{"id":169,"date":"2014-05-14T22:56:27","date_gmt":"2014-05-14T22:56:27","guid":{"rendered":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/?p=169"},"modified":"2014-05-14T22:56:27","modified_gmt":"2014-05-14T22:56:27","slug":"how-to-create-free-solar-panel-cleaning-for-the-lifetime-of-your-commercial-solar-array-while-reducing-initial-project-costs","status":"publish","type":"post","link":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/how-to-create-free-solar-panel-cleaning-for-the-lifetime-of-your-commercial-solar-array-while-reducing-initial-project-costs","title":{"rendered":"How to create free solar panel cleaning for the lifetime of your commercial solar array while reducing initial project costs"},"content":{"rendered":"

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>When commercial solar projects are planned, a lot of factors are considered creating the project budget.<\/span>\u00a0 <\/span>Among them are the size of the project, the number of solar panels, proximity to an electrical grid, the size of the land footprint needed etc..<\/span>\u00a0 <\/span><\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>When determining the number of panels needed, two things are considered.<\/span>\u00a0 <\/span>One is the degradation of the solar panels over the project lifetime and the other is amount of power that will be lost to soiling.<\/span>\u00a0 <\/span>To offset these anticipated lifetime losses, additional panels are budgeted into the project.<\/span>\u00a0 <\/span>The amount of additional panels added is estimated depending on different factors.<\/span>\u00a0 <\/span>Different rates are used by companies.<\/span>\u00a0 <\/span>Some major companies use 1.3 as the rate to ensure that the required delivery allocation can be generated throughout the project.<\/span><\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>For example, if you have a 1 MW power guarantee and are using 250 watt panels, you would use 4,000 panels.<\/span>\u00a0 <\/span>Then factoring in degradation and soiling loss, you would add an additional 1,200 panels.<\/span>\u00a0 <\/span>While there is little that can be done with degradation of solar panel output with current technologies, there is something that can be done to reduce the impact and cost of soiling.<\/span><\/span><\/p>\n

While both are considered at the beginning of the project, one thing that if not considered, is maintenance.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>Let\u2019s suppose that your cost to install your 1 MW commercial solar is $3.05 per watt.<\/span>\u00a0 <\/span>Let\u2019s also assume that you are adding 30 percent additional panels to cover an anticipated degradation rate of 20 % and a soiling rate of 10% over the project lifetime.<\/span>\u00a0 <\/span>Using our 250 watt example, your field should cost you $3,050,000.<\/span>\u00a0 <\/span>However, you are now going to add another $610,000 worth of panels to cover anticipated power loss over the project lifetime as well as another $305,000 to cover reduced output from soiling.<\/span>\u00a0 <\/span>Your project is now costing you $4,065,000.<\/span><\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>Upon completion of the project you normally also add annual maintenance costs for manual cleaning as well and you lose revenue from soiling loss<\/span><\/span>.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Rethinking Initial Project Budgets<\/span><\/span><\/b><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>While considered during initial project planning, maintenance for soiling is never considered to be a front end cost.<\/span>\u00a0 <\/span>We often hear project owners say that they did not budget additional funding to install an Automatic Solar Panel Cleaning System.<\/span>\u00a0 <\/span>Heliotex\u2019s response is that not only should you consider a Heliotex<\/span><\/span>\u00e4<\/span> Automatic Solar Panel Cleaning System (HASPCS) as a part of your project budget; it is an opportunity to reduce the <\/span>initial<\/span><\/span> project cost as well as the <\/span>lifetime<\/span><\/span> project cost.<\/span><\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/span>There are several important factors<\/span><\/span>.<\/span><\/span><\/p>\n

