Solar Solutions

General Info

Solar Energy, radiant light and heat from the sun, has been harnessed by humans since ancient times using a range of ever-evolving technologies. Solar radiation, along with secondary solar-powered resources such as wind and wave power, hydroelectricity and biomass, account for most of the available renewable energy on earth only a minuscule fraction of the available solar energy is used.

Solar powered electrical generation relies on heat engines and photovoltaics. Solar energy's uses are limited only by human ingenuity. A partial list of solar applications includes space heating and cooling through solar architecture, potable water via distillation and disinfection, daylighting, solar hot water, solar cooking, and high temperature process heat for industrial purposes. To harvest the solar energy, the most common way is to use solar panels.

Solar technologies are broadly characterized as either passive solar or active solar depending on the way they capture, convert and distribute solar energy. Active solar techniques include the use of photovoltaic panels and solar thermal collectors to harness the energy. Passive solar techniques include orienting a building to the Sun, selecting materials with favorable thermal mass or light dispersing properties, and designing spaces that naturally circulate air.

By photosynthesis green plants convert solar energy into chemical energy, which produces food, wood and the biomass from which fossil fuels are derived.

The total solar energy absorbed by Earth's atmosphere, oceans and land masses is approximately 3,850,000 exajoules (EJ) per year. In 2002, this was more energy in one hour than the world used in one year. Photosynthesis captures approximately 3,000 EJ per year in biomass. The amount of solar energy reaching the surface of the planet is so vast that in one year it is about twice as much as will ever be obtained from all of the Earth's non-renewable resources of coal, oil, natural gas, and mined uranium combined.

Solar, wind or biomass would be sufficient to supply all of our energy needs, however, the increased use of biomass has had a negative effect on global warming and dramatically increased food prices by diverting forests and crops into biofuel production. As intermittent resources, solar and wind raise other issues

Solar energy can be harnessed in different levels around the world. Depending on a geographical location the closer to the equator the more "potential" solar energy is available.

Going Solar

We believe that there are many advantages worth considering when it comes to solar energy and everything that it offers. There are many advantages that solar energy has over oil energy. Not only does solar energy benefit your pocketbook, but it also benefits the environment as well.

Solar energy is a completely renewable resource. This means that even when we cannot make use of the sun’s power because of nighttime or cloudy and stormy days, we can always rely on the sun showing up the very next day as a constant and consistent power source.

Oil, which is what most people currently use to power their homes, is not a renewable resource. This means that as soon as the oil is gone, it is gone forever and we will no longer have power or energy.

Solar energy creates absolutely no pollution. This is perhaps the most important advantage that makes solar energy so much more practical than oil. Oil burning releases harmful greenhouses gases, carcinogens and carbon dioxide into our precious air.

Therefore we in Extreme Co. make sure that we offer our customer the best solar solutions either for generating direct electric current or for machines that depend on the solar power in its technology 

Uses of Solar Energy:

Residential

The number of PV installations on buildings connected to the electricity grid has grown in recent years. Government subsidy programs (particularly in Germany and Japan) and green pricing policies of utilities or electricity service providers have stimulated demand. Demand is also driven by the desire of individuals or companies to obtain their electricity from a clean, non-polluting, renewable source. These consumers are usually willing to pay only a small premium for renewable energy. Increasingly, the incentive is an attractive financial return on the investment through the sale of solar electricity at premium feed-in tariff rates.

In solar systems connected to the electricity grid, the PV system supplies electricity to the building and any daytime excess may be exported to the grid. Batteries are not required because the grid supplies any extra demand. However, to be independent of the grid supply, battery storage is needed to provide power at night.

Holiday