Solar Service,Commercial Solar Energy
Written by Lisa Walsh

Annapolis Restaurant Harry Browne’s Installs Solar Water Heater

Commercial Solar Energy,Solar ServiceSlowly but surely the skyline on Annapolis’ State Circle is starting to change. First, the Governor’s Mansion in 2009 and just this month, the ever-popular Harry Browne’s Restaurant (http://www.harrybrownes.com) has joined the ranks of businesses jumping on the solar bandwagon. Not only an enthusiastic and self-professed carbon footprint reducer, Rusty Romo, Harry Browne’s owner since 1979, is a savvy businessman, “Although I have a vested interest in reducing my carbon footprint, there’s no question that the solid Return on Investment was the final straw in deciding to install a solar water heater.” This viewpoint extends throughout Rusty’s business dealings, particular with regards to his restaurant’s waste production. Prior to January of 2012, annual trash pick up was costing the restaurant around $13,000 per year. That cost has now been reduced to $4000 due to Rusty’s implementation of two recycling solutions: 1) Veterans Composting visits several times per week to pick up all of the restaurant’s food waste turning it into compost for farmers, gardeners and landscapers. 2) A Cardboard baler compresses all of the restaurant’s cardboard, hugely reducing the bulk for taking to a dumpster storage facility where it is pulled and weighed. Harry Browne’s averages at least two tons every twenty eight days. Depending on the market cost, cardboard reclamation pays him from $30 – $100 per ton. Restaurants have a large hot water load, and Harry Browne’s is no exception. The 250-seat restaurant easily consumes the 160 gallons of hot water per day provided by the solar water heating system installed by Millersville based Solar Energy Services, Inc. (solarsaves.net) The system includes two, 30-tube solar collectors, (approved by the Historic Commission), mounted on a flat roof in the back of the restaurant. These panels are joined, via a copper pipe run and pump control unit to two, 80g stone-lined water tanks in the basement. The solar system acts as a pre-heat to Harry Browne’s conventional gas system, offsetting around 50% of his annual hot water load.

ABOUT SOLAR WATER HEATERS and SES, Inc.

Solar water heaters are a time-tested, mature technology that are deployed every day by Solar Energy Services, Inc. (SES) of Millersville (solarsaves.net). In addition to restaurants, apartment buildings, universities, carwashes, detention centers and other government and institutional buildings continue to expand SES’s customer list. Roger Perry, a 35-year solar veteran and partner at Solar Energy Services, Inc., is still servicing solar water heating systems that he installed during the early eighties. Roger notes that “Given current financial incentives, solar water heaters are a no-brainer for any business in MD and DC that has a daily hot water load.”

Commercial Solar Energy Residential Solar Panels
Written by Rick Peters

SRECs in Maryland and DC

What Does the Future Hold?

Commercial Solar Energy, Residential Solar PanelsSolar Renewable Energy Credits (SRECs) have played a large part in the financing of solar energy systems in Maryland since the RPS (Renewable Portfolio Standard) was enacted in 2005. These market-based, tradable credits are the property of the solar system owner to resell, typically to brokers who bundle them for final resale to competitive energy suppliers in the interest of meeting their solar compliance goals. In Maryland (as well as Washington DC), these credits are generated by both solar electric (PV) and solar water heating systems.

The price of SRECs is supposed to reflect the over or under supply of these credits in the marketplace. Both Maryland and DC have very aggressive solar goals (2% by 2020 in MD and 2.5% by 2023 in DC) with steep adoption curves so we need lots of SRECs to meet compliance.

Maryland:

That said, the solar industry boomed for several years recently and we are currently going into an oversupply phase in Maryland. This has the effect of pushing down prices on SRECs in the near term.   There are many contributors to the oversupply and the industry and legislators are frequently working hard to promote policies that help to smooth out the supply, but in the end, SRECs are a market mechanism that is subject to “animal spirits.”

As solar prices decline it is fitting that SREC prices are declining too – after all, we should need less incentives as solar costs come down to “grid parity.” When Maryland’s SREC market was conceived, the designers planned for a declining value as more solar got on to the grid. In fact, the Alternative Compliance Payment (ACP) schedule – the amount energy suppliers have to pay if they cannot buy SRECs – is designed to decrease over time. The ACP is considered to be the maximum that an SREC would cost in a rational market. Recently SRECs have traded on the order of 35% of the ACP, but as high as 75% a few years ago. In Maryland, the ACP is scheduled to drop from $400 to $350 in 2015 and then down to $200 in 2017, $150 in 2019, and so on.

DC

Washington DC is a different market and one that is much better insulated from the shocks of large utility scale systems that flood SRECs onto the market. The sheer geography in DC does not lend itself to 10 MW solar farms and thus the SREC supply curve is a little smoother due to the requirement being fulfilled primarily with many smaller systems. As a result, DC SRECs have shown more consistency and maintained a higher price, benefitting system owners and prospective system owners.

What now?

Regardless of the trends for solar return on investment (ROI), we all want to maximize our incentives for our own benefit. SRECs are no different. While there are many more new solar customers every day, there are also many solar system owners now approaching the end of 3 or 5 year SREC contracts (aka “strips”) and they too need to decide how to proceed going forward. Do I want to sign up for another strip (3 or 5 year term contract) and accept a large discount on my SREC price for that price security or do I want to maybe float with the market for a while? I’ve got no crystal ball, but I do know that there are many efforts underway in Maryland, some legislative and some not, to help to smooth the SREC supply and thus maintain a reasonable value for SRECs to continue to help incentivize solar. For that reason, I believe we will see some recovery of SREC prices in Maryland in the next year or two and thus maybe it is better to hold off on a term contract. In DC, I would personally opt for more surety and take a term contract with the discount price, but that is my risk averse nature. Others might like to bear more risk and float in hopes of higher SREC values in the future.

Either way, we are lucky to have these incentives in Maryland and DC. They are working to increase solar installations and jobs and they are also helping to drive down the installed price of solar in our region.

Commercial Solar Energy, Solar Energy Services
Written by Anonymous

Assisted Living Complex Installs Solar Water Heater

Commercial Solar Energy, Solar Energy ServicesGLEN BURNIE, MD:  Glen Square, a senior assisted-living complex in the heart of Glen Burnie, MD now have a solar water heating system that will offset a large portion of their natural gas water heating system.

The solar system is financed by Skyline Innovations, Inc., a Washington, DC based third party solar developer, who engaged Solar Energy Services of Millersville, MD to design and install the 42 panel solar thermal system.