4 p.m. Saturday

SUNETRIC 100TH OPEN HOUSE CELEBRATION

» Place: Park at 792 Mokapu Blvd., Kailua

» When: 11 a.m. to 3 p.m. April 10

» Specials: Lunch, giveaways, Watt Wheels

» Information: www.sunetric.com

The total cost, when 65 percent of the system's cost are refunded via federal and state tax credits, will be about $4,200.

Six solar PV panels (that convert sunlight to energy) power her five-bedroom home, which sits in the second-highest sun zone level on the island. It's about half of what would be needed to supply all of the home's electricity needs, but Chandler decided to start with six, with the possibility of adding on later.

The solar panels generate an average of about 6.5 kilowatt hours per day. Her electricity bill dropped to $30 a month from about $130.

"It's been fabulous," said Chandler, whose neighbor across the street also decided to install a solar PV system.

Every day, she checks a Web site or the small monitor installed in her home office that tells her exactly how much solar energy has been generated that day.

On the day the Star-Bulletin visited, the system had generated 3.8 kilowatt hours up to that afternoon. Since its installation, the system had generated 912 kilowatt hours and spared 1,551 pounds of carbon emissions from the planet.

"There are several reasons to do this, not just the savings," she said. "Hawaii is so energy dependent when it should be more self-sufficient. Why not take advantage of solar energy when this massive amount of sunlight comes in year-round?"

THE SOLAR PV system has several components -- the panels; an inverter, which converts direct current (DC) power to alternating current (AC) power; mounting equipment; and a connection to the Hawaiian Electric Co. grid.

Storage batteries are optional, but few homes have installed them.

RevoluSun works with each client to discuss the size of their system, which will depend on household energy usage, slope of the roof and sun power zone.

In Kailua's Enchanted Lake neighborhood, Cliff Smith recently held a solar open house in his three-bedroom house, which features a solar attic fan, solar water heater and a 2.76-kilowatt solar PV system.

Smith recently had RevoluSun install the solar PV system on the rooftop over his upper-floor lanai. Already, he'd had a solar water heater, solar attic fan and insulation in his roof to conserve energy.

The total cost for the system was about $23,000, but with federal and state tax rebates, his final bill would amount to about $8,300.

The solar PV system is enough to power Smith's entire home, as well as produce excess electricity. His average electricity bill went from about $70 to $20. Through net metering, Smith receives credit when his system produces more power than the home uses.

The best-case scenario is when it goes down to the basic fee of $18.07 per month, which is HECO's minimum charge for anyone on its grid.

"To me, it's a no-brainer," said Smith, a semi-retired botany professor who defines himself as a conservationist. "It also cuts down the oil being consumed. This country has become so dependent on foreign countries for oil."

Yet Smith said he expects electricity and fuel costs to keep going up in the future. By installing the solar PV system, he said he'll be able to control those costs for the next 25 years, the length of the solar system's warranty.

With savings from his electric bill, Smith says he's going to buy an electric car.

ALTHOUGH INTEREST in solar-powered homes is growing, only 1 percent of homes on Oahu are estimated to have a solar PV system, according to Mark Duda, president of the Hawaii Solar Energy Association.

Approximately one in four homes, or 25 percent, have a solar water heater installed.

One of the hurdles for most homeowners is the upfront cost. Compared to the average cost of a solar water heater, which can cost up to $6,250 before tax credit and rebates, the average cost of a solar PV system can range from $25,000 to $50,000 or more.

Scanning the Enchanted Lake neighborhood from above, Carlson pointed out how few solar PV systems can be spotted on homes' rooftops.

And right now, Carlson said, "it's easier to get money for a car loan."

But as the industry matures, Carlson believes more financial tools will become available for solar investments. Homes on the leeward side, such as Makakilo, which is in the highest sun zone, would benefit the most from the technology, he said.

Some financial institutions, including the University of Hawaii Credit Union, now offer a "green loan" for energy efficient investments, including solar water and solar PV systems.

The Blue Planet Foundation is advocating for a new program called PACE, which stands for Property Assessed Clean Energy, which would make bond financing available to homeowners who repay it over time through property tax bills. PACE programs have been launched in California cities, including Berkeley, Sonoma and San Francisco.

A solar PV system takes six to eight years to pay for itself, depending on factors such as size, geographic location and household energy use, Carlson said.

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