What’s the escalation rate on your PPA?

Posted by proadmin on Jun 1, 2010 5:44:07 AM

picture-7-300x176Recently a customer had us model the energy production and financial return for a new 2MW cogen system at their manufacturing site in the United Kingdom.

Our analysis considered their contract cost for kWh and natural gas, the system’s energy production in kWh and therms, its full installation and annual maintenance cost and their UK tax benefits, including a reduced carbon tax from the UK’s Carbon Reduction Commitment.  All in, the capital investment had a simple payback of 2.3 years.

When we built the system’s 10 year PPA model there was one big question – what escalation rate for kWh and gas should we use?

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Topics: escalation rate, cost of electricity, PPA, Solar PV, escalator, United Kingdom - carbon tax, energy contracts, Combined Heat & Power, Power Purchase Agreement, Energy Cost

SolarTech Conference – coupling Solar PV and Energy Efficiency?

Posted by proadmin on Apr 21, 2010 10:59:20 AM

screen-shot-2013-03-05-at-11-37-39-amToday I’m attending and speaking at the SolarTech Conference in San Ramon, CA.

The  conference format broke the day into working sessions covering all major areas relating to Solar PV:  permitting, finance, installation, interconnection, and a new one for the market – energy efficiency (which I’ll come back to later).  At the end of the day, the entire audience voted on the key initiatives for each of working session and these rankings become the basis for 2010 SolarTech working agenda.  Makes great sense.

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Topics: Property Assessed Clean Energy, PPA, Solar PV, energy audit, Power Purchase Agreement, PACE, whole building assessment, Clean Energy grants