Introduction

Four DC area vendors bid to install a photovoltatic panel system on the same address in Washington, DC.
All offered the purchase option. One, SolarCity, also offered three leasing options. Another, Astrum Solar,
offered three distinct configuration options. All the bids are summarized on the "Results" tab below.
Please review the "Legal Stuff" and Generall Comments and Definitions" tabs below.
Instructions

You may use this Excel Workbook to contrast and compare the individual bids you get for your dwelling.
To do so (you may wish to make a copy of this Excel document first and work from that):
1. Fill in your own information on the "Owner Information" tab below.
2. The boxes shaded in yellow are user-provided information. Change all that need to be changed to fit
your situation.
3. The boxes shaded in orange are results that based based on the inputs you provided in the yellow
boxes.
4. If you change the name of a vendor on a work sheet, be sure to change the name on the tab at the
bottom of the sheet.
5. For each bid, enter the relevant information on one of the vendor tabs below.
6. If you receive bids for leasing, you have to use the SolarCity tab. If more than one company offers you
a leasing option(s), you have to copy of the worksheet.
7. To avoid either Excel jibberish in all the cells and/or confusing and inaccurate results, delete the
information in the yellow fields on each worksheet (tabbed below) you are not using. If you just remove
a worksheet, the results page will have columns of Excel jibberish.
Author: Andy Kerr.
Disclaimer: The Larch Company makes no warranty as to the accuracy of the information and assumptions
contained herein. It is prudent to independently verify before making decisions as to investing, purchasing, tax
reporting, or similar activities. Andy Kerr is neither a lawyer nor an accountant.
About: The Larch Company (www.andykerr.net) is the consulting firm of Andy Kerr (andykerr@andykerr.net). The
Larch Company is a non-membership for-profit conservation organization that represents species that cannot talk
and humans not yet born. As a deciduous conifer, the western larch has a contrary nature. Andy has installed four
solar water heaters and four photovoltaic systems on roof tops he has lived under. He lives in Washington, DC and
Ashland, OR.
The Larch Company 2011. Non-commerical use freely granted to the public domain. Commercial use
available for reasonable fee. This work is licensed under a Creative Commons Attribution-NonCommercial-
NoDerivs 3.0 Unported License.
Support: While I endeavored to make this product something that one can easily understand, it is offered as is
and without cost (subject to the terms above). If you want help in either specifying your PV system, selecting a
vendor or using this DC PV Calculator, my services may be retained on an hourly basis.
Version 1.0. 1 November 2011
 Estimating the Financial Value of a Residential Photovoltaic Power
System in Washington, DC
Installing a residential photovoltaic electric power station is the right thing for the Earth. You can
reduce your carbon footprint by switching your consumption of coal-fired electricity that warms the
atmosphere with carbon dioxide, pollutes the air with mercury and fills the lungs with particulates to
renewable and sun-fired electricity that is renewable and sustainable. Putting solar panels on your roof
may also be an attractive financial investment. Government incentives are available that can both
reduce the initial cost of a a PV system and also possibly allow you receive a reasonable return on
investment. Your electric utility has to credit your account for electricity you produce. You can "sell" the
energy to the utility when you are making more than you are using and "buy" it back when you need it.
By entering a few values below, you can determine how an investment solar power compares to other
investments. It may be that you can do well while doing good.
First Things First. Before simply scaling a photovoltaic power system on your roof to meet the current annual
electrical demand of your house, take cost-effective steps to reduce your overall electricity use. Do you have
compact fluorescent (or even better LED) bulbs in every socket? Have you insulated as much as you can and sealed
air leaks, thereby reducing air-conditioning loads? Have you installed solar water heating, a clothesline and ceiling
fans? Every dollar you spend reducing your electricity demand can save you $5 on the cost supplying your electricity
from a photovoltaic power system.
Right-Sizing Your System. Presently, PEPCO does not pay residential consumer-generators for the electricity they
"sell" to the grid in excess of what they "buy" from the grid over the course of a year. That may or may not change.
If it does change, then a photovoltatic power system will turn out to be better investment. If it does not change,
one's initial reaction is to not produce any more than one consumeslest the utility benefit. However, given the
current subsidies, the current and potential financial benefits of Solar Renewable Energy Credits and the potential
increase of your electric consumption (e.g. plug-in hybrid vehicles)and assuming one has the roof spaceone may
want to size a system larger than necessary to produce just as much electricity as one consumes now. It may be
that installing a larger PV system than necessary to meet your demands today may still be financially attractive. Just
not quite as attractive if things don't change, but more so if it does. You have to plug in the assumptions and run the
numbers to see. Welcome to the potential risks and rewards of capitalism as a consumer-generator, as PEPCO calls
us.
How Old is Your Roof? Roofs typically last 20-30 years. If yours has less than a decade or so of life left, you may
want to re-roof before installing a PV system. If you reroof later, you may have to pay to have the PV system
removed and reinstalled (some vendors offer this service for free). It may also be possible to span the PV system on
I-beams accross the party walls of of a townhouse that would allow a roofer to re-roof under the PV array. Consult
with a roofer as well as your PV installer. See http://howsolarworks.1bog.org/solar-roofing/.
Investment Horizon. The derived figures for Internal Rate of Return and Net Present Value are calculated for 20
years. For a business, 10 years is a long-term investment. Many homeowners buy a house with a 30-year mortgage,
even though they don't plan to stay that long in the same place. Photovoltaic panels are generally warranteed for 25
years.
Debt Financing. This analysis presumes that you reallocate funds already in your savings or another investment
vehicle to invest in a photovoltaic power system. If you take out a loan to pay the initial cost to avoid the upfront
cash outlay, you'll need to factor in the cost of repaying the loan. If your projected Internal Rate of Return for the 10
to 20-year investment is significantly more than the interest rate you would pay for your loan of X years, borrowing
the money to finance a photovoltaic power system on your roof still may be a worthwhile investment. It is best to
view a PV system on your roof as an illiquid asset, not unlike the home upon which it sits.
Business or Pleasure? Do you run a business out of your home? If you have a business with enough tax liability,
you can reduce your taxes (and increase the IRR and NPV) by taking accelerlated depreciation on the Gross Capital
Cost of the PV System. Please consult your accountant.
Definitions:
Simple The number of years it take for the cumulative cash flow of ain investment to turn positive. An
Payback unsophisticated, but commonly understood, financial concept.
Internal
The rate of return that would make the present value of future cash flows plus the final market value of
Rate of
an investment or business opportunity equal to the current market price of the investment or
Return
opportunity. Also called dollar-weighted rate of return.
(IRR)
Net Present Value is used in capital budgeting to analyze the profitability of an investment or project.
Net
NPV compares the value of a dollar today to the value of that same dollar in the future, taking inflation
Present
and returns into account. The present value of an investment's future net cash flows minus the initial
Value
investment. If positive, the investment should be made (unless an even better investment exists),
(NPV)
otherwise it should not.
 At the end of the 20-year analysis period, the PV system will likely have a salvage value (what you could
Salvage
sell the parts for, minus the cost of repairing the holes in your roof). It wont' likely be a lot, so the NPV
Value
and IRR analyses didn't factor in salvage value.

Washington, DC Residential Photovoltaic
System Financial Consequences Calculator
Name
Address
Phone
Email
Alternative Return on
Investment
Federal Income Tax Marginal
Rate
District Income Tax Marginal
Rate
Retail Rate of Electricity
($/kWh)
Projected Non-Inflation-
Adjusted Average Annual
Electric Rate Increase
Annual Average Electricity
Consumpion (kWh)
Numbers in the orange
Enter your
variables in the
boxes are derived from
yellow boxes.
the variable you entered
in the yellow boxes.
Owner Information
Cecily Kohler
15 D St. SE,
Washington, DC 20003
202-543-1949
cecilyk@juno.com
Enter a rate of return you would expect to make on the money you
4.0% are investing in a PV system if you invested it elsewhere.
Enter your "marginal"( the rate on the highest increment of your
15.0% annual earnings) federal income tax rate. (If you don't know, click
on the "2011 Marginal Tax Rates" tab at bottom.)
4.0%
The PEPCO residential average energy rate is ~$0.15/kWh
(kilowatt-hour), weight-averaging the summer and winter rates. If
$0.146407 you know of a more accurate number, then enter here.
DC residential power rates increased an average of 4.2% annually
from 1997 to 2007. While past performance is not guarantee of
future results, it might be an indicator. Most believe prices will not
decrease, but will increase. Just how much no one knows. It is
better to guess something and be closer to being approximately
right than to put zero and likely be precisely wrong. Your guess at
4.2% what energy prices will do is as good as anyone's.
4,690 You can determine this by reviewing past electricity bills.

