Solar Keeps Growing: 76% Growth in US Last Year

The US solar energy market grew by 76% in 2012 to a total of 3,313 megawatts (MW) with an estimated market value of $11.5 billion, according GreenTech Media and the Solar Energy Industries Association in a report released today.  At the same time, the prices for PV systems fell 27% during 2012.  There are now more than 300,000 solar PV installations n the United States.

“2012 was a busy year in the U.S. solar market,” said Shayle Kann, vice president at GTM Research. “The market value of U.S. solar installations reached $11.5 billion in 2012, up from just $3.6 billion in 2009. Amidst this boom, the industry faced newly-imposed import tariffs on Chinese solar cells and ongoing consolidation in the manufacturing space. In 2013, we expect another strong year, driven in part by new mechanisms to increase the availability, and lower the cost, of solar project financing.” SEIA Press Release

Prices continue to drop. Source: GTM/SEI Press Release

At the same time as installations continue to grow, prices for solar PV systems continue to drop, making it more and more affordable to businesses and homeowners in every state.  As noted in a previous blog post, the "tipping point" at which electricity from solar energy is cheaper over the long run (including financing costs) than purchasing retail energy is coming closer and closer.

Source:  US Solar Market Insight: Year in Review 2012, GTM Research and the Solar Energy Industries Association, March 14, 2013.

Cost-Competitive Solar Getting Close In Many Part of the Country

Solar energy already competes head-to-head with retail electric rates in a few parts of the United States, but a new study by the Institute for Local Self Reliance shows that its coming quickly to the rest of us.  The study, Commercial Rooftop Revolution, found that grid parity is just around the corner for millions of businesses seeking to control their energy costs.

Key Findings of the study include:

• Falling solar costs will result in 33,000 MW of unsubsidized commercial rooftop solar achieving price parity by 2016, enough to meet 2.7% of commercial electricity demand.
• Falling solar costs mean 122,000 MW of unsubsidized commercial rooftop solar will be at price parity by 2022, enough to meet 10% of commercial electricity demand.
• Although commercial solar is growing faster, unsubsidized residential solar has a significantly larger parity potential (190,000 MW by 2022, compared to 122,000 MW for commercial solar).
• Together, unsubsidized residential and commercial solar at price parity could provide 9% of total U.S. electricity by 2022.
• As the economic barrier shatters, other barriers to rooftop solar emerge: archaic utility rules (e.g. the 15% Rule), net metering caps, limits of local permitting offices, and a dearth of state virtual net metering policies.

In fact, while grid parity for commercial solar energy in 2012 shows that while solar is competitive in just a few states, it will be widespread in 2022.

The whole report is excellent.  Spread the word.

Here's a link to the ILSR blog with more summary information: Summary

Here's a link to a PDF of the report itself: Commercial Rooftop Revolution

Renewable Energy Potential Recognized in Ohio

Solar and other renewable energy sources are increasingly recognized for their potential to save money for Ohio's cities.  Dr. Parwinder Grewal, the director of OSU's Center for Urban Environment and Economic Development, found in a recent study that "increased urban energy self-sufficiency would add between $28.7 million and $1.76 billion to Cleveland's economy annually."

Photo courtesy of the Great Lakes Science Center.

The study Can Cities Become Self-Reliant in Energy? A Technological Scenario Analysis for Cleveland, Ohio was published in the online journal Cities last June, but recently drew additional attention when it was featured in the Columbus Dispatch.  

"Applying the concept of self-reliance, we found that while nearly all of Cleveland's energy is currently imported, this city has the potential to meet a lot of its electricity and fuel demands using local, renewable sources," said Parwinder Grewal, a professor and Distinguished Research Scholar who is also a specialist with Ohio State University Extension.

"Cities occupy only 3 percent of the Earth's surface, yet they consume 75 percent of total global energy and produce 80 percent of all greenhouse emissions. Typically all of this energy is produced elsewhere and imported by cities, weakening their control over their own economies and also threatening their environmental sustainability."OSU Press Release

The study considered four different scenarios for increasing electric generation from renewable sources and estimated potential positive economic impacts. Specifically, it began by considering  the potential impacts from completion of the proposed 20 MW municipal solid waste to energy facility by the Cleveland Public Power system and a 20 MW offshore wind project by the Lake Erie Energy Development Corporation (LEEDCo.).  The study then continued the analysis by considering larger contributions from wind, solar energy and biofuels.

