Environmental Design + Construction - March 2009 - (Page 24) SPECIAL SECTION INCENTIVES By Bill Unseld Solar solar-ready, while many homebuilders are using solar energy as a market differentiator. “You need to know how to sell solar,” says Neal Pavletich, who coowns electrical contracting firm Star Electric in Bakersfield, Calif., with his son Mark. “You have to instill confidence in the customer that what you propose is good for them now, next year and in the future.” TECHNOLOGICAL ADVANCES MAKE SOLAR ENERGY MORE ALLURING FOR HOMEBUILDERS AND ELECTRICAL CONTRACTORS. D espite the effects the struggling economy has had on new home construction, interest in supplementing residential power with solar energy is growing. The primary driver is economic. In the United States, for example, state and federal capital rebates help a homeowner ease the cost of installing a photovoltaic system. In Canada, feed-in tariffs mean utilities purchase solar energy from an individual homeowner at a higher rate than the homeowner would pay for grid electricity, which provides an incentive for homeowners to install photovoltaic systems. Additionally, the cost of a photovoltaic system is dropping. According to USA Today, the cost of a rooftop array, including installation, is expected to fall as much as 20 percent in 2009, which is in addition to the substantial drop that already occurred in autumn 2008. Another factor is that the housing slump means new homeowners are more likely to remain in their homes for a longer period, thus increasing the return on their investment in a photovoltaic system. But interest in solar power is also being spurred by advances in electrical distribution technologies that allow a homeowner to proactively plan for the future installation of a photovoltaic system. For example, a combination service entrance device features spaces for components necessary to distribute solar energy throughout a home, but it can operate like a common residential load center until those components are installed. Once a photovoltaic system is in place, communications gateways help a homeowner track the amount of solar power being generated. They can play a key role in helping homeowners “net zero” their energy use — meaning that, in a calendar year, the solar power produced and used is equal to or greater than the home’s grid power usage. These technological advances coupled with the many economic incentives make solar energy a more alluring opportunity for electrical contractors and homebuilders alike. Though 90 percent of residential photovoltaic system installations are on existing homes, that trend could be shifting. Some housing developments are demanding that a certain percentage of new homes be Economics vs. Technology While a photovoltaic system can create substantial energy savings for homeowners, a typical 3,000- to 5,000-watt system can cost a homeowner tens of thousands of dollars. However, U.S. federal and state capital rebates help reduce that cash outlay. For example, the California Solar Initiative offers residential solar rebates in two formats: One based on actual energy output by the photovoltaic system; the other is based on expected performance, where an upfront lump sum is paid to the homeowner by the state based on factors like equipment ratings and geographic location. From a federal standpoint, the Energy Improvement and Extension Act of 2008 (a component of the Emergency 24 ed+c M AR C H 09
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