Interactive Guide:
Solar Proposal Example
This guide is to help Austin Energy customers: Solar system information and calculations are for educational purposes and should not be used to inform design decisions.
- Ensure solar proposals reflect accurate utility rates
- Compare common information found in solar proposals
How to Navigate the Interactive Guide:
Hover over buttons to see details Click buttons to: Reveal new content Navigate to links Continue to next page
Go to Solar Proposal Example
SuperStar Solar
Example
Solar Proposal
Contractor Information
SuperStar Solar123 Solar Panel Drive Austin, TX
TDLR: 12345 NABCEP: 987654321
Prepared by: Sunny 512-Sun-1234 Sunny@superstar.ray
System Overview
Specification
Item
System Size
6.0
kW
Battery Capacity
10.0
kW
Energy Offset
90%
Annual Energy Estimates
Home Consumption:
10,000 kWh 9,000 kWh
Solar Generation:
kWh
Rebate Program Shade Eligibility
SuperStar Solar
Solar Proposal
Example
Financial Summary
Price per Watt
$4.58/W 12.0¢/kWh
Total System Cost $30,000
Materials, Labor, Fees, Etc.
Price per Kilowatt-Hour
Net System Cost $27,500
Austin Energy Rebate $2,500 flat-rate check
Federal Tax Credit Update
Financing Options
Payment Schedule
Due at milestone:
Cash
Loan
Lease/PPA
Contract Signing Installation Interconnection
10% of total cost 50% of total cost Remaining Balance
Estimated Savings
Solar Bill Credits
Utility: Austin Energy
Value of Solar Rate: 9.91¢/kWh
Year 1Earnings
Return on Investment
Payback Period
Total Net Earnings
Watch out for Red Flags
Return on Investment
Calculation variables
System Costs
Total cost, factoring in payment escalators and maintenance costs, over the life of a system Value of Solar rate and forecasted rate changes Estimated generation and system degradation rate
Solar Earnings
System Performance
Watch out for Red Flags
Unrealistic savings, like eliminating your utility bill, are promised. The full amount of project cost is requested upfront. Net Metering is used to calculate savings instead of Value of Solar. Financing Costs and Lender Liens are not disclosed.
Solar Loans/PPAs
Power Purchase Agreements (PPAs) are prohibited in Austin Energy Territory. Solar equipment leases are allowed. Key contract information to review:
Contract Terms:
- Total contracted payments
- Performance guarantees
- System end of life
Payment Terms:
- Payment schedule
- Annual payment adjustments
- Payment fees
Solar Production Factor
Calculating the Production Factor will help you measure the efficiency of solar systems, and can be useful when comparing proposals. It is a ratio of how much energy the system is estimated to produce (kWh) to the system size (kW). Roof direction & slope, potential shade, and equipment efficiency can affect this number.
Estimated annual production (in kWh) ÷ system size (in kW)
In Austin, a good range is 1,100 to 1,500 kWh
Estimated Solar Earnings
For Austin Energy customers, solar proposals should not calculate savings and payback periods based on net metering. Instead, Value of Solar rate should be applied to estimated solar generation. Over time, you can recover your system cost through the solar bill credits you earn.
Interactive guide on how solar impacts your bill
Solar Loans
Key Information to review before signing a solar loan contract:
Lending Disclosures
- Annual Interest Rate
- Finance Charge
- Amount Financed
- Total Sale Price
Payment Schedule
- Number of Payments
- Amount of Each Payment
- When Payments are Due
Factor de producción de energía solar
Calcular el factor de producción lo ayudará a medir la eficiencia de los sistemas de energía solar y puede ser útil cuando compare propuestas. Es una proporción de cuánta energía se estima que produzca el sistema (kWh) contra el tamaño del sistema (kW). La dirección e inclinación del techo, la sombra potencial y la eficiencia del equipo pueden afectar esta cifra.
Producción estimada anual (en kWh) ÷ tamaño del sistema (en kW)
En Austin, un buen rango es de 1,100 a 1,500 kWh
Solar Proposal Example
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Transcript
Interactive Guide:
Solar Proposal Example
This guide is to help Austin Energy customers: Solar system information and calculations are for educational purposes and should not be used to inform design decisions.
How to Navigate the Interactive Guide:
Hover over buttons to see details Click buttons to: Reveal new content Navigate to links Continue to next page
Go to Solar Proposal Example
SuperStar Solar
Example
Solar Proposal
Contractor Information
SuperStar Solar123 Solar Panel Drive Austin, TX
TDLR: 12345 NABCEP: 987654321
Prepared by: Sunny 512-Sun-1234 Sunny@superstar.ray
System Overview
Specification
Item
System Size
6.0
kW
Battery Capacity
10.0
kW
Energy Offset
90%
Annual Energy Estimates
Home Consumption:
10,000 kWh 9,000 kWh
Solar Generation:
kWh
Rebate Program Shade Eligibility
SuperStar Solar
Solar Proposal
Example
Financial Summary
Price per Watt
$4.58/W 12.0¢/kWh
Total System Cost $30,000
Materials, Labor, Fees, Etc.
Price per Kilowatt-Hour
Net System Cost $27,500
Austin Energy Rebate $2,500 flat-rate check
Federal Tax Credit Update
Financing Options
Payment Schedule
Due at milestone:
Cash
Loan
Lease/PPA
Contract Signing Installation Interconnection
10% of total cost 50% of total cost Remaining Balance
Estimated Savings
Solar Bill Credits
Utility: Austin Energy
Value of Solar Rate: 9.91¢/kWh
Year 1Earnings
Return on Investment
Payback Period
Total Net Earnings
Watch out for Red Flags
Return on Investment
Calculation variables
System Costs
Total cost, factoring in payment escalators and maintenance costs, over the life of a system Value of Solar rate and forecasted rate changes Estimated generation and system degradation rate
Solar Earnings
System Performance
Watch out for Red Flags
Unrealistic savings, like eliminating your utility bill, are promised. The full amount of project cost is requested upfront. Net Metering is used to calculate savings instead of Value of Solar. Financing Costs and Lender Liens are not disclosed.
Solar Loans/PPAs
Power Purchase Agreements (PPAs) are prohibited in Austin Energy Territory. Solar equipment leases are allowed. Key contract information to review:
Contract Terms:
Payment Terms:
Solar Production Factor
Calculating the Production Factor will help you measure the efficiency of solar systems, and can be useful when comparing proposals. It is a ratio of how much energy the system is estimated to produce (kWh) to the system size (kW). Roof direction & slope, potential shade, and equipment efficiency can affect this number.
Estimated annual production (in kWh) ÷ system size (in kW)
In Austin, a good range is 1,100 to 1,500 kWh
Estimated Solar Earnings
For Austin Energy customers, solar proposals should not calculate savings and payback periods based on net metering. Instead, Value of Solar rate should be applied to estimated solar generation. Over time, you can recover your system cost through the solar bill credits you earn.
Interactive guide on how solar impacts your bill
Solar Loans
Key Information to review before signing a solar loan contract:
Lending Disclosures
Payment Schedule
Factor de producción de energía solar
Calcular el factor de producción lo ayudará a medir la eficiencia de los sistemas de energía solar y puede ser útil cuando compare propuestas. Es una proporción de cuánta energía se estima que produzca el sistema (kWh) contra el tamaño del sistema (kW). La dirección e inclinación del techo, la sombra potencial y la eficiencia del equipo pueden afectar esta cifra.
Producción estimada anual (en kWh) ÷ tamaño del sistema (en kW)
En Austin, un buen rango es de 1,100 a 1,500 kWh