Energy Prices Spur Renewed Interest in Solar

May 24 - Boulder County Business Report

Solar energy is back on the front burner for economically and environmentally conscious homeowners and developers.

For some, solar energy, like the Colorado sunshine, never really faded. Today, new designs make solar panels more aesthetically pleasing while soaring fuel prices make renewable energy sources more cost effective for the long term.

"Solar isn't cheap, you have to shell out a lot of money up front. However, it just seemed like the right thing to do," says Norm Skarstad, who says it will take about 10 years to recoup his solar energy investment. "Some people put excess income into cars. We put our excess income into our home solar system."

Skarstad moved into his 2,400-square-foot straw bale house nestled in the foothills outside of Boulder last summer.

"We wanted to do something unique and organic and use as many recycled materials as possible," he says. Skarstad reduced costs when he found inexpensive photovoltaic panels from someone who had purchased them anticipating Y2K energy blackouts.

Solar energy fit in with his plans to build a home with minimal impact on the environment. Although his house is tied to the energy grid, Skarstad estimates that 99 percent of his energy needs will be derived from the panels. all domestic hot water and radiant floor heat is provided by solar.

Currently he is building a storage method for his solar system.

"Soon I hope it will be 100 percent solar. It has been a long process to get it up and running. We can see the writing on the wall that power is going to get more expensive. Still, the sun is shining, and I just laugh that I am making electricity right now. With Xcel Energy raising rates, I feel like I beat the system."

Skarstad says solar also gives a consistent source of power, not a guarantee in the mountains. he said his house has motivated other people to pursue more natural building techniques. "We are putting our money where our mouths are that we really do care about the environment."

"There should be a law against not doing solar in Colorado. We get so much sunshine. It makes too much sense both economically and environmentally," Karl Hanzel says.

Norm Skarstad moved into his solar powered 2,400-square-foot straw bale house nestled in the foothills outside of Boulder last summer. "We wanted to do something unique and organic and use as many recycled materials as possible," he says. Skarstad reduced costs when he found inexpensive photovoltaic panels from someone who had purchased them anticipating Y2K energy blackouts.

Hanzel built his 1,900-square-foot house to use solar for domestic space heating. He installed significant insulation to minimize heat waste. Hanzel also purchased used solar panels and estimates he spent less than $10,000 for the solar system.

"I don't want to rely on fossil fuel. If I didn't put in a gas range, I wouldn't need fossil fuel at all. I hope to convert to producing my own hydrogen gas for the kitchen range."

His goal is eventually to become a net pro ducer rather than a consumer from the grid.

While the solar panel craze hit Boulder in the 1970s and '80s, people today looking for cost-effective ways to convert to solar energy are finding that used panels, some 20 years old, still work and cost less.

For more than 20 years, Paul Melamed of Boulder County has used an integrated solar and wind power system in his home, located west of Boulder. "It is off the grid because it was too expensive to install public service," he explains.

"The beauty of solar electric is that there are no mechanical moving parts. My modules are more than 20 years old," he says.

Melamed was in solar business during late 1970s and '80s selling solar domestic hot water systems. A good portion of the business was driven by federal and state tax incentives. In the early 1980s, Colorado and the federal government would match up to a 35 percent tax credit each up to $10,000.

Today, states like California and New Jersey have aggressive incentives and have seen a boom in the solar industry. he believes that Colorado has great potential because of the 300 days of sunshine and educated and environmentally conscious consumers.

Commercial enterprises can take advantage of a federal tax credit equal to 10 percent of investment of solar and accelerated depreciation of solar system assets, according to Mark Kostovny, co- founder of Solar Village in Longmont.

The first Solar Village broke ground in April in Prospect, New Town. The 26,000-square-foot mixed-used building includes 8,500- square-foot first floor commercial use and 16 condos on the second and third floors.

The building will have both solar hot water system and solar power system powered from photovoltaic panels that match the roofline.

"The rest of the load of the building will be covered by wind power credits. This will allow the building to claim that 100 percent of its electric energy needs comes from renewable clean sources," says Kostovny.

The benefits are economical as well as environmental. At times the energy meter spins backward because the solar panels are producing more energy than is used. The result is lower electric bills for the commercial tenants/owners.

The solar system provides hot water for the whole buildings' domestic hot water and residential radiant floor heating. A high efficiency gas central boiler provides back-up when the solar system cannot meet the complete hot-water needs.

"The beauty of solar electric is that there are no mechanical moving parts. My modules are more than 20years old."

Paul Melamed

HOMEOWNER

BY LAURIE FISHER

Business Report Correspondent

Copyright The Boulder County Business Report Apr 30-May 13, 2004