    \n
  1. If you include a Heliotex\u00e4 Automatic Solar Panel Cleaning System (HASPCS) in your project budget, you will actually save money<\/span>.\u00a0 The cost of the system (around 10 to 12 cents per watt average plus lifetime consumable items) is less than you will pay for the additional solar panels you would need to add for soiling loss.\u00a0 Thus your initial project costs will be less.<\/li>\n<\/ol>\n
      \n
    1. In our example, we allocated $305,000 for additional panels for soiling loss.\u00a0 Here the average cost of a HASPCS would be $120,000 (at 12 cents per watt) for a 1 MW system.\u00a0 This would generate a savings of $185,000 if the HASPCS is used.<\/li>\n
    2. If you add the additional panels for degradation, $610,000 would be allocated for additional panels (now 4,800 panels).\u00a0 Here the average cost of a HASPCS would be $144,000 (at 12 cents per watt) for a 1.2 MW system.\u00a0 Since these additional panels also need to be cleaned, this would generate a savings of $161,000.\u00a0 However, it would also generate additional power and revenue from these additional 800 panels as well as remove additional manual cleaning costs for these 800 panels<\/span>.<\/li>\n
    3. You have now eliminated maintenance for soiling loss from the annual O&M costs for the project lifetime (except for consumables, e.g. soap concentrate and filters).<\/li>\n
    4. Considering ROI:<\/li>\n<\/ol>\n
        \n
      1. You have taken the majority of lifetime \u201cannual deductions only\u201d and pushed them into the project initial cost budget.\u00a0 Doing this allows you to obtain a 30 percent tax credit currently as well as deducting the remaining 70 percent of costs over a five year accelerated depreciation schedule.\u00a0 Your first year ROI for the HASPCS can be 40 to 50%.<\/li>\n
      2. You are also avoiding the annual manual cleaning costs, insurance costs etc. which will escalate during the project lifetime with inflation.<\/li>\n
      3. You have increased the power generation by avoiding soiling loss on the initial number of panels AND the additional 20 percent added for degradation.<\/li>\n
      4. When factoring in Net Present Value, the reduced initial project cost and the additional value of increased power production, the Opportunity Cost for a manual cleaning option versus a HASPCS is striking.<\/li>\n<\/ol>\n
          \n
        1. Additional saving opportunities may occur.<\/li>\n<\/ol>\n
            \n
          1. Having a reduced number of panels can reduce the size of the land footprint required.<\/li>\n
          2. The ability to reduce the spacing between panels can further reduce the land footprint needed for a project.\u00a0 Since a HASPCS eliminates the need to allow spacing between rows for maintenance vehicles, only the sun angle needs to be considered when designing the layout of the field.<\/li>\n<\/ol>\n
              \n
            1. Achieving reduced initial project costs plus additional tax savings may result in additional commercial projects for the same corporate budget allocation e.g. twelve fields instead of eleven.\n

              Rethinking O & M Issues<\/span><\/b><\/p>\n

               <\/p>\n

              As we discussed above, most solar integrator companies think of Maintenance as nothing but a continuing, after project installation, expense item.\u00a0 It is viewed as a necessary evil and a drag on the bottom line.\u00a0 Over the project lifetime, it is a periodic requirement and a lifetime annual deduction.<\/p>\n

              Perhaps we need to define the issue differently.\u00a0 Instead of viewing it as a problem, try thinking about it as an opportunity to open new avenues of business as well as a way to pay for necessary maintenance requirements.\u00a0 Even better, as noted above for commercial systems that are required to deliver a performance guarantee, there is an opportunity to do that not only for free, but at a savings compared to alternatives.<\/p>\n

              Heliotex Automatic Solar Panel Cleaning Systems can offer you a wide range of alternatives which can reduce the burden of solar panel maintenance while at the same time increasing your return on investment.\u00a0 It can also open the door to new opportunities that are within the scope of your core business.<\/p>\n

              All solar panel systems are going to need to be cleaned periodically to allow the panels to achieve their potential.\u00a0 During the time that panels are not producing to their maximum potential, you are losing money.\u00a0 How quickly power is lost varies from location to location.\u00a0 Sites can be within a few miles of each other but have drastically different loss rates.<\/p>\n