More People Work in Solar Energy Than Coal Mining

According to a solar job census done by the Solar Foundation, the solar energy industry in the United States accounts for 119,016 jobs.  Even more astounding is that number represents 13.2% growth over the previous year, making solar energy once again one of America's fastest growing job sectors.  During the same period, job growth in the overall economy was 2.3%.

“The solar industry has grown at significantly higher rates than most other industries in the past several years, making it one of the foremost creators of new jobs in the United States,” said Andrea Luecke, TSF Executive Director. “Our census findings indicate that these new jobs are highly skilled in nature, including solar installation, sales, marketing and software development. These new solar industry jobs are sustainable, cannot be outsourced and play a critical role in our country’s economic recovery.” Press Release from the Solar Foundation

In contrast, the US Energy Information Administration reported that in 2011 there were 91,610 employed in the coal mining industry. Link

The full report will be released on November 14. 

We've Moved!

As of November 7, our new address will be:

565 Metro Place South, Suite 3217
Dublin, OH  43017

Come by for a visit.  We'd love to see you

Solar Cascade: Community Solar Power for Schools, Univerities and Non-Profits

Tipping Point Renewable Energy is proud to announce our participation in and support for Solar Cascade which is a 501(c)(3) not-for-profit organization created to fund and install large-scale solar on schools, colleges, not-for-profits, hospitals, and other community locations.  Tipping Point's Solar by Soldiers® program will be the primary installation provider for the innovative non-profit.

Using a crowdfunding model, donations are accumulated and put directly towards solar power projects selected.   The system is gifted at no cost to the host.  Solar Cascade in partnership with Tipping Point Renewable Energy, Solar by Soldiers® and Varo Engineers expertly design, engineer and build solar power systems that will create free clean power for forty plus years.  

Solar Cascade was started out of passion – passion for a new, clean energy future. The organization's leaders see a need to make solar work for everyone. The sun is the unlimited energy source of tomorrow and it’s time to put it to work, but we are not doing nearly enough to make it work for us in our country or our communities. The sun represents the energy source of the future in the form of clean, unlimited power. It’s time to put the sun to work.

Is Saudi Arabia More Progressive on Solar Energy Than Ohio?

Amid all of the knuckledragging going on in the debate over clean energy in the United States, it's easy to lose sight of the progress that is being made in other countries on renewable energy.  Saudi Arabia, a true fossil-fuel powerhouse, announced over a year ago that they plan to move forward with what can only be called an aggressive strategy for harnessing solar power.  According to an article in Arabian Business last year:

The kingdom aims to generate as much energy from solar cells as it pumps out of the ground to export in the form of crude, Oil Minister Ali Al-Naimi said in a speech in Krakow, Poland, in June 2011. He said the nation has the potential to produce enough solar power to meet four times current world electricity demand.  (Arabian Business, June 3, 2011)

The Saudi plans are not philanthropic, but based on their economic analysis that by taking advantage of one abundant energy resource (the sun), they will have more of their other more famous resource (oil, duh!) available for export.  

Now, it seems that the Saudi's are planning to make good on their plans.  The City of Mecca is planning to develop a major electricity generating plant that will include 100 Megawatts of solar energy:

Mecca, which hosts millions of pilgrims a year visiting Islam’s most holy shrine, is working toward becoming the first city in Saudi Arabia to operate a utility-scale plant generating electricity from renewables.

The city on Jan. 5 plans to select from a group of at least 20 bidders competing to build and operate facilities producing 385 gigawatt-hours per year of power including 100 megawatts of solar capacity, said Mayor Osama al-Bar. (Businessweek, September 23, 2012)

More on Mecca's plans can be found here on Renewable Energy World. 

For those keeping track, we here in Ohio have 50.2 Megawatts of solar photovoltaic capacity as of August 2012 (SRECtrade.com).  That means that one city in Saudi Arabia may soon have more than double the current capacity of solar than currently exists in the state that recently captured the title of solar PV manufacturing capital of the US. 

