2012 SOUTHWEST VIC SOLAR PROJECT
Contents
1. Note that while the above table shows typical sizes actual situations may vary considerably when personal situations are taken into account KPE expects that mid term future Victorian solar PV system sizing trends will see smaller systems installed once TFiT contracts are fully allocated and surplus export payments are low KPE Solar PV User Manual Page 6 8 How long is the system warranted for KPE Solar Photovoltaic Small Generating Systems are covered by the following warranties and performance guarantees from the date when installation is completed e A5year warranty against poor workmanship on the installation of your system This warranty resides with KPE e A5year warranty on the Inverter This warranty resides with the manufacturer through KPE Contact KPE if you have problems with your inverter and we will arrange a service call on behalf of the inverter manufacturer KPE has registered your inverter with your manufacturer e A5year warranty against manufacturing defects on the solar PV panels This warranty resides with the manufacturer through KPE Contact KPE if you have problems with your panels and we will arrange repair replacement on behalf of the inverter manufacturer e Asystem performance guarantee of 10 year 90 of nominal design capacity and 25 year 80 of nominal design capacity measured under standard test conditions from the solar PV panel manufacturers These guarantees reside with the manufactur2. 350 350 350 350 700 1 400 2 100 2 450 2 800 3 150 3 500 3 850 4 200 4 550 Systems are required to be physically installed but are not required to be operating to qualify for Solar Credits KPE Solar PV User Manual Page 4 Feed in Tariff A FiT is the rate of money you get for of selling electricity back to the Grid and each State has its own The current Victorian FiT is called the Transitional Feed in Tariff TFIT and is a net based system meaning you only get paid for exported surplus The Place To Be e The TFiT pays 25c per kWh but most electricity retailers add a contribution of 6c 8c so the Notes payment is normally 31c 33c per kWh e The biggest value of the TFiT is that you effectively get paid the same for exporting surplus energy than you pay from the Grid This makes energy management very easy e The TFIT is in fact a contract between a solar PV system owner and the Victorian electrical distribution industry This contract runs up until the end of 2016 which in most cases will pay off 85 of your solar PV system installation cost e The Vic FiT contracts are based on a total Statewide capacity of 7S5MW or approximately 25 000 contracts These contracts are expected to be fully allocated by the end of September 2012 Systems are required to be physically installed and FULLY operational to qualify for a TFiT contract 6 What will happe
3. G y Prince 2012 SOUTHWEST VIC SOLAR PROJECT FREQUENTLY ASKED QUESTIONS Contents 1 What is the 2012 SW Vic Solar Project acciccsacssccasssdecnsseataccnasascedsacanrecasteaceseeiecaiiwesenaunenaads 2 2 What is a solar photovoltaic system and how does it work cssececeeseeecesseeeeeeesenaaes 2 3 What kind of Equipment is being supplied cc eeeeecessseeessesececssseeeecessseeeeeeseeaaeeeeeees 3 4 Where are the system components MAE cssececessstceceessneeceseseeeceeseeeeceeseaaeeesseeseeeeees 3 5 What kinds of rebates are available to ME ee eesceeeeceeceeeeeeeeeeeeeeeeeeeeeeseseeseeeseeeeseeeens 4 6 What will happen to rebates in the future eeeecesstececesseeeceessaseceesseaeecesseeeneeeeesenaes 5 7 What Size sh uld purchase iiss tbectennasvacean lade rsasieata Seals vvecietbcdedsatsewurtadvaseplsecrtuatloraagise 6 8 How long is the system Warranted for cceessccecsssscecessseececssnaececssseeeceseeeeeceeesenaeeeeees 7 9 What do I need to do to maintain the system ccceceeesececeeentececesseeeeesseeeeeeeeeaeeeeeees 7 10 How well will the system perform ss sivscecssesiudcansys cceevsvuandersssetcupvincen taxeactsessandeuarsuceesened 8 11 How much CO2 is used to create the system how much CO2 will it save me 9 12 How much money will the system save or make ME scseeecessseeeeeeseeecesseeeeeestaaeaes 9 13 Do I need to pay tax on a
4. Page 3 5 What kinds of rebates are available to me Small scale solar rebates currently come in two forms e Anupfront cost reduction rebate known as Solar Credits e Anongoing payment for exporting electricity to the Grid know as a Feed in Tariff FiT Solar Credits Solar credits are essentially certificates tied to Australia s Renewable Energy Target and are sold to T Australian Goverament liable entities such as coal power station operators ore ieee Department of Climate Change The price of each certificate will fluctuate with market and Energy Efficiency demand KPE currently pays 39 50 for each certificate generated This is higher than the current market rate of approximately 26 per certificate In practical terms KPE s purchase of certificates simply reduces the cost of the system and administers the generation and sale of certificates There is no action required by you as the solar PV system purchaser In real terms this equates to a discount of approximately e 2 100 from a 1 5kW system e 2 450 from a 2kW system e 3 150 from a 3kW system e 3 850 from a 4kW system e 4 550 from a 5kW system Note that the first 1 5kW of an installed system generates twice as much rebate than above this figure This is because the first 1 5kW is doubled by the Commonwealth Government and is known as the Solar Credit Multiplier Multiplier table 350 350 350 350 350 350 350 350 350
