Utility to offer PV systems to isolated customers

REPUBLIC, Washington, US, 2004-05-19 (Refocus Weekly) A U.S. utility will install and maintain solar PV systems for its customers in isolated areas.

The U.S. Department of Agriculture gave $888,408 from its Rural Utility Service to the Ferry County Public Utility District, to establish a three-year program that will establish a revolving fund for interest-free financing of PV connections or extensions to the grid. The District is contemplating a monthly fee of US$45 to $100 for a complete solar system for customers who live off the grid and where the cost is too high to extend transmission lines.

The District has up to 200 remote homes without grid power, estimates conservation director John Friederichs in the implementation manual for the ‘High-Energy Cost Community Service Cost Assistance Program.’ Most rely on small gasoline generators with a fully-burdened cost of 24¢ to 31¢/kWh, while solar PV has a fully-burdened cost of 42¢/kWh.

The program would apply to consumers whose present amortized power cost exceeds 23¢/kWh, and currently use PV or fossil fuels. Line extensions cost $9.50 a foot, but a PUD subsidy of $3/foot drops the customer portion to $34,323 per mile.

“The District will be responsible for the maintenance of the solar PV systems, treating them as a part of the District's distribution system,” says Friederichs. Conventional line extensions will be over 360 monthly payments, while solar PV installations will be paid over 240. The monthly increased facilities charge will equal the cost of the installation, divided over the two or three years, with a minimum monthly charge of $45 on top of the current basic cost of 6.16¢/kWh for electricity.

Payments under the plan will return to the assistance program and be used to fund the program beyond the original three-year grant-funded period.

“The choice between a conventional line extension and a solar photovoltaic system will be made at the discretion of the District, based upon the most prudent use of the available funds and the impact of the installation on future system growth,” the manual explains. “In no case will solar PV be used if the customer's requirements are over 10 kWh/day.”

There will be three PV choices: the San Poil package that generates 2.5 kWh per day, the 5 kWh/day Kettle, and the 7.5 kWh/day Columbia system. Property owners would be responsible for installing a concrete slab on which to mount the PV system.

“The PV option would most commonly be used for qualifying consumers whose distance from the Districts existing distribution system make the cost of a conventional line extension prohibitive, or where they are located in an area where terrain would make a conventional line extension impractical,” the manual adds. A solar site survey must show that the site has at least 80% of the maximum available solar exposure on winter solstice, or a conventional line extension would be used.

Extensions would be selected if the site is within 1,200 feet of existing lines, with a right-of-way and easement, or where the site is located in a future development area. PV will not be installed on trailer spots or campsites, which do not have a permanent residence.

PUD #1 of Ferry County serves 3,130 residential and commercial consumers with 868 miles of transmission line.