TPRE CEO Eric Zimmer Touts Clean Energy Jobs at Energy Conference

Tipping Point CEO Eric Zimmer spoke at the Northern Ohio Energy Management Conference on September 26th on behalf of the Advanced Energy Economy Ohio and Tipping Point. In his comments, Zimmer defended the state requirement that electric utilities secure a small amount of their electricity from renewable energy.

 Like most discussions on energy in Ohio over the past year, the focus of the meeting was on the future of shale gas resources that have been under intensive  development in Ohio.    Among all the hoopla over shale gas, the conference did  consider a number of issues related to electricity prices in a panel on which Zimmer participated.

According to the article by the Cleveland Plain Dealer,

Eric Zimmer, with the Advanced Energy Economy, a group advocating both renewable and advanced energy technologies, said new competitive suppliers coming into the state are looking to bundle renewable energy with other, more traditional sources of power.

Zimmer argued that energy efficiency is still the cheapest energy option "that can only make us stronger." And energy efficiency mandates create jobs, he said.

"Secondly, right now there are 25,000 jobs in the Ohio economy involved with energy efficiency," he argued.  Cleveland Plain Dealer

For more information on Ohio's advanced energy requirements or to learn more about saving money and controlling energy expenses with renewable energy, contact Tipping Point.

Solar PV Is Good Business

Even while solar energy continues to be tossed around as a political football, some of the smartest businesses in America are voting with their dollars and making substantial investments in solar photovoltaic systems.  

Last week, the Solar Energy Industries Association (SEIA) released Solar Means Business: Top Commercial Solar Customers in the U.S .  The report details  investments being made by companies around the country:

The rapidly falling cost of solar energy has made solar an increasingly appealing investment for American businesses.  Between the second quarter of 2011 and the second quareter of 2012, the average price of a completed commercial PV system fell by nearly 14 percent.  The economics of PV have become so attractive that many of the best managed corporations, which are synonymous with low cost and efficiency, are adopting solar energy on a massive scale across the U.S. Solar Means Business: Top Commercial Solar Customers in the U.S. Link

SEIA has also provided a "heat map" of commercial solar installations in the U.S.

Heat Map of Commercial Solar Installation in the U.S. Click on the map to be taken to SEIA's interactive map.

Here are the top 20:

1. Walmart
2. Costco
3. Kohl’s Department Stores
4. IKEA
5. Macy’s
6. McGraw-Hill
7. Johnson & Johnson
8. Staples, Inc.
9. Campbell’s Soup
10. Walgreens
11. Bed, Bath & Beyond
12. Toys ‘R’ Us
13. General Motors
14. FedEx
15. White Rose Foods
16. Dow Jones
17. Snyder’s of Hanover
18. ProLogis
19. Hartz Mountain Industries
20. Crayola

For more information about how solar PV can benefit your company, contact us.

AEP's Electric Security Plan Approved by the Public Utilities Commission of Ohio

The Pubilic Utilities Commission of Ohio (PUCO) approved a modified version of AEP Ohio's Electric Security Plan (ESP) on August 8, 2012.  The revised plan establishes generation rates through May 31, 2015 and sets AEP on a path toward a separating it's generation business from distribution and transmission.

“We are confident that this modified ESP will result in the outcome the General Assembly intended under both Senate Bill 3 and Senate Bill 221, and best represents a balance in the interests of both consumers and AEP-Ohio,” said PUCO Chairman Todd A. Snitchler. “Today’s order leads us towards more robust competition in the state of Ohio in less than three years. It also provides mechanisms for consumer protection, and maintains that AEP-Ohio continues to provide adequate, safe, and reliable service to its customers.” (PUCO Press Release)

In response to the PUCO decision, AEP filed revised tariff sheets (the official documents that detail rates charged to customers) on August 16, 2012.  In filing the 382 page document, AEP Ohio president and chief operating officer Pablo Vegas said, "“We have worked hard to minimize bill impacts on customers as we transition to a competitive market model. Customers will benefit during this transition by having fixed generation rates and a greater ability to shop for a competitive price on their power generation service, and by having AEP Ohio take part in energy supply auctions.”  (AEP Press Release)

The decision will have broad implications for ratepayers in AEP Ohio's service territory.  Virtually all classes or ratepayers will see some increase in rates -- some more than others.  In addition, changes in incentives for shopping retail generation services and rate structures may mean that a change in energy acquisition and/or management practices could minimize the financial impact this decision could have on AEP customers.

