Comment of the Day: In Defense of IKEA’s Starter Solar Panels

COMMENT OF THE DAY: IN DEFENSE OF IKEA’S STARTER SOLAR PANELS “1) The electricity amount is irrelevant. What better option is there for using their rooftop real estate? 2) All energy projects are subsidized. The main differences with solar is that homes and businesses can access energy subsidies generally reserved for much larger corporations who work further upstream. 3) Assuming an install cost of $2.50/W, an effective generation rate of $0.08/kwh, the Fed ITC of 30%, and depreciation, the project has 12 year payback on a 25 year warranty. It’s not great investment, but its a secure, has markting benefits, and increases the resale value of their building. Also, I imagine the recession has curtailed IKEA expansion, which implies IKEA is running out of depreciable assets. 4) Most state and local incentives are giant wastes of money, but Houston has none. In fact, it is the largest US city without a net-metering policy, and as such you can’t eliminate your electric bill with 100% on-site power generation in Houston anyway.” [SolarWonk, commenting on Houston IKEA Going Solar]

3 Comment

  • Why would Houston have to be involved in any kind of incentive or net metering policy? The city does not generate or regulate power other than easement placement.

    All this comes down to CenterPoint (the producer and meter reading agent) and the retail front (pick your company).

    The meters that CenterPoint has been upgrading around the region are capable of net-metering (actually, older meters are too if you do the accounting correctly). It just comes down to CenterPoint tracking it for billing.

    ERCOT could institute a statewide procedure for accounting and/or requiring net metering. In general, most home and business user that install solar panels or small wind devices will generate a fair amount, but they would have to real energy misers to get money back.

  • What are “markting benefits”?

  • Bb: Advertising your company as “green” is the in-thing to do.. = more customers. pretty simple really.
    Was that a real question or do you just think there are no marketing benefits from being able to tout your eco advantages?