Presentation - NW Wind Center

NorthwestWindResource&ActionCenter
Distributed/CommunityWindWorkGroupMeeting
Wednesday,May6,2015
1:00PM–4:00PMMountainTime
InpersonLocation:
MontanaWeatherizationTrainingCenter
705OstermanDrive,Bozeman,MT
RemoteParticipationInfo:
Presentationaccess:https://attendee.gotowebinar.com/register/1831247976571834113
Callinnumber:7124321500,Passcode:872009#
MeetingObjective:Networkwithotherswhoarecurrentlyactiveinthedistributed/communitywindsectorinthe
region.Getupdatedonthecurrentissuesandactivitiesaffectingthismarketsegment.
12:30pm Arrive,informalnetworking(lightlunchprovided)
1:00pm
Welcome&Introductions(webinar/conferencecallconnectionwillstartatthistime)
1:15pm
Overview[MiaDevine,NorthwestSustainableEnergyforEconomicDevelopment(NWSEED)]
Forthosenewtothegroup,MiawillprovideanintroductiontotheNorthwestWindCenterand
activitiesoftheDistributed/CommunityWindWorkingGroup.
U.S.DepartmentofEnergy’sDistributedWindStrategy[BretBarker,NewWestTechnologies]
BretisstrategicadvisorfordistributedwindforDOEandwillprovideanoverviewofDOE’sinterest,
1:301:50
priorities,andcurrentactivitiesrelatedtodistributedwind.Participantswillhavetheopportunityto
askquestionsandprovidefeedback/recommendationsonDOE’sstrategy.
1:502:15
2:152:20
2:202:50
2:503:20
3:203:50
3:504:00
CommunityWindCaseStudy:GordonButte,MT[BryanRogan,OversightResources]
HearhowthreeMontanaentrepreneursdevelopeda9.6MWwindfarmwithlittlepriorwind
developmentexpertise.NotonlyisthisprojectownedbyMontanansbutwasconstructedand
financedbyMontanabasedcompanies.Presentationwillincludeadiscussionofopportunitiesand
challengesfordevelopingsimilarprojects.
Break
WindLeasing[RussellTencer,UnitedWind]
UnitedWindisthefirstcompanytoofferalittletonomoneydownleasingoptionforsmallwind
installations.Insteadofpurchasingawindturbinethemselves,landownerscanpayafixedmonthly
amounttoUnitedWindinexchangefortheinstallation,operation,andmaintenanceofthewind
turbineontheirproperty.UnitedWindwillexplaintheirleasingproductandprocess,providean
updateontheiractivityinNewYork,anddiscussopportunitiesfortheNorthwest.
PermittingandZoning[MiaDevine,NorthwestSEED]
Thepermittingprocessfordistributedwindenergyprojectscanvarygreatlyfromcountytocounty,
leadingtoincreasedcostsandinefficienciesforbothpermittingagenciesandtheirconstituents.Mia
willpresentadraftpermittoolkitthatjurisdictionscanusetoadoptwindfriendlypermittingbest
practices.Theaudiencewillbeinvitedtoprovidefeedbackonimprovinganddistributingthetoolkit.
NewOpportunitiesinNetMetering[JarodBishop,EWT]
EWTisaglobalmanufacturerofmidsizedwindturbinesdesignedforthedecentralizedenergy
sector.Jarodwillintroducehisworkevaluatingthefeasibilityofnetmeteredmidsizedwind
turbinesatdairyfarms,alfalfairrigators,andfoodprocessingfacilities.Attendeeswillbe
encouragedtobrainstormotherneartermopportunitiesfornetmeteredwindsystemsandidentify
specificactionsthatcanleadtosignificantdeploymentofdistributedwindintheregion.
