Download - DC SUN - DC nonprofit solar bulk purchase
2012 DC Nonprofit Solar
Bulk Purchase
1. DC Solar United Neighborhoods
2. About 2012 Solar Bulk Purchase
3. Looking For More Participants
4. Benefits Of A Bulk Purchase
5. Two Financing Options
6. Pros & Cons of Financing Options
7. Flexibility Of PPA Option
8. How The Process Works
9. Next Steps
10. Important Internal Decisions
11. Questions?
1. Umbrella organization for 11 solar coops in DC
2. Provides information, support, & connections to expedite the solarization process
3. Helps nonprofits use solar power to reduce utility bills & increase mission-based spending
Making solar affordable and accessible for all of DC
Contact | [email protected] | http://www.DCSUN.org
Florida Avenue Baptist Church’s Rev. Earl Trent
What is a Bulk Purchase?
1. Group of nonprofits collaborates to acquire solar PV systems
2. Collaborative pre-installation process supported by DC SUN
3. Single installer
4. Each participant receives its own system, and creates its own unique financing package
Potential Participating DC Community OrganizationsInclude:
1. THEARC
2. Bread for the City
3. Center of Concern
4. Georgetown Day School
Looking for other interested organizations
Save Money
Ability to utilize economies of
scale
Greater competition
between developers
More negotiating
power
Easier Implementation
Process
Guidance from DC SUN & other
organizations
Collaboration through support network of other
Bulk Purchase participants
More Fundraising
Opportunities
Larger projects
attract press and donors
DC SUN will supplement fundraising
efforts
1 2 3
Nonprofits negotiate a bulk purchase of a solar PV system. Eachnonprofit pays for its respective portion of the system, and, inexchange, retains 100% ownership of (1) the solar system, (2) thepower the solar system installed on its property produces, (3) the SolarRenewable Energy Certificates (SRECs) that correspond to thatrenewable energy production, & (4) all other corresponding incentives.
Full Purchase
A project developer pays for, owns, and maintains a solar PV system foreach participating nonprofit. In exchange, (1) the nonprofits pay apredetermined, discounted rate for all power produced by the systemthroughout the life of the PPA contract, and (2) the project developerretains 100% ownership of all incentives associated with the purchaseof the systems.
Power Purchase Agreement
(PPA)
Full
PurchasePros
1. Substantial & immediate savings on energyexpenditures
1. Organization retains ownership of SRECs& all other incentives associated with solarsystem installation & renewable energyproduction
Cons
1. Significant upfront costs
1. Depending on tax appetite, variousincentives might be left on the table
1. Organization is responsible for generalmaintenance & upkeep of the solar system
Pros1. Little to no upfront costs
1. Low risk
1. No incentives are left on the table
1. Organization is not responsible for generalmaintenance & upkeep of the solar system
Cons
1. Limited annual energy expendituresavings
1. SRECs and all other incentives associatedwith solar system installation & renewableenergy production below to the developer
PPA
1. Regular PPA - $0 upfront, higher monthly $/kWh
2. Prepaid PPA – Pay $ upfront for lower monthly $/kWh
The more money prepaid, the greater the savings:
8-Step Process1. Sign up at http://bitly.com/bulkpurchasesignup
2. Attend an informational meeting on Monday, April 23rd
from 12:00 – 1:30 PM
3. Sign a Letter of Intent by Friday, May 25th stating yourorganization would like to be included in the DC SUN 2012Solar Bulk Purchase
4. DC SUN will solicit bids on behalf of the group
5. Collaboratively review bids & select best option
6. Develop & implement a fundraising campaign
7. Sign an individual contract with chosen installer & havesystem installed
8. Celebrate & spread the word
Deadline Decision
Today – April 23
As an organization, discuss:1. Intent to implement a solar system2. Preference for full purchase or PPA3. What amount of capital, if any, your organization is
willing and able to pay upfront
April 23 Attend informational meeting from 12:00 – 1:30 PM
May 25 Sign a “Letter Of Intent”
May 26 – June 8 Develop and initiate a fundraising strategy
June 29 DC SUN issues RFP on behalf of Participating Organizations
July 21 Review bids and select best proposal
1. Roofing – How old is your roof? What material is it made
of? Are there any structural or shading issues with yourroof?
1. Decision Makers – Who in your organization will have
to give the final “OK” on this kind of project? Who will bethe primary contact for information about the project?
1. Capital – Does your organization have capital that it is
willing to commit upfront to this project? Are youinterested in putting together a fundraising campaign, incollaboration w/ DC SUN, to reduce the overall cost of theproject?
Questions?
For more information visit: https://sites.google.com/site/dcsolarunitedneighborhoods/key-issues-and-committees/2012-
nonprofit-bulk-purchase
Energy Expenditure
Savings
Visualization of Energy Expenditure Savings
Pros
Cons
|
|
(1) Substantial & immediate savings, (2) ownership of SRECs
(1) Significant upfront costs, (2) tax-based incentives left on table,(3) responsible for upkeep
Energy Expenditure
Savings
Visualization of Energy Expenditure Savings
Pros
Cons
|
|
(1) Little to no upfront costs, (2) low risk, (3) not responsible for upkeep
(1) Limited annual savings, (2) incentives go to developer