Tipping Point Energy is currently analyzing the new plan and is prepared to work with AEP Ohio customers to understand their new tariff structures and opportunities to effectively manage their energy expenses.

American Municipal Power Hires Solar By Soldiers℠ to Help Construct 3.54 MW Solar Array in Napoleon, Ohio

As the solar energy industry in Ohio continues to grow, Tipping Point is expanding the reach of our Solar by Soldiers℠ program, offering the services of well-trained, hard-working veterans for the installation of renewable energy and energy efficiency programs beyond our own.  

"The goal of our Solar by Soldiers  program is to train and get veterans back to work, whether they are working for us or for others in the renewable energy and energy efficiency industries," said Eric Zimmer, CEO of Tipping Point. "Our installation crews have proven to be just as hard working and efficient in deploying advanced energy technologies as they were at protecting our country."

One of the first organizations to work with Solar by Soldiers℠ is American Municipal Power, which hired two veterans to help with installation of their 3.54 MW solar array in Napoleon, Ohio.   

“We are happy to support the Solar by Soldiers effort at our Napoleon project,” AMP President/CEO Marc Gerken said. “AMP and our member communities are leaders in the deployment of new renewable generation in the region. From building Ohio’s first utility-scale wind farm, to embarking on the largest deployment of new run-of-the-river hydroelectric generation in the country, to this solar generation project, we are supporting renewable generation efforts in a very real manner. Tipping Point’s efforts to provide employment opportunities to American veterans are tremendous and we’re pleased to be a part of it.”

 The Solar by Soldiers℠ crew worked with AP Alternatives in installing the racking and panels for the project. 

Josh Von Deylen, Sales and Marketing Manager for APA, said “AP Alternatives is proud to support the Solar by Soldiers program. It is a great opportunity for APA to utilize the talent and training of the Ohio soldiers. The soldiers have been trained by Tipping Point Energy to install solar racking. Currently the soldiers are being utilized to install the solar racking and operate heavy equipment on-site. Solar by Soldiers is a program AP Alternatives plans to continue to support on future solar projects.”

Read the entire AMP press release including a photo of our two vets at work.

Solar by Soldiers covered in Readers Digest

We were proud to see one of our team, Mark Haake, profiled in Readers Digest this month about the challenges he and other veterans faced coming home.

Read it here or help employ veterans by putting up solar. Contact us for more information.

The Home Depot

We are proud to announce that, in partnership with UR Solar, we are a now a ceritfied installation partner with the Home Depot. We are selling systems from several Home Depot stores in the Central Ohio area. Another validation from a leading organzation that we are trusted leaders in the solar arena.

BBC Radio One Story on Solar By Soldiers

Tipping Point's Solar By Soldiers (SM) program continues to garner attention for our efforts to match unemployed veterans with jobs installing solar panels.   Now, we are even starting to get attention internationally.

BBC Radio One  Reporter Greg Dawson recently spent the day with us in Columbus learning more about our program and meeting some of the veterans who will be working with us on solar panel installations in Ohio going forward.   Although we have already been using veterans on our small and mid-size commercial installation, the first large project will be the installation of nearly 3000 solar panels on the roof of the Fleet Maintenance Building for the City of Columbus. 

Not having the right qualifications is a common problem for many servicemen and women as they look to use their experience to get job outside the military.

The most recent unemployment statistics in the US show that the overall rate dropped to 8.5% in December 2011. However, the veteran rate climbed to 13.5%.

Tipping Point co-founder Eric Zimmer says soldiers have a "good work ethic"

Eric Zimmer is the co-founder of Tipping Point. He says although his company is small he wanted to do his bit to help.

"These are people that served our country and allow us to be a business and have freedom," he says.

"They bring a lot to the job that goes beyond just their skills. They bring a good mentality and work ethic."