              Regardless of the business model of your solar company, integrator or investor, Heliotex can work with you on several different levels<\/p>\n

              Residential<\/span><\/b><\/p>\n

              \u00a0<\/span><\/p>\n<\/li>\n<\/ol>\n

                \n
              1. Benefits to your customers<\/span><\/li>\n<\/ol>\n
                  \n
                1. Having Heliotex Automatic Solar Panel Cleaning Systems available to your customer as an option helps differentiate your company from others.\u00a0 It helps you address the power loss due to soiling issue.<\/li>\n
                2. Our systems offer your customers more return on their investment.<\/li>\n
                3. Customers who elect to sign up for maintenance programs have their warranty extended for the lifetime they participate.<\/li>\n
                4. Eliminate potential damage to roofs, solar systems as well as potential injury.<\/li>\n
                5. Currently leasing customers have an obligation to clean the panels a certain number of times per year.\u00a0 Offering them the alternative to lease the Heliotex System eliminates that obligation may encourage more customers to sign up as the cleaning obligation is removed.<\/li>\n<\/ol>\n
                    \n
                  1. Benefits to your company<\/span><\/li>\n<\/ol>\n
                      \n
                    1. Marketing edge over other companies by being able to offer an alternative to manual cleaning<\/li>\n
                    2. The ability to create maintenance programs which provide a source of recurring income.<\/li>\n
                    3. Additional recurring sales from soap and filters sales.<\/li>\n
                    4. Since production is guaranteed, fewer panels can be used per installation when our system is included.\u00a0 This inclusion covers a great portion of the cost of the Heliotex System as does the 30 % tax credit plus the accelerated depreciation for our systems when installed on new installations.\u00a0 Increased power production and additional monthly leasing revenue from the addition of cleaning systems also further reduces the cost.<\/li>\n
                    5. The ability to offset maintenance employee costs (salaries, benefits, insurance costs, vehicle costs etc.) with maintenance programs.\u00a0 Even if offered at reduced prices, they still offset.\u00a0 Also you may be able to utilize a smaller maintenance staff.<\/li>\n
                    6. Not having customers run the risk of damaging the solar panel installation with their efforts to clean it themselves or with cheap service companies.\n

                       <\/p>\n

                      Commercial Systems<\/span><\/b><\/p>\n

                       <\/p>\n

                      Commercial systems offer the greatest returns on investment; the larger the scale of the solar project, the greater the return due to economies of scale.<\/p>\n