Washington, DC Residential Photovoltaic System
Financial Consequences Calculator
Name
PV Panel Manufacterer
PV Panel Size (Watts)
Number of PV Panels
Inverter Type
Installation Method
Monitoring
Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Percentage of Annual
Household Conumption (kWh)
Estimated Increased Property
Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Numbers in the orange boxes
Enter your
variables in the
are derived from the variable
yellow boxes.
you entered in the yellow
boxes.
Lighthouse
Solar
Photovoltaic System Details
Lumos Provided by your vendor.
250 Provided by your vendor.
15 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system.
Traditionally, the photvoltaic panels have been wired through one "central" inverter to convert the
direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A
new design is the "microinverter," one each of which is wired to each PV panel. Each microiverter
operates independently so if one inverter fails the rest of the PV system still produces power.
Microinverters are more efficient because (a) line losses associated with running DC current from the
panels to the inverter are less; (b) each microinverter optimizes the production of the panel through
"maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little
different and the lowest common denominator rule applies in terms of energy production; and (c)
shading losses are minimized (shading even a few cells on one panel can reduce the output of all
Aurora central panels in that array).
Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party
Roof Mount walls or wood joists spanning party walls or ballast (concrete blocks to hold frame in place.
Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system
Yes production to identify and fix any problems.
How many years on the panels; on the inverter; and on the entire system? Can you buy an extended
warranty now to cover the difference out to 20 years?
14
Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data
below. Panel tilt (angle above horizontal) is important for optimizing energy production. If the sun
shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather
conditions. As Some vendors install panels horizontal (0) on flat DC townhouse roofs to get the most
panels in the available area. Tilting the panels mean that space must left between the east-west rows
so the panels to the south don't shade panels to the north. However, 0 panels have a 13.5% decrease
from optimum energy production. Tilting may reduce the number of panels, but increased energy
production from the array may offset it. As the power curve is non-linear, even a moderate tilt can
signifcantly increase production over flat. One tries to minimize total system cost (more PV panels
more cost) and maximize annual energy production (best angle) while producing as close to 100% of
your annual energy demand as possible. Here are percentage of maximum production for panels
facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC
latitude):99.6%; 35:100%; 30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%;
0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
96.1%
Production
3,750 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient
in practice is not a totally settled question. Enphase, the largest perveyor by far of microinverters
claims 15% more power production for the same system using a central inverter. If you are using a
central inverter, enter "1.00" in the box to left. If you are using a microverter enter a factor to reflect
the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected
in PVWatts2 Estimated Average Annual Production below.
1.00
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter
type factor times 1.2, the latter of which is a Washington, DC-specific factor derived from running
4,325 PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are
a form of Renewable Energy Certificate or "Green tag". SRECs exist in states that have Renewable
Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a
"solar carve-out". SRECs represent the environmental attributes from a solar facility, and are produced
each time a solar system produces one megawatt-hour (MWh) of production. The additional income
received from selling SRECs increases the economic value of a solar investment and assists with the
financability of solar technology. In conjunction with state and federal incentives, solar system owners
can recover their investment in solar by selling their SRECs through spot market sales or long-term
sales." This value is derived by dividing PVWatts2 Annual Estimated Production kilowatt-hours by 1000
4.3 kilowatt-hours.
The retail value of the electricity produced by your system.
$633.14
92%
Residential Property Value Increase
A recent study in California estimated increased property values for PV installations on existing (very
$22,500 surprisingly, it was significant more than for new construction) homes at between $6.00-
$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy
savings ratio of between 21:1 and 26:1. The values at right show the low and high range for both
$28,500 approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes
selling twice, of which 394 are PV and all in California, which has over half of the installed solar electric
capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in
California is more likely to be aware of PV value than elsewhere. However, as California goes, so goes
the rest of the states eventually. Don't get hung up on any of these numbers, but just consider their
magnitude compared to the net system cost in the Purchase Option. This data suggests that your
home value will go up at least twice what it costs you to install a PV system. If if these estimates are
twice what they actually are, your house value will go up at least the amount you spent on the PV
system. (See: Hoen, Ben, Ryan Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects
of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando
Lawrence Berkeley National Laboratory. LBL-4476E. Download from

Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
A recent study in California estimated increased property values for PV installations on existing (very
surprisingly, it was significant more than for new construction) homes at between $6.00-
$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy
savings ratio of between 21:1 and 26:1. The values at right show the low and high range for both
approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes
selling twice, of which 394 are PV and all in California, which has over half of the installed solar electric
capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in
$13,296 California is more likely to be aware of PV value than elsewhere. However, as California goes, so goes
the rest of the states eventually. Don't get hung up on any of these numbers, but just consider their
magnitude compared to the net system cost in the Purchase Option. This data suggests that your
home value will go up at least twice what it costs you to install a PV system. If if these estimates are
twice what they actually are, your house value will go up at least the amount you spent on the PV
system. (See: Hoen, Ben, Ryan Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects
of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando
Lawrence Berkeley National Laboratory. LBL-4476E. Download from
http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$16,462

Purchase Option
Gross System Cost (dollars) (provided by vendor) $19,382 Provided by your vendor.
30% Federal Income Tax Credit $5,815
DC Grant (click on "DC PV Grant Calculator" tab below). $5,250
SREC 10-Year Upfront Payment (provided by vendor) $4,500 Provided by your
Guestimated vendor.
by you. SREC markets will only continue if regulatory
Federal and District Income Tax Due on SREC Payment $855 authorities rachet up renewable portfolio standards with solar carve outs.
Net System Cost (dollars) $4,672 A safe guess is $0, but the field is included to remind you that SRECs
Guestimated 10-Year Upfront SREC Price in Year 11 $0 might still be around after a decade.
Additio
nal
SREC
Net System Payme
Cost/Annual nt/ Cumu-
Electricity Salvag Annual lative
Savings e Cash Cash
Year (Revenues) Value Flow Flow
0 -$4,672 -$4,672 -$4,672
1 $633 $633 -$4,039
2 $660 $660 -$3,380
3 $687 $687 -$2,692
4 $716 $716 -$1,976
5 $746 $746 -$1,229
6 $778 $778 -$452
7 $810 $810 $359
8 $844 $844 $1,203
9 $880 $880 $2,083
10 $917 $917 $3,000
11 $955 $0 $955 $3,955
12 $996 $996 $4,951
13 $1,037 $1,037 $5,988
14 $1,081 $1,081 $7,069
15 $1,126 $1,126 $8,195
16 $1,174 $1,174 $9,369
17 $1,223 $1,223 $10,592
18 $1,274 $1,274 $11,866
19 $1,328 $1,328 $13,194
20 $1,384 $1,384 $14,577
Simple Payback (year cumulative cash flow >$0)
Internal Rate of Return (IRR) 16.2% $16
Net Present Value (NPV) $7,431 $3,565
Dollars/Nameplate
Dollars/kiloWatt Watt ($/W)
hour/year (based on (based
($/kWh/year) Net System Cost)
on Net System $1.25
Cost) $1.08
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No
performance guarantee (they pay for lost power production. Your home
insurance policy probably covers against damage or theft (check with your
agent). This example projects another 10-year upfront SREC payment in
Year 11 (first yellow box above). There is no guarantee that such an option
will be offered at any price. There is some probability that there will be, so
it is better to guestimate and be more likely to be approximately right than
assume zero and be more likely to be precisely wrong. The IRR and NPV
analyses are for a 20-year period. In year 21, the panels will still be under
warranty and in all likelihood still producing usable amounts of energy. The
inverter may still have useful life (especially if it was replaced along the
way). Therefore, there is some "salvage" value (what it is worth if you sold
the usuable parts in Year 21). Unless there is a game-changing technology,
they will likely be worth something. For every $1000 you guestimate, the
IRR goes up ~0.1% and the NPV goes up a few hundred dollars, so it
doesn't change either very much. The purpose of including it is to remind
you that there is likely usable life (therefore value) after 20 years.

