Considering a Community Solar Program for Grafton Presentation

Considering a Community Solar Program for Grafton Presentation to the Board of Selectmen December 1, 2015

Introductions • Who we are… – Troy Herrod, District Sales Manager – Artie Crocker, Solar Consultant – Jill Appel, MA Director of Community Programs Confidential and Proprietary—Do Not Distribute 2

Meeting Agenda • What’s up with solar in MA? • What are community solar programs? • What are their benefits? • Why run one in Grafton? • Why work with Direct Energy Solar? • How should we move forward? Confidential and Proprietary—Do Not Distribute 3

MA Solar Transformation Confidential and Proprietary—Do Not Distribute 4

MA Solar Transformation Confidential and Proprietary—Do Not Distribute 5

Why Has MA Become a Solar Leader? • A state goal for • solar power (1600 MW by 2020) • High electricity prices • Falling equipment prices • “Solarize” programs Confidential and Proprietary—Do Not Distribute 6 State and federal incentives – Federal tax credit – State tax credit – Net metering – SRECs (Solar Renewable Energy Certificates)

What is a Community Solar Program? • It’s not a community-SHARED solar program. • Basically it’s group purchasing of solar. • A community education and outreach campaign aimed at increasing solar adoption. • Includes a tiered pricing structure which lowers the cost for everyone as more people sign up. • Also includes a community benefit based on results. • Adopted by the MA Clean Energy Center as the Solarize Mass program in 2012; communities have run own programs since 2013. Confidential and Proprietary—Do Not Distribute 7

Community Solar Program Results • Between 2012 and 2014, the average purchase price was ~20% lower than the market price. • 38 of 46 communities in Solarize Mass doubled the amount of solar in their communities. • More than 2, 500 residents and business owners have contracted through Solarize Mass for over 17 megawatts in new solar power. Many communities are now running their own programs. Confidential and Proprietary—Do Not Distribute 8

Communities with Solar Programs Confidential and Proprietary—Do Not Distribute 9

Communities Running Own Programs • • Concord Ashland Franklin New Bedford • Dartmouth • Natick Confidential and Proprietary—Do Not Distribute Reasons communities run their own programs: • Community is not eligible for Solarize MA program. • Community wants more control over program process and timing. • Community is comfortable with managing its own program. 10

Concord Solar Challenge Results Timing: April to July 31, 2013; extended to October 31 Results: • 550 homeowners signed up for a free site survey (10% of households) • Previous solar installations = 30 • 160 homeowners signed contracts for 1. 3 MW in added solar power (500% increase) Confidential and Proprietary—Do Not Distribute 11

Why Run a Program in Grafton? • Good number of previous solar installations: ~275 • Number of potential new installations: 100+ 5, 867 households with 7% install potential Small commercial? • Prominent solar systems such as the one at Grafton High School • Environmentally-conscious town • Active community with many organizations, volunteer groups, etc. • Significant savings will benefit residents Confidential and Proprietary—Do Not Distribute 12

Why Now? • Prices are good; better with group pricing • 30% federal tax incentive expires in 2016 • Financing options available to enable more homeowners to participate • Great financial return (>15% annually; payback periods in 4 to 6 -year range for good sites) • Less optimal sites still a good investment • Positions homeowners for electric vehicles and heat pumps, moving away from gas and oil • A tremendous benefit to your community Confidential and Proprietary—Do Not Distribute 13

What would a Grafton program look like? • Grafton selects Direct Energy Solar as its installer partner. • Direct Energy Solar agrees to give a group price discount on solar to residents. Pricing is tiered – the price goes down for everyone as more people go solar. • Grafton in turn agrees to do significant outreach to generate “leads”. • Direct Energy Solar helps lots of people go solar. • Limited timeframe (usually 6 months) for the program moves people to make decisions more quickly. • Local Solar Coach helps promote program and is a resource for homeowners. Confidential and Proprietary—Do Not Distribute 14

Who is Direct Energy Solar? • Started as Astrum Solar in MD in 2008 • Focused on excellent customer service and grew rapidly • Early and regular participant in Solarize Mass program • Became Direct Energy Solar in 2014 • Employ over 200 people in Massachusetts; local office in Hopkinton • Specialize in community solar programs • Our approach is to be Simple, Friendly and Direct Confidential and Proprietary—Do Not Distribute 15

DE Solar Experience in Community Solar • Across Solarize Mass programs, >2500 systems have been contracted. • DES has sold more than 25% of these systems. • Solarize PAB still underway, now at 110 systems sold. Confidential and Proprietary—Do Not Distribute 16

Why work with Direct Energy Solar? • The most experience in community solar programs • Highly successful programs • Extensive marketing support • Lots of information to local team to monitor progress • Professional and consultative sales team • High-quality installations quickly • Capacity to handle significant volume • We delight our customers Confidential and Proprietary—Do Not Distribute 17

Q&A and Next Steps Confidential and Proprietary—Do Not Distribute 18

THANK YOU!