Wrapupdiscussionandnextsteps
Attendees
MiaDevine,NorthwestSEED,WA
JarodBishop,EWT,WA
AliceOrrell,PacificNorthwestNationalLab,WA
DanaPeck,Consultant
HeatherRhoadesWeaver,eFormativeOptions
BrittonRife,eFormativeOptions,WA
TimStearns,WADeptofCommerce
CraigDublanko,CoastalCAP,WA
NikFoster,PacificNorthwestNationalLab,WA
BradBurkle,EIPTechnologies,OR
RobDelMar,OregonDepartmentofEnergy
JakeWade,PugetSoundEnergy,WA
JenniferJenkins,DistributedWindEnergyAssociation
BretBarker,NewWestTechnologies/U.S.DepartmentofEnergy
BryanRogan,OversightResources,MT
NatalieMyer,CityofBozeman,MT
GarrettMartin,MTDepartmentofEnvironmentalQuality
BrianSpangler,MTDepartmentofEnvironmentalQuality
BenBrower,MontanaRenewableEnergyAssociation
DianaManeta,MontanaRenewableEnergyAssociation
ChrisMason,MariahWind,WY
DwightRose,ValleyViewElectric,MT
JunePusichLester,NorthwesternEnergy,MT
JarrodBley,MontanaWeatherizationTrainingCenter
DaveRyan,MontanaRenewableEnergyAssociationboard
JeffFox,RenewableNorthwest
KyleAndrucyk,UnitedWind,NY
LisaDaniels,Windustry,MN
NWDistributed/CommunityWindWorkingGroup
May 6, 2015
Bozeman, MT
Agenda– nwwindcenter.org
Northwest Wind Center
Renewable Northwest - Fiscal Sponsor
Steering Committee
Oregon
Dept. of
Energy
Washington
Dept. of
Commerce
Offshore Wind
Work Group
•Lead: ODOE
Renewable
Northwest
Northwest
SEED
Distributed &
Community Wind
Work Group
Boise State
University
Montana Dept. of
Commerce/ Dept. of
Environmental Quality
Land-based Utility
Wind
Work Group
•Lead: NWSEED
•Lead: Renewable NW
•Community Renewable Energy Association
•OR Dept of Energy
•WA Dept of Commerce
•Montana Renewable Energy Association
•Energy Trust of Oregon
•Endurance Wind Power
•Xzeres Wind
•Oregon Community Wind
•Coastal Community Action Plan
•One PacificCoast Bank
•eFormative Options
•Distributed Wind Energy Association
Whatisdistributedwind?
Whatiscommunitywind?
InstalledCapacity
State
Washington
Wyoming
Montana
Oregon
Idaho
Distributed
Wind (MW)
12.7
5.8
4.9
4.8
2.4
Source:
Pacific Northwest National Lab
Community
Wind (MW)
10.4
0
9.6
9.0
0
Wind data source: NREL, includes turbines rated at 100 kW or less.
Solar data source: Washington State University
Data source: Bloomberg New Energy Finance “2015 Factbook: Sustainable Energy in America”
Wind data includes only turbines 100 kW or less. Solar data includes only “small-scale” solar.
Installed Cost ($/Watt)
Wind data : Bloomberg New Energy Finance “2015 Factbook: Sustainable Energy in America”
Solar data source: LBNL “Tracking the Sun VII”, systems up to 10 kW in size.
Photo Credit: Aegis Renewable Energy
Bret Barker
Wind Program Opportunities:
Distributed Wind Systems
1 | Program Name or Ancillary Text
New West Technologies
Advisor to Wind and Water Power Technologies Office
U.S. Department of Energy
Northwest SEED
Distributed & Community Wind Working Group Meeting
May 6th, 2015
eere.energy.gov
White House & DOE
Priorities
White
House
• Generate 80% of the nations’ electricity from clean energy sources by 2035
• Reduce carbon emissions 80% by 2050
• Lead the world in clean energy innovation, stimulate jobs and economic growth with a clean energy economy
DOE
• Ensure America’s security and prosperity by addressing energy and environmental challenges through
transformative science and technology solutions
• Maintain a vibrant U.S. effort in science and engineering as a cornerstone of economic prosperity
EERE
• Invest in clean energy technologies that strengthen the economy, protect the environment, and reduce
dependence on foreign oil
• Increase U.S. competitiveness in the production of clean-energy materials and products
WWPTO
• Improve the performance, lower the costs, and accelerate the deployment of innovative wind and water power
technologies
The mission of the Wind and Water Power Technologies Office is to enable U.S.
deployment of clean, affordable, reliable and domestic wind and water power to
promote national security, economic growth, and environmental quality.
2 | Energy Efficiency & Renewable Energy
eere.energy.gov
eere.energy.go
Distributed Wind
Portfolio Evolution
Provide national leadership by redefining distributed wind to including all wind
technologies used in distributed applications (not just small wind turbines) and
establish new R&D priorities.
Goal: By 2015, expand the market for small
wind technologies five fold from 2007 baseline.