5. Prince Engineering is conducting a community solar project in Southwest Victoria to help local households install solar photovoltaic systems before the Victorian Government cuts their Transitional Feed in Tariff TFiT in the second half of 2012 Keppel Prince expects to install up to 80 systems before the reduction in the TFiT This will be run on a strict case of first in has the best opportunity to beat the TFiT reduction Clean Energy Council ACCREDITED Keppel Prince Engineering employs approximately 400 Glenelg Shire residents and has been operating in Portland since 1979 Since beginning to install solar systems in 2011 Keppel Prince has installed approximately 700 systems across Victoria with over 300 in Southwest Victoria 2 What is a solar photovoltaic system and how does it work Unlike solar hot water systems which take heat from the atmosphere to heat up water Solar PV systems convert the energy in light into electricity through a conversion reaction which occurs when light strikes the cells in a solar panel The cells are chemically treated slivers of a silicon crystal which release electrons when exposed to sun light These electrons are captured by the thin wires you can see embedded in the panel from where they are carried to the inverter It is a relatively simple process that involves no moving parts and should be a reliable source of electricity for you for over 25 years The PV system s panels
6. collect electrons in a Direct Current DC which is sent to a device known as an inverter that converts the DC electricity into a 240 volt Alternating Current AC This is identical to electricity from the Grid and can be used directly or sent sold to the Grid As an example On a clear and sunny day if a house has a 3kW solar PV system generating at design capacity while the same house has a 1kW microwave oven running and 0 5kW of other assorted appliances the PV system s output will be split with 1 5kW used in the house itself and 1 5kW being sold to the Grid Conversely when a solar PV system is not generating electricity and the building requires power electricity will be drawn from the Grid KPE Solar PV User Manual Page 2 3 What kind of Equipment is being supplied Keppel Prince is supplying systems made up of the following components Monocrystalline Photovoltaic panels Transformerless solar PV power inverters Aluminium Mounting Frames Matched metal with your existing roofing material or stainless steel fixtures As required cabling and switching 4 Where are the system components made Panels KPE s panels are sourced from one of China s most modern photovoltaic manufacturers Sunlink PV a company S SunLink PV that undertakes all of the processes involved in house in a factory that is powered completely by their own 2MW solar PV array This means your panels have the lowest amount of
7. extra costs above the standard system prices due to the particular circumstances of your property Confirm your final system size you require during the design visit amp discussion KPE will notify you of the final cost of your system as per the formal KPE Solar Quotation The outstanding balance of your system cost must be paid as per the timing detailed on the KPE Solar Quotation We require full payment in advance of installation On the day the system is installed you will need to be available to sign off documents e That certifies that the installation has been completed e That assigns your right to the creation of STC s for your system to KPE Once the system has been installed KPE will notify your nominated electricity retailer who will arrange for Powercor to install or configure your meter as required See 19 Once the system is installed what do I do for more information There is a cooling off period of 3 days after the date you receive your final cost confirmation during which time you can decide to pull out of the purchase If you take this decision KPE will refund your deposit within 7 days of you notifying us in writing of your decision to not continue Please include your bank details for an E F T refund Installations programs may be affected by shipping delays and or bad weather KPE will make all reasonable efforts to keep you informed about possible delays to your scheduled installation date Failure to sign complet
