Is Solar Worth It? The Not So Conclusive 2 Year Report

So, I’m about 2 years in with my solar panels and the burning question is: Was it worth it?

The answer: It depends on how you look at it.

I sent the raw data to my friend, Pesy Hollander, who did the analysis for me.

FINANCIAL
From a pure FINANCIAL perspective, it seems like I am slightly behind (by about $100). Pesy had discovered a $210 delta, but I did get a check from Solar City last year to make up for underperformance (and, for all I know, I’ll get one this year, so perhaps I should wait, but well, I’m here now).

Also, a part of that is because the panels had a small technical issue upfront and it could be a function of the number of sunny days and/or an increase in consumption.

ENVIRONMENTAL
From a GREEN perspective, I am ahead. Way ahead. It’s a great feeling on a sunny day to know that I am doing a small, bit part for the environment. I am willing to pay $25 a year for that feeling. Plus, the offset of mature trees in CO2 helps.

TECHNOLOGY
From a TECHNOLOGY perspective, I am also ahead. I like having them on the roof, seeing the inverter, monitoring the output via the wi-fi/mobile apps and marveling at how it all comes together. I’ll also paid $25/year for that experience (heck, I do that all the time).

I’m ok with this, for now. I suspect I’m willing to pay the $25/year “green” tax well into the future (if I have to.). Think about it…Prius owners do it anyway, right?

As for the tech tax, I would hope that goes away.

I invested with the Long Game in mind, so I’m fine where we are.

If you are interested, you should use my referral code (and get a saving yourself). That would help my costs as well

Let me know via the comments if you have any quetsions.

Update on Solar…Carbon Offset

So, after two months, system seems to be working well and I’m about break even. My favorite part (and I’m willing to actually pay for this in hard dollars) is the carbon offset number.

If you are interested in saving the planet as well, here's the link to get an estimate for your own solar panels.
(full disclosure...if you do sign up via this link, we both get some $).

For the financial argument for it…see here.

The evolving ROI/benefit of domestic solar

If you are interested in saving the planet as well, here's the link to get an estimate for your own solar panels.
(full disclosure...if you do sign up via this link, we both get some $).

Background:

So, we’re up to a total of about 300 kWh over the 5 weeks of solar power.

Considering it’s been wintertime, a few really cloudy days and 1-2 days of snow, I’m excited.

It’s fun to watch and, truth be told, it just feels good.

When the sun is shining, I just think “excellent, generating some power.”

So, on the economic side, the first month, we came in below the guarantee production. I still paid my flat fee of $68 and asked about this.

The answer…which works for me, is that there is a “true up” period at the end of the year to account for the fluctuations.

They get the float on a bit of money. I’m ok with that, if it all works out over the long haul.

So, How is the Solar Going?

Well, it is still early in the process and it IS winter (full of cloudy days and some snow), but it IS working and, in my mind, that’s

1. very neat
2. great for the environment

Below is a recent daily chart showing solar energy production.

If you are interested, here's the link to get an estimate.
(full disclosure...if you do sign up via this link, we both get some $).

The Cost of Water

Over a year ago, I suggested that we needed to rethink the use of our water.

In the last 2 bills, the cost of water for us has gone up to $4.53 per 1000 gallons for water and $5.61 per 1,000 gallons for sewer.

I don’t have the previous amounts handy, but wondering if this is true in other locales?

Going Solar...the Financial Argument

Image via Wikipedia

We used to have two glorious trees in our backyard. They shaded our southern exposure quite nicely and cooled the house.

Unfortunately, they were old and sick and we had to take them down.

It was sad, but it opened up a new world of possibilities...our new roof was now a candidate for solar panels.

Since watching An Inconvenient Truth and combined with my long-standing concerns around US dependence on foreign oil and my recent travels seeing both the positives and negatives of globalization, I've definitely become more of a "green" person.

Started composting, added insulation into my walls, compact fluorescents...and a few more things.

I'll admit, the economic argument wasn't always there, but I felt like, in a small way, I was doing something...and I was putting my money where my mouth was.

The Solar Investigation
So, I connected through a trusted resource, with the folks at Solar City who came over and reviewed my roof.

They gave me a proposal for leasing solar panels (I would post it, but it’s got my home address all over it) where they estimate a 25% reduction in my annual usage. They gave me a few different leasing proposals, but the question remained:

Was it going to be worth it?

I sent the proposal and the assumptions to a few friends who are better at Internal Rate of Return calculations than I am and the answers that came back were pretty much unanimous.

It's bordeline, and may not be worth it.

So, at the upfront investment of $6700, I wouldn't be coming out ahead.