Goal: By 2020, increase the number of certified small and medium wind
turbine models to forty from 2010 baseline of zero.
Target: DW COE competitive with other
distributed generation technologies.
2008
2009
2010
2011
Small Wind Focused
Development and
publication of AWEA
Standard 9.1 – Small
Wind Turbine
Performance and
Safety.
Development of
regional facilities for
testing small wind
turbines to AWEA
Standard 9.1 and
establishment of
accredited
certification body.
2012
2013
2014
Application Focused
First small wind
turbine certification
achieved in the U.S.
by accredited U.S.
certification body.
Turbine technology
optimized for
distributed
applications;
advanced
manufacturing;
improved reliability;
reduced soft costs.
In August of 2014, the DOE Wind Program issued Request for Information:
Acceleration of Distributed Generation from Wind Energy Systems
3 | Wind and Water Power Program
eere.energy.gov
Request for Information
Results and Outlook
Soft Cost Reduction and Turbine Technology R&D are top priorities.
¾ Stakeholders see significant potential for Soft Cost Reduction.
¾
¾
DOE to research and develop high fidelity Soft Cost data set for Distributed Wind systems deployed in the U.S.
DOE to use Soft Cost data set to identify and evaluate opportunities for Soft Cost reduction.
¾ Turbine Technology not optimized, but industry is confident it’s headed in right direction.
¾
¾
DOE committed to Competitiveness Improvement Project, and anticipates continued support for this program.
DOE to conduct research to develop a Small Wind Turbine Tower design tool.
Stakeholders report Wind Resource Characterization & Assessment areas for
improvement, but not top priority.
¾ Quality of assessment varies greatly based on tool, user, and system size.
¾
¾
NREL to hold workshop on behalf of DOE during the June, 2015 Small Wind Conference in Stevens Point, WI.
Workshop to focus on resource characterization in the site assessment process and identify approaches for improving
accuracy, while reducing time and cost.
Stakeholders suggest Distributed Grid Integration requires limited WWPTO
attention.
¾ Issues well understood as a result of increased solar penetration.
¾
Wind Program an active participant in the broader DOE Grid Modernization effort, which includes distributed wind energy
integration in building energy management systems and micro grids.
4 | Wind and Water Power Program
eere.energy.gov
Competitiveness Improvement Project
Round 3
Technology development and turbine certification isn’t easy (or cheap), but we’re
committed to help through the Competitiveness Improvement Project (CIP).
① Component and Manufacturing Process Improvement
a)
b)
Component and Whole System Optimization ($350k w/ 20% cost share)
Manufacturing Process Upgrade ($150k w/ 50% cost share)
② Certification Testing
a)
b)
2013
Rotor swept area <200m2 ($150k w/ 20% cost share )
Rotor swept area >200m2 and <1000m2 ($450k w/ 20% cost share)
2 Contracts Executed
• Bergey Wind Power (Topic 1a)
• Pika Energy (Topic 1b)
2014
Distributed Wind Cost of Energy competitive
with distributed power sources and retail
electricity rates.
By 2020, increase the number of certified small
and medium wind turbines to 40 from 2010
baseline of zero.
5 Contracts Executed
• Endurance Wind Power (Topic 2a)
• Pika Energy (Topics 1a,b)
• Northern Power Systems (Topics 1a)
• Urban Green Energy (Topic 2b)
CIP Request for Proposals Closed February 25th, 2015. 8 Proposals Received.
