New York City Solar Summit

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New York City Solar Summit
Jeff Peterson New York State Energy Research and
Development Authority June 17, 2008
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Discussion Outline

• Program Drivers
• Options for Incentives
• Building Renewable and Clean Energy Businesses

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Renewable Clean Energy Program Drivers
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Simple Representation of the PV Industry Value
Chain
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USDOE Price Projections
USDOE Solar Energy Program Overview, August 2007
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Perspectives on Decision Making
J.E. Pater, Framework for Evaluating the Total
Value Proposition of Clean Energy Technologies,
Technical Report NREL/TP-620-38597, February 2006
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PV Module Learning Curve
Navigant, 2008
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Installed Grid-Connected PV (Top States)
Clean Energy State Program Guide Mainstreaming
Solar Electricity Strategies for States to Build
Local Markets Clean Energy Group and Peregrine
Energy Group, Inc. April 2008
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Incentives
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Public Benefit Funds for Renewables
Gouchoe N.C. Solar Center ASES 2008
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Direct Incentives for Solar PV (1997)
Gouchoe N.C. Solar Center ASES 2008
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Direct Incentives for PV State Programs
Gouchoe N.C. Solar Center ASES 2008
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Types of Incentives

• Capacity-based Rebates (kW)
• Expected Performance payments (kWh)
• Solar-Renewable Energy Credits (kWh)
• Power Purchase Agreement (kWh)

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NYSERDA Incentives for PV -- Looking toward the
future --

• Renewable Energy Task Force 100 MW Target
• What is an effective efficient program design?
• Maximize installations at the lowest cost
• Move the industry closer to sustainability
• Support innovative systems BIPV

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NYSERDA Program Strategy- Renewable and Clean
Energy Companies -

• Build sustainable markets
• Build sustainable businesses to manufacture,
  distribute, supply, service, and install systems
• Strong checks and balances to ensure high quality
  projects

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• Development of commercial market

Typical Business Stages for Start-up Technology
Businesses

• Develop market for prototypes

Business Scale-up
Clear path to competitive economics

• Identify early-entry market segments
• Validate market size/fit

High Level Business Plan

• Develop viable product concept

• Identify potential applications for product

Business Development
Value Proposition
Product Idea
Will the technology work?
Business
Product Definition
Is the business viable?
Business Concept
Initial Concept
Will it work for a customer?
Commercial Scale-up
Commercial Start-up
Working Prototype
Technology
Business Validation
Technology Development
MultipleBetaPrototypes

• Research and development
• Demonstrate key concepts

Manufacturing

• Demonstrate working system prototype

Technology Development

• First generation field prototypes
• Refine prototypes

Bench-top fabrication

• Beta field prototypes
• Pre-production product refinement

• Low volume commercial deployment
• All value-chain firms on-board

Contract manufacturing
Pilot-scale manufacturing

• Product refinement
• Volume scale-up

Commercial production
Navigant, 2008
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Clean Energy TechnologyManufacturing Incentive
Program
PON 1176 10 MILLION AVAILABLE - 1.5 million per
project PROPOSALS -- ACCEPTED ANYTIME
Expand the level of manufacturing of renewable,
clean, and energy-efficient products in New York
through funding for Facility and Site
Characterization, Project Development and
Construction, and Project Commercial Operation
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Manufacturing Incentive Program -- A sample of
active projects --

• Photovoltaic utility-interactive inverters
• Battery Storage/ Energy Management Systems
• Lithium Ion Battery
• Mid-Large Scale Wind Turbines
• Building-Integrated PV modules

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Clean Energy Business Growth DevelopmentPON
11246 million of funding -200,000 per
projectRound 3 August 4, 2008

• Partner with companies to share the risk of --
• Innovation
• Entrepreneurship
• Implementation of new business models and
  strategies
• -- that will enable the adoption and diffusion of
  clean energy technology.

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Business Growth and Development-- A sample of
active projects --

• Explore third party build, own, operate business
  models
• Establish full service installation, finance,
  maintenance company
• Test procedure to reduce system installation time
• Develop new marketing/sales techniques
• Identify and evaluate location for manufacturing
• Business plan and marketing plan development

• Photovoltaics
• Ultracapacitors
• Energy Storage power management
• Inverters
• Willows
• Small large wind systems
• Biofuels

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The Wacko Tree-huggers Secret Ploy
The Way I See It 289 So-called global-warming
is just a secret ploy by wacko tree-huggers to
make America energy independent, clean our air
and water, improve the fuel efficiency of our
vehicles, kick-start 21st century industries, and
make our cities safer and more livable. Dont let
them get away with it! -- Chip Giller Founder of
Grist.org, where environmentally minded people
gather online.
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Jeff Peterson NYSERDA 17 Columbia Circle Albany,
NY 12203 518-862-1090 ext. 3288 jmp_at_nyserda.org