When it comes to solar power, few places offer so much potential as Maui. While there are sunny spots and advantageous conditions all over the Hawaiian Islands, Maui has two main facets that help it to stand out as an excellent venue for solar power—the economics of power generation and tropical weather.

Environmentally, Maui is an exceptional location for a new solar installation. The National Weather Service indicates that the amount of possible daily sunlight on Maui never falls below 60%. The predictability of weather patterns is also a major factor in determining the cost effectiveness of a solar installation. The local microclimates generated in the leeward and windward parts of the island are highly regular, presenting a potential for localized showers which then disperse and give way to sun.

The benefits of Maui’s predictable and regularly sunny climate are obvious to anyone acquainted with the island, but something else truly makes Maui stand out as a prime candidate for a solar power conversion—the high price of conventional utilities.

It’s already common knowledge that electricity prices in Hawaii are higher than anywhere else in the United States. There are a few reasons for this. First, the electrical systems on the islands are independent rather than interdependent. On the mainland, when more electricity is needed, or when something goes wrong with the transmission infrastructure, there is a backup. More electricity can be diverted from a neighboring grid, or an alternative transmission route can be found through additional lines. On the islands, however, there are no neighboring companies to draw emergency power from, and so backup generation and transmission capacity has to be built into the system. This adds additional cost to the utility and therefore the customer.

The means of electrical production in Hawaii are also intrinsically more expensive than on the mainland. On the mainland, inexpensive fuels such as coal, natural gas, or even nuclear are used in electrical generation. On the islands, however, the primary fuel for electrical generation is oil. This is oil which must be imported by sea, and oil which is subject to the wild fluctuations in price due to speculation and global demand. 

As I write this, the cost in cents per kilowatt-hour for a residential customer of MECO (Maui County) ranges between 25.55 on Maui and 32.60 on Lanai. (Current rates can be found on heco.com, or in the PDF publication available here.)

And so what does this have to do with making Maui an excellent island for solar? Basically, with prices in excess of those paid by utility customers on neighboring islands, a solar installation will pay for itself on Maui more quickly. No matter what the financing plan for the solar installation is, a higher utility rate will result in a faster payoff—not to mention the fact that a solar installation will mitigate the wild upward swings of global oil prices in the future. The higher oil prices go, the faster the solar installation will pay for itself.

Maui is an island brimming with opportunity when it comes to solar power. The weather, the economics, and the feeling of independence that comes from generating your own power are all benefits that should be taken into consideration when developing a plan for a new solar installation.

The state of Hawaii Tax Department late last week updated its tax guidance published earlier this month in an effort to clarify how state tax credits of up to $5,000 per solar system may be used by consumers. Sunetric executives, Department of Taxation and the Hawaii Solar Energy Association (HSEA) had been discussing the issue after language in the new tax guidance seemed to possibly contradict language in the previous tax guidance.

The new Tax Information Release (TIR) issued last Monday provides the clarity Sunetric and our customers were looking for. It is now very clear that we can operate as we have in the past, providing the most efficient and economical system design for our customers while continuing to remain in strict compliance with tax laws. Click here to view the amended TIR, which provides additional guidance and clear examples on the Department of Taxation's interpretation of the term “system” for the purposes of the Renewable Energy Technologies Income Tax Credit.

The clarity gained in the revised TIR is another positive, progressive step towards a sustainable future for Hawaii.  The insights and efforts necessary to reach this result, from both the Hawaii solar industry and the Department of Taxation, should be applauded. Read HSEA's response here.

Please feel free to contact Sunetric with any questions or for further clarification of this new ruling.

Sunetric’s flagship product is SunPower, manufacturer of the most powerful solar panels, or modules, in the world.

SunPower proudly boasts the highest quality construction of any manufacturer. As you can expect, high quality = long life. Solar panel manufacturing warranties typically range from 2-5 years. SunPower panels come with a standard 10-year manufacturer warranty, which is the best in the business. 

Check out this video from Buildaroo.com, featuring a SunPower representative explaining the benefits of SunPower solar panels:



Earlier this month, SunPower announced it has made upgrades to its SunPower® Monitoring System that allows SunPower dealers, like Sunetric, to remotely monitor the performance of our customers’ high-efficiency solar power systems. The remote monitoring feature allows for rapid troubleshooting of system performance issues, helping to reduce maintenance costs and provide improved customer service.

For system owners, the SunPower Monitoring System offers three easy ways to access information about the energy generated by their SunPower solar systems, including the industry's first monitoring application for the Apple iPhone™ and iPod touch® mobile devices.