DC Grant Calculator
If you are eligible (meaning that you are on the waiting list andmost importantlythe
District Department of Energy is actually giving out grants, fill in the three yellow boxes
below, as instructed. If you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
Effective October 1, 2011 (and if you are
already on the District Department of Energy
[DDOE] waiting list, you are eligible for a
grant based on the sie of your system in the
3,000 amount of: (1) $1.50 for each of the first
3,000 installed watts or watt-equivalents of
capacity; (2) $1.00 for each of the next 7,000
installed watts or watt-equivalents of capacity;
and (3) $0.50 for each of the next 10,000
installed watts or watt-equivalents of capacity.
No additional funding will be provided for
installed capacity above 20,000 watts. (If you
are already on the waiting list, you should not
750
count on being so in that the program is to
expire at the end of 2012 unless extended by
the DC Council.) The question as to whether
or not the DC rebate is federal and/or district
taxable income has been resolved to my
satisfaction: it is not taxable. However, I am
not a tax professional, so please consult your
0 professional tax advisor.
Unless your nameplate rating is greater than
3,750 20,000 watts, these two numbers should be
the same. If nameplate rating is greater than
20,000 watts, then nameplate watts eligible
3,750
for subsidy should total 20,000.
You are eligible for this amount and the
number will show up on the main worksheet
automatically. (The sum of your three entries
in the yellow boxes at left must total the total
$5,250.00 PV nameplate watts above.
 Washington, DC Residential Photovoltaic System Financial
Consequences Calculator
Name
PV Panel Manufacterer
PV Panel Size (Watts)
Number of PV Panels
Inverter Type
Installation Method
Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Percentage of Annual
Household Conumption (kWh)
Estimated Increased Property
Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Enter your variables in the Numbers in the orange boxes are derived from the variable you
yellow boxes. entered in the yellow boxes.
Vendor
Solar City Purchase and Three Lease Options
Photovoltaic System Details
Yingli Provided by your vendor.
230 Provided by your vendor.
18 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system. Traditionally, the photvoltaic panels have been wired through one "central"
inverter to convert the direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A new design is the "microinverter," one each of
which is wired to each PV panel. Each microiverter operates independently so if one inverter fails the rest of the PV system still produces power. Microinverters are more
efficient because (a) line losses associated with running DC current from the panels to the inverter are less; (b) each microinverter optimizes the production of the panel
to be through "maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little different and the lowest common denominator rule applies in terms of
determined energy production; and (c) shading losses are minimized (shading even a few cells on one panel can reduce the output of all panels in that array).
to be Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party walls or wood joists spanning party walls or ballast (concrete blocks to
determined hold frame in place.
20 years on
leased
system; 10 Extended Warranty and Inverter Replacement Option chosen below on Purchase Option.
year standard
on purchase
option
10 Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system production to identify and fix any problems.
Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data below. Panel tilt (angle above horizontal) is important for optimizing energy
production. If the sun shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather conditions. As Some vendors install panels horizontal
(0) on flat DC townhouse roofs to get the most panels in the available area. Tilting the panels mean that space must left between the east-west rows so the panels to the
south don't shade panels to the north. However, 0 panels have a 13.5% decrease from optimum energy production. Tilting may reduce the number of panels, but increased
energy production from the array may offset it. As the power curve is non-linear, even a moderate tilt can signifcantly increase production over flat. One tries to minimize total
system cost (more PV panels more cost) and maximize annual energy production (best angle) while producing as close to 100% of your annual energy demand as possible.
Here are percentage of maximum production for panels facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC latitude):99.6%; 35:100%;
93.6% 30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%; 0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
Production
4,140 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient in practice is not a totally settled question. Enphase, the largest perveyor
by far of microinverters claims 15% more power production for the same system using a central inverter. If you are using a central inverter, enter "1.00" in the box to left. If
you are using a microverter enter a factor to reflect the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected in PVWatts2
1.00 Estimated Average Annual Production below.
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter type factor times 1.2, the latter of which is a Washington, DC-specific
4,650 factor derived from running PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are a form of Renewable Energy Certificate or "Green tag". SRECs exist in
states that have Renewable Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a "solar carve-out". SRECs represent the
environmental attributes from a solar facility, and are produced each time a solar system produces one megawatt-hour (MWh) of production. The additional income received
from selling SRECs increases the economic value of a solar investment and assists with the financability of solar technology. In conjunction with state and federal incentives,
solar system owners can recover their investment in solar by selling their SRECs through spot market sales or long-term sales." This value is derived by dividing PVWatts2
4.7 Annual Estimated Production kilowatt-hours by 1000 kilowatt-hours.
$680.80 The retail value of the electricity produced by your system.
99%
Residential Property Value Increase
$24,840 A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
$31,464 and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
$14,297
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)

Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$17,701

Purchase Option Lease: $0 Down Plan Lease: Initial Payment Plan Lease: Prepay Payment Plan
Gross System Cost (dollars) * $23,196 Initial System Cost $0 Initial System Cost $3,639 Initial System Cost $7,278
30% Federal Income Tax Credit $6,959 Monthly Lease Payment $68 Monthly Lease Payment $43 Monthly Lease Payment $0
DC Grant (click on "DC PV Grant Calculator" tab below). $5,640 Annual Lease Payment $816 Lease Payment
Annual Increase in Lease $516 Annual Increase
Lease Payment
in Lease $0
SREC 10-Year Upfront Payment * $4,860 Annual Increase in Lease Payment 3.9% Payment 0.0% Payment 0.0%
Federal
20 Year and District
Extended Income and
Warranty Tax Due on SREC
Inverter PaymentService
Replacement $923 Acquisition Cost in Year 21 $0 Acquisition Cost in Year 21 $0 Acquisition Cost in Year 21 $0
(35/watt) $1,449
Net System Cost (dollars) $8,110
Guestimated 10-Year Upfront SREC Price in Year 11 *** $0

Net System Additional Annual Annual

Cost/Annua SREC Electricity Cumu- Electricity Annual
l Electricity Payment/ Annual Cumu- Annual Savings Annual lative Annual Savings Annual Annual Electricity Annual Cumu-
Savings Salvage Cash lative Lease (Revenues Cash Cash Lease (Revenues Cash Cumu-lative Lease Savings Cash lative
Year (Revenues) Value Flow Cash Flow Costs ) Flow Flow Costs ) Flow Cash Flow Costs (Revenues) Flow Cash Flow
0 -$8,110 -$8,110 -$8,110 $0 $0 $0 -$3,639 -$3,639 -$3,639 ### -$7,278 -$7,278
1 $681 $681 -$7,429 -$816 $681 -$135 -$135 -$516 $681 $165 -$3,474 $0 $681 $681 -$6,597
2 $709 $709 -$6,719 -$848 $709 -$138 -$274 -$516 $709 $193 -$3,281 $0 $709 $709 -$5,888
3 $739 $739 -$5,980 -$881 $739 -$142 -$415 -$516 $739 $223 -$3,058 $0 $739 $739 -$5,149
4 $770 $770 -$5,210 -$915 $770 -$145 -$560 -$516 $770 $254 -$2,803 $0 $770 $770 -$4,378
5 $803 $803 -$4,407 -$951 $803 -$148 -$709 -$516 $803 $287 -$2,517 $0 $803 $803 -$3,576
6 $836 $836 -$3,571 -$988 $836 -$152 -$860 -$516 $836 $320 -$2,197 $0 $836 $836 -$2,740
7 $871 $871 -$2,700 -$1,027 $871 -$155 -$1,016 -$516 $871 $355 -$1,841 $0 $871 $871 -$1,868
8 $908 $908 -$1,792 -$1,067 $908 -$159 -$1,174 -$516 $908 $392 -$1,449 $0 $908 $908 -$960
9 $946 $946 -$846 -$1,108 $946 -$162 -$1,336 -$516 $946 $430 -$1,019 $0 $946 $946 -$14
10 $986 $986 $140 -$1,151 $986 -$166 -$1,502 -$516 $986 $470 -$549 $0 $986 $986 $972
11 $1,027 $0 $1,027 $1,168 -$1,196 $1,027 -$169 -$1,671 -$516 $1,027 $511 -$38 $0 $1,027 $1,027 $1,999
12 $1,070 $1,070 $2,238 -$1,243 $1,070 -$173 -$1,843 -$516 $1,070 $554 $517 $0 $1,070 $1,070 $3,070
13 $1,115 $1,115 $3,354 -$1,291 $1,115 -$176 -$2,019 -$516 $1,115 $599 $1,116 $0 $1,115 $1,115 $4,185
14 $1,162 $1,162 $4,516 -$1,342 $1,162 -$180 -$2,199 -$516 $1,162 $646 $1,762 $0 $1,162 $1,162 $5,347
15 $1,211 $1,211 $5,727 -$1,394 $1,211 -$183 -$2,382 -$516 $1,211 $695 $2,457 $0 $1,211 $1,211 $6,558
16 $1,262 $1,262 $6,989 -$1,449 $1,262 -$187 -$2,569 -$516 $1,262 $746 $3,203 $0 $1,262 $1,262 $7,820
17 $1,315 $1,315 $8,304 -$1,505 $1,315 -$190 -$2,759 -$516 $1,315 $799 $4,002 $0 $1,315 $1,315 $9,135
18 $1,370 $1,370 $9,674 -$1,564 $1,370 -$194 -$2,952 -$516 $1,370 $854 $4,856 $0 $1,370 $1,370 $10,505
19 $1,428 $1,428 $11,102 -$1,625 $1,428 -$197 -$3,149 -$516 $1,428 $912 $5,768 $0 $1,428 $1,428 $11,933
20 $1,488 $1,488 $12,589 Simple Payback (year
-$1,688 cumulative
$1,488 cash flow
-$200 -$3,350 Simple
-$516Payback (year cumulative
$1,488 $972 cash flow
$6,740 Simple
$0Payback$1,488
(year cumulative
$1,488 cash$13,421
flow
Simple Payback (year cumulative cash flow >$0) >$0) >$0) >$0)
Internal Rate of Return (IRR) 9.5% Internal Rate of Return (IRR) Err:523 Internal Rate of Return (IRR) 9.2% Internal Rate of Return (IRR) 10.8%
Net Present Value (NPV) $5,024 Net Present Value (NPV) ($2,130) Net Present Value (NPV) $2,579 Net Present Value (NPV) $5,823
Dollars/Nameplate
Dollars/kiloWatt Watt ($/W)
hour/year (based on (based
($/kWh/year) Net System Cost)
on Net System $1.96
Cost) $1.74
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No Note: Warranty coverage and monitoring for Note: Warranty coverage and monitoring for Note: Warranty coverage and monitoring for
performance guarantee (they pay for lost power production. Your home 20 years. Vendor provides insurance coverage 20 years. Vendor provides insurance coverage 20 years. Vendor provides insurance
insurance policy probably covers against damage or theft (check with your against damage or theft. To calculate IRR, against damage or theft. At the end of the coverage against damage or theft. At the end
agent). This example projects another 10-year upfront SREC payment in Year 11 there must be at least one positive and one lease you may choose to have the system of the lease you may choose to have the
(first yellow box above). There is no guarantee that such an option will be negative annual cash flow value. In this case removed or purchase it and take over system removed or purchase it and take
offered at any price. There is some probability that there will be, so it is better to there is not a positive one, hence Microsoft operation yourself. To make the determination over operation yourself. To make the
guestimate and be more likely to be approximately right than assume zero and Excel says "#DIV/0" (attempted division by of whether or not to acquire the PV system on determination of whether or not to acquire
be more likely to be precisely wrong. The IRR and NPV analyses are for a 20- zero). One should assume a negative IRR. At your roof after expiration of the lease or have the PV system on your roof after expiration
year period. In year 21, the panels will still be under warranty and in all the end of the lease you may choose to have it removed, you would compare the acquistion of the lease or have it removed, you would
likelihood still producing usable amounts of energy. The inverter may still have the system removed or purchase it and take cost against estimated annual electricity compare the acquistion cost against
useful life (especially if it was replaced along the way). Therefore, there is some over operation yourself. To make the savings for the guestimated remaining life of estimated annual electricity savings for the
"salvage" value (what it is worth if you sold the usuable parts in Year 21). Unless determination of whether or not to acquire the the acquistion. If you don't want to acquire guestimated remaining life of the acquistion.
there is a game-changing technology, they will likely be worth something. For PV system on your roof after expiration of the after the lease expiration, put $0 in the If you don't want to acquire after the lease
every $1000 you guestimate, the IRR goes up ~0.1% and the NPV goes up a lease or have it removed, you would compare Acqusition Cost After Lease End Field. Notice expiration, put $0 in the Acqusition Cost
few hundred dollars, so it doesn't change either very much. The purpose of the acquistion cost against estimated annual how IRR and NPV change. After Lease End Field. Notice how IRR and
including it is to remind you that there is likely usable life (therefore value) after electricity savings for the guestimated NPV change.
20 years. remaining life of the acquistion. If you don't
want to acquire after the lease expiration, put
$0 in the Acqusition Cost After Lease End
Field. Notice how IRR and NPV change.
At the end of the 20-year lease, the lessee has three options: (1) lease renewal in 5-year terms with existing equipment; (2) lease upgrade
with new equipment and new 20-year lease; and (3) freemoval and roof repair with 1-year warranty (if not elected and Solar City doesn't
come andremove the system within 90 days, the lessee is the owner of the system.

