Robert McMahon's SOLAR & HEAT TIPS Newsletter January 2008
A COLLECTION OF ENERGY SAVING IDEAS FROM AROUND THE WORLD

Solar Energy Forecast to Become the World’s Dominant Energy Source

At a July 2007 meeting, of a US/China energy think tank group of leading energy industrialists called the Committee of 100, one of the panel was Mr Paul Hanrahan, the CEO and President of AES Corp, one of the world's largest power development companies.

Mr Hanrahan told the meeting that his company had estimated the world's power needs for the next 100 years and the study predicted that in the next 50 years the world's energy needs would grow from a present 14TW to 33TW.

Renewable Energy without Solar Energy Will Not Be Enough

Mr Hanrahan added that if the total combined usable windmill capacity, geothermal well capacity, biomass facility capacity and useable wave energy capacity were exploited, then they would only produce 15TW of power, well short of the 33TW estimated to be required by the world in the next 50 years.

Excluding fossil fuels and nuclear power, Mr Hanrahan said that solar power would become the world's primary source of energy in the long term with an estimated usable world capacity of 600TW. For now, biomass and wind are competitive sources of renewable energy he said, but in the long term, the world demand for power will outstrip the world supply capacity of these resources and solar energy will fill the gap.

Solar Electricity Prices Coming Down.

An enormous amount of work is presently being done around the world to bring down the initial cost of installed solar power.

On the same forum, Dr Shi Zhengrom, CEO and founder of the Suntech Corp, the world's second largest photovoltaic manufacturer said that when comparing the costs of new power capacity, a fair comparison would be to include the cost of necessary infrastructure required in the equation as well as the cost of the powersStation itself. Dr Shi added that the world supply of PV grade silicon is also a huge problem and the renewable energy R&D work presently being done with thin film technology promises to alleviate this problem.

More Solar Power Engineers Will be Required

Persons entering the solar power industry at this time would seem to have a busy career ahead of them.

Carbon Trading in a Nutshell
By Heman Bhojwani – Wall Street Market Analyst
(A special report exclusively written for Mr Solar Energy http://www.mrsolarenergy.com/index.html

International carbon trading stems from the Kyoto Protocol, which is part of the United Nations framework convention on climate change.

The objective of the Kyoto Protocol, and the countries which ratify it, is to reduce the greenhouse gases that attribute to global warming. While over 170 countries have ratified the protocol, only the European Union and 36 other developed nations are required to rigorously monitor and report on its greenhouse gas emissions levels as specifically outlined for each of them in the treaty.

Europe Currently Has The Word’s Largest Carbon Trading Market

Consequently, the largest regional carbon trading scheme in operation is the European Union’s Emissions Trading System (EU ETS).

The United States is the only major developed country that has not yet ratified the Protocol. However, some States in the Midwestern US as well as on the Pacific coast are currently in advanced discussions to develop their own regional emissions trading schemes. This is in addition to the existing SO2 trading system developed under the framework of the Acid Rain Program in the 1990 Clean Air Act.

Cap and Trade Explained

The ‘cap and trade’ system, which is the most commonly known type of carbon trading, imposes ceilings on the emissions of such developed countries by an average of 5.2% below their 1990 levels, and to do so between 2008 and 2012.

While these caps are based on a national level, most countries allocate parts of their aggregate allowance to individual entities by way of credits/AAUs (Assigned Allocation Unit). Examples of such entities would be an auto manufacturer, a utility company, or a major airline company. Essentially, if any such entity intends to exceed their quota they could then purchase excess credits from another entity willing to sell its allowed credits via a broker/investment bank, a market exchange, or even directly with another entity.

How Carbon Markets Work

The intention of having carbon markets exist both regionally and globally under the Kyoto Protocol is to place a cost on carbon emissions. The market value is then determined by several key factors, including the weather, the demand for fuel worldwide, and the supply of available credits in the marketplace.

A basic example of why a company would choose to purchase credits in a given year rather than a voluntary reduction of emissions is because the cost of revamping and/or modifying equipment and operations may far outweigh the cost to purchase their additional required tonnage of emissions credit. Vice versa, a basic example of why a company would choose to sell its credits over a period of years may be to help finance an expansion of its operations in another market with more lax or lenient pollution policies.

Why Emission Credits Are A Valuable Asset.

Being assigned emission credits is the equivalent of being automatically allocated an asset; a very valuable asset, which entities are then able to trade and profit from.

As such, there has been considerable debate as to the motives and usefulness of the cap and trade system, whereby the supposed reduction of pollution (limiting the supply of an asset) becomes highly profitable due to increasing demand (industrial growth).

Further contributing to a potentially significant increase in value of carbon credits is that the emissions cap for all countries must be reduced further after 2012. Plus, public exchanges allow even non-polluting entities the ability to acquire carbon credits for speculative or even long-term investment purposes, which is also a contributing factor to its market price.