Along with the iPhone and iPod touch application, the SunPower Monitoring System offers homeowners the ability to monitor SunPower solar systems with a wireless, in-home wall-mounted LCD display that provides power production and cumulative energy information in near real time. The monitoring system also provides the convenience of Internet access to a solar system's performance from virtually anywhere. Customers can view a system's energy performance and environmental savings on an hourly, monthly and annual basis.

The iPhone and iPod touch application is available from the Apple App Store at http://itunes.apple.com/app/sunpower-monitoring-solar/id310746853?mt=8 at no charge and is available to new and existing customers of SunPower solar systems with monitoring capabilities. Prospective customers can download a demonstration feature with an overview of how the application works.

Sunetric proudly provides a full range of SunPower products for Hawaii customers. Contact a Sunetric Energy Consultant today to learn more about the SunPower advantage.

In researching the world of renewable energy production, you may have come across the term “PPA”. This is an important concept when it comes to financing new green energy projects in Hawaii, and is of particular importance to those debating the cost-effectiveness of a large solar installation. A PPA is a “power purchase agreement” and can be used to reduce the monthly cost of electricity for commercial and in some cases individual customers. But what is it? And more importantly, how can you use a PPA to make a new solar installation cost effective?

Simply put, a PPA is an agreement between a power producer and a power buyer. This agreement can be between a large utility and a major power producing facility, or between a small-scale power producer and an individual buyer.

Decades ago, PPAs started as arrangements between big utilities and major industrial customers like steel manufacturers or aluminum smelters. This was because the production of those things requires a huge amount of electricity, and so companies found it cheaper to build their own power plants than to buy electricity from the grid. Once those power plants were up and running, they made more electricity than the steel mill or smelter could use, and the excess was sold back to the utility for a profit. Over time, the profit paid for the construction of the power plant.

This is still the case in certain industrial agreements. The buyer of the power being produced is the utility company. Many large-scale power production facilities such as coal, nuclear, or solar farms are financed by outside investors and the power is sold back to the utility.

But PPAs are not limited to only large corporate entities and the utility. In smaller power purchase agreements, the same concept applies, but the power producer may be a small investment company utilizing something as compact as one or several rooftop and/or ground-mount solar installations. The buyer may be a company, a nonprofit, or even an individual power consumer.

The main way in which PPAs are used in the solar power industry today are as a financing method for large installations. The basic structure for financing a solar installation with a PPA involves the installation of a solar power system on the customer’s property (host) zero out of pocket cost to the customer. (the large nature of the installation favors the expanse of a commercial rooftop or parking lot, but there is always room for creativity when designing an installation). The customer then agrees to buy the electricity which is produced and sold at a discount rate over the span of 20 to 25 years, thereby insulating the customer from rising energy costs and paying back the initial investors who financed the installation in the first place. In short, the customer/host benefit is: zero out of pocket for investment and discount priced energy. (this is consider a hedge on the rising price of energy and smooth’s or eliminates the volatility risk in the price of energy)

In a recent real-life example, Sunetric Capital joined with the Lighthouse Outreach Church in a power purchase agreement. A solar array was installed on top of the church at Sunetric's expense, and the electricity which is now being produced will be sold back to the church at a rate which is (and will continue to be) considerably lower than HECO. Current tax laws make this an even more attractive arrangement, because as a nonprofit, Lighthouse Outreach was unable to take advantage of the current tax incentives for installing renewable energy systems. As a for-profit company, Sunetric Capital can take advantage of those incentives and pass the savings along to the church.

A PPA is only one of many options for financing solar installations, but it has some distinct benefits that should be considered when considering a renewable energy project.

In April, we provided a list of ten questions every prospective solar system shopper should ask of PV contractors. Below are the answers to those questions along with some helpful advice from Sunetric Energy Consultants.

1. Do you have a contractor’s license?
   Any solar company that claims the ability to do more than simply sell you a solar system should be able to provide you with their contractor license number. Sunetric's contractor license number is HI LIC # C26505.
2. Does the company also hold a C-13 (Electrical Contractors) license? 
   Among other license classifications, Sunetric has holds a C-13 Electrical Contractor's license. This means that our employees are licensed to install solar photovoltaic systems. Many companies in Hawaii hold a C-61 license, but this only allows for the legal installation of solar hot water systems. Sunetric is proud to be one of only a few companies in Hawaii to hold a C-13 Electrical Contractor's license.
3. Does your company sub-contract out work to a C-13 license holder?
   While most of the solar companies on the islands require the use of sub-contractors to perform the design and installation of the systems that they sell, Sunetric takes pride in being one of few fully integrated solar companies in Hawaii with over 80 employees who are experts in their respective fields. As such, we are able to provide our customers with incredibly efficient turnarounds on installations, as well as unparalleled maintenance and support.
4. Who provides the warranty on the system?
   At Sunetric, all of our experts are in-house. Meaning, if any warranty issues arise we are the go-to resource, there is no confusion. Alternatively, if you choose a company that contracts out others for design and installation, as your system ages you will be dealing with multiple companies under varying obligations and circumstances.
   
