us military to be largest solar panel installer via cnn

rollandelliott
rollandelliott Solar Expert Posts: 834 ✭✭
in General Solar Power Topics #1
read this article over at cnn, it's nice to see the military spend their money on something worthwhile instead of bombs

http://money.cnn.com/2011/09/07/technology/solar_city_military/index.htm?hpt=te_bn4
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  • niel
    niel Solar Expert Posts: 10,300 ✭✭✭✭
    #2
    Re: us military to be largest solar panel installer via cnn

    solar city owns the pvs and the electricity they produce as the owners of the buildings shall send solar city a check for the electric they use. conveniently, that rate was not revealed that i saw off hand.
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  • Shane Jackson
    Shane Jackson Solar Expert Posts: 49 ✭
    #3
    Re: us military to be largest solar panel installer via cnn

    damn I want in on that deal... get MILLIONS to put them up and retain ownership and get paid for energy produced.

    Typical government ripoff!
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  • Solar Guppy
    Solar Guppy Solar Expert Posts: 1,989 ✭✭✭
    #4
    Re: us military to be largest solar panel installer via cnn

    ^^^^^^ This ^^^^^^^
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  • solar_dave
    solar_dave Solar Expert Posts: 2,397 ✭✭✭✭
    #5
    Re: us military to be largest solar panel installer via cnn
    Shane Jackson wrote: »
    damn I want in on that deal... get MILLIONS to put them up and retain ownership and get paid for energy produced.

    Typical government ripoff!

    They don't get paid to put them up, it is a lease deal, they borrow the money to install them, the owner then pays for the power, most likely at a rate cheaper than utility rates, fixed for the term of the lease It is no free lunch, they have to maintain the systems over the life of the lease.

    Yes they make a profit, but the owner has no out of pocket and in theory saves money.
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  • Shane Jackson
    Shane Jackson Solar Expert Posts: 49 ✭
    #6
    Re: us military to be largest solar panel installer via cnn
    solar_dave wrote: »
    They don't get paid to put them up, it is a lease deal, they borrow the money to install them, the owner then pays for the power, most likely at a rate cheaper than utility rates, fixed for the term of the lease It is no free lunch, they have to maintain the systems over the life of the lease.

    Yes they make a profit, but the owner has no out of pocket and in theory saves money.

    "The complex plan calls for SolarCity to receive a $344 million Department of Energy-backed loan from financiers U.S. Renewables Group and Bank of America."

    They don't get paid to put them up??? Note the key part of this statement..... Department of Energy-backed loan.
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  • techntrek
    techntrek Solar Expert Posts: 1,372 ✭✭✭
    #7
    Re: us military to be largest solar panel installer via cnn

    I've seen the same deal offered for residential installations, I've had it offered to me. Its no ripoff.

    Like with any other industry SolarCity will take out the loan to make the product, in this case an installed PV array. The government will pay a fixed amount per month per kW, probably equal to or just below their current rate. This locks in their rate for 10, 20, 30 years so eventually as rates rise the gov't saves money. The amount SolarCity receives as payments each month will then pay for the loan, with a built-in profit margin.

    No different than how any other business runs.
    4.5 kw APC UPS powered by a Prius, 12 kw Generac, Honda EU3000is
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  • solar_dave
    solar_dave Solar Expert Posts: 2,397 ✭✭✭✭
    #8
    Re: us military to be largest solar panel installer via cnn
    Shane Jackson wrote: »
    "The complex plan calls for SolarCity to receive a $344 million Department of Energy-backed loan from financiers U.S. Renewables Group and Bank of America."

    They don't get paid to put them up??? Note the key part of this statement..... Department of Energy-backed loan.

    I should have said they don't get paid by the government to put them up.

    The loan is only guaranteed by DOE, but the money comes from private hands. Dig a bit more. Like I said they borrow the money to put them up and the lease pays the loan. Really no Government money is involved unless they default on the loan. So far they have not done that on any of the financing they have received, and this make this as a perceived low risk, and since the army is the payer of the power bill the risk is pretty nil. Should be a pretty sweet deal for Solar City and it would be hard to believe they could not make a profit from this while lowering the Army's power bill.

    I think the model for this is a Davis-Monthan Air Force base in AZ.

    http://www.dm.af.mil/news/story.asp?id=123178279
    The second phase is focusing on the installation of a 2.7-megawatt residential roof system on approximately 900 new and existing residences.

    "This project allows us to proudly display our environmental stewardship," said Col. Robert Singleton, 355th Fighter Wing vice commander. "I can't express the amount of teamwork and partnership required to make this project a reality. This is another wonderful accomplishment for team Davis-Monthan and it shows the strength of our relationship with our friends outside the gate."

    The solar systems were designed and are being installed by SolarCity, a private solar system provider, and will be interconnected by Tucson Electric Power Company.

    "This solar array is a model for our region, showing communities that large scale solar power can become a reality," said Congresswoman Giffords.
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