clean energy fund incentives guilford energy forum
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Clean Energy Fund Incentives Guilford Energy Forum. Dave Ljungquist Associate Director, Project Development October 22, 2009. Connecticut Clean Energy Fund. Created in 1998, launched in 2000 Funded by a surcharge on electric utility bills - PowerPoint PPT PresentationTRANSCRIPT
Clean Energy Fund Incentives
Guilford Energy Forum
Dave Ljungquist
Associate Director, Project Development
October 22, 2009
Connecticut Clean Energy Fund
Created in 1998, launched in 2000
Funded by a surcharge on electric utility bills
Mission: The CCEF promotes, develops and
invests in clean energy sources for the benefit of
Connecticut ratepayers
Vision: Connecticut will lead the nation in
achieving a sustainable balance of energy
production, economic growth and environmental
impact
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Funding Sources
Historical funding from surcharge on UI and CL&P electric
bill - ~$30M/year
Some additional funding from sale of Renewable Energy
Credits (RECs) and foundation grants
New: Regional Greenhouse Gas Initiative (RGGI) – ~$3M/first 3 quarterly auctions
May be used for Class I Renewables only
New: American Recovery and Reinvestment Act (ARRA) – $20M
May be used statewide (i.e., not just UI and CL&P)
Funding directed by Governor’s office to specific technologies
3
ARRA Breakdown for CCEF
$8M – Fuel Cells - existing program
$3M – Solar PV – to be divided among existing commercial
& residential programs Backlog of commercial applications will likely exhaust funding
$4M – Solar Thermal – new program to be developed for
commercial & residential customers Launched in October
$5M – Geothermal Ground Source Heat Pumps – new
program to be developed for commercial & residential
customers Likely to be launched in December
Incentives may be combined with CEEF program
3
CCEF Fuel Cell Programs – Commercial, Industrial & Institutional
16 kw
Solar Hot Water Collectors
Solar Photovoltaic Panels
UTC PC25 200 kW
FuelCell Energy DFC 300 kW
CCEF Fuel Cell Programs
On-Site Renewable DG Program1
$14M (all commercial, industrial & institutional – CI&I)
Federal: ARRA State Energy Program (SEP)2
$8M (all CI&I)
Program Rules and Incentives same in both cases: Up to $2,500/kW
Capped at $4,000,000
1Open only to CL&P and United Illuminating customers2Open to all Connecticut applicants
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CCEF Solar Energy Programs
Programs for Solar Technologies: Solar Rebate Program (Residential PV only) 1
CT Solar Lease Program (Residential PV only) 1
Federal: ~ ARRA State Energy Program (SEP)2
$3M Solar PV (50:50 residential/commercial)
$4M Solar thermal (50:50 residential/commercial)
1Open only to CL&P and United Illuminating customers2Open to all Connecticut applicants
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Why is Solar Energy Important?
• Oil, coal and uranium reserves ~ 10.5 Million Terawatt-Hours:
• 100 to 150 years of energy remaining at present rates
• 15 to 20 years if world matches US consumption
• The sun transmits 330 Million Terawatt-Hours of energy per year
• Sunpower (average): 120,000 TW
• Earth’s needs: 13 TW
• Today’s solar cells produce about 10 times the energy needed to make them
Solar PV Facts
1839 French Scientist Henri Becquerel
1958 NASA Commercial Application
A High Growth Industry (30% per annum)
USA /CNN / Gallup Poll 91% support clean energy
Works in Connecticut -- Bridgeport has more sunny days than
Miami (!) and gets 84% of its insolation
CCEF Solar Photovoltaic Programs
Solar Rebate Program (Residential PV only)1
$1.6M (homeowner direct purchase)
Federal: ~ ARRA State Energy Program (SEP)2
$1.5M (homeowner direct purchase)
Incentives same in both cases $1.75 for the first 5kW
$1.25 for the next 5kW
Capped at $15,000
The rebates, along with federal tax credits, reduce system cost by
approximately 40 - 45%
1Open only to CL&P and United Illuminating customers2Open to all Connecticut applicants
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Residential Solar PV Rebate
Direct purchase by homeowner
Up to $15,000.00 rebate per household
Up to and including 10 kilowatts on one- to four-family homes
Rebate levels: Systems up to and including 5 kilowatts
Performance-based rebate up to $1.75 per watt (PTC) for system and installation
costs to a maximum of $8,750.00.
Systems greater than 5 kilowatts and up to and including 10 kilowatts Performance-based rebate up to $1.75 per Watt (PTC) for system and installation
costs on the first 5 kW PLUS a performance-based rebate up to $1.25 per watt for
the next 5 kW.