5 | Wind and Water Power Program
eere.energy.gov
Competitiveness Improvement Project
Round 1 Projects
6 | Wind and Water Power Program
eere.energy.gov
Small Wind Turbine Certification
CIP Supports Previous DOE Investment to Establish Certification Framework
Standards
Test Facilities
Certified Small Wind Turbine Model
Ratings
Bergey Windpower
Excel 6
SWCC
9920 kWh
47.2 dB(A)
5.5 kW
Bergey Windpower
Excel 10
SWCC
13,800 kWh
42.9 dB(A)
8.9 kW
Endurance S-343
SWCC
8,910 kWh
46.4 dB(A)
5.4 kW
Kestrel e400nb
SWCC
3,930 kWh
55.6 dB(A)
2.5 kW
KW6
SWCC
8,950 kWh
43.1 dB(A)
5.2 kW
Osiris 10
Intertek
23,700 kWh
49.4 dB(A)
9.8 kW
Sonkyo Energy
Windspot 3.5
Intertek
4,820 kWh
39.1 dB(A)
3.2 kW
Sumec Hardware &
Tools Co
PWB01-30-48
Intertek
2,920 kWh
41.1 dB(A)
1.2 kW
Sumec Hardware &
Tools Co
PWA03-44-48
Intertek
6,400 kWh
40.9 dB(A)
3.2 kW
Sumec Hardware &
Tools Co
PWB02-40-48
Intertek
4,660 kWh
36.9 dB(A)
1.7 kW
Sumec Hardware &
Tools Co
PWA05-50-280
Intertek
9,240 kWh
42 dB(A)
5 kW
Xzeres Wind Corp
442SR
SWCC
16,700 kWh
48.5 dB(A)
10.4 kW
Xzeres Wind Corp
Skystream 3.7
SWCC
3,420 kWh
41.2 dB(A)
2.1 kW
Endurance Wind
Power
Eveready
Diversified
Products
Kingspan
Environmental
Certification Bodies
International Harmonization
7 | Wind and Water Power Program
Osiris Technologies
eere.energy.gov
Certification Outreach
Adoption of distributed wind systems has been hindered by untested technologies, unverified
claims about turbine performance, and high-profile equipment failures.
Certification and quality assurance requirements can help prevent unethical
marketing and false claims, promote solid products, and can be adopted by local planning
officials, utilities, banks, state energy offices, and federal agencies to ensure consumer protection and industry
credibility.
By 2020, DOE’s goal is to increase the number of certified small and medium wind
turbine designs to forty (40).
¾ As of February 2015, thirteen (13) small wind turbine models are fully certified to the AWEA
Standard with power performance ratings, sound level ratings and design and duration test compliance, and 2
medium wind turbine models have certified power performance and acoustics reports from accredited U.S.
certification organizations.
DOE is working to promote certification of distributed wind systems within the
federal government:
¾ Issued a guidance memo to federal agencies encouraging funds be expended only on certified machines.
¾ Provided technical support to Treasury during the revision of Section 48 guidance for small wind.
8 | Wind and Water Power Program
eere.energy.gov
GordonButteWind
NWDistributed&CommunityWindWorkGroup
May6th,2015
GordonButteWind
•
•
•
•
•
•
•
Martinsdale,MT
10MW
SixGE1.5MWSle
ProjectCost $20M
InterconnectwithNorthwesternEnergy
25yearPPA(QF)– NorthwesternEnergy
DevelopmentPartners
¾ErrolGalt– Landowner
¾BryanRogan– “Developer”
Martinsdale
DevelopmentTimeline
2005 2011
• 2005– “Delusion’sofgrandeur”
• 2009– RealityCheck
• 2010– ProjectCompanyformed
– OversightResources,LLC
– 71Ranch,LP
– DAWind,LLC
UniqueFeatures
• Windresource 50%AnnualCapacityFactor
year1
• HandsonOwners– Landowner,Contractor,&
Developer
• Completedonbudgetandaheadofschedule
• 100%MontanaOwnedandOperated(CREP)
• FinancingbyStockmanBank
• CashGrantinsteadofPTC
ExpecttheUnexpected
TurbineTransport
Miscellaneous
BryanRogan
GordonButteWind,LLC
OversightResources,LLC
[email protected]
4065868440
Changing Our Energy Landscape
IInvestor
nvestor P
Presentation
resentation
Our Vision
Provide affordable, clean, wind
energy to millions of rural property
owners nationwide
| Page 2
United Wind:
Award Winning Leadership
2014 Small Wind Leadership Awards From: US Department of Energy, AWEA, DWEA
Russell Tencer, Co-Founder & CEO
• Founder & CEO, Wind Analytics
• Founder & CEO, Parker Boston
• Family Office Fund Manager
Stuart Adler, Head of Projects
• Strategic Purchaser Specialist, Vestas
• Operations Analyst, DHL Express
Brian Asparro, Chief Operating Officer
• CFO, Green Charge Networks
• Director, Moody’s Analytics
• Board Member Ghana Capital Partners
Sarah Gaddis, Head of Marketing
• Marketing Associate, Community
Environmental Center
• Development, EDF
Kyle Andrucyk, VP Finance
• Head of Analysis, United Wind
• Senior Analyst, Wind Analytics
David Arfin, Advisory Board
• VP Strategy & VP Customer Finance,
SolarCity
• Special Advisor, U.S. Dept. of Energy
Jason Kaplan, Counsel & Head of Public Policy