   Unfortunately, with this second scenario, responsibilities can become clouded (or avoided) and the issue you’re attempting to resolve may end up falling through the cracks in the process.
   
   Ideally, it is best to purchase a photovoltaic system from an experienced company that not only acts as a salesman or broker, but one that also designs, installs and guaranties the warranty themselves. And, at an absolute minimum, your PV contractor and their sub-contractors should have survived at least one full warranty cycle to prove that they’ll be there after the sale if you need them.
5. How many PV systems has your company sold/installed (excluding solar hot water systems)?
   You can tell a lot about a PV contractor with this question. A very important consideration of your purchase should be the level of experience that your vendor has in the marketplace. The greater the number of installations and the greater the variety of projects, coupled with the least amount of complaints, the greater the trust is that the company deserves.
6. Can I get references from a few of your past customers? In addition, are you registered with the Department of Commerce & Consumer Affairs (DCCA), the Better Business Bureau and the Professional and Licensing Division of the DCCA? Has anyone filed complaints against you with these entities?
   These credentials should be basic requirements for any PV contractor that you decide to work with. These consumer organizations are looking out for your best interests, and any company that is not aligned with these organizations is not worthy of your consideration.
7. What is the contractor’s warranty on labor?
   Sunetric offers a five year warranty on all workmanship that is performed on all of our installations. Be sure that whomever you work with for the installation of your PV system, at the very least, provides the state’s minimum one year of protection.
8. Can you provide me with cost broken down into both DC and AC Watts?
   The technical aspects of this question can be confusing, but it is very important to at least understand the basics. Start with your electric bill - the kilowatt hours you are charged for are based on AC Watts (the alternating current available at your household outlets). PV panels convert solar energy into DC Watts. To convert that DC power from the panels to AC power at your outlets, a PV system utilizes a power inverter (or multiple micro-inverters in series). When this conversion happens, there is always some power loss, generally around 20%. This power loss is why it is vital to know both the DC and AC Watts the system is designed to produce – because if you are told the specified system is designed to offset your entire electric bill, and you only see DC Watts, you may be left with 20% or more of your bill left to pay every month!
9. Can you provide me with an equipment list, breaking out the cost of labor from the cost of materials?
   As you are cross-shopping PV contractors, huge disparities in the cost portion should be red flags to ask further information about what exactly you are getting for your money. This allows for the ability to compare not only price, but the actual value that is being delivered by the company that is proposing a given PV configuration to you. For the simple fact that the overhead is required by a company to ensure you receive excellent customer service, superior-grade components & hardware, and complete warranty assurance are costs that a high-quality organization must absorb. A very low price that you find within an otherwise similar group of bids can be an indicator that you are purchasing either inferior products or inferior support. 
10. What formula do you use to calculate in kWh (kilowatt hours) the production of the PV system?
    Example.
    
    John has a 3kW system. He lives in a 500 zone, which has 5.81 sunhours. 3kW x 5.81 hours x 77% efficiency at the inverter  = 13.42 kilowatt hours (kWh)! Easy!
    
    So, at the end of the day. If you want kWh's, multiply DC kW by the appropriate sun hours, then multiply the result  by 0.77.
    
    Here's a Conversion of SunZone to Sunhours:
    500 -> 5.81 Hours (Yearly Average)
    450 -> 5.23 Hours (Yearly Average)
    400 -> 4.65 Hours (Yearly Average)
    350 -> 4.06 Hours (Yearly Average)
    300 -> 3.49 Hours (Yearly Average)

One of our favorite products to talk about with customers is the Enphase Microinverter. 

Solar power production is affected by various factors such as module mis-match, obstruction shading, inter-row shading, and obstacles such as dust or debris. In addition, non-uniform changes in temperature, irradiance, and shading create complex current-voltage curves, further affecting energy harvest. This is due to the fact that in traditional solar systems the performance of the entire system is dictated by the performance of the weakest module.



The Enphase Energy Microinverter System solves solar power challenges by performing Maximum Power Point Tracking (MPPT) at each solar module. MPPT is an algorithm used to calculate and respond to temperature and light changes detected on a solar power system, and to determine how much power to draw from the module. In contrast, centralized inverter’s MPPT algorithm sees the entire solar power system as a single module, and responds to the lowest production numbers it detects.