The rebates, along with federal tax credits, reduce system cost by
approximately 40 - 45%
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CT Solar Lease Program - Highlights
First state sponsored residential solar leasing program in
the United States.
CCEF provides solar rebates as well as lease capital.
No down payment is required.
Low monthly payment, fixed for the entire 15 year period.
Monthly payment for a $45,000 system averages
$120/month.
Major eligibility guidelines include:
(1) the homeowners income may not exceed 200% of the median
family income in their area and
(2) the homeowner is a customer of CL&P or UI. The homeowner
must also have good credit.
CT Solar Lease Program (continued)
15-year lease with option to extend for another 5 years at lower
monthly cost, or purchase system outright, or have it removed
For homeowner customers of CL&P and UI who: Install qualifying Solar PV systems
Reside in their 1 to 4 family owner-occupied homes
Have a household income of 200% or less of their area’s median income
Meet the credit and debt to income qualifications of the program
CT Solar Leasing, LLC owns the RECs and sets aside for each
system owner a portion of REC sale proceeds to use for certain
costs
Check it out at: www.ctsolarlease.com
CCEF Solar Thermal Program – Residential and CI&I
16 kw
Solar Hot Water Collectors Solar Photovoltaic Panels
Solar Thermal
Use sunlight to heat domestic hot water
Typical System Components: Solar collectors (flat plate or evacuated tube)
Water tank
Rack, plumbing, valves, pumps, etc.
System Considerations: Demand for DHW (showers, cafeteria)
Building usage (daily, seasonal)
Size to meet 50-80% of DHW needs
CCEF Solar Thermal Program
Federal: ARRA State Energy Program (SEP) $1.8M for residential projects
$1.8M for commercial/industrial/institutional projects
$0.4 for administration
Incentives: Residential and for-profit CI&I -- $500 per MMBtu of October-March system output
Not-for-profit -- $900 per MMBtu of October-March system output
Maximum incentive limits: 1-2 person household - $2,400(capped)
3-4 person household - $3,600(capped)
5-6 person household - $4,800(capped)
CI&I for-profit - $50,000
Not-for-profit and governmental - $82,500
Open to all Connecticut applicants
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Project Eligibility
Installation site must be in Connecticut
Domestic hot water only (Federal rule – no pools, CCEF rule
– no space heating )
Minimum: 50% Solar Fraction based on estimated usage
Target: 70% Solar Fraction
Maximum: 80% Solar Fraction (unless specifically designed
for no excess heat production in summer)
Roof must have 15+ years of life left, if roof-mounted
All designs over 30 MMBtu/year must be stamped by P.E.
(unless SRCC OG300 design)
CCEF Ground Source Heat Pump Program – Residential and CI&I
16 kw
Solar Hot Water Collectors Residential Dual-Unit System
Commercial System
CCEF Ground Source Heat Pump Program
Federal: ARRA State Energy Program (SEP) $2.25M for residential projects
$2.25M for commercial/industrial/institutional projects
$0.5 for administration
Incentives: Residential (new construction) -- $1,200 per ton of air-conditioning capacity
Residential (retrofits of existing building) -- $2,000 per ton
CI&I for-profit -- $1,200 per ton
CI&I not-for-profit -- $2,000 per ton
Maximum incentive limits: Residential – 6 tons
CI&I – 100 tons
Open to all Connecticut applicants
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Up to $4,000,000 in incentives Projects up to 2,000 kilowatts
Up to $3.60 per Watt (most are much lower)
Incented size limited to site’s peak demand Pays 20-50% of total system cost Benefits:
Stabilize a portion of electric bill
Reduce greenhouse gas emissions
Can provide emergency power w/ battery backup
Limitations: Generation is unpredictable and variable
Must have adequate wind resource (12 mph average)
Zoning restrictions may prevent siting
Wind resources in CT are limited (fair on coastline and
some ridgelines)
CCEF OSDG Program – Wind
NorthWind 100 kW Wind Turbine
The Application Process
Non-competitive (first come, first served)
Information and application forms are on-line
Process steps include: Application evaluation by staff
Calculation of the incentive amount
Approval of the incentive (staff or CCEF Board)
Notification of incentive award
Verification of successful installation
Payment of incentive!
See our website!! www.ctcleanenergy.com
Visit us onlinewww.ctcleanenergy.com
200 Corporate Place, 3rd FloorRocky Hill, CT 06067
(860) 563-0015
Dave LjungquistRick Ross
Angela Perondi-PitelBill Colonis
Christin Cifaldi