• Associate Attorney, Sahn Ward & Baker
• Law Clerk, General Electric
| Page 3
WindLease™
Savings Start Day One
Customers Can Now Switch to On-Site Wind Energy With Zero Upfront Costs
An Easy Switch to Wind
•
Zero upfront costs
•
Installation & maintenance included
•
Monthly payments less than current utility bill
•
20 year warranty + performance guarantee
Meaningful Customer Savings
•
10% -15% immediate discount on electricity
•
Payment rates are locked in below utility escalation rates
•
Total savings over lease typically 20%+
•
Typically powers 50% - 90% of property energy needs
Savings Over Time
Monthly Lease
Payment
New Monthly
Utility Bill
Customer Energy Costs
Old Monthly Utility Bill
Savings
Savings
Monthly Savings
0
5
10
15
20
Years
| Page 4
WindLease™
Key Customer Terms
Provision
Summary
Term
20 year lease of the small wind turbine installed by UW on the customer’s property
Termination
Hell or high water lease, cannot be terminated by the customer for any reason
End of Lease
Executed lease agreements shall include the following end of lease term options:
• Customer may renew the lease agreement for 10 years; or
• Customer may require the Project owner to remove the system at the Project owner’s expense.
Lessee Obligations
•
•
•
Not repair or alter the equipment without UW’s consent
Not build structures or obstruct wind energy potential in any way
Maintain property insurance (for negligence that damages the turbine)
Lessor Obligations
•
•
•
Insure the system
Repair promise (20 years), Warranty (installation, equipment)
Production guarantee (reimburse production below “threshold” at contractual price)
Contingencies
United Wind may terminate the lease agreement if:
• United Wind cannot find a financing partner for the Lease
• Customer credit is unacceptable
• Building permits cannot be obtained
• Equipment and/or contractors cannot be procured
Ownership Transfer
If the Customer sells his property, the Customer can execute a Transfer Agreement where the new property owner
assumes all of Lessee’s rights and obligations, and where the Customer either:
• Prepays the remaining monthly payments, and UW will continue to honor the terms of the (I&M); or
• Submits the credit of the new owner, if approved new property owner continues to make the Monthly Payments
| Page 5
U.S. Small Wind
Addressable Market 25GW ($25B)
2015 – 2022 Potential Installed Capacity of Small Wind (100kW and below) by U.S. State
Potential Installed Capacity
00-100MW
101
011-250MW
251
511-500MW
500MW+
| Page 6
NY Small Wind
Addressable Market 1.1GW ($1.1B)
2015 – 2022 Potential Installed Capacity of Small Wind in NY State by County
Potential Installed Capacity
00-25MW
2626
6-50MW
5151
1-75MW
7676
6-100MW
| Page 7
United Wind
Contracted Projects in NY State
| Page 8
Contracted Customer Base
Growing Rapidly
We’ve Doubled our Customer Base in the Last Six Months
Customer Sales to Date
•
108 Customers Signed
•
$15.4M (1.9MW) in Signed Contracts
•
27 Total Projects Commissioned
2015 Sales Projections
•
300 Total Customers Signed
•
$35M (4MW) in Total Signed Contracts
•
150 Total Projects Commissioned
Existing Customer Data:
Lease Type
Credit Scores
Customer Type
Zero Down
Agricultural
Partial Prepaid
21%
Fully Prepaid
46%
650-699
7%
10%
Residential
700-749
Commercial
750+
25%
35%
58%
33%
65%
| Page 9
We Use Industry Leading
Wind Analysis Technology
Desktop Site Analysis Tools Deliver Accurate Results in Minutes
•
WindAnalytics™ currently used by NYSERDA and Energy Trust
of Oregon to determine cash grants
•
System uses global network of Automated Surface Observing
System (ASOS) station data, encompassing 6,000 stations
across the US
WindAnalytics land cover classification analysis
•
The data is provided as an hourly average of wind speed and
direction, with typical station record history of 30+ years
•
Software suite accounts for variations in local obstructions,
land cover, and topographical features to determine the wind
profile at a given study site
•
Third party blind tested to 5.6% standard deviation on energy
production including all loss factors
WindAnalytics obstruction analysis
| Page 10
We Lease Best-in-Class,
NYSERDA Approved Wind Turbines
Endurance E-3120
Manufacturer Overview
• Endurance Wind Power
• HQ: British Columbia, Canada
• Founded in 2007
• Production capacity: 1,000+
Turbine Specifications
• 54.8W rated capacity
• SWCC certified
• 11.3 million operating hrs.