8. 8 If you do not have a suitable switchboard you may be required to upgrade or replace it or if your solar PV system is fitted to a building such as a farm shed without a switchboard you will have to have one installed In all of these cases this potential work will have to be carried out prior to your solar PV system installation and is an external cost made between you and the electrician performing that work KPE will inform you at the quoting stage of the process whether any of this type of work is required Financing costs Financing costs vary on situation In most cases customers source financing from savings If savings are not available the most common source of financing is either through a home equity loan or a personal loan 22 Are the systems customisable Yes KPE solar PV systems are customized for every installation and we will work with you to ensure your system is not only the best choice for today but also ready for any future needs you may require KPE Solar PV User Manual Page 14 23 How do I sign up and purchase a system To sign up for a KPE solar PV system complete the following 1 Notes Complete a KPE Offer Document and return it to Keppel Prince with a base deposit of 1 500 Once your deposit is received KPE will contact you to arrange a site design visit This visit will confirm the system sizes able to be safely installed onto your property as well as assessing your property for any
9. carbon captured in their manufacture of any in the world Also Sunlink is located in Zhangjiagang which is Portland s Chinese sister city KPE purposefully chose Sunlink as supplier due to the quality of their panels along with the company s ethical working conditions and sister city link which ensures a solid and long term relationship between the two companies which KPE is proud of Inverters KPE sources inverters from Kinglong New Energy Technology KLNE a reputable Chinese company with a strong focus on support for their products which includes an Australian office and service capacity KLNE has proven to be an excellent supplier who has a strong service and warranty focus Alternatively KPE can source SMA inverters from Germany or Fronius Inverters from Austria if required SMA in particular are KLNE widely used for educational installations as they offer well recognized monitoring equipment which can publish We Love Sunshine performance data to the internet in real time Mounting Frames The mounting frames supplied with your system are Chinese made and are designed to withstand wind loads of 60 metres per second approx 216kms per hour Cabling and switching The cables and isolating switches supplied by installers are all designed specifically to carry either DC or AC currents depending on where they are installed in the system These components are sourced from multiple suppliers KPE Solar PV User Manual
10. equired to create them including all components transport and installation In the case of KPE s Sunlink based systems this is even less as the manufacture of the panels themselves is powered by an onsite 2MW solar array Because of this a reasonable estimate once full system components transport and installation are included is 12 24 months In terms of lowering your household s CO2 footprint each installed kW will save approximately 1 9 tonnes per year compared to coal powered electricity 2 9 tonnes 3 8 tonnes 5 7 tonnes 7 6 tonnes 9 5 tonnes 12 How much money will the system save or make me With a Transitional Feed in Tariff this is quite easy and relatively accurate to calculate as a similar price exists for savings versus selling your surplus to the Grid Under expected system performanc e see 10 the annual amount of savings earning will be 640 730 845 965 1 265 1 445 1 685 1 925 2 105 2 4010 13 Do I need to pay tax on any money that the system earns me If fitted to a primary residence no The Commonwealth Government considers income generated from small solar PV systems on primary residences are not considered to be income so any profit does not need to be declared and no tax is payable This also means that the systems are not eligible as a tax deduction either outright or as a depreciating item If the s
11. equired to undertake The following are cost extras which you might expect in the final quotation where your installation is different to the ideal due to roof size type orientation etc 1 Tiled Roof an extra 150 for a 1500W system 190 for a 2000W system 260 for a 3000W system 330 for a 4000W and 360 for a 5000W system 2 Where available roof is pitched lt 20 and you choose a tilted mounting frame an extra 230 for a 1500W system 250 for 2000W system 400 for a 3000W system 475for 4000W and 550 for 5000W systems 3 For ground array systems mounted on tilt legs onto concrete foundations supplied by the system owner an extra 230 for a 1500W system 250 for 2000W system 400 for a 3000W system 475 for a 4000W system and 550 for a 5000W system DC cabling runs from the panel array to inverter greater than 20m 20 per extra metre AC cabling runs from inverter to switchboard greater than 1m 100 plus 10 per extra metre This assumes cable runs within the building having solar PV installed Owners will be responsible for any trenching costs if the preferred installation requires underground cabling from the solar system to switch or meter boards 6 Extra access costs for double story and or high shed roofs an extra 200 for a 1500W system 250 for a 2000W system 350 for a 3000W system 450 for a 4000W system and 500 for a 5000W system 7 Split array costs of 200 per system where panels have to be installed onto mo
