What do I have to know before buying and owning

a solar photo-voltaic (pv) system

This is a free chapter from the solar energy book:

How to choose the bestsolar system and financing offer

for you- part 1 -

general information and residential solar

Available now on Amazon: http://www.amazon.com/dp/B00HP8J8NU

This is THE solar energy book for anyone who uses electricity. It explains solar from the

perspective of an everyday user. It is a step by step guide showing people how solar is beneficial for

them.

Reviews from Amazon:

“ Easy to understand and in details with purpose. ”

Marilyn

“ This book contains exactly what I always wanted to know about solar, how I can benefit from the

idea and it actually made me feel smart because I finally GET IT! ”

Cristina

“ I feel better equipped to make an educated decision about my energy needs in the future. ”

Genie100

Copyright and TrademarksThis publication is Copyright 2014 by Michael Bacia, Hi Energy People. All rights reserved. No part of this book may be reproduced or transferred in any form without thewritten permission of the author.

Disclaimer and Legal NoticeThis book is for educational and informational purposes only. It is not an offer or recommendationof any kind. This book is not legal or accounting advice and should not be interpreted in thatmanner. The accuracy and completeness of information provided herein and opinions stated hereinare not guaranteed or warranted to produce any particular results. The advice and strategies may notbe suitable for every individual and every location. The author shall not be liable for any lossincurred as a consequence of the use and application, directly or indirectly, of any informationpresented in this work.

For recommendations and advice on energy systems and financing please contact Hi Energy People or the author.

Table of Content

About the authorWhat do I have to know before buying and owning a pv system Permitting/licensing Engineering Financing – 3 aspects of financing to focus on: ProcurementInstallation and commissioningOperatingThe Entire Solar Energy Book

About the author Michael Bacia

Michael is the founder of Hi Energy People, an energy project management and project finance

consultancy with extensive experience in distributed generation solar energy and big industrial,

utility scale projects. More information: http://www.hienergypeople.com/

Michael can be contacted via email: michael@hienergypeople.com

What do I have to know before buying and owning a pv system Installing a solar pv system is a multistage process that involves a number of intertwined activities.

The system you install has to be properly engineered, grid connected (if it's an on-grid system), and

installed in a way that guarantees its performance for the longest period of time possible.

The activities involved can be grouped into the following stages: permitting/licensing, engineering,

financing, procurement, installation/commissioning and finally, operating. You don't have to deal

with all of the aspects of the project development by yourself. There are solar companies that offer

turn-key services and are willing to help you through any and all stages of the process. Here are the

key issues to focus:

Permitting/licensing Depending on local regulations, the required permits may include: building permits, grid connection

permits, a grid connection agreement, a PPA with the utility company to deliver excess solar energy

to the grid, and a license for energy generation. It is important to know who is responsible for

getting the permits and licenses – you or the solar company you hire? You should also be aware of

any formalities that need to be fulfilled and any time frames for those activities.

Engineering At the end of the day, what ultimately matters to you is how much energy the system will generate.

This should be determined during the engineering phase and then verified. The amount of energy

generated by each system is different. For example, the tilt of the panels affects whether more or

less energy is generated and how much space is needed for the installation. The system can be

optimized to generate more energy in total, throughout the year or to produce more in the summer

or in the winter. It can be optimized to generate more during the morning or the evening, and if

required, a specific power consumption requirement.

The more efficient the panels, the more they allow for generation of energy within the same surface.

There are 200Wp panels and 325W panels available on the market. The same space can yield 60%+

more energy then. More efficient panels are usually more expensive, so this trade-off between

energy production and installation costs has to be taken into account.

Make sure the engineering documents you receive are stamped by appropriate, qualified people,

such as professional engineer, and can be included into the permit application. Please remember the

same thing with electric installation. Make sure the design meets all standards required by the

energy company and the relevant building code.

Financing – 3 aspects of financing to focus on: (1) What is the payment schedule you have with the solar company that engineers and installs your

system? In general, payments should reflect the progress made with the project. Payments should be

made upon completion of clearly defined results, milestones, such as the completion of engineering,

obtaining all necessary permits, delivery of equipment to site, installation, commissioning, etc.

Paperwork is very important. Without the right document, no one will pay you for the energy. Make

sure final payment is directly related with commissioning and with the utility company, or other

relevant authority, accepting the installation and written confirmation that it will pay you money for

the energy generated.

(2) If you are financing your system with a loan check, what requirements that have to be fulfilled

in order for the bank to release the milestone payments? Make sure the solar company you work

with knows these conditions and accepts them. Also, check for your payment start date and

payment schedule. Check to see if payments will be covered by savings you make on your energy

bill. Finally, what are the options and costs of early payoff of your loan, or if you sell the property.

(3) Make sure you know about any and all solar incentives available to you. Ask your local solar

companies> They will know which programs are currently available. Make sure you understand and

know how to provide all required paperwork to be eligible for grants, tax credits, an FIT or a net-

metering scheme.

Sometimes, when there is a public support program for solar systems, there is a list of equipment

that is eligible. Not all systems can receive it. This recently happened in Malta. In order to receive a

grant for solar installation, the system had to be installed by an authorized company (a government

agency) and only authorized equipment could be used.