• 25 year useful life
• 1,000+ turbines deployed
Bergey Excel 10
Manufacturer Overview
• Bergey Wind Power
• HQ: Norman, Oklahoma
• Founded in 1977
• Production capacity: 2,000+
Turbine Specifications
• 8.9kW rated capacity
• UL, SWCC certified
• 50 million operating hrs.
• 50 year useful life
• 9,000+ turbines deployed
| Page 11
Our Project Costs
Are Falling Rapidly
Cost/W
Our Total Installed Cost Per Watt Has Declined 30% Over A Three Year Period
$12.00
$10.00
$8.00
$6.00
$4.00
$2.00
$0.00
2012
2013
2014
Equipment
2015 (E)
2016 (E)
2017 (E)
Balance of Plan
| Page 12
Streamlined & Safe
Installation Processes Defined
Phase
Installer
UW Guidelines
Frame Agreement
Pre-Qualification
Provide requested information to
UW for certification checklist
• Copies of insurance
• NYSERDA Contract
• Inspection Certificates
Certification Checklist
• NYSERDA Approved
• Minimum SWT Installs for 1
Year
• GL/WC/Equipment Insurance
Not Applicable
Project Award
Execute Frame Agreement to
become eligible for installations
Cannot execute a Frame
Agreement unless Certification
Checklist achieved
Determines “set” pricing for all
Bergey/Endurance installations
Installation
Manage construction process for
installation
• Hire and manage all subs
• Perform all foundation,
electrical, tower erection, and
turbine installation activities
• Procure heavy equipment
• Inspect equipment on delivery
• Maintain up-to-date inspection
and safety certificates on site
UW Quality Assurance personnel
performs at least two (2)
unannounced site visits, during the
foundation pouring, and turbine
erection phases of installation
Installation Warranty
• 5 year warranty on installation
HSE Standards
• Maintain safety plans, access
restriction, certified personnel
at work site
• Acceptance of equipment
upon delivery shifts liability
for defects from UW/supplier
to installer
Commissioning
•
UW Quality Assurance personnel
reviews third party electrical
inspection report for fleet
consistency
•
•
Manage application process for
Manufacturer’s warranty
Manage utility interconnection
process
•
Comply with Manufacturer’s
commissioning requirements
Cure any defaults identified
prior to awarding warranty
| Page 13
Operations & Maintenance
Processes Well Defined
Phase
Service Provider
UW Guidelines
Frame Agreement
Inspections
Make work site available for UW
and Manufacturer inspections
Project Site Checklist
• Permit inspection
• HSE visual inspection
• Equipment damage check
First required inspection (from
Manufacturer) is part of each
installation
Scheduled Maintenance
Perform scheduled maintenance
as required by the
Manufacturer’s Owner’s Manual
Execute an O&M Frame
Agreement prior to conducting
scheduled maintenance
Annual/Bi-annual maintenance of
tower, turbine, and inverter
Unscheduled Maintenance
Perform unscheduled
maintenance in conjunction with
the Manufacturer’s guidance
Execute an O&M Frame
Agreement prior to conducting
unscheduled maintenance=
Confer with Manufacturer prior
to performing any unscheduled
maintenance
Customer Billing & Collections
Perform credit checks, billing,
collection and tier 1 customer
service and support
Define and approve customer
communication protocols
Compliance with applicable
consumer lending and
confidentiality regulations
| Page 14
Our Projects Deliver
Competitive Unlevered Yields
Year
Lease Rentals
State Rebate
Operating
Expenses
Pre-Tax Cash
Investment
Developer Fee &
Interest
Tax Benefits
Taxes Owed
Post Tax Return