Not having the right qualifications is a common problem for many servicemen and women as they look to use their experience to get job outside the military.
The most recent unemployment statistics in the US show that the overall rate dropped to 8.5% in December 2011. However, the veteran rate climbed to 13.5%.
Tipping Point co-founder Eric Zimmer says soldiers have a "good work ethic"Eric Zimmer is the co-founder of Tipping Point. He says although his company is small he wanted to do his bit to help.
"These are people that served our country and allow us to be a business and have freedom," he says.
"They bring a lot to the job that goes beyond just their skills. They bring a good mentality and work ethic."

 A link to the whole story can be found here. More information about solar by soldiers program can be found here.

Deloitte on Future Energy Costs

We are often asked about what electricity rates are going to do in the future. Here is an opinion from a large consulting group:

" U.S. businesses have enjoyed stable and predictable electricity prices over the past decade due in large part to nuclear facilities operating in force and coal plants burning an inexpensive fuel source. But this is about to change. With many energy producing facilities scheduled to retire in the next ten years, some of which will be replaced by more expensive facilities, the price organizations pay for a kilowatt of electricity is expected to rise. As a result, electricity prices the next ten years may be unlike the past ten years. With a typical operation already spending a significant portion of its annual revenue on energy, what can your organization do to insulate itself from the expected increase in energy prices?"

 - Deloitte Energy Management Strategy Report

Full report here

AEP Rates Stun Small Businesses

Today the Dispatch posted an article about how new AEP rates have hurt small businesses. Some of them have seen increases of upwards of 45%.

This is a factor of many different influences and an increasingly complicated Ohio electricity market. Some day when we have more time we can share our perspective, but for now I want to focus on solutions for small business owners.

This rate increase is most likely a result of your load factor. A load factor is a way of comparing how much total energy you use versus the most you use at any one time.

Note: Utility tariff nerds leave me be. I'm focusing on explaining this at a level the average business owner needs to understand so detailed techical innacuracies need not be sent my way :)

On a utility bill you are charged for electricity in different ways. To make it simple I'll say that you are charged for how much you actually use and how much the utility has to keep ready that you might use. This second part is known as demand. Fior example, if at one time during a month you need 75kw of energy then the utility basically assumes that you could need that much at any time. So they have to have it available. If however that 75kw is a rare occurence and you use much less energy the rest of the time you still have to pay for the utilities need to be prepared.

That difference between your peak use and average use is known as your load factor.

There are ways to improve this. Looking at when and how you run machines in your workplace, looking at moving certain processes to off hours time, controlling your demand are all ways to improve this.

Solar energy, used correctly, can be a way to improve this.

Here is an article that goes into more details about load factor and potential solutions.

If you'd like to learn more about how you can reduce your bills please contact us and we would be glad to present solutions and see if we can help. As a small business ourself we know how unexpected cost jumps can be very painful.

Good luck to you!

Renewable Energy Interconnections in Ohio

Just read a good summary of the rules for interconnecting a solar (or any renewable energy) installation to electric utilities in Ohio.  Tom O'Brien, an attorney at Bricker & Eckler, published a summary in the firm's 

Consumers considering distributed generation need to be aware that, unless you are going to go “off the grid” completely, the distributed generation facility must be able to operate “in parallel” with the local electric distribution system, or for large installations, the interstate transmission system.

We end up having to describe interconnection, net metering and the impacts of rates a lot, so thanks, Tom, for this useful article that we can point to as a primer.

Here's the link.

TechColumbus Names Tipping Point as Semi-Finalist for 2011 Innovation Award

Tipping Point Renewable Energy is proud to be named as a semi-finalist for the TechColumbus 2011 Innovation Award in the category of Green Innovation.  

According to the TechColumbus website:

The TechColumbus Innovation Awards celebrate and honor individuals and teams in a variety of disciplines. Each award category is an important component of the technology and innovation community. Receiving the top honor in an award category showcases the dramatic impact of the awardee’s contributions in Central Ohio and beyond. (Link)

The Green Innovation award is for a company that has EITHER: Developed a Green product or service that is commercially available and in production, and is in use with at least one customer/client; OR Applied or implemented a technology or process change that has a net positive impact on the environment.

The final award winners will be announced at the Innovation Awards dinner on February 2, 2012 at the Greater Columbus Convention Center - Battelle Grand Ballroom.  More information on the awards dinner is available at the Innovation Awards' website.