Now, if you read Dan Ariely's book, Predictably Irrational (review here), you'll know that people don't always make purely rational decisions and this was to become one of those moments.

I'll admit, I'm doing a bit of financial hocus-pocus wizardry on myself, but here's how I came up with the justification to do it.

I figured I was willing to spend about $2,000 on the following elements to the deal.

1. I'd FEEL like I was doing something for the environment. I'm convinced that our current model is unsustainable and I'm willing to pay something above and beyond to do something about it.
2. I'm always willing to pay for the feeling and the self-perception of early adopter. It's difficult to explain, but those of us who are, know what I am talking about. In fact, talking to one friend who is one also, he said, "yes, the early adopter rush is definitely worth something."
3. As a technophile, frankly, I am curious if/how it will work. I constantly experiment with new technologies and realize that, not always, does it work in your favor, but the education itself is worth something. I'm willing to pay for that.
4. And the one of which I am most proud...since I work at home, I now feel comfortable promoting Never Stop Marketing as a "green business." After all, world HQ is powered by solar, right? (Bonsu if I can swing this as a tax deduction...still investigating).

So, those 4 elements are worth about $2000 to me.

Then, I take that out of the total cost and, assuming the numbers are close to accurate, the system does make economic sense.

Obviously, I'll keep blogging about this.

Should you want to get/investigate your own system, let me know, so I can refer you. We'll both benefit financially..thereby improving my (and your) ROI.

BTW, feel free to talk me out of it…I’m still in the no-penalty cancellation period!

Related articles

• Solar-leasing startup SolarCity starts selling subsidized electric car chargers (venturebeat.com)
• Solar-Leasing Startup SolarCity Starts Selling Subsidized Electric Car Chargers (nytimes.com)
• Your Home: Solar Power (charlotte.news14.com)

Recycling, the Smell, and our Future…

It was difficult for me to walk around the Montgomery County Recycling facility and not feel a bit guilty.

I was there as a chaperone on Tikkanen’s 1st grade class trip and while the science, process, and automation weren’t fascinating, I was a bit dismayed by just how much STUFF this one facility on this one day in this one place during this 10 minute tour was processing.

It was mammoth.

I certainly wouldn’t be considered to be a person on the forefront of the Green movement, but my awareness, starting with An Inconvenient Truth, has certainly been raised recently.

I compost (or try to), am investigating solar for my roof. I’m pretty good and diligent about paper/plastic recycling.

Still, I saw all of this…all the one use drink bottles and felt pangs.

Pangs for the world that our kids could inherit.

Pangs for the disregard/lack of knowledge we’ve had in the past for the environment.

As I saw somewhere once, “we’re on a spaceship with finite resources on an infinite voyage…we can’t afford to waste things.”

I just wonder if more people would have the same reaction going through there as I did.

One thing you notice is the smell…and this isn’t garbage, it’s recycling.

I saw the people who work there…4 days per week, 10 hours a day, moving our cast away stuff to help our future planet.

They had my gratitude.

Definitely a worthwhile visit and a perspective changer.

Here’s a video of the process.

Related articles

• Full cycle recycling (nationalaquarium.wordpress.com)
• Five Things You Can't Recycle Locally (brighthub.com)
• Better for environment: wine cork or screw-cap? (sfgate.com)

Better Place and Israeli Clean Tech…

On the day I was leaving, I saw this article from AP about the Israeli Clean Tech economy.

Combine that with what I saw at Better Place and I came away super-excited about the potential for innovation and growth in the Green economy in Israel.

It already is one of the world’s hotbeds.

I am going to have to come back just to investigate this angle.

Here’s my 7 minute video of a test drive of the car.

Here’s a bit on how the battery switching process (when needed) works.

Here’s the video explaining the charging process.

To a Better Place…

It’s not everyday that you get to the see the future.

But my visit to the Better Place Visitor facility was one of those days.

BetterPlace is a vision of allowing us to have the freedom of our cars with zero reliance or dependency on oil or gas.

What is happening in Israel in this respect is truly remarkable.

Imagine this…

Your car charges overnight in your garage/front yard.

In the morning, you have 160km/100miles worth of driving available to you on that charge (which is good enough for most people everyday.)

When you get to work (or wherever your destination is), you can plug in again and keep the battery full.

For much longer rides, when you don’t have time to recharge (a full charge is about 6 hours), you will pull into an automated switching stations where, in about 90 seconds, they remove the battery and replace it with a new one (video here).

What’s more, the car is connected to a smart system so that, it can tell you which battery replacement stations have the shortest wait time in them.

But, for the most part, you never really need that.