12. er through KPE Contact KPE if you have problems with system performance and we will arrange appropriate measures on behalf of the panel manufacturer If test confirm there is a problem the manufacturer may choose to replace panels or to provide extra panel s to bring the overall system performance within the guarantee limits at the time The decision to install extra panels in this circumstance is made with consent of client 9 What do I need to do to maintain the system Fixed panel solar PV systems have no moving parts and require very little maintenance In almost all cases the panels are self cleaned through normal weather conditions An annual visual inspection is recommended to check if panels need cleaning and for system damage A quarterly system performance check via the Inverter s data output can also be used as an indicator of maintenance requirements That is if the system is performing below expectations cleaning or other maintenance may be required KPE Solar PV User Manual Page 7 10 How well will the system perform Your solar PV system s performance compared to its rated power capacity can be affected by a number of factors e The amount of solar radiation and ambient temperature on any given day e The deviation of the direction your roof faces away from true north e The inclination or slope angle of your roof and or the panels e Shading of your solar array during peak production times Clean Energy Co
13. ion and STC certificates may stop or slow the generation of SRETs for your system and may result in either you being charged an administrative fee or becoming liable for the Gross System Cost and being responsible for sale of the SRET s yourself KPE Solar PV User Manual Page 15 24 Who should I contact All Portland region questions can be directed to Peter Reefman from Keppel Prince Engineering Peter Reefman Solar Systems Projects Coordinator Phone 03 5523 8843 Mobile 0408 307 730 Fax 03 5523 8890 Email solar keppelprince com au Mail P O Box 515 Portland Victoria 3305 All Hamilton region questions can be directed to Hamilton region coordinator Heinz de Chelard Heinz de Chelard Hamilton Region Solar Project Coordinator Mobile 0448 507 374 Email heinz dechelard catchmenthealth com au Mail 236 Mt Baimbridge Rd Hamilton Vic 3300 KPE Solar PV User Manual Page 16
14. n to rebates in the future Both the Solar Credits rebate and the Victorian Transitional Feed in Tariff TFIT will be reduced in the future on the following timetable and rates Solar Credits At the end of the 2012 2013 tax year the multiplier component of Solar Credits will be removed This will give a real world increase of approximately 1 000 onto all solar PV systems installed after that date No further reductions are planned after that date while the Commonwealth Government retains the Renewable Energy Target However a change of Government and or a change of policy that reduces or removes the Renewable Energy Target would flow through to solar PV systems increasing their installed cost by approximately 700 per installed kW Transitional Feed in Tariff Following the full allocation of TFiT contracts which is expected to occur at the end of September 2012 the Victorian government will not introduce any further payment contract incentives What is planned instead is the Victorian Government will recommend a fair payment from energy retailer and solar PV system owner The recommended payment is currently being reviewed by the Victorian Competition and Efficiency Commission VCEC The expected range will be 6c 12c in total Other States have already dropped their FiTs to 8c KPE Solar PV User Manual Page 5 What this will mean is that large systems exporting surplus power will be unviable and an emphasis will be to i
15. nstall either e Systems small enough to never create surplus e Smart Hybrid Systems with battery storage that can automatically store daytime surplus to be used during the night While KPE feels that this is the way forward the extra equipment required will increase overall systems costs by 2 000 10 000 depending on size A key message is that a current TFiT contract is very important for owners of solar PV systems as it will allow a guaranteed parity return for the next four years and which time hybrid and battery systems will become more available and affordable 7 What size should I purchase The size of a solar PV system is decided from a number of factors e Budget e Existing and predicted energy consumption e Useable roof space e Motivation financial environmental or varying combinations of both e Energy consumption habits Sunlight hours consumption Vs other consumption Most households today purchase systems that are between half and all of their overall energy consumption Typically installed sizes Single person or small family with quarterly electricity bills of less than 150 Single person or small family with quarterly electricity bills of approximately 150 Average sized family with quarterly electricity bills of approximately 250 Average sized family with quarterly electricity bills of approximately 400 Average to large sized family with quarterly electricity bills of over 400
