Solar Energy Overview
Overview of the technology, benefits, as well as technical
and financial project considerations for photovoltaic
systems.
Prepared by: Prime Solar, LLC t/a Prime Solar Network
Solar Energy Overview
What is Solar Energy?
 Solar energy is derived from solar radiation.
 Technology to harvest solar energy comes in many forms
• Photovoltaic systems (Provides electricity)
• Solar thermal (provides space heating or hot water)
• Concentrating solar systems.
This presentation focuses on solar photovoltaic
systems………..
Solar Energy Overview
An Illustration of a
Solar Voltaic System :
1: Solar panels
2: Inverter
3: A Bidirectional Electric
Meter
4: Home Electricity Use
5: Utility grid.
Solar Energy Overview
Solar Photovoltaic Elements from Previous Slide
 1: Solar panels: Collect the sun’s energy and covert it into direct
current (DC) electricity. The number of panels you need is determined
by your electricity needs.
 2: An inverter: Converts the electricity from DC to alternating current
(AC) electricity for use in your home.
 3: A bidirectional electric meter: Displays net power usage. When
you generate more than you use, your meters spins backwards lowering
your electricity bills. When you generate less, it spins forward but more
slowly than it would otherwise.
 4: You produce your own electricity to be used throughout your
home
 5: Utility Grid: All excess electricity generated by system goes to
Utility Grid.
Solar Energy Overview
What factors can affect electricity production?
 Orientation – A tilted (40 deg. typical, but depends on
location) , south facing orientation is best for fixed systems
 Location (in the US, the Southwest is the best)
 Temperature (lower is better)
 Shadowing (no shadows best)
 Cleanliness of panels (dirt on panel impedes sunlight)
 Inverter efficiency
 System age (systems degrades but typically at < 1% per
year)
 Wiring and other electrical losses (typically 3%)
Another Illustration of a Typical Solar Home System
1. Solar PV Modules
2. Inverter
3. In home Monitoring System
4. Utility net meter
Solar Energy Overview
Type of Solar System Roof Mounting:
Flush Mount
Solar Energy Overview
Type of Solar System Roof Mounting:
Angle Mount
Solar Energy Overview
Type of Solar System Roof Mounting: Fin
Mount
Solar Energy Overview
Type of Solar System Mounting: Ground
Mount
Solar Energy Overview
Type of Solar System: Tracking System
Solar Energy Overview
Reasons to Consider a Photovoltaic System
 Federal and State governments offer considerable
subsidies to offset cost of system.
 Incentives span small residential systems through large
commercial power plants
 Systems typically offer 25 years of energy production.
 Protect against rising electricity costs.
 Offers the ability to reduce or completely eliminate electric
bills
 No emissions
 No fuel required
 Many project have excellent payback profiles
Solar Energy Overview
How does one determine if a project is viable for a
residential or commercial situation? 3 key steps are
usual
 Perform technical evaluation
 Perform financial evaluation
 Obtain a detailed cost estimate based on design
options and available financing.
 With Prime Solar, you get a report with many
estimates from installers and multiple materials
options
Solar Energy Overview
What typically determines a viable solar project?
(Cont’d)
 Step 1 (Commercial only): Technical Evaluation: Perform
assessment on site proposed for solar PV system. Key
aspects include:
• Area of roof or area proposed for system
• Structural
• Solar intensity for location
• Interconnection
• Panel manufacturer and technology (determines efficiency)
• Possible power output vs. desired output
 Key goal for Step 1 (commercial) is to estimate power
production and assess any site specific issues, if any.
Solar Energy Overview
What typically determines a viable solar project?
(Cont’d)
 Step 1 (Residential only): Technical evaluation: Perform
assessment on site proposed for solar PV system. Key
aspects include:
• Adequate roof area
• Solar intensity for location
• Panel manufacturer and technology (determines efficiency)
• Possible power output vs. desired output
 Key goal for Step 1 (residential) is to estimate power
production over a defined time frame, and any site specific
items to be addressed.
Solar Energy Overview
What typically determines a viable solar project
cont’d?
 Step 2: Financial Evaluation (valid for both Residential and
Commercial):
• Determine cost of installation
• Determine maintenance and recurring costs
• Determine revenue from electricity and renewable energy credit
(REC) sales
• Determine credits and tax benefits from federal and state
subsidies.
• Develop a financial model of project and calculate payback time
and Return on Investment (ROI)
 Key goal for Step 2 is to calculate a ROI and/or payback
period, targeting 5-15 years depending on the system and
state, which is comparable or less than the fully financed
costs of the system on a monthly basis.
Solar Energy Overview
Cost is part of Financial Evaluation but what
typically determines a project cost?



Materials:
• Solar Panels
• Racking and mounting system(s)
• Inverter
• Net meter
• Wiring
Labor
• Design
• Permitting
• Installation labor
Other
• Land (utility grade commercial only)
• Tracking system (commercial only)
Solar Energy Overview
If a project appears viable, what next?
 Proceed with our Client Services Agreement so we can have
installers perform an evaluation on site and develop a more
detailed scope, technical, cost, and schedule estimates
which will be contained in our Report.
 Obtain financing options from our varied sources
depending on the type of installation, location and client
credit and/or property equity details.
 Select from Installer and Materials options presented in our
Report and proceed with a wise fiscal decision as you play
your part as a great green citizen.
Solar Energy Overview
How does one perform the technical and
financial evaluation?
 Resources such as PV Watts (tool to analyze power output)
are available from the National Renewable Energy
Laboratory
 RETScreen from Natural Resources Canada can be used for
financial analysis and power output calculations
 Google maps, Roofray, Roofwalk and other resources are
available to calculate areas for proposed system locations
 DSIRE web resources from the US Department of Energy
show state by state and Federal incentives
Solar Energy Overview
But isn’t the technical and financial
evaluation difficult to do?
 Yes, somewhat - use of the tools does require training and
personnel that are knowledgeable in solar PV technology
How can Prime Solar Network help?
 Prime Solar Network has personnel available to do these
analyses(and large PPAs) and send a Remote Cost Benefit
Analysis for any given project.
 See Remote Cost Benefit Analysis samples for residential
and commercial projects and our Free Quote Policies
 If the project is viable, Prime Solar can help you with our
Client Services Agreement, positioning our experts to
competitively bid the project to obtain multiple defined
options and terms
Solar Energy Overview
Contact Information:
Prime Solar, LLC
823 West Park Avenue, #256
Ocean, NJ 07712
[email protected]
Solar Energy Overview
Sources:
www.pvwatts.org
www.nrel.gov
www.aessolarenergy.com
www.doe.gov