                       <\/li>\n<\/ol>\n

                        \n
                      1. Benefits to your customers<\/span><\/li>\n<\/ol>\n
                          \n
                        1. Having Heliotex Automatic Solar Panel Cleaning Systems available to your customer as an option helps differentiate your company from others.\u00a0 It helps you address the power loss due to soiling issue.<\/li>\n
                        2. Our systems offer your customers more return on their investment.\u00a0 With commercial systems, it is all about ROI.\u00a0 Their upfront cost is less<\/span>.<\/li>\n
                        3. Customers who elect to sign up for maintenance programs have their warranty extended<\/span> for the lifetime they participate.<\/li>\n
                        4. Eliminate potential damage to roofs, solar array fields, solar systems as well as potential injury.<\/li>\n<\/ol>\n
                            \n
                          1. Benefits to your company<\/span><\/li>\n<\/ol>\n
                              \n
                            1. Marketing edge over other companies by being able to offer an alternative to manual cleaning<\/li>\n
                            2. The ability to create maintenance programs which provide a source of recurring income<\/span>.<\/li>\n
                            3. Additional recurring sales<\/span> from soap and filters sales.<\/li>\n
                            4. Where production is guaranteed, fewer panels can be used per installation when our system is included.\u00a0 Therefore you are able to offer the same guarantee output as a competitor at a reduced price.<\/li>\n
                            5. For larger systems, the cost of the Heliotex System after the 30 % tax credit and accelerated depreciation on our systems, coupled with additional power generated is cheaper than if you had additional panels to offset the soiling loss.<\/span><\/li>\n
                            6. The result is that you reduce your initial project cost by avoiding adding additional panels.<\/li>\n<\/ol>\n
                                \n
                              1. The cost of the reduced number of panels AND the Heliotex System is less than the cost of the additional panels.<\/li>\n
                              2. You will generate about a 40% plus ROI on the cleaning system in the first year.<\/li>\n
                              3. After an additional four years, you will have recovered maximum taxable returns. You will have also avoided further annual cleaning costs for the project lifetime (except the cost of soap and filters which are deductible).<\/li>\n<\/ol>\n
                                  \n
                                1. With the Heliotex System, having fewer panels allows you:<\/li>\n<\/ol>\n
                                    \n
                                  1. Can buy a smaller piece of land as the footprint of the array is smaller.<\/li>\n
                                  2. To space the rows closer, only factoring for shading.\u00a0 There is no need to allow spacing between rows for cleaning vehicles.\u00a0 This also aids in reducing the necessary land footprint.<\/li>\n<\/ol>\n
                                      \n
                                    1. The ability to offset maintenance employee costs (salaries, benefits, insurance costs, vehicle costs etc.) with maintenance programs.\u00a0 Also you may be able to utilize a smaller maintenance staff.<\/li>\n
                                    2. Eliminate wasted service calls for reduced output complaints by customers which are caused by soiling loss.<\/li>\n
                                    3. Offer extended warranties for those who select the maintenance program.\u00a0 Since there is very little warranty work and most of this can be handled during routine maintenance calls, the profit margin is good.\u00a0 The larger items are all warranted by the manufacturers who offer us full replacement on most items, reducing our exposure to material costs.\n

                                       <\/p>\n

                                      How can you work with Heliotex<\/span><\/b>\u00e4<\/span><\/b>?<\/span><\/b><\/p>\n

                                      \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Heliotex will work with you to create programs that will improve your maintenance obligations.\u00a0 Heliotex can:<\/li>\n<\/ol>\n

                                        \n
                                      1. Sell you Automatic Solar Panel Cleaning Systems, both commercial and residential.\u00a0 We can design the systems and provide material.<\/li>\n
                                      2. Handle installation of those systems for you as well as the maintenance programs, or<\/li>\n
                                      3. Teach your personnel how to install and maintain systems.\n

                                        Even if you consider developing your own systems, it would take years of experimentation to get all of the facets of the system correct.\u00a0 Everything from system design, material failure testing, formulation of the soap concentrate that does not damage solar panels and is biodegradable and meets USEPA certification, bracket design, nozzle design, determining correct material usage for each type of project, layout design etc..\u00a0 In the interim, you run the risk of alienating customers and damaging your reputation, incurring costs to repair or replace poorly performing materials as well as costs to repair or replace beta versions of your system; thus wasting time and money.<\/p>\n

                                        How much money can we save you this year?<\/p>\n

                                        Heliotex\u00e4 is willing to work with your company.\u00a0 How may we earn your business?\u00a0 Please contact us at info@heliotex.com<\/span><\/a> , telephone 760-837-0390.<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

                                        \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 When commercial solar projects are planned, a lot of factors are considered creating the project budget.\u00a0 Among them are the size of the project, the number of solar panels, proximity to an electrical grid, the size of the land footprint needed etc..\u00a0 \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 When determining the number of panels needed, two things are considered.\u00a0 […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[12,2],"tags":[],"_links":{"self":[{"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/posts\/169"}],"collection":[{"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/comments?post=169"}],"version-history":[{"count":1,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/posts\/169\/revisions"}],"predecessor-version":[{"id":170,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/posts\/169\/revisions\/170"}],"wp:attachment":[{"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/media?parent=169"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/categories?post=169"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.solarpanelcleaningsystems.com\/blog\/wp-json\/wp\/v2\/tags?post=169"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}