DC Grant Calculator

If you are eligible (meaning that you are on the waiting list andmost importantlythe District
Department of Energy is actually giving out grants, fill in the three yellow boxes below, as instructed. If
you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
Effective October 1, 2011 (and if you are already on the
District Department of Energy [DDOE] waiting list, you are
3,000 eligible for a grant based on the sie of your system in the
amount of: (1) $1.50 for each of the first 3,000 installed
watts or watt-equivalents of capacity; (2) $1.00 for each of
the next 7,000 installed watts or watt-equivalents of
capacity; and (3) $0.50 for each of the next 10,000 installed
watts or watt-equivalents of capacity. No additional funding
will be provided for installed capacity above 20,000 watts. (If
you are already on the waiting list, you should not count on
1,140 being so in that the program is to expire at the end of 2012
unless extended by the DC Council.) The question as to
whether or not the DC rebate is federal and/or district
taxable income has been resolved to my satisfaction: it is not
taxable. However, I am not a tax professional, so please
consult your professional tax advisor.
0
4,140 Unless your nameplate rating is greater than 20,000 watts,
these two numbers should be the same. If nameplate rating
is greater than 20,000 watts, then nameplate watts eligible
for subsidy should total 20,000.
4,140
You are eligible for this amount and the number will show up
on the main worksheet automatically. (The sum of your three
entries in the yellow boxes at left must total the total PV
$5,640.00 nameplate watts above.

* Provided by your vendor.

** Provided by your vendor.
*** Guestimated by you. SREC markets will only continue if regulatory authorities rachet up renewable
portfolio standards with solar carve outs. A safe guess is $0, but the field is included to remind you that
SRECs might still be around after a decade.
 Washington, DC Residential Photovoltaic System Financial Enter your variables in the Numbers in the orange boxes are derived from the variable you
Consequences Calculator yellow boxes. entered in the yellow boxes.
Vendor

Name Solar Solution

PV Panel Manufacterer
PV Panel Size (Watts)
Number of PV Panels
Inverter Type
Installation Method
Monitoring
Photovoltaic System Details
Astronergy Provided by your vendor.
230 Provided by your vendor.
22 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system. Traditionally, the photvoltaic panels have been wired through one "central"
inverter to convert the direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A new design is the "microinverter," one each of
which is wired to each PV panel. Each microiverter operates independently so if one inverter fails the rest of the PV system still produces power. Microinverters are more
efficient because (a) line losses associated with running DC current from the panels to the inverter are less; (b) each microinverter optimizes the production of the panel
through "maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little different and the lowest common denominator rule applies in terms of
SMA Central energy production; and (c) shading losses are minimized (shading even a few cells on one panel can reduce the output of all panels in that array).
Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party walls or wood joists spanning party walls or ballast (concrete blocks to
I-Beams hold frame in place.
Included Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system production to identify and fix any problems.

Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Percentage of Annual
Household Conumption (kWh)
"Warranty:
All solar
panels come
with a 25
years
warranty, 10
or 15 year
warranty on How many years on the panels; on the inverter; and on the entire system? Can you buy an extended warranty now to cover the difference out to 20 years?
all inverters
and a 5-year
warranty
against any
work
performed by
Solar Solution
personnel."
4 Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data below. Panel tilt (angle above horizontal) is important for optimizing energy
production. If the sun shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather conditions. As Some vendors install panels horizontal
(0) on flat DC townhouse roofs to get the most panels in the available area. Tilting the panels mean that space must left between the east-west rows so the panels to the
south don't shade panels to the north. However, 0 panels have a 13.5% decrease from optimum energy production. Tilting may reduce the number of panels, but increased
energy production from the array may offset it. As the power curve is non-linear, even a moderate tilt can signifcantly increase production over flat. One tries to minimize total
system cost (more PV panels more cost) and maximize annual energy production (best angle) while producing as close to 100% of your annual energy demand as possible.
Here are percentage of maximum production for panels facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC latitude):99.6%; 35:100%;
30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%; 0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
90.0%
Production
5,060 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient in practice is not a totally settled question. Enphase, the largest perveyor
by far of microinverters claims 15% more power production for the same system using a central inverter. If you are using a central inverter, enter "1.00" in the box to left. If
you are using a microverter enter a factor to reflect the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected in PVWatts2
1.00 Estimated Average Annual Production below.
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter type factor times 1.2, the latter of which is a Washington, DC-specific
5,465 factor derived from running PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are a form of Renewable Energy Certificate or "Green tag". SRECs exist in
states that have Renewable Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a "solar carve-out". SRECs represent the
environmental attributes from a solar facility, and are produced each time a solar system produces one megawatt-hour (MWh) of production. The additional income received
from selling SRECs increases the economic value of a solar investment and assists with the financability of solar technology. In conjunction with state and federal incentives,
solar system owners can recover their investment in solar by selling their SRECs through spot market sales or long-term sales." This value is derived by dividing PVWatts2
5.5
Annual Estimated Production kilowatt-hours by 1000 kilowatt-hours.
$800.08 The retail value of the electricity produced by your system.
117%
Residential Property Value Increase

Estimated Increased Property

Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
$30,360 A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
$38,456 and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
$16,802
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$20,802

Purchase Option
Gross System Cost (dollars) $22,995 Provided by your vendor.
30% Federal Income Tax Credit $6,899
DC Grant (click on "DC PV Grant Calculator" tab below). $6,560
SREC 10-Year Upfront Payment $6,000 Provided by your vendor.
Federal and District Income Tax Due on SREC Payment $1,140
Net System Cost (dollars) $4,677 Guestimated by you. SREC markets will only continue if regulatory authorities rachet up renewable portfolio standards with solar carve outs.
Guestimated 10-Year Upfront SREC Price in Year 11 $0 A safe guess is $0, but the field is included to remind you that SRECs might still be around after a decade.