Energy Information Administration Studies The Impact of Clean Energy Standards (CES)

The Department of Energy's Energy Information Administration (EIA) recently released an analysis of the economic and other impacts that would result from the enactment of a number of different Clean Energy Standards. The analysis was done at the request of U.S. Senator Jeff Bingaman (D-NM), Chairman of the Senate Energy Committee. There are a number of interesting findings that arise from the study, including the dramatic impacts that enactment of a Clean Energy Standard (CES) would have on emissions of greenhouse gases and other pollutants compared to the relatively modest impact on electric prices and the economy. Specifically, Chairman Bingaman requested an analysis that compared a Clean Energy Standard that he is expected to offer next year (called the Bingaman Clean Energy Standard or BCES) with the Base Case from the EIA's 2011 Annual Energy Outlook. A number of alternative cases based on policy ideas that have been previously considered in Washington were also analyzed. As expected, the analysis finds a significant impact on the mix of technologies used to generate power:

The BCES policy changes the generation mix, reducing the role of coal technologies and increasing reliance on natural gas, non-hydro renewable and nuclear technologies. Coal-fired generation, which in the Reference case increases by 23 percent from 2009 to 2035, decreases by 41 percent in the BCES case over the same period. Relative to the Reference case, where natural gas generation grows steadily throughout the projection period, natural gas generation in 2025 is 34-percent higher and 53-percent higher in 2035. Under the BCES policy, non-hydro renewable technologies grow at the fastest rate, increasing from 146 billion kilowatthours in 2009 to 601 billion kilowatthours in 2025 and 737 billion kilowatthours in 2035. These totals are 60 percent and 75 percent greater than the 2025 and 2035 Reference case projections, respectively.

Also as expected the impacts of annual electricity sector carbon emissions are dramatic.

Under the BCES, projected annual electricity sector carbon dioxide emissions are 22 percent below the Reference case level in 2025 and 43 percent lower in 2035 (Figure 3, Tables B1 and B2). In the Reference case electricity-sector carbon dioxide emissions increase modestly over the projection period, reaching annual emissions of 2,345 million metric tons of carbon dioxide (MMTCO2) in 2025 and growing further to 2,500 MMTCO2 emitted in 2035. Over the 2009-to-2035 period, cumulative CO2 emissions are 20 percent lower in the BCES case than they are in the Reference case.

Finally, the report also found that in the early years, the impacts of the BCES on electricity prices is negligible, but grows as the standards ratchet down.

The BCES has a negligible impact on electricity prices through 2022, but prices rise in later years. In the early years of the projection period, there is negligible impact on average end-use electricity prices, as the requirement to hold BCES credits is modest. As shown in Table 1, the share of total sales that must be covered by credits does not exceed 45 percent until after 2030. This is important because, while coal-fired plants do not receive BCES credits, efficient combined cycle plants receive 0.48 credits for each megawatthour they generate, more than retailers purchasing their output are required to hold until after 2030. This effectively reduces the cost of most natural gas-fired generation until the later years of the projections. Electricity prices do grow later in the projections, reaching 21 percent above the Reference case level by 2035 in the BCES case.

The report can be found here.

Solar By Soldiers (SM) Garners Attention

Tipping Point was pleased to have a recent story by the Associated Press about our Solar by Soldiers (SM) program picked up by a number of news outlets throughout the country.

The article, written by Andy Greenfield, was picked up by a number of major news outlets including Fox News, the Huffington Post and many local and metro news organizations.

The article discusses a number of programs for getting US service veterans to work in the clean energy industry, but focuses on former Marine Ben Noland's experience looking for a job after returning from two tours of duty in Iraq and Afghanistan.

Noland, one of Tipping Point's hires, left the Marines in 2009, in the midst of the worst recession since the Great Depression.

He started looking for supply and logistics management jobs, something he had experience with from running supply convoys to troops on the front lines in Iraq and Afghanistan. When nothing turned up, he looked futilely for warehouse jobs in Columbus. Finally, he briefly took a minimum-wage job at McDonald's 30 minutes away from his house.

"I'm a military veteran. Two tours of Iraq, one of Afghanistan — I was thinking, 'Man, I've got to be able to hang my hat on that,' you'd think." Noland said. "I was completely discouraged." Link to AP News

Ben is currently a Project Manager with Tipping Point.