And you NEVER, ever have to fill up with gas.

To make this a reality, they are building an entire infrastructure of charging stations around Israel so that anywhere you go, you’ll just be able to plug in your car when you park.

Instead of paying for gas or electricity, you pay for the amount of miles/kilometers you drive.

Kind of like buying your cell phone and then paying for minutes…but only for the minutes you actually use.

The cars don’t need oil changes or maintenance in the conventional sense.

All of this is the feature of the car…but the way they sell it, just brilliant.

It’s a story about the environment, about health, about security and how this car company frees us from all of that. They are truly selling the movement and showing why and how this is not only necessary, but feasible.

And the cars themselves?

I test drove one and the first thing I noticed…no noise. So quiet. Handled well, accelerated beautifully. (see the video)

I’m a believer.

Not just in the car, but how this car can begin to turn the tide of global warming. To end our dependence and subservience to despotic oil regimes.

Just awesome.

For more:

Here’s my 7 minute video of a test drive of the car.

Here’s a bit on how the battery switching process (when needed) works.

Here’s the video explaining the charging process.

Israel and Sustainability…

After seeing India, the enormity of the environmental challenge in front of us was driven home for me.

After visiting Israel, I see a possibility for HUGE amounts of innovation to happen here that ultimately impact the entire world.

Already limited in natural resources and exacerbated by the Arab embargo, what you are seeing in Israel in terms of innovation in desalination, electric cars, renewables, solar….it’s really remarkable.

This place will be (if it isn’t already) recognized as a leading R&D lab for the ecological future of the planet.

India and Sustainability…

I’ll say this…after seeing the traffic, trash, and pollution in India, it’s more clear than ever that our consumer habits are just not sustainable.

Humbling.

Secret Life of Garbage

I had recorded this, but was afraid to watch it…for fear of what reality I would have to confront.

It’s pretty sad and disheartening (with sprinkles of cause for optimism). We’re all guilty here.

I’m definitely a bit depressed now. It’s like the Wall-E vision is really happening.

Here’s info on Trash in your state and the “life of a water bottle.”

Global Network. Global Consciousness.

The more time that I spend online (and it’s a lot), the more the power of networks helps me understand how we’re all interconnected.

Perhaps this technical understanding of networks has opened my mind, eyes, and heart to the biological network we inhabit and impact.

Back in June, I began composting and this post was originally going to be about the progress of that initiative.

So far, I haven’t really taken any mulch out of the “end” of the process, but what continues to AMAZE and astound me is how much food we are now recycling and how effectively nature recycles it.

Watching the insects at work is truly an appreciation of God’s handiwork and I am at the point where I don’t even care if I get mulch out. It’s just a great feeling to contribute in this small way.

But, while I was thinking about this post, I watched this fantastic video called How Big Brands Can Save BioDiversity and it made me concerned about the future that we all will inherit…and hopeful that, as more and more people come to the realization that our past patterns of consumption are not sustainable, that there is indeed a brighter future around the corner.

I’m far from a model of non-consumption, but, as Lao Tzu says, “the journey of a 1000 miles begins with 1 step” and my step is the one out my back door to the compost bin.

What’s yours?

Now, watch the video…

Recycle Your Cell Phone and Get Paid.

I just love when I see businesses that just MAKE SENSE all the way around.
And it’s no surprise that my longtime friend, Ben Gordon has done it again.
This time, with Eco-Squid.
What’s in it for you?
A way to recycle your old cell phones AND get paid for it.
Simple enough, right?
On opening day, they got a great write-up on the AOL Finance page and they created

• 900 trade in referrals worth a total of $48,000
• average trade in price- $55

Seems like everyone wins in this one.
Well done, Ben!

Lawns, Water, and Habits

Image by Hambo via Flickr

This summer in DC has been incredibly hot. I don’t know if its’ the hottest ever or not, but a number of days over 100 certainly qualifies for intense.

The implications are obvious.

Electricity systems are strained and water levels aren’t as high.

There’s a guy in my neighborhood who takes a great deal of pride in his lawn. Mows it often.

Driving down the street one morning, I saw that he had set up a number of sprinklers and was watering the grass.

Maybe I’m self-righteous, but that just struck me as selfish and irresponsible.

If I’m not mistaken, the idea of the lawn stems from the desire of the English aristocracy to demonstrate their wealth by showing off how they could own land, but afford to “waste” it by not using it for sheep.

Well, now, the game has changed and we have a greater level of consciousness about water and how we have mistreated it.

Maybe I can’t blame him. I probably shouldn’t. If water were more expensive, we wouldn’t have lawns (or at least those that required watering).