Net System Additional

Cost/Annua SREC
l Electricity Payment/ Annual Cumu-
Savings Salvage Cash lative
Year (Revenues) Value Flow Cash Flow
0 -$4,677 -$4,677 -$4,677
1 $800 $800 -$3,876
2 $834 $834 -$3,043
3 $869 $869 -$2,174
4 $905 $905 -$1,269
5 $943 $943 -$326
6 $983 $983 $657
7 $1,024 $1,024 $1,681
8 $1,067 $1,067 $2,748
9 $1,112 $1,112 $3,860
10 $1,159 $1,159 $5,019
11 $1,207 $0 $1,207 $6,226
12 $1,258 $1,258 $7,484
13 $1,311 $1,311 $8,795
14 $1,366 $1,366 $10,161
15 $1,423 $1,423 $11,584
16 $1,483 $1,483 $13,067
17 $1,545 $1,545 $14,613
18 $1,610 $1,610 $16,223
19 $1,678 $1,678 $17,901
20 $1,748 $1,748 $19,649
Simple Payback (year cumulative cash flow >$0)
Internal Rate of Return (IRR) 20.4%
Net Present Value (NPV) $10,571
Dollars/Nameplate Watt ($/W) (based on Net System Cost) $0.92
Dollars/kiloWatt hour/year ($/kWh/year) (based on Net System
Cost) $0.86
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No
performance guarantee (they pay for lost power production. Your home
insurance policy probably covers against damage or theft (check with your
agent). This example projects another 10-year upfront SREC payment in Year 11
(first yellow box above). There is no guarantee that such an option will be
offered at any price. There is some probability that there will be, so it is better to
guestimate and be more likely to be approximately right than assume zero and
be more likely to be precisely wrong. The IRR and NPV analyses are for a 20-
year period. In year 21, the panels will still be under warranty and in all
likelihood still producing usable amounts of energy. The inverter may still have
useful life (especially if it was replaced along the way). Therefore, there is some
"salvage" value (what it is worth if you sold the usuable parts in Year 21). Unless
there is a game-changing technology, they will likely be worth something. For
every $1000 you guestimate, the IRR goes up ~0.1% and the NPV goes up a
few hundred dollars, so it doesn't change either very much. The purpose of
including it is to remind you that there is likely usable life (therefore value) after
20 years.

If you are eligible (meaning that you are on the waiting list andmost importantlythe District
Department of Energy is actually giving out grants, fill in the three yellow boxes below, as instructed. If
you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
DC Grant Calculator
Effective October 1, 2011 (and if you are already on the
District Department of Energy [DDOE] waiting list, you are
3,000
eligible for a grant based on the sie of your system in the
amount of: (1) $1.50 for each of the first 3,000 installed
watts or watt-equivalents of capacity; (2) $1.00 for each of
the next 7,000 installed watts or watt-equivalents of
capacity; and (3) $0.50 for each of the next 10,000 installed
watts or watt-equivalents of capacity. No additional funding
will be provided for installed capacity above 20,000 watts. (If
you are already on the waiting list, you should not count on
2,060 being so in that the program is to expire at the end of 2012
unless extended by the DC Council.) The question as to
whether or not the DC rebate is federal and/or district
taxable income has been resolved to my satisfaction: it is not
taxable. However, I am not a tax professional, so please
consult your professional tax advisor.
0
Unless your nameplate rating is greater than 20,000 watts,
5,060 these two numbers should be the same. If nameplate rating
is greater than 20,000 watts, then nameplate watts eligible
5,060 for subsidy should total 20,000.
$6,560.00 on the main worksheet automatically. (The sum of your three
entries in the yellow boxes at left must total the total PV
 Washington, DC Residential Photovoltaic System Financial Enter your variables in the Numbers in the orange boxes are derived from the variable you
Consequences Calculator yellow boxes. entered in the yellow boxes.
Vendor
Name Astrum Solar I-Beam
Photovoltaic System Details
PV Panel Manufacterer Suntech Provided by your vendor.
PV Panel Size (Watts) 240 Provided by your vendor.
Number of PV Panels 15 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system. Traditionally, the photvoltaic panels have been wired through one "central"
inverter to convert the direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A new design is the "microinverter," one each of
which is wired to each PV panel. Each microiverter operates independently so if one inverter fails the rest of the PV system still produces power. Microinverters are more
efficient because (a) line losses associated with running DC current from the panels to the inverter are less; (b) each microinverter optimizes the production of the panel
through "maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little different and the lowest common denominator rule applies in terms of
Inverter Type Enphase energy production; and (c) shading losses are minimized (shading even a few cells on one panel can reduce the output of all panels in that array).
Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party walls or wood joists spanning party walls or ballast (concrete blocks to
Installation Method I-Beams hold frame in place.
Monitoring Included Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system production to identify and fix any problems.

How many years on the panels; on the inverter; and on the entire system? Can you buy an extended warranty now to cover the difference out to 20 years?

Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Percentage of Annual
Household Conumption (kWh)
25 years on
panels and
inverters
14.5 Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data below. Panel tilt (angle above horizontal) is important for optimizing energy
production. If the sun shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather conditions. As Some vendors install panels horizontal
(0) on flat DC townhouse roofs to get the most panels in the available area. Tilting the panels mean that space must left between the east-west rows so the panels to the
south don't shade panels to the north. However, 0 panels have a 13.5% decrease from optimum energy production. Tilting may reduce the number of panels, but increased
energy production from the array may offset it. As the power curve is non-linear, even a moderate tilt can signifcantly increase production over flat. One tries to minimize total
system cost (more PV panels more cost) and maximize annual energy production (best angle) while producing as close to 100% of your annual energy demand as possible.
Here are percentage of maximum production for panels facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC latitude):99.6%; 35:100%;
30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%; 0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
96.0%
Production
3,600 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient in practice is not a totally settled question. Enphase, the largest perveyor
by far of microinverters claims 15% more power production for the same system using a central inverter. If you are using a central inverter, enter "1.00" in the box to left. If
you are using a microverter enter a factor to reflect the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected in PVWatts2
1.15 Estimated Average Annual Production below.
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter type factor times 1.2, the latter of which is a Washington, DC-specific
4,769 factor derived from running PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are a form of Renewable Energy Certificate or "Green tag". SRECs exist in
states that have Renewable Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a "solar carve-out". SRECs represent the
environmental attributes from a solar facility, and are produced each time a solar system produces one megawatt-hour (MWh) of production. The additional income received
from selling SRECs increases the economic value of a solar investment and assists with the financability of solar technology. In conjunction with state and federal incentives,
solar system owners can recover their investment in solar by selling their SRECs through spot market sales or long-term sales." This value is derived by dividing PVWatts2
4.8
Annual Estimated Production kilowatt-hours by 1000 kilowatt-hours.
$698.26 The retail value of the electricity produced by your system.
102%
Residential Property Value Increase

Estimated Increased Property

Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
$21,600 A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
$27,360 and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
$14,663
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$18,155

Purchase Option
Gross System Cost (dollars) $24,975 Provided by your vendor.
30% Federal Income Tax Credit $7,493
DC Grant (click on "DC PV Grant Calculator" tab below). $5,100
SREC 10-Year Upfront Payment $5,723 Provided by your vendor.
Federal and District Income Tax Due on SREC Payment $1,087
Net System Cost (dollars) $7,747
Guestimated by you. SREC markets will only continue if regulatory authorities rachet up renewable portfolio standards with solar carve outs.
Guestimated 10-Year Upfront SREC Price in Year 11 $0 A safe guess is $0, but the field is included to remind you that SRECs might still be around after a decade.

Net System Additional

Cost/Annua SREC
l Electricity Payment/ Annual Cumu-
Savings Salvage Cash lative
Year (Revenues) Value Flow Cash Flow
0 -$7,747 -$7,747 -$7,747
1 $698 $698 -$7,049
2 $728 $728 -$6,321
3 $758 $758 -$5,563
4 $790 $790 -$4,773
5 $823 $823 -$3,950
6 $858 $858 -$3,092
7 $894 $894 -$2,198
8 $931 $931 -$1,267
9 $970 $970 -$296
10 $1,011 $1,011 $715
11 $1,054 $0 $1,054 $1,768
12 $1,098 $1,098 $2,866
13 $1,144 $1,144 $4,010
14 $1,192 $1,192 $5,202
15 $1,242 $1,242 $6,444
16 $1,294 $1,294 $7,739
17 $1,349 $1,349 $9,087
18 $1,405 $1,405 $10,493
19 $1,464 $1,464 $11,957
20 $1,526 $1,526 $13,483
Simple Payback (year cumulative cash flow >$0)
Internal Rate of Return (IRR) 10.4%
Net Present Value (NPV) $5,701
Dollars/Nameplate Watt ($/W) (based on Net System Cost) $2.15
Dollars/kiloWatt hour/year ($/kWh/year) (based on Net System
Cost) $1.62
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No
performance guarantee (they pay for lost power production. Your home
insurance policy probably covers against damage or theft (check with your
agent). This example projects another 10-year upfront SREC payment in Year 11
(first yellow box above). There is no guarantee that such an option will be
offered at any price. There is some probability that there will be, so it is better to
guestimate and be more likely to be approximately right than assume zero and
be more likely to be precisely wrong. The IRR and NPV analyses are for a 20-
year period. In year 21, the panels will still be under warranty and in all
likelihood still producing usable amounts of energy. The inverter may still have
useful life (especially if it was replaced along the way). Therefore, there is some
"salvage" value (what it is worth if you sold the usuable parts in Year 21). Unless
there is a game-changing technology, they will likely be worth something. For
every $1000 you guestimate, the IRR goes up ~0.1% and the NPV goes up a
few hundred dollars, so it doesn't change either very much. The purpose of
including it is to remind you that there is likely usable life (therefore value) after
20 years.

