What is K-Solar - Wappingers Central School District · SolarCity Confidential Slide 1 What is...

SolarCity Confidential Slide 1

What is K-Solar • A joint project of the New York Power

Authority (NYPA) and New York State

Energy Research and Development

Authority (NYSERDA)

• Provides NYS schools districts with

the tools and expertise to bring solar

energy to their facility and reduce

their energy costs

• Allows Schools a legal procurement

vehicle leverage for “going solar”

today

• SolarCity is K-Solar’s approved and

preferred provider. Selected through

a competitive RFP process among

numerous large solar providers

• 2 step process over 1 year of qualifying

bidders on financial and technical

capabilities, understanding of market,

ability to operate and maintain scale of K-

Solar program

• Allows District to move forward today,

without need for your own resources to run

a RFP.

• Aggregated portfolio pricing

• Standardized contract reviewed by

NYSERDA, NYPA, NYSED

• Streamlined NYSED permitting for

K-Solar projects only

• K-Solar educational curriculum

• NYPA as trusted advisory role

• Energy Production and Price

Guarantees

Benefits


K-Solar Educational Package

Solar curriculum educational materials

Professional development workshops for teachers

Sustainable Schools Network membership

Toolkit

Web access to monitoring


The national leader in clean

energy services

‒ 189,000+ customers

‒ 1,700+ commercial solar

projects

‒ 1000+ MW deployed

‒ Serving 17 states nationwide—

AZ, CA, CO, CT, DE, HI, MA,

MD, NJ, NM, NV, NY, OR, PA,

TX, WA— plus Washington DC

and Puerto Rico

14,000+ Employees

Raised funds sufficient to finance more than $8 billion in solar

projects

Publicly traded company since December 2012 (SCTY)

SolarCity Overview


SolarCity in New York

Six (6) Regional Warehouses

Albany (2)

Elmsford

Long Island (2)

Orange County

>700 Employees

Serving

‒ Residential, Commercial, Municipal, Educational Markets

SolarCity Buffalo Solar Panel Manufacturing Plant: under

construction – fully operational 2017. Largest solar panel

manufacturing operation in Western Hemisphere


SolarCity simplifies project development for you by providing a complete, turnkey approach.

We offer customers a fully integrated, turnkey solution so they don’t have to manage any aspect of

development. Relying on our in-house capabilities ensures the highest level of quality, safety and

efficiency.

NY Policy and the “PPA”


Solar Overview

1,000 Watts (W) = 1 Kilowatt (kW). 1,000 kW = 1 Megawatt (MW)

Average solar panel is 275 W and 3’x5’ in area

Average residential solar system is 5kW (18-20 panels) – Typically Roof Mounted

Small/Medium commercial systems range from 50-500 kW – Roof or Ground Mounted

Large commercial systems range from 500kW to 2 MW – Typically Ground Mounted

1 MW = 4-5 acres (apprx.)

1 MW will produce approximately 1,200,000 kilowatt-hours (kWh) annually

Average NY homeowners consumes approximately 7,000 kWh per year


2 Ways to Meter The System in New York

Traditional Behind the Meter Model

3, 4, 5, … 2 1

• Offset energy where it is used

• Large, flat rooftops

• Available land adjacent to facilities

• Offset any number of aggregated meters

• Use available land (nonadjacent to energy needs)

• Economies of scale design & construction

Solar

Solar


NY Incentives – MW Block Program

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‒ Statewide solar incentive program administered by NYSERDA

‒ First-come-first-serve application process with declining incentives. Once a block capacity

is hit, incentive levels drop, solar PPA rates increase.

‒ MW = Megawatt (unit rating of electric generation capacity). 1MW = 1,000 kilowatts (kW)

‒ ROS = Rest of State (all areas outside of ConEdison Utility Territory)


SolarCity installs & maintains a solar system on your site

– You simply “host” the system and only pay for the electricity you produce and use

No upfront cost and immediate payback

– SolarCity can fully leverage gov’t incentives and depreciation which you may not

qualify for on your own. This lowers the overall PPA price.

Reduced electricity costs

– New lower utility bill + PPA payment < old utility bill

Lock in electricity rates for the next 20 years

– Protect against utility rate escalation and uncertainty

End of Term

– Renew the PPA

– Purchase the system

– Have it removed at SolarCity’s cost

How a Power Purchase Agreement Works


PPA Contract Considerations

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Follows NYS Energy Law Article 9 (Energy Performance Contracts) Permitting School/Board to enter into 18-year contract

Conditions to be met Prior to Your Obligations After contract signing only SolarCity incurs costs

Confirmation of NYSERDA incentive award

Interconnection feasibility study and approvals with NYSEG

Land-Use/Environmental (SEQR) investigation, due diligence, and approvals with Lead Agency

Early Purchase Option – School has option to purchase the system during term of PPA and take full ownership. This cost equates to discounted

value of the future cashflows remaining in the contract term.

Assign the Agreement – With prior notice and agreement School may assign PPA to willing third party with equal or better credit (e.g., another

school or municipality)

Termination of Agreement – If School needs to terminate the PPA prior to the end of the agreement a termination payment is made. The termination

payment represents the discounted future energy payments remaining in the outstanding PPA term.

Relocation of System – During the term you have the option to relocate the system to new location in the same utility territory or in area with similar

solar insolation and incentives. School pays for cost of relocation, SolarCity performs work.

End of Term – End of initial contract term there are 3 options:

1) Renew the PPA at new negotiated rate

2) Purchase the system at Fair Market Value

3) Have the system removed from property at SolarCity’s cost


Technical Summary

Site Size

(kW DC)

Est. Year 1

Production (kWh)

Offset % of Total District

Need

Solar Cost of

Energy ($/kWh)

First Year

Savings 18 Year Savings*

Brinkerhoff ES 267 kW 298,000

41%

James S. Evans ES 167 kW 186,000

Oak Grove ES 223 kW 249,000

Roy C Ketcham HS 636 kW 710,000

Van Wyck Jr. HS 535 kW 597,000

Vassar Rd ES 223 kW 246,000

2,051 kW 2,317,220 kWh

Number of School Utility Bills

Reviewed Existing Combined Energy Need

Apprx. Average Cost of Energy

($/kWh)

17 5,676,685 kWh $0.085

Roofs with >20 years of life remaining on Warranty

Available Ground Area (use Remote-Net-Metering)

Site Size

(kW DC)

Est. Year 1

Production (kWh)

Offset % of Total District

Need

Solar Cost of

Energy ($/kWh)

First Year

Savings 18 Year Savings*

Rt. 52 & Merritt Blvd. 2,624 kW 3,540,824 kWh 62%

A combination of Ground and Roof has the potential too offset 100% of the District’s energy needs


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Ground Mount – Rt. 52 and Merritt Blvd.


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Brinckerhoff ES


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James S Evan ES


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Oak Grove


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Roy C Ketcham HS


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Van Wyck JHS


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Vassar HS

What is K-Solar - Wappingers Central School District · SolarCity Confidential Slide 1 What is...

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