Still, it represented to me that we’re ALL continuing habits and behaviors that, in light of new knowledge, we may want to reinvestigate.

At what price Green?

Image by Getty Images via @daylife

Received this solicitation the other day, offering to let me move our family power consumption to 100% wind power generated, at a cost of $240 per year.

Given some of my recent thinking, I’m inclined to do it.  I realize that it’s a subsidy of some sort, but I kind of feel like it’s strategic for Western Civilization.

Just like I’m willing to pay a premium to be an early adopter of technology tools, I suppose I am willing to do so for this as well.

No toilet paper, no electricity- NO Impact Man is a winner.

No lights, no refrigerator, no Starbucks coffee…and more. What if you voluntarily chose to give all of that up for a year?

Well, that’s what No Impact Man: The Documentary is all about.

A writer, who lives in New York City, decided that he, his wife and their 2 year old daughter would try to live for 1 whole year and create NO environmental impact whatsoever.

No heat, no air conditioning, no carbon-based travel, no food from more than 150 miles away.

Intense indeed.

But, this wasn’t a movie about a fringe lunatic, it was about going to the extreme in order to recalibrate to a more sustainable, balanced middle.

And about appreciating the interconnectedness of the world’s eco-system.

I found it moving and inspiring…as well as being a significant wake-up call.

What’s more, it motivated me to buy this composter (which hopefully will work-even though I am a bit nervous about it) to at least give it a shot. I had been holding off, but the movie made me feel like I needed to act today.

Bottom line: this movie was an important step for me in my growing consciousness of the impact of the consumer society in which we live and, more importantly, motivated me to take a concrete step.

No Blood For Oil? How about Water?

First it was phosphorus, now it is water.

A fascinating article about what current trends in consumption mean for us and future generations.

Thoughts?

Will ingenuity solve this or are we headed to catastrophe?

On Sustainability…

For those of you who are concerned about sustainability (and that should be all of you), two articles worth checking out.

Both from Scientific American

The first is about Todd Brady, who is Corp Environmental Manager at Intel, and has designed Intel’s first green building to be opened this year in Haifa, Israel.

The other article, far more technical, raised my awareness (from zero) on the looming crisis of a Phosphorus Famine.

I had NO idea about this at all or how critical it is.

The visual that brought the phosphorus issue (and more…ever since An Incovnenient Truth, I feel like my outlook has dramatically changed), was the author’s description of the Earth as a spaceship.

He writes:

Green Revelation
My interest in phosphorus dates back to the mid-1990s, when I became involved in a NASA program aiming to learn how to grow food in space. The design of such a system requires a careful analysis of the cycles of all elements that go into food and that would need to be recycled within the closed environment of a spaceship. Such know-how may be necessary for a future trip to Mars, which would last almost three years.

Our planet is also a spaceship: it has an essentially fixed total amount of each element.

Worth the read.

Food Shortages and the Downfall of Civilization...

Image by AFP/Getty Images via Daylife

Some days, it's tough to not being pessimistic about the long-range future of civilization.

Today's contributor? A fascinating article in Scientific American called "Could Food Shortages Bring Down Civilization?"

The author brings together a number issues, including climate change, population growth, lowering marginal food crop yields (including diversion to ethanol) and reduced water tables to forecast a pretty bleak future..unless dramatic action is taken soon.

Like a Hollywood exec who says, "oh, that scripts is like Bambi meets Rambo" or whatever, it seems like this is the same plot with different actors as the current movie we're in (the economy.)

Whether it is "death by a thousand cuts" or preferring "Chronic to Acute Pain," we as a society (and this extends to companies and individuals as well), are just not very good at saying, "ok, let's make some big sacrifices now so that we are in really good shape tomorrow."

Obviously, this isn't always the case, but it just feels like when we have a ton of evidence that, in some respect, we're headed off a cliff (mortgage mess), that we tend to end up in a situation where we drive off the cliff and then fix the problem (as opposed to just stopping beforehand.)

In the grand scheme of things, historically, the stakes may not have been so high, but in a global interconnected, inter-dependent world, the stakes are high... Climate change, a nuclear/rogue Iran, food shortages, water.

The thing is...I don't have an answer, so I'm just venting here.

(One fact in the article I found interesting was how some countries are leasing land in other countries to protect their food supply, so it's not hard to see a scenario where states that are failing or poor simply sell off land to rich states....say Sudan selling part of its country to China...literally changing the concept of nation-states.)

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• Lester Brown on the Coming Food Crisis (Again) (paul.kedrosky.com)
• Islamic scholar condemns bioethanol (guardian.co.uk)
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