If you are eligible (meaning that you are on the waiting list andmost importantlythe District
Department of Energy is actually giving out grants, fill in the three yellow boxes below, as instructed. If
you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
DC Grant Calculator
Effective October 1, 2011 (and if you are already on the
District Department of Energy [DDOE] waiting list, you are
3,000
eligible for a grant based on the sie of your system in the
amount of: (1) $1.50 for each of the first 3,000 installed
watts or watt-equivalents of capacity; (2) $1.00 for each of
the next 7,000 installed watts or watt-equivalents of
capacity; and (3) $0.50 for each of the next 10,000 installed
watts or watt-equivalents of capacity. No additional funding
will be provided for installed capacity above 20,000 watts. (If
you are already on the waiting list, you should not count on
600 being so in that the program is to expire at the end of 2012
unless extended by the DC Council.) The question as to
whether or not the DC rebate is federal and/or district
taxable income has been resolved to my satisfaction: it is not
taxable. However, I am not a tax professional, so please
consult your professional tax advisor.
0
Unless your nameplate rating is greater than 20,000 watts,
3,600 these two numbers should be the same. If nameplate rating
is greater than 20,000 watts, then nameplate watts eligible
3,600 for subsidy should total 20,000.
$5,100.00 on the main worksheet automatically. (The sum of your three
entries in the yellow boxes at left must total the total PV
 Washington, DC Residential Photovoltaic System Financial Enter your variables in the Numbers in the orange boxes are derived from the variable you
Consequences Calculator yellow boxes. entered in the yellow boxes.
Vendor
Name Astrum Solar Tilt Ballast
Photovoltaic System Details
PV Panel Manufacterer Suntech Provided by your vendor.
PV Panel Size (Watts) 240 Provided by your vendor.
Number of PV Panels 17 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system. Traditionally, the photvoltaic panels have been wired through one "central"
inverter to convert the direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A new design is the "microinverter," one each of
which is wired to each PV panel. Each microiverter operates independently so if one inverter fails the rest of the PV system still produces power. Microinverters are more
efficient because (a) line losses associated with running DC current from the panels to the inverter are less; (b) each microinverter optimizes the production of the panel
through "maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little different and the lowest common denominator rule applies in terms of
Inverter Type Enphase energy production; and (c) shading losses are minimized (shading even a few cells on one panel can reduce the output of all panels in that array).
Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party walls or wood joists spanning party walls or ballast (concrete blocks to
Installation Method Ballast hold frame in place.
Monitoring Included Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system production to identify and fix any problems.

How many years on the panels; on the inverter; and on the entire system? Can you buy an extended warranty now to cover the difference out to 20 years?

Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Percentage of Annual
Household Conumption (kWh)
25 years on
panels and
inverters
15 Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data below. Panel tilt (angle above horizontal) is important for optimizing energy
production. If the sun shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather conditions. As Some vendors install panels horizontal
(0) on flat DC townhouse roofs to get the most panels in the available area. Tilting the panels mean that space must left between the east-west rows so the panels to the
south don't shade panels to the north. However, 0 panels have a 13.5% decrease from optimum energy production. Tilting may reduce the number of panels, but increased
energy production from the array may offset it. As the power curve is non-linear, even a moderate tilt can signifcantly increase production over flat. One tries to minimize total
system cost (more PV panels more cost) and maximize annual energy production (best angle) while producing as close to 100% of your annual energy demand as possible.
Here are percentage of maximum production for panels facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC latitude):99.6%; 35:100%;
30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%; 0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
96.2%
Production
4,080 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient in practice is not a totally settled question. Enphase, the largest perveyor
by far of microinverters claims 15% more power production for the same system using a central inverter. If you are using a central inverter, enter "1.00" in the box to left. If
you are using a microverter enter a factor to reflect the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected in PVWatts2
1.15 Estimated Average Annual Production below.
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter type factor times 1.2, the latter of which is a Washington, DC-specific
5,416 factor derived from running PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are a form of Renewable Energy Certificate or "Green tag". SRECs exist in
states that have Renewable Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a "solar carve-out". SRECs represent the
environmental attributes from a solar facility, and are produced each time a solar system produces one megawatt-hour (MWh) of production. The additional income received
from selling SRECs increases the economic value of a solar investment and assists with the financability of solar technology. In conjunction with state and federal incentives,
solar system owners can recover their investment in solar by selling their SRECs through spot market sales or long-term sales." This value is derived by dividing PVWatts2
5.4
Annual Estimated Production kilowatt-hours by 1000 kilowatt-hours.
$793.01 The retail value of the electricity produced by your system.
115%
Residential Property Value Increase

Estimated Increased Property

Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
$24,480 A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
$31,008 and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
$16,653
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$20,618

Purchase Option
Gross System Cost (dollars) $25,500 Provided by your vendor.
30% Federal Income Tax Credit $7,650
DC Grant (click on "DC PV Grant Calculator" tab below). $5,580
SREC 10-Year Upfront Payment $6,500 Provided by your vendor.
Federal and District Income Tax Due on SREC Payment $1,235
Net System Cost (dollars) $7,005 Guestimated by you. SREC markets will only continue if regulatory authorities rachet up renewable portfolio standards with solar carve outs.
Guestimated 10-Year Upfront SREC Price in Year 11 $0 A safe guess is $0, but the field is included to remind you that SRECs might still be around after a decade.

Net System Additional

Cost/Annua SREC
l Electricity Payment/ Annual Cumu-
Savings Salvage Cash lative
Year (Revenues) Value Flow Cash Flow
0 -$7,005 -$7,005 -$7,005
1 $793 $793 -$6,212
2 $826 $826 -$5,386
3 $861 $861 -$4,525
4 $897 $897 -$3,628
5 $935 $935 -$2,693
6 $974 $974 -$1,719
7 $1,015 $1,015 -$704
8 $1,058 $1,058 $354
9 $1,102 $1,102 $1,456
10 $1,148 $1,148 $2,604
11 $1,197 $0 $1,197 $3,801
12 $1,247 $1,247 $5,048
13 $1,299 $1,299 $6,347
14 $1,354 $1,354 $7,701
15 $1,411 $1,411 $9,112
16 $1,470 $1,470 $10,582
17 $1,532 $1,532 $12,113
18 $1,596 $1,596 $13,709
19 $1,663 $1,663 $15,372
20 $1,733 $1,733 $17,105
Simple Payback (year cumulative cash flow >$0)
Internal Rate of Return (IRR) 13.5%
Net Present Value (NPV) $8,199
Dollars/Nameplate
Dollars/kiloWatt Watt ($/W)
hour/year (based on (based
($/kWh/year) Net System Cost)
on Net System $1.72
Cost) $1.29
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No
performance guarantee (they pay for lost power production. Your home
insurance policy probably covers against damage or theft (check with your
agent). This example projects another 10-year upfront SREC payment in Year 11
(first yellow box above). There is no guarantee that such an option will be
offered at any price. There is some probability that there will be, so it is better to
guestimate and be more likely to be approximately right than assume zero and
be more likely to be precisely wrong. The IRR and NPV analyses are for a 20-
year period. In year 21, the panels will still be under warranty and in all
likelihood still producing usable amounts of energy. The inverter may still have
useful life (especially if it was replaced along the way). Therefore, there is some
"salvage" value (what it is worth if you sold the usuable parts in Year 21). Unless
there is a game-changing technology, they will likely be worth something. For
every $1000 you guestimate, the IRR goes up ~0.1% and the NPV goes up a
few hundred dollars, so it doesn't change either very much. The purpose of
including it is to remind you that there is likely usable life (therefore value) after
20 years.