Trends In Carbon Price Movements

The most recent price of an EUA (European Union Allowance) as measured per tonne of CO2 is €19.85. In 2006, €18.1 billion was transacted through the EU ETS, a majority of the €22.5 billion which was transacted worldwide. This is a 150% increase from 2005.

Early year-end 2007 reports indicate an average increase of 50% in transactions over 2006 with continued double-digit increases projected in the years ahead.

Future Pricing

As the global carbon trading markets continue to grow, pricing will also be largely affected by the expected enhancements to environmental policies of the major participating nations in the Kyoto Protocol.

Grid Connect Solar Electricity Guidelines

3 Reasons Why People Choose to Install Grid Connect Solar Electricity

1. To zeroise or reduce energy bills
2. To use clean energy and help the environment
3. To provide a back up for power outages

5 Points to Consider At The Outset

1. What is my budget and am I eligible to apply for any subsidies or grants in my area?
2. Is my site suitable and safe to carry my solar power system?
3. How much roof area is available?
4. Are any shadows likely to fall on the solar array?
5. The aesthetics of the installed system

Why Should I Undertake An Energy Audit Before I Start?

1. To identify potential energy use reductions and save money.
2. To identify inefficient electrical appliances to be replaced with new energy efficient models
3. To identify any old electric hot water heaters to be replaced with solar or hybrid solar/gas hot water heating
4. To identify any energy inefficient lighting to be replaced with new energy efficient lighting equipment.

3 Typical Size Limits For New Grid Connect Solar Power Systems

1. Size determined by my annual energy use
2. Size limited by available roof space
3. Size limited by my budget

Sizing Your New Solar Electric System

1. Check your last 12 months electricity accounts or estimate your average annual energy usage in kwh
2. Reduce your kwh figure allowing for reductions due to changing to using more energy efficient equipment and living a more energy conscious lifestyle
3. Allow for future additional loads increase to determine your design kwh
4. Consult an accredited solar power system designer. Your system designer will size the array typically by first checking your kwh figure and correctly allowing for the following
1. Inverter efficiency (typically 90%)–(kwh x 0.9)
2. Solar radiation data for your location, tilt, angle & direction to the sun (typically 0.9 x kwh divided by typically 5 peak solar hours = required wattage)
3. Manufacturer’s solar panel tolerance (typically +/- 5%)( derate by 5%)
4. Effects of temperature and dirt (typically derate by 5%)
5. Ensure your inverter is adequately sized. Your designer will size the inverter allowing for
1. The maximum energy output of the array
2. A potential future increase in the size of the array
3. Matching the module configuration to the inverter
4. Decide whether to provide one inverter or multiple inverters

Undersizing inverters usually leads to operating problems. One central inverter is usually the cheaper option but multiple inverters provide more flexible systems.

Always Use A Licensed Electrician To Connect Up Your System

Mains power electricity is dangerous. A licensed electrician must always be used to safely connect up mains power electricity and ensure compliance with local and national regulations and your power suppliers requirements.

Cheap Solar Power Coming

Solar power is poised to undercut oil and gas by half, staff writer Ambrose Evans-Pritchard of the Telegraph.co.uk has reported.

Within five years, solar power will be cheap enough to compete with carbon-generated electricity, Mr Evans-Pritchard said. In a decade, the cost may have fallen so dramatically that solar cells could undercut oil, gas, coal and nuclear power by up to half, he said.

Anil Sethi, the Chief Executive of the Swiss company Flison, says he looks forward to the day, not so far off, when entire cities in America and Europe generate their heating, lighting, and air-conditioning needs from solar films on buildings with enough power left over to feed a surplus back into the grid.

The secret? Mr Sethi cradles a piece of dark polymer material 200 times lighter than the normal glass-based solar materials. Traditional solar modules require expensive roof support. Indeed, the new material is so light it can be stuck to the sides of buildings.

Solar Power Below $1 Per Watt

Rather than being manufactured laboriously piece by piece, the material can be mass-produced in cheap rolls like packaging in any color. The “tipping point” will arrive when the capital cost of solar power falls below $1 per watt, roughly the cost of carbon power. We are not there yet, the best options today vary from $3 to $4 per watt – down from $100 in the late 1970s Mr Sethi said.

Mr Sethi believes that his product will cost 80c per watt within five years and 50c in a decade. It will be ready commercially in late 2009.

"It will even work on a cold grey cloudy day in England which still produces 25% to 30% of the optimal light level. This is enough if you cover half the roof “ he said. “We don’t need subsidies, we just need Government to get out of the way and do no harm. They’ve spent $170B subsidizing nuclear power over the last thirty years” he said.

His ultra-light technology, based on a copper indium compound, can power mobile phones and laptop computers with a sliver of foil. “You won’t have to get down on your knees ever again to hunt for a plug socket”he said.

Expert Predicts Solar To Grow Near To $40B By 2010

Michael Rogol, a solar expert at Credit Lyonnais, expects the solar industry to grow from $7B in 2004 to nearer $40B by 2010 with operating earnings of $3B. The sector is poised to outstrip wind power. It is a remarkable boom for a technology long dismissed by experts as hopelessly unviable.