16. ny money that the system earns Me sssssessssssnssrrressssesrrene 9 14 How can monitor how well my system is performing s ssssssssssssssreseresssrsrnsssreesee 10 15 Do I still have electricity if there is a Grid power outage eeecsececesseeeeessteeeeeeeeenaes 10 16 Will need a Smart Meter sive invccsencisenapnetonntontetsnvwanteancsaaeseansinsagneranutecandvecasinaadentsbetieas 10 17 Will lose my off peak or Climate Saver tariff ccececessssececssnteeecseseeecssseeeeeeeeeeaaes 11 TS Will Need a planning PSRMNIL ccasiicvinecuscecevaseatecseynccensusiea cons tuyredeaussendeeautvandcareeleamienedeatios 11 19 Once the system is installed What do I dO ee cecessseeecssseeceeeeneeecesseeeessseeeeeeeeeseaaes 12 20 How much do the systems cost c csssccccessdcensenccsenncencsesusdsensertentsenedendenededeeanseensteeusete 12 21 What other costs are there sssssssessesssssesssesssersstrsresseresererssttsstensseseresssereneseesseesseen 13 22 Are the systems CUStOMISa Ne eiesuccsacipyacints Gaciecaniedeciauprsoentasraennseucbelanpeceeapiameinbereels 14 23 How do I sign up and purchase a SYStEM ccccsssseecesssceceesueeecesseeeeceeseeeeeseesaaaeeeeeses 15 24 Who should COMUACL amp tons nGrrcaes waonnvtmnsectiundesdsaniatadesantnipianteieudaisiaaad mnsacbngnentennarndeints 16 KPE Solar PV User Manual Page 1 1 What is the 2012 SW Vic Solar Project Portland s Keppel
17. r has received all forms Retailer Powercor Installs solar capable Smart Meter and informs Retailer Fills out TFiT contract and send to Retailer 16 Retailer Puts Customer onto TFiT contract Steps 13 and 15 are vitally important for the Customer to perform as failing to do so may allow the solar PV system application to become lost in the retailer Powercor system 20 How much do the systems cost For all systems ordered between 1 July 31 August prices are as follows w ao som soon sw 8 x 190W panels 8 x 250W panels 12 x 250W Panels 18 x 250W Panels 20 x 250W Panels 1500W inverter 2000W inverter 3000W inverter 4000W inverter 5000W inverter 5 692 50 7 348 00 10 070 50 13 230 50 15 941 50 2 093 50 2 449 00 3 120 50 3 831 50 4 542 50 3 599 00 4 899 00 6 950 00 9 399 00 11 399 00 All system prices start with ideal conditions which is a single story steel roof of 15 30 degrees where the system panels can be installed in one location and a suitable switchboard is available see below for details KPE Solar PV User Manual Page 12 21 What other costs are there There are four types of other costs e Upgrades to your system that you may be required to undertake e Upgrades to your system that you may choose to undertake e Grid connection and switchboard costs e Financing costs Upgrades to your system that you may be r
18. re than one roof space requiring extra install time and materials and Upgrades to your system that you may choose to undertake Possible extra equipment you may consider are 1 Oversize inverter fitted to a 1500W system 2000W inverter 200 3000W inverter 400 4000W inverter 600 and 5000W inverter 900 These margins can be extrapolated forwards by subtracting the lower size For example a 3000W system with a 5000W inverter will cost an extra 500 2 Battery systems KPE is currently investigating a range of options for storing energy These will range from small hybrid Battery Grid systems through to fully off grid systems Costs will vary considerably Enquire for further details 3 Energy monitoring equipment Prices vary on solution Enquire for further details Grid connection and switchboard costs There is a mandatory requirement for all Grid connected solar PV systems to use an approved solar capable SmartMeter This cost may vary for each installation and is outside the control of KPE The following are typical SmartMeter costs for houses 1 Powercor charge to bring forward installation of SmartMeter if not already fitted 96 50 2 Powercor charge to configure SmartMeter for solar PV generation 227 08 KPE Solar PV User Manual Page 13 Note that if your house does not already have a SmartMeter fitted you will have to pay both costs If you already have a SmartMeter you will be required to pay Item 2 227 0