If you are eligible (meaning that you are on the waiting list andmost importantlythe District
Department of Energy is actually giving out grants, fill in the three yellow boxes below, as instructed. If
you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
DC Grant Calculator
Effective October 1, 2011 (and if you are already on the
District Department of Energy [DDOE] waiting list, you are
3,000 eligible for a grant based on the sie of your system in the
amount of: (1) $1.50 for each of the first 3,000 installed
watts or watt-equivalents of capacity; (2) $1.00 for each of
the next 7,000 installed watts or watt-equivalents of
capacity; and (3) $0.50 for each of the next 10,000 installed
watts or watt-equivalents of capacity. No additional funding
will be provided for installed capacity above 20,000 watts. (If
you are already on the waiting list, you should not count on
1,080 being so in that the program is to expire at the end of 2012
unless extended by the DC Council.) The question as to
whether or not the DC rebate is federal and/or district
taxable income has been resolved to my satisfaction: it is not
taxable. However, I am not a tax professional, so please
consult your professional tax advisor.
0
Unless your nameplate rating is greater than 20,000 watts,
4,080 these two numbers should be the same. If nameplate rating
is greater than 20,000 watts, then nameplate watts eligible
4,080 for subsidy should total 20,000.
$5,580.00 on the main worksheet automatically. (The sum of your three
entries in the yellow boxes at left must total the total PV
 Washington, DC Residential Photovoltaic System Financial
Consequences Calculator
Name
PV Panel Manufacterer
PV Panel Size (Watts)
Number of PV Panels
Inverter Type
Installation Method
Monitoring
Warranty Terms
Panel Tilt (degrees)
Percentage of Optimal PV
Panel Production (%)
Nameplate Rating (DC kW)
Invert Efficiency Factor
PVWatts2 Annual Estimated
Production (kWh)
Solar Renewable Energy
Credits/Year Production
First Year Foregone Electric
Cost
Enter your variables in the Numbers in the orange boxes are derived from the variable you
yellow boxes. entered in the yellow boxes.
Owner Information
Vendor
Astrum Solar Flat Ballast
Photovoltaic System Details
Suntech Provided by your vendor.
240 Provided by your vendor.
26 Provided by your vendor.
Provided by your vendor. There are two general types of inverters in photovoltaic power system. Traditionally, the photvoltaic panels have been wired through one "central"
inverter to convert the direct current (DC) energy produced by the panels to alternating current (AC) used by the building. A new design is the "microinverter," one each of
which is wired to each PV panel. Each microiverter operates independently so if one inverter fails the rest of the PV system still produces power. Microinverters are more
efficient because (a) line losses associated with running DC current from the panels to the inverter are less; (b) each microinverter optimizes the production of the panel
through "maximum power point tracking" and avoiding inevitable panel mismatch (each panel is a little different and the lowest common denominator rule applies in terms of
Enphase energy production; and (c) shading losses are minimized (shading even a few cells on one panel can reduce the output of all panels in that array).
Provided by your vendor.Insert either roof-mount brackets (penetrating roof); I-beams spanning party walls or wood joists spanning party walls or ballast (concrete blocks to
Ballast hold frame in place.
Included Provided by your vendor. Your and/or your vendor should be able to remotely monitor your system production to identify and fix any problems.
How many years on the panels; on the inverter; and on the entire system? Can you buy an extended warranty now to cover the difference out to 20 years?
25 years on
panels and
inverters
0 Panel tilt provided by your vendor; you enter percentage of optimal PV Panel Production from data below. Panel tilt (angle above horizontal) is important for optimizing energy
production. If the sun shined evenly all year, optimal tilt would be eagle to latitude. PVWatts2 factors in seasonal weather conditions. As Some vendors install panels horizontal
(0) on flat DC townhouse roofs to get the most panels in the available area. Tilting the panels mean that space must left between the east-west rows so the panels to the
south don't shade panels to the north. However, 0 panels have a 13.5% decrease from optimum energy production. Tilting may reduce the number of panels, but increased
energy production from the array may offset it. As the power curve is non-linear, even a moderate tilt can signifcantly increase production over flat. One tries to minimize total
system cost (more PV panels more cost) and maximize annual energy production (best angle) while producing as close to 100% of your annual energy demand as possible.
Here are percentage of maximum production for panels facing true south: 90 (vertical):61.4%; 45:98.2%; 40:99.4%, 38.8 (Washington, DC latitude):99.6%; 35:100%;
30:100%; 25:99.4%; 20:98.1%; 15:96.2%; 10:93.6%; 5: 90.4%; 0(horizontal): 86.5%. Enter a percentage into the yellow box at left based on panel degrees.
86.5%
Production
6,240 Number of panels multipled the panel maximum power rating in watts.
While microinverters are more efficient in design (and more expensive), just how much more efficient in practice is not a totally settled question. Enphase, the largest perveyor
by far of microinverters claims 15% more power production for the same system using a central inverter. If you are using a central inverter, enter "1.00" in the box to left. If
you are using a microverter enter a factor to reflect the percentage of estimated increased production (for 15% enter 1.15). The increase will be reflected in PVWatts2
1.15 Estimated Average Annual Production below.
This number is derived by multiplying the nameplate size of the Photovoltaic System times the inverter type factor times 1.2, the latter of which is a Washington, DC-specific
7,449 factor derived from running PVWatts2 (nrel.gov/rredc/pvwatts/).
From Wikipedia: "Solar Renewable Energy Certificates (SRECs) or Solar Renewable Energy Credits are a form of Renewable Energy Certificate or "Green tag". SRECs exist in
states that have Renewable Portfolio Standard (RPS) legislation with specific requirements for solar energy, usually referred to as a "solar carve-out". SRECs represent the
environmental attributes from a solar facility, and are produced each time a solar system produces one megawatt-hour (MWh) of production. The additional income received
from selling SRECs increases the economic value of a solar investment and assists with the financability of solar technology. In conjunction with state and federal incentives,
solar system owners can recover their investment in solar by selling their SRECs through spot market sales or long-term sales." This value is derived by dividing PVWatts2
7.4
Annual Estimated Production kilowatt-hours by 1000 kilowatt-hours.
$1,090.54 The retail value of the electricity produced by your system.
Percentage of Annual
Household Conumption (kWh) 159%
Residential Property Value Increase

Estimated Increased Property

Value ($6.00/nameplate watt)
Estimated Increased Property
Value ($7.60/nameplate watt)
Estimated Price Premium
(Low; 21X Annual Foregone
Electricity Cost)
Estimated Price Premium
(High; 26X Annual Foregone
Electricity Cost)
$37,440 A recent study in California estimated increased property values for PV installations on existing (very surprisingly, it was significant more than for new construction) homes at
between $6.00-$6.60/installed nameplate watt. The study also estimateda houising price premium to annual energy savings ratio of between 21:1 and 26:1. The values at
right show the low and high range for both approaches. The study examined repeat sales (before and after PV installation) of 28,313 homes selling twice, of which 394 are PV
$47,424 and all in California, which has over half of the installed solar electric capacity in the United States. Is this report relevant to elsewhere? A hypothetical home buyer in California
is more likely to be aware of PV value than elsewhere. However, as California goes, so goes the rest of the states eventually. Don't get hung up on any of these numbers, but
just consider their magnitude compared to the net system cost in the Purchase Option. This data suggests that your home value will go up at least twice what it costs you to
install a PV system. If if these estimates are twice what they actually are, your house value will go up at least the amount you spent on the PV system. (See: Hoen, Ben, Ryan
$22,901
Wiser, Peter Cappers and Mark Thayer. 2011. An Analysis of the Effects of Residental Photovoltaic Energy Systems on Home Sales Prices in California. Ernest Orlando Lawrence
Berkeley National Laboratory. LBL-4476E. Download from http://eetd.lbl.gov/ea/emp/reports/lbnl-4476e.pdf.)
$28,354

Purchase Option
Gross System Cost (dollars) $34,320 Provided by your vendor.
30% Federal Income Tax Credit $10,296
DC Grant (click on "DC PV Grant Calculator" tab below). $7,740
SREC 10-Year Upfront Payment $8,938 Provided by your vendor.
Federal and District Income Tax Due on SREC Payment $1,698
Net System Cost (dollars) $9,044 Guestimated by you. SREC markets will only continue if regulatory authorities rachet up renewable portfolio standards with solar carve outs.
Guestimated 10-Year Upfront SREC Price in Year 11 $0 A safe guess is $0, but the field is included to remind you that SRECs might still be around after a decade.

Net System Additional

Cost/Annua SREC
l Electricity Payment/ Annual Cumu-
Savings Salvage Cash lative
Year (Revenues) Value Flow Cash Flow
0 -$9,044 -$9,044 -$9,044
1 $1,091 $1,091 -$7,953
2 $1,136 $1,136 -$6,817
3 $1,184 $1,184 -$5,633
4 $1,234 $1,234 -$4,399
5 $1,286 $1,286 -$3,114
6 $1,340 $1,340 -$1,774
7 $1,396 $1,396 -$378
8 $1,455 $1,455 $1,076
9 $1,516 $1,516 $2,592
10 $1,579 $1,579 $4,171
11 $1,646 $0 $1,646 $5,817
12 $1,715 $1,715 $7,532
13 $1,787 $1,787 $9,318
14 $1,862 $1,862 $11,180
15 $1,940 $1,940 $13,120
16 $2,021 $2,021 $15,141
17 $2,106 $2,106 $17,248
18 $2,195 $2,195 $19,443
19 $2,287 $2,287 $21,730
20 $2,383 $2,383 $24,113
Simple Payback (year cumulative cash flow >$0)
Internal Rate of Return (IRR) 14.4%
Net Present Value (NPV) $11,842
Dollars/Nameplate
Dollars/kiloWatt Watt ($/W)
hour/year (based on (based
($/kWh/year) Net System Cost)
on Net System $1.45
Cost) $1.21
Note: Warranty coverage only 10 years. Monitioring only for 5 years. No
performance guarantee (they pay for lost power production. Your home
insurance policy probably covers against damage or theft (check with your
agent). This example projects another 10-year upfront SREC payment in Year 11
(first yellow box above). There is no guarantee that such an option will be
offered at any price. There is some probability that there will be, so it is better to
guestimate and be more likely to be approximately right than assume zero and
be more likely to be precisely wrong. The IRR and NPV analyses are for a 20-
year period. In year 21, the panels will still be under warranty and in all
likelihood still producing usable amounts of energy. The inverter may still have
useful life (especially if it was replaced along the way). Therefore, there is some
"salvage" value (what it is worth if you sold the usuable parts in Year 21). Unless
there is a game-changing technology, they will likely be worth something. For
every $1000 you guestimate, the IRR goes up ~0.1% and the NPV goes up a
few hundred dollars, so it doesn't change either very much. The purpose of
including it is to remind you that there is likely usable life (therefore value) after
20 years.