The microinverter shifts DC to AC conversion from a large, centralized inverter to a compact unit attached directly to each solar module in a power system. Distributing the conversion process to each module makes the entire solar power system more productive, reliable, and smarter than traditional inverter systems. This microinverter contributes 5 to 25 percent more energy harvest compared to systems with traditional inverters. It also means the module is more resilient to dust, debris, shade and module mis-match.

Probably the coolest part of this system is the ability for users to monitor power consumption from any web browser. The Enphase Microinverter works in conjunction with the Envoy communications gateway and the Enlighten website to provide regular monitoring of the system production.

Contact a Sunetric Energy Consultant to find out more about this great technology and how our clients are benefiting from it.

Ever wonder how solar panels are made?

Check out this great Discovery Channel video on the making of solar.

On April 20th, the oil drilling rig Deepwater Horizon exploded in a shower of flame and crude oil. Two days later, the vessel slipped below the waves of the Gulf of Mexico and began to pour the crude from its ruptured pipelines into the sea. As I write this, what was dubbed a “leak” is now a 42,000 gallon-per-day unrestricted flow of toxic oil into America’s most productive and valuable fishery. The oil slick has made landfall in Louisiana, is nearing Mississippi, and will soon come ashore in Alabama and the Panhandle of Florida. It now threatens to become the largest environmental disaster of its kind in the history of the United States.

The Deepwater Horizon took the lives of 11 of its crew and seriously injured 17 more, but the damage and loss will continue as the oil spreads, destroying wildlife, habitat, and crippling the economic welfare of the already fragile Gulf Coast economy, only now recovering from Katrina after 5 years of painstaking labor. For me, and other ocean loving Hawaiians, this is nothing less than a nightmare—a horrific, worst-case scenario for which BP Global and the U.S. Government were completely unprepared.

This disaster comes on the heels of President Obama’s recent announcement of the expansion of offshore drilling along the East Coast. Only two weeks prior to the sinking of the Deepwater Horizon, the President opened new coastal areas to offshore drilling in an attempt to feed this economy’s insatiable hunger for oil. From that announcement to the present, we have seen the way in which such exploratory drilling can cost this country far more than the price of an imported barrel of oil. A short-term solution, with a very short-term decrease in prices of fuel at the pump results in billions upon billions of dollars in cost and losses when just one of these drilling platforms experiences a critical failure.

But this is about more than BP’s failure and the spill in the gulf. April has been a tragic month which has reminded us again and again of the costs of fossil fuels in general—a cost measured in lives and treasure. The month began with the worst coal mining disaster in 40 years. On April 5, Massey Energy’s Big Branch Mine in Montcoal, West Virginia claimed 29 lives. On the 29th of April, Massey Energy lost two more coal miners in a roof collapse in Hyden, Kentucky.

Only 8 months ago, Australia experienced its worst oil drilling disaster with the Montara oil spill off the northern coast of Western Australia. With 1.2 to 9 million gallons of crude spilled, it may pale in comparison to the natural disaster that aces the Gulf, but it continues to illustrate that these events happen all too often.

As I write this, I am listening to a television news interview with the executive director of an environmental group based in Mobile, Alabama. She says that the oyster and shrimp industry may take 20 years to recover. Literally as I write this, the Coast Guard warns that the wellhead may rupture, increasing the flow of the spill to 100,000 barrels per day. This would exceed the volume of the Exxon Valdez disaster of 1989 in less than three days—and would still require weeks to contain, making it worse than Saddam Hussein’s intentional oil well destruction of the 1991 Gulf War. As I write this, families in West Virginia are still mourning the 29 miners who died in the Upper Big Branch mine explosion—miners who gave their lives to feed the economy’s unrelenting hunger for nonrenewable fossil fuels.

With all of these massive events and their impacts - impacts which may change the economic future of whole regions of the United States - it is easy to feel helpless. But there are rational solutions. Solutions which are affordable, safe, and genuinely viable alternatives to this continued reliance on a fuel source that kills, poisons, and now threatens to end a whole way of life on America’s Gulf Coast. The alternative is solar. Clean, green, renewable, solar. With photovoltaic cells made in the United States, it is possible for this country to not only become energy independent, but to become a world-wide leader in renewable energy.

The Deepwater Horizon disaster is tragic, but it has the potential to change the direction of politics in this country for the better. Arnold Schwarzenegger, the governor of California, came out this afternoon with an emotional statement reversing his opinion on drilling off the shore of California. The President has put a hold on the policy announced in the weeks before the disaster, and many Americans finally see that fossil fuels can have an impact which is very real and very close to home.

There is still hope for a future without disasters like these. With solar power, we can move beyond this dangerous, foolish addiction to fossil fuels and make a better world for ourselves and our children.

I know this to be true.

Alex Tiller

CEO, Sunetric