Greening Your World…

Getting Real Return:The CCSE’s Experience

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Getting Real Return: Hard-Won Lessons

1. Get experienced & independent help

2. Look at the whole picture

3. Monitor project performance

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Case Study #1: Get Help!Background• Customer installed 250 kW PV system in

2005 when incentives covered ~50% of project cost

• Customer perceived that system had high value

• Customer released an RFP for second 500-1000kW system

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Case Study #1 Outcome

• Hired mid-bid, CCSE determined:• Maximum avoided cost for new system was

$0.09/kWh• Found $12,000/yr savings by switching tariffs w/o

solar

• Bid was cancelled due to results of assessment

• Customer avoided a 20 year commitment with no return on investment

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Case Study #2: Look at the whole picture• Commercial developer wanted “fast track”

permit requiring 33 LEED points (Silver)

• Targeted 30% on-site generation for LEED points

• Budgeted for a large Solar PV System combined with a microturbine

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Case Study #2: Outcome

• CCSE engineers ran simulations on the planned facility and determined that:

• The proposed system was sub-optimal• A smaller solar PV system in addition to a fuel cell

would:• Save $1,000,000 upfront• Save $80,000 per year in utility costs• Provide an additional eight LEED points

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Case Study #3 – Monitor PerformanceBackground• Customer installed PV system based on

positive feasibility assessment, using report results as bid scope

• Developer misinterpreted report and system was oversized for customer load

• Customer experienced increase in utility costs and negative project economics

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Case Study #3 Outcome

• Hired for post-project assessment, CCSE determined:• Vendor installed a system larger than maximum specified

in bid• System would produce excess for first five years of its life

• Client was able to convince vendor of their error and, with legal counsel, renegotiated the contract for a favorable outcome

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Questions?

Peter HamiltonDirector of Energy ServiceCalifornia Center for Sustainable

Energy(858) 634-4738Peter.Hamilton@energycenter.org