If you are eligible (meaning that you are on the waiting list andmost importantlythe District
Department of Energy is actually giving out grants, fill in the three yellow boxes below, as instructed. If
you are not eligible, make sure each yellow box has a zero ("0") in it.
IF PV system is 3,000
nameplate watts or less,
enter nameplate rating in
kWh. If more than 3,000,
enter "3,000" in this field).
IF PV system is between
3,001 and 10,000 nameplate
watts, enter nameplate rating
number minus 3,000. if
System is greater 10,001
watts or greater, entier
"7,000" in this field.
If PV system is between
10,001-20,000 nameplate
watts enter nameplate rating
minus 10,000. If PV system is
greater 20,001 watts or
greater, entire "10,000" in
this field.
Nameplate Watts Eligible for
Subsidy
Nameplate Rating (from
above)
DC Grant Amount
DC Grant Calculator
Effective October 1, 2011 (and if you are already on the
District Department of Energy [DDOE] waiting list, you are
3,000 eligible for a grant based on the sie of your system in the
amount of: (1) $1.50 for each of the first 3,000 installed
watts or watt-equivalents of capacity; (2) $1.00 for each of
the next 7,000 installed watts or watt-equivalents of
capacity; and (3) $0.50 for each of the next 10,000 installed
watts or watt-equivalents of capacity. No additional funding
will be provided for installed capacity above 20,000 watts. (If
you are already on the waiting list, you should not count on
3,240 being so in that the program is to expire at the end of 2012
unless extended by the DC Council.) The question as to
whether or not the DC rebate is federal and/or district
taxable income has been resolved to my satisfaction: it is not
taxable. However, I am not a tax professional, so please
consult your professional tax advisor.
0
Unless your nameplate rating is greater than 20,000 watts,
6,240 these two numbers should be the same. If nameplate rating
is greater than 20,000 watts, then nameplate watts eligible
6,240 for subsidy should total 20,000.
$7,740.00 on the main worksheet automatically. (The sum of your three
entries in the yellow boxes at left must total the total PV
 Results (With DC Grant)
How To Generally Vendor Vendor Vendor Vendor Vendor Vendor Vendor Vendor
Metric Vendor A AVERAGES
Interpret B B B B C D1 D2 D3
Initial Costs
Lease: Lease:
Lease: Purchase PURCHAS
0% Initial Purchase: Purchase: LEASE
Acquistion Method: Configuration Purchase Purchase Prepay Purchase : Tilt E
Down Payment I-Beam Flat Ballast OPTIONS
Plan Ballast OPTIONS
Plan Plan
Gross System Cost $19,382 $23,196 na na na $22,995 $24,975 $25,500 $34,320 $25,061 na
Net System Cost (after subsidies) Generally, the lower the
for Purchase Options or Initial better, but SP, IRR and NPV $4,672 $8,110 $0 $3,639 $7,278 $4,677 $7,747 $7,005 $9,044 $6,876 $3,639
System Cost for Lease Options better metrics.
Annual Lease Payment (just for
na na $816 $516 $0 na na na na na $444
lease options) NPV and IRR (below) are
Annual Increase in Lease Payment better metrics of value.
na na 3.9% 0.0% 0.0% na na na na na 1.3%
(just for lease options)
Dollars Per Watt Nameplate Watt
Lower the better. $/kWh/year $1.25 $1.96 na na na $0.92 $2.15 $1.72 $1.45 $1.57 na
(based on Net System Cost)
is a better metric as it factors
Dollars Per Kilowatt-Hour/Year in system efficiency. $1.08 $1.74 na na na $0.86 $1.62 $1.29 $1.21 $1.30 na
(based on Net System Cost)
Production Results
Indicative of the size of panel
Nameplate Rating (DC Watts) 3,750 4,140 4,140 4,140 4,140 5,060 3,600 4,080 6,240 4,478 na
array on roof.
Closer to 100% the better
(unless you anticipate much
Percentage of Annual Consumption
higher (electric car) or lower 92% 99% 99% 99% 99% 117% 102% 96% 159% 111% na
Offset
(efficiency improvements)
loads.
Financial Results
The year cash flow turns
Simple Payback (SP) 7 10 never 12 10 6 10 8 8 8 11
positive.
Internal Rate of Return (IRR) Higher the better. 16.23% 9.46% Err:523 9.20% 10.83% 20.35% 10.35% 13.46% 14.39% 14.04% 10.02%
Net Present Value (NPV) Higher the better. $7,431 $5,024 ($2,130) $2,579 $5,823 $10,571 $5,701 $8,199 $11,842 $8,128 $2,091
Residential Property Value Increase
Estimated Increased Property Value
Higher the better. $22,500 $24,840 na na na $30,360 $21,600 $24,480 $37,440 $26,870 na
($6.00/nameplate watt)
Estimated Increased Property Value
Higher the better. $28,500 $31,464 na na na $38,456 $27,360 $31,008 $47,424 $34,035 na
($7.60/nameplate watt)
Estimated Price Premium (Low; 21X
Higher the better. $13,296 $14,297 na na na $16,802 $14,663 $16,653 $22,901 $16,435 na
Annual Foregone Electricity Cost)

Estimated Price Premium (High; 26X

Higher the better. $16,462 $17,701 na na na $20,802 $18,155 $20,618 $28,354 $20,349 na
Annual Foregone Electricity Cost)

Lighthouse SolarCity SolarCity SolarCity SolarCitySolar Solu Astrum Astrum Astrum

 2011 Personal Federal Income Tax Rates
Tax Rate Single Married Filing Joint
10% Up to $8,600 Up to $17,200
15% $8,601 $34,900 $17,201 $69,800
25% $34,901 $84,500 $69,801 $140,850
28% $84,501 $195,950 $140,851 $237,700
36% $195,951 $383,350 $237,701 $383,350
39.60% Over $383,350 Over $383,350
Source: http://www.mydollarplan.com/tax-brackets/

2011 Personal District of Columbia Income Tax Rates

Tax Rate Personal
4.10% $0-$10,000
6.00% $10,001-$40,000
8.50% $40,001-$350,000
8.95% $350,001+
Source: http://cfo.dc.gov/cfo/cwp/view,a,1324,q,610984.asp
Rates
Head of Household
Up to $12,250
$12,251 $46,750
$46,751 $120,700
$120,701 $216,800
$216,801 $383,350
Over $383,350
 Results (With DC Grant)
How To Generally Vendor Vendor Vendor Vendor Vendor Vendor Vendor Vendor
Metric Vendor A AVERAGES
Interpret B B B B C D1 D2 D3
Initial Costs
Lease: Lease:
Lease: Purchase PURCHAS
0% Initial Purchase: Purchase: LEASE
Acquistion Method: Configuration Purchase Purchase Prepay Purchase : Tilt E
Down Payment I-Beam Flat Ballast OPTIONS
Plan Ballast OPTIONS
Plan Plan
Gross System Cost $19,382 $23,196 na na na $22,995 $24,975 $25,500 $34,320 $25,061 na
Net System Cost (after subsidies) Generally, the lower the
for Purchase Options or Initial better, but SP, IRR and NPV $4,672 $8,110 $0 $3,639 $7,278 $4,677 $7,747 $7,005 $9,004 $6,876 $3,639
System Cost for Lease Options better metrics.
Annual Lease Payment (just for
na na $816 $516 $0 na na na na na $444
lease options) NPV and IRR (below) are
Annual Increase in Lease Payment better metrics of value.
na na 3.9% 0.0% 0.0% na na na na na 1.3%
(just for lease options)
Dollars Per Watt Nameplate Watt
Lower the better. $/kWh/year $1.25 $1.96 na na na $0.92 $2.15 $1.72 $1.45 $1.57 na
(based on Net System Cost)
is a better metric as it factors
Dollars Per Kilowatt-Hour/Year in system efficiency. $1.08 $1.74 na na na $0.86 $1.62 $1.29 $1.21 $1.30 na
(based on Net System Cost)
Production Results
Indicative of the size of panel
Nameplate Rating (DC Watts) 3,750 4,140 4,140 4,140 4,140 5,060 3,600 4,080 6,240 4,478 na
array on roof.
Closer to 100% the better
(unless you anticipate much
Percentage of Annual Consumption
higher (electric car) or lower 92% 99% 99% 99% 99% 117% 102% 96% 159% 111% na
Offset
(efficiency improvements)
loads.
Financial Results
The year cash flow turns
Simple Payback (SP) 7 10 never 12 10 6 10 8 8 8 11
positive.
Internal Rate of Return (IRR) Higher the better. 16.23% 9.46% Err:523 29.20% 10.83% 20.35% 10.35% 13.46% 14.39% 14.04% 10.02%
Net Present Value (NPV) Higher the better. $7,431 $5,024 ($2,130) $2,579 $5,823 $10,571 $5,701 $8,199 $11,842 $8,128 $2,091
Residential Property Value Increase
Estimated Increased Property Value
Higher the better. $22,500 $24,840 na na na $30,360 $31,600 $24,480 $37,440 $26,870 na
($6.00/nameplate watt)
Estimated Increased Property Value
Higher the better. $28,500 $31,464 na na na $38,456 $27,360 $31,008 $47,424 $34,035 na
($7.60/nameplate watt)
Estimated Price Premium (Low; 21X
Higher the better. $13,296 $14,297 na na na $16,802 $14,663 $16,653 $22,901 $16,435 na
Annual Foregone Electricity Cost)

Estimated Price Premium (High; 26X

Higher the better. $16,462 $17,701 na na na $20,802 $1,815 $20,618 $28,354 $20,349 na
Annual Foregone Electricity Cost)