Mr. Rogol said he was struck by the way solar use had increased dramatically in Japan and above all Germany where Berlin’s green energy law passed in 2004, forces the grid to buy surplus electricity from households at a flat premium.

The “tipping point” in Germany and Japan came once households twigged that they could undercut their unloved utilities. Credit Lyonnais believes the rest of the world will soon join the stampede.

Mike Splinter, Chief Executive of the US semi-conductor group Allied Materials, said that his company is two years away from a solar product that reaches the magic level of $1 a watt.

Cell conversion efficiency and economies of scale are galloping ahead so fast that the cost will be down to US70c by 2010 with a target of US30c or US40c in a decade. “We think that solar power can provide 20% of all the incremental energy needed worldwide by 2040” he said. “The beauty of this is that you can use it in rural areas of India without having to lay down power lines or truck in fuel”.

Africa And Asia May Soon Leapfrog Into The Solar Age

Villages across Asia and Africa that have never seen electricity may soon leapfrog directly into the solar age replicating the jump to mobile phones seen in countries that never had a network of fixed lines. As a by product, India’s rural poor will stop blanketing the sub-continent with soot from tens of millions of open stoves.

Applied Materials is betting on both of the two rival solar technologies: thin film panels best used where there is plenty of room and the traditional crystalline (c-Si) wafer-based cells which are not as cheap but produce a higher yield better for tight spaces.

Needless to say, electricity utilities are watching the solar revolution with horror. Companies in Japan and Germany have already seen an erosion of profits because of an effect known as “peak shaving”. In essence, the peak wattage of solar cells overlaps the daytime peak load demand of commerce and industry.

Typical Power Consumptions of Some Low Energy Home & Office Equipment

Robert's Questions & Answers

Q..What is an electrical inverter?
A..An electrical inverter is a device that converts direct current (DC) into alternating current (AC).

Q..I live in a remote country area. What can I run off an 80 watt solar panel?
A..two or three low energy lights, a radio and maybe a small TV and recharge some small batteries.

Q..How can I reduce my carbon footprint?
A..You can first measure your carbon footprint using a FREE web based carbon footprint calculator. You can then voluntarily reduce your carbon emissions by using low energy appliances and embracing a low energy lifestyle and planting a tree or a shrub. What you can’t easily change, like using motor vehicles and flying for example you can buy certified carbon credit offsets from reputable sources. Many airlines now offer certified schemes where you can buy carbon credits to offset your flight emissions (Virgin Atlantic and Easyjet are two examples). If you are an investor, you may consider buying stock in companies developing renewable energy products. As a disclaimer, Mr Solar Energy is not a licensed financial advisor and you must consult your own independent professional financial advisor before making your investment decisions.

SOLAR MODULE PRICE LIST

Last month Robert brought you the Solar Power Catalog pages from his new website http://www.mrsolarpanel.com/2.html for you to look at. This month he has added the price list for your information.

*BP Solar Panels made in Australia.
AUD prices shown include delivery & GST (Goods & Services Tax) within Australia.
US and Euro prices shown are the tax free prices.
Outside Australia freight is additional and VAT and customs duty charges may be payable in the importing country, where applicable.
+ In Australia add freight, 5% duty and 10% gst to the Euro price.

Save money with TENESOL specials. Factory seconds at discounted prices.
French owned Tenesol Manufacturing has been manufacturing both monocrystaline and polycrystalline solar panels since 1996. Tenesol manufactures first class quality products. Mr Solar Energy offers it’s clients a limited number of Tenesol factory seconds at heavily discounted prices whilst stocks last. Compare the prices and compare the value for your project.

A grade Tenesol modules are prime flawless solar panels fully guaranteed by the manufacturer.
B grade Tenesol modules are solar panels that contain a visual flaw that does not affect the power. B grade Tenesol modules carry a 20 year manufacturer guarantee.
C grade Tenesol modules are solar panels with a flaw that affects the power output. For example, a 200Wp panel would produce, for instance, only 196wp. C grade Tenesol Panels carry a 5 year manufacturer’s guarantee.

SOLAR POWER SPECIALS

Special Tenesol Solar Panel Prices from Mr Solar Energy

Prices for international delivery outside Australia are duty unpaid. Freight,delivery, duty and VAT costs are additional, where applicable.
Australian prices include GST and delivery within Australia.
Payment methods accepted: Visa, MasterCard, bank draft, cheque, cash.
Please allow for bank clearance times with all cheques and money transfers before orders can be actioned.

More solar energy products and information can be viewed at http://www.mrsolarpanel.com/2.html.
Please email your orders and enquiries to This e-mail address is being protected from spam bots, you need JavaScript enabled to view it '; document.write( '' ); document.write( addy_text76365 ); document.write( '<\/a>' ); //-->\n This e-mail address is being protected from spam bots, you need JavaScript enabled to view it