19. uncil e Efficiency losses in the inverter and system wiring and or e Mismatched electrical performance of panels in the system KPE has designed your system wherever possible to minimize the factors which might otherwise cause poorer performance than ought to be achieved e Our panel manufacturers guarantee panel performance of 0 3 of rated power e The inverters we use have efficiencies ranging from 95 5 to 98 and e System wiring designs minimize voltage losses in wiring The effect that angle and orientation will have on your system s performance is also estimated and noted on the quotation sent to you before you confirmed your purchase In real terms that should equate to Portland and Hamilton based north facing systems producing 3 5 4 0kWhrs of electricity per day for each installed kW over a 12 month year Keep in mind that power production will be higher than average during the summer half of the year and lower than average during the winter half of the year 1 940 2 220 7 8 2 550 2 920 10 5 12 3 830 4 380 5000W 17 5 20 6 390 7 300 Where roof is angled away from true north power production may vary by the solar efficiency nominated on your system quote KPE Solar PV User Manual Page 8 11 How much CO2 is used to create the system how much CO2 will it save me In most cases solar PV systems take between 24 and 36 months to generate as much energy as was r
20. ured to allow solar PV compatibility but must be programmed to do so If you already have a Smart Meter you will still need it reprogrammed for solar This typically costs 97 to do and is an unavoidable charge If you do not yet have a Smart Meter you will have to have one fitted that is programmed for solar PV In this case the typical cost is 230 for the Smart Meter and 97 for it to be programmed for solar This is an unavoidable charge KPE Solar PV User Manual Page 10 17 Will I lose my off peak or Climate Saver tariff Off Peak Tariff If you have an appliance that consumes a lot of night time electricity such as a traditional electric water system including Solar Hot Water with electric boost or have electric slab heating then you will not lose your off peak tariff If you do not have either of those appliances but have an off peak tariff you may lose your off peak tariff In this circumstance a single rate tariff will probably be more economical for you Climate Saver Tariff Households with Climate Saver accounts will lose this account in order to obtain a TFIT In fact households with Climate Saver accounts need to decommission their Climate Saver meter by having an electrician rewire all of the Climate Saver circuits to the main meter and requesting Powercor to remove the Climate Saver meter prior to the Solar PV System installation Circumstances do vary so KPE recommends that householders contact their energ
21. y retailer to confirm 18 Will I need a planning permit No Planning permits are not required for installing solar PV systems However if the building is ina heritage overlay area and the system is to be installed on the street facade of the building a heritage planning approval may be required If unsure KPE recommends querying the statutory planning department of your Council KPE Solar PV User Manual Page 11 19 Once the system is installed what do I do Once a system is installed the building owner needs to be proactive to ensure it gets connected to the Grid and to ensure a TFiT contract This full system installation process is as follows Registers interest website phone email office visit Creates Offer and either emails or posts to customer Signs Offer returned to KPE with deposit Processes Offer and organises site visit amp firm quote Signs Quote returned to KPE with payment Installs PV system Fills in Solar Connection Form SCF Electrical Works Request EWR amp Certificate of Electrical Safety CES Requests electrical safety inspection Signs Solar Connection Form Electrical Inspects approves system installation and signs CES Inspector Forwards fully filled in SCF EWR CES to retailer with a copy to Customer Receives copy of the SCF EWR CES and forwards EWR to Powercor to provide solar capable Smart Meter Contact Retailer as a customer to ensure Retaile
22. ystem is larger and fitted on a business or investment property the tax office may regard any profits as income and depreciation may be available In this case KPE recommends you seek independent advice from your financial advisor KPE Solar PV User Manual Page 9 14 How can I monitor how well my system is performing The PV System s Inverter stores data and displays through a digital display on the inverter itself The data displayed includes e Real time power generation e Daily power generation e Total power generation The inverter brands chosen by KPE also have the ability to communicate with most computers as an optional extra purchase Various third party devices can also measure and report system performance as well as the building s energy consumption 15 Do I still have electricity if there is a Grid power outage No Your solar PV inverter is designed to stop the generation of AC power to your house whenever the main supply grid fails This is a standard feature of systems so that maintenance workers attempting to fix the grid or even electricians working on your house wiring are not exposed to electricity generated locally from your solar PV system If you require backup power there are two options e Go off grid with your solar system e Use aregular power generator 16 Will I need a Smart Meter Yes For Grid connected solar PV systems Smart Meters are mandatory All Smart Meters are able to be config
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