Friday, November 30, 2012

PACE + FHA loan Guarantee = FPO

Who Needs Third-Party Finance? Loan Programs Offer Low-Cost Direct Ownership Opportunities.

After reading this article I couldn't help but think... Why not combine these FHA loan guarantees with a PACE loan? This would certainly satisfy those meshuggeners at Freddie and Fannie right? And you're actually using the FHA program for its intended purpose more or less right? Seems worth a shot.

Do we have to wait for Solar City's IPO to bomb before the get on with fixing PACE? That seems to be the case. If only the DOJ would indict the TPO shmucks. That would send the rats packing.

Economics of Photoelectricity - December 2012

The Wolves pursuing Sol and Mani
EPE Update - December 2012

  • Expanded kWh/kWp tables
  • Harmonized Capacity Tables
  • Streamlined Calculator and Help Section
  • Fixed Italian FiT tables and Malaysia to FiT tables
  • Added some Transmission Capacity stats
  • Added Assumption Sets for coal, natural gas and nuclear
  • Added a table of regional coal energy densities (US, Australian, South African etc.)
  • And lots more...

Thursday, November 29, 2012

Daylights, Nightlights and LEDs

  • According to the EIA, lighting accounts for about 10% of residential electricity use (It's actually 9% to 14% depending on the document). I'm always thinking about self-consumption so my quesiton is... what percentage of this lighting occurs during daylight? I would SWAG for an average distribution of 25/75 to 33/66 day to night.
  • Why SWAG when you can model? I added a few lines of code to PEPE just now that allows me to estimate the amount of lighting demand in dark vs. sunny hours. Initial results indicate that about 75% of lighting demand occurs when the sun is down compared to 25% when the sun is up. This is only an initial result but I'm going to roll with it.
  • If LEDs reduce electricity used for lighting by 50% then the share of lighing in overall residential electricity demand goes from 10% down to 5%.
What does it mean for photoelectrics? Here's a basic sketch.

Pre-LEDs Conditions.
Overall household electricity demand is 100 kWh/year.
Lighting demand makes up ~10 kWh/year. 2.5 kWh during daylight and 7.5 kWh when dark
Self-consumption rate = 50% = 50 kWh/year

Post-LED Conditions.
Overall household electricity demand is shifted down to 95 kWh/year
Lighting demand makes up 5 kWh/year. 1.25 kWh during daylight and 3.75 kWh when dark. If you assume a worst case scenario 1.25 kWh decrease in daytime self-consumption due to the lost daytime lighting load your total consumption goes down to 48.75 kWh/year but your self-consumtion rate actually climbs to a smidge over 51%.

This is obviously only a sketch based on a preliminary simulation but caveats aside the results show that LEDs will positively complement photoelectrics in a non-negligible way. For me this means PEPE would be improved by adding a few lines of code that simulate how lighting stocks will/can/could change over the lifetime of the modeled photoelectric system. How many dollars is it going to add up to? All by itself it's not much but a little here and a little there adds up.

Tuesday, November 27, 2012

Subsidies, HUH, Good God Ya'll... What are they good for?

Edwin Starr
Here's a quote from an article I've just read.
I actually did my homework on the subject more than three years ago and chose a 27-panel (3.9 kilowatt) system for my home in the Ojai Valley.
The total upfront cost was $31,000. I reaped $7,500 in federal tax credit with another Southern California Edison $7,500 rebate in the first year. That left me with a total cost of $16,000 installed.
The math... $16,000 after subsidies for a 3.9 kW system works out to about $4/Watt. The Australians, Germans, Flemish, Brits and Italians are currently paying $2 to $3/Watt for unsubsidized photoelectric systems. If Michael from Ojai was willing to pay $4/Watt for a system you'd have to think he would certainly buy again at $2 to $3/Watt. I'd argue that he'd be even prouder of his system for having bought it himself without the aid of Uncle Sam.
The subsidies that Michael took advantage of were training wheel mechanisms that are no longer necessary. The investment has been made and it's paid off. The first movers took the subsidies and the risks of investing in a new technology. The new technology is now a strapping young lad who is ready to go out into the world and prove himself. The First War is won... The Second is coming.

 
The NFL refs and TRON guys ain't got shit on Edwin.

PEPE Updates

  • Added weather data from NASA for Monthly Average Temparature, Windspeed and Insolation. I cross referenced the data against a UN LOCODE database to eliminate Data from uninhabited areas. This filtering shrunk the weather database down to about 5 MB.
  • Yesterday I wrote some water heater energy demand simulation code. The algorithm starts with a water mains temperature simulation that's based on an NREL paper. On top of this sits an EPRI/LBL algorithm that uses household characteristics to statistically estimate daily water demand. Daily water demand, coupled with mains temerature is then used to estimate daily electricity use for water heating. The results are within 10% of where you'd expect them to be... Score...
  • Started conceptual work on an energy management algorithm. At this point I'm probably only a few hours from having an initial result to a project which has been years in the making.

Hawaii is Given'er

Code Changed to Ease Permitting of Photovoltaic Systems