Cumulative Post
Tax Return
0
$0
$24,960
$0
($42,240)
($64,000)
($3,200)
$0
$0
($42,240)
($42,240)
1
$1,545
$13,440
($424)
$14,465
$0
($96)
$35,965
($15,548)
$34,883
($7,357)
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
TOTAL
$1,575
$1,605
$1,636
$1,667
$1,699
$1,731
$1,765
$1,798
$1,833
$1,868
$1,904
$1,940
$1,978
$2,015
$2,054
$2,093
$2,134
$2,174
$2,216
$0
$37,230
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$38,400
($774)
($424)
($788)
($424)
($803)
($424)
($1,234)
($424)
($834)
($484)
($911)
($484)
($928)
($484)
($1,384)
($484)
($964)
($484)
($484)
$0
($13,644)
$705
$1,085
$751
($8,453)
$896
$1,307
$531
$1,374
$999
$1,384
$993
$1,456
$1,050
$1,531
$670
$1,609
$1,169
$1,690
$1,732
$0
($15,294)
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
($64,000)
($96)
($96)
($96)
($9,696)
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
($13,280)
$6,032
$2,757
$1,654
$1,489
$869
$124
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$48,891
($315)
($466)
($334)
($490)
($353)
($516)
($208)
($542)
($393)
($546)
($391)
($574)
($413)
($604)
($263)
($635)
($460)
($667)
($683)
($147)
($24,546)
$6,421
$3,377
$2,072
($7,454)
$1,412
$916
$323
$832
$606
$838
$602
$882
$636
$927
$407
$975
$709
$1,024
$1,049
($147)
($936)
$2,441
$4,513
($2,941)
($1,529)
($613)
($290)
$542
$1,148
$1,986
$2,588
$3,470
$4,107
$5,034
$5,441
$6,416
$7,125
$8,149
$9,198
$9,050
Post-Tax IRR
$9,050
11.50%
| Page 15
PERMITTING OF
DISTRIBUTED WIND SYSTEMS
WHY FOCUS ON PERMITTING?
• “Neartermpolicybarrier:restrictivezoning”and“nearterm
policyaction:developmodelzoningordinancesandblueprint
templatesofzoningregulations”
AmericanWindEnergyAssociation,SmallWindRoadmap,2002
• “Inthenearterm,permittingisaverysignificantbarrier”
DistributedWindEnergyAssociation,DistributedWindVision2015
• Itcantakemorepersonhourstoobtainapermittoinstall
thanitdoestomanufacture,deliver,andinstallasmallwind
turbine.
• Withover25,000jurisdictionsintheU.S.DWEAestimatesthat
addressingeachzoningordinanceindividuallywouldtake
morethan1millionpersonhoursandcostmorethan$250
million.
PERMITTING IMPROVEMENT TASKS
Researchnationalbestpracticesandtemplates
Createdatabaseofcurrentordinancesinwindy
countiestoidentifyareasofimprovement
Modifynationaltemplatesforlocaluse
Implementtemplateslocally
Goal:Astreamlinedpermitprocessfordistributedwindsystemsthatissimple,fast,
andcosteffective,whileensuringsystemsafety.
EXAMPLE: KLICKITAT COUNTY, WA
•
•
•
•
•
EnergyOverlayZonereplacedConditionalUseprocess
CountywidewindresourceandEnvironmentalImpact
Studywithpublicinput
Preapprovedsitesfordevelopers
Permittedoutright:windturbinesupto25kWand120ft
1200+MWwindcapacityadded
PERMITTING BEST PRACTICES
• AWEAModelSmallWindZoningOrdinance
• DWEAModelDistributedWindOrdinance
• ModelWindOrdinancesfromGeorgia,NewYork,Wisconsin,
Minnesota,California,Oregon
• DOEWindEnergyOrdinancesfactsheet
• NACo report:ImplementingWindOrdinancesinAmerica’s
Counties
• PermittingSmallWindTurbines:AHandbook
[email protected]
DifferentRequirementsforDifferentSizes
TypeI
100kWorLess
Distributed
TypeII
Greaterthan100kW
Distributed
TypeIII
WindFarms
CascadeCommunityWind
AllZones
AllZonesExcept
Residential
EnergyOverlayZones
Type II & III
Type I
Max Tip
Height
Tower
Height
Type II & III
Type I
???
OTHER ISSUES
•
•
•
Sound
Aesthetics
DecommissioningRequirements
NEXT STEPS
•
•
•
•
PermittingWorkGroup?
Webinars?
Focusontargetcounties?
Howdowefundthiswork?
))(*,-'#,#+#',
,*#'!
(-,
!"'!'*!
=X\^!_!
