Thursday, January 19, 2012

Solar Incentives: Helping Education and the Environment

Todd Johnson

Can the installation of solar energy help pay teachers and directly support our children’s education? According to a recent report by CCUSD’s Environmental Sustainability Committee (ESC), the answer is a clear yes! The report, titled “Leveraging Solar Incentives,” examines how using California Solar Initiative funding to bring solar energy to Culver City’s schools not only benefits the environment, but will add millions of dollars to the District’s unrestricted general fund, which can be used for teacher salaries and other educational expenses.

The district faces significant budget cuts, which affect the quality of educational services and teacher pay. However, the district has access to capital improvement funds, which can only be used for construction-related capital projects. Solar energy is one of those capital investments, but one that will generate additional funding for the district, through energy cost savings and rebates that comes with a legally binding performance guarantee so we can be assured savings, which can then be allocated to the unrestricted general fund.

Many California school districts already benefit from solar energy. In order to assess the merits and drawbacks of solar energy use at CCUSD, The Environmental Sustainability Committee sought the assistance of KyotoUSA’s HELiOS Project website which has a wealth of information on how California school districts can benefit from solar projects. This non-profit organization helps schools reduce their carbon footprint and lower greenhouse gases.

According to the Committee’s report, key benefits of solar energy at CCUSD include: 1) in the first five years, electricity cost savings to the District of over $900,000; 2) approximately $2 million in solar incentives which are paid in cash to the general fund in the first 5 years; and 3) a projected $7.5 to $9.3 million savings from incentives and reduced electrical bills over the typical life of 25-30 years. An independent analysis by Southern California Edison has confirmed these potential savings.

Other schools have proven that solar energy has strong educational and leadership benefits as well. It is common to incorporate the real-time, web-based energy production data into math and science classes. School districts are also now requiring that solar vendors provide an educational component in their offers so that learning opportunities can be provided across the district. Some installers have started paid internships for students interested in a career in this growing industry. The entire district can participate in activities and demonstrations related to solar energy.

The report points out that solar energy does have drawbacks, for example, the annual production of solar energy may not be consistent due to cloudy days. Even so, the production guarantees provided by the solar vendor take historic weather conditions into consideration so the guarantee should provide an accurate estimate of how much electricity the PV system will generate. Also, any construction project in schools requires the approval of the state architect (DSA), a process that can be lengthy and slow.

A major concern in installing solar panels in schools involves roofing. Roofs on some schools may need to be reinforced or repaired before panels can be installed, so a thorough structural analysis must be completed before hand. Solar panels can also be damaged, so they must be insured.

CCUSD has already submitted the $20,000 application deposit for the California Solar Initiative (CSI) program. The district must now complete the solar project within 18 to 36 months. CSI funding is limited and most regions now have waiting lists. The opportunity to utilize this funding to benefit education may be lost if a final decision is not made by the District and the Board immediately.

The financial benefits of installing solar are clear. We all know the environmental benefits of installing solar energy are clear. As a public educational institution, CCUSD has a responsibility to demonstrate that a sustainable society can be achieved. This means that all actions must be environmentally sound, economically feasible and socially just and equitable. Installing solar energy meets all three of these criteria. The solution is clear: with solar, our kids’ education, our teachers, and the environment win.

Look here to see the full report including the costs & benefits analysis, sources and FAQs.

To download a spreadsheet with the SoCalEdison analysis data, click here.

Please post any questions you might have.

Todd Johnson is the Chair of the Culver City Unified School District's Environmental Sustainability Committee.

4 comments:

  1. Every school district with whom we have worked - and who have installed solar - are ecstatic about all aspects of the projects. Districts are saving real money on electricity costs, incorporating the solar projects into different parts of their curricula, and appreciating the environmental benefits that go with the generation of renewable energy.

    I wish the Culver City School District much success in this endeavor.

    Tom Kelly
    KyotoUSA

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  2. Our San Ramon Valley Unified School District recently completed a $25 million solar project with installation of a total of 3.3 megawatts of solar systems on five district schools. After extensive research and financial analysis, our district decided that it would be riskier to NOT proceed with the solar project. Under the most conservative model, savings on electricity costs will repay the $25 million in Qualified School Construction Bonds and will generate an additional $20 million in savings over the 25 year life of the solar panels. Those savings will be directed into the SRVUSD general fund. The district solar project created local jobs, educational opportunities for our students, and even shaded parking that our students are enjoying. Our district felt it important to demonstrate leadership in environmental stewardship and is looking into putting solar on more district schools.

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  3. This is a no-brainer! Any project that would make money that would go into the GENERAL fund to pay for things such as teacher salaries should not only be taken seriously but also approved ASAP! Why is this taking so long? It has been almost 2 years. Enough already. Signed Gianna Gray, Culver City Mom of 2 boys.

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  4. The city of Huntington Beach recently installed 2.13MW of PV systems on a power purchase agreement. The project served as a powerful social object that stimulates conversation about energy and is cost effective today with significant long-term savings in addition to the environmental benefits.

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