ProcurementSourcing the right equipment is crucial for a system's efficiency and reliability. How can you tell

the difference between good or bad pv system components? They might look the same, but it's all in

the data sheet! Here is list of things you should check - within the data sheets of specific pieces of

equipment - before buying a solar pv system:

(1) Panels

• What is the panel's efficiency? What is the peak capacity of the panel, meaning, what is the

maximum power the panel can generate, in watts [W]? The higher the peak capacity, the

higher the quality.

• What is the performance guarantee of the panel? In a performance guarantee, the

manufacturer states how many years a panel will efficiently generate energy. It also states

what the performance of a panel will be as a percentage of initial output. For example, the

performance guarantee might be 25 years at 80%. That means a 240W panel will still

generate 192W after 25 years.

• What is the product warranty (against workmanship and material defects)?

• Is there an insurance policy for the product performance and warranty? The insurance policy

should cover the entire period of the warranty and performance guarantee. It is extra security

for you because you are then covered even if the manufacturer is no longer able to fulfill its

obligations.

• Are the panels tested against weather conditions? The data sheet should include information

regarding the profile of the panel - anodized aluminum for example, makes panels resistant

to salty mist. It will also contain information regarding whether it was tested against hail and

if it has passed a mechanical load test.

• Are all modules individually tested for actual efficiency and energy generation?

• Do panels meet the requirements as stated in the EN IEC standards for solar panels and

safety standards?

• Are the panels design to deal with partial shadowing?

• What is the current condition and experience of the manufacturing company?

(2) Inverter

• What is the conversion efficiency of an inverter? Higher efficiency means more electricity

can be effectively utilized. High quality inverters have efficiency of 98%.

• What is the warranty? Is there a warranty extension option?

• Is there a single inverter for a number of panels or a number of micro-inverters for each

pane? Micro inverters are, in general, considered a better option for small sized installations

such as houses.

(3) Mounting system

• What is the mounting structure made of (preferably aluminum)?

• What is the weight of the structure (this may be very important, as with steel roof deck)?

• Does the mounting structure require roof perforation?

(4) Monitoring system

• Is monitoring offered with a system?

• Is it on-line?

• Does it provide remote (internet) access?

• Can it provide automated notification of events?

(5) DC cabling

• Is the cable dedicated to solar systems?

• Is it designed for outdoor use? How many years?

• What is the breakdown voltage?

• What are the energy losses of the cable?

Installation and commissioningInstallation of a well prepared solar project should be fast and easy. Still, pay attention to who has

responsibility for the installation site and the ownership transfer. For example, who takes

responsibility for the project during the installation? Who is responsible for the materials and

equipment when they are on site but not yet installed? When are ownership and any related risks of

the system transferred to you? Before or after commissioning? Does the installation company have

a construction risk insurance policy?

OperatingAfter successful commissioning, there are still several thing that require your interaction with your

chosen solar company related to operating your new system. Key aspects include: warranty - what

does the warranty cover, for how long? What is the warranty for the electric works, cabling? What

is the guaranteed reaction time for your warranty claim? Is there a local warehouse with

replacement equipment available?

Does the company offer monitoring and maintenance services? Are those obligatory in order to

keep the warranty?

The Entire Solar Energy BookIf you are still reading, you might like the full version of this book. It covers the entire process of going solar, step by step. It explains why solar is good for your money, what size system you need, how to finance it, what is kWp, PPA and crowd-funding.

The book is available now on Amazon: http://www.amazon.com/dp/B00HP8J8NU at the price equivalent of only two or three large cappuccinos from the famous coffee company with the green logo.

Here is the Table of Contents from the full book:

• Acknowledgment

• Foreword by the author Michael Bacia

• Introduction

• What kind of solar are we talking about?

• Purpose

• Where can this book can be used?

• Who can benefit?

• What you should know to go solar

• The green revolution

• Why is everybody so excited about solar?

• The revolution is here

• Distributed Generation + Solar = GAME CHANGER

• How will the future of energy look?

• OK, everyone will have solar. So what?

• Sounds very nice and kinda Star Trek but it's too expensive... isn't it?

• Are there any disadvantages of solar?

• What about downsides?

• Affordable vs. Cheap

• Assets vs. Liabilities

• Are there better technologies than solar?

• How solar can work in the real word

• Energy is crucial

• A case study

• Malta

• Current energy situation

• Solar resources

• Assumptions

• New pv systems

• Financing Malta

• Benefits

• How solar can work for you

• How much do you really spend on energy?

• Converting liabilities into assets

• What is the best time to go solar? Should I wait for the solar prices to go down?

• OK, You convinced me. But what are my financing options?

• Traditional financing

• Project finance

• Renting out your rooftop or land

• Joint-venture

• Crowd-funding and peer-to-peer financing

• How can you tell if solar makes sense for you?

• Solar incentives

• Solar grants

• Generation support

• How much solar do you need?

• Annual energy production

• How much space do you need? .

• How much your space is worth?

• Which financing offer is best for you?

• How to calculate a rate of return on a solar system with a PPA?

• How to calculate the the rate of return for a solar system bought with cash?

• How to calculate a rate of return on a solar system financed with loan?

• Comparing the financing options

• What do I have to know before entering into a PPA

• What do I have to know before buying and owning a pv system

• Permitting/licensing

• Engineering

• Financing – 3 aspects of financing to focus on:

• Procurement

• Installation and commissioning

• Operating

• How to pick a company to work with

• Going solar step by step