`*
^^{
|}'^^!^
~^'!^!^_^'^
'
!^_
‚*ƒ!„^„
"1,,*#'!
†{‡ˆ~‰`‰†""Š^
• ‹}*!'^
\^''}_'
• ^„^„*XŠŠ'^''*
!ˆ^
• †^_^„"!'"^„}
~'
• ‚""*Œ!'X‚`
• }*'"!_^'
.*!%,*##,1,+
Residential
Commercial
Industrial
Census Division
and State
New England
Feb-15
20.72
Feb-14
17.79
Feb-15
17.46
Feb-14
15.95
Feb-15
14.12
Feb-14
13.27
15.86
16.83
13.49
14.63
8.35
8.94
11.4
10.89
9.44
9.17
6.22
6.07
Pacific Contiguous
13.63
12.77
12.37
11.74
7.92
7.86
California
17.18
16.15
14.08
13.23
10.61
10.5
Oregon
10.44
10.23
8.91
8.92
5.82
6.16
8.65
8.67
8.19
8
4.59
4.63
Pacific Noncontiguous
24.91
28.25
22.52
25.59
21.02
26.3
Alaska
19.31
18.71
17.35
16.76
14.59
15.91
Hawaii
30.85
37.11
27.82
34.4
23.7
30.45
U.S. Total
12.29
11.92
10.62
10.67
6.88
7.07
Middle Atlantic
Mountain
Washington
‚†
|
• †^"‘“†‚‘”
Š'^„__^
^^"‡"^
• †‚‘"^
•–—^•–˜™X\
• '“^
'!”^"'
''^!"^ƒš^"^
'^
'*!1','+#.'-+,*1 ,(*+
!"
• `^_!_
• ˆ}“‹„”
•
Œ!_‡^^
#'
• ~„™„„_!_™
• Š!_"^X_^
• "^_!›^
*
• `^^'^^''!^
• "^^
• |^_'X__
•
•
•
•
~^^Š^'
‡Š^'
œ^Š
‰^!!^^
"%%'!+
~ "'„ Œ! „^!'
|'!^!_!^ ^
ˆ^^'† ‚^
#'#+1
+
/:;<=
=>+
=?
@
*!('*($,+
!**#G JN> “‚
ˆ‚”
• |™‹!|'“‰'”
• •ž ‰ •™}''}'^
• ž Ÿ ƒX\™}!
• •– Ÿ –=™X\*
• ~\^!'“ƒ–™”
• |!"^ƒX\!“”
*!('*($,+
UVJN >!YJ “‚
ˆ‚”
• ~^^ _^'^™!X^'"^^*}
‹^^‚“|‡^!}”
• ž‹^‘¡žƒX\
• ‘‡¡•ƒ™}
• *¡•–—ž
• ˜Š~ ‡¡•ƒƒƒ
• \|_¡—–™“ƒ”
• |!"^=X\!
2-**($,#,
(*(*!('
%# (*'#% % *(/*+
‚"" ¢_*^£“''^ž '” "^^„}!_^"¡
‘¡ƒ X\™^
*–¡ •–ž ‰ •–™X\ _^
^'!“†‚‘Š'”
ŠX¡žƒX\
‡¡ • –¤™X\
,"*0&)%+
‹‡^_¥^'œ ‰ œ^„‡
_¡™™–^_–^™„X™‘–|–¦‹¦‡^_¦¥^'¦œ
•
•
•
•
~‹‡^__^'
ž–ƒ‹\†!
¤ ‹\™}^!_!
•ƒžƒ™}}*
?
‰ §'^*‡
_¡™™–^_–^™„X™§'^*¦\¦Š^'
= §'^*‡
_¡™™–^_–^™„X™‡{¦*¦Š
-*,"*('+#*,#('+
ž–‹^
¨ ©_„'!__^'^^^"!_"'
¨ ‹!'^!^!_^_
–§!‰‹™\Š^„
¨ !!^"„}"^"'}
¤–`"ª^!œ!`†}\‡^
¨ *^_‰_^'~`|†^'*^_
–†Š}‚„_™¥
¨ ©_"!"^_^'"'
¨ †‚‘Š'_'
ƒ–‡!'^
¨ `'^_^}™^^_X
(',,
«^œ^_
œ!*^_\‘|
–^_¬„'„–'^
ƒ¤‰ž‰ ¤_^
\†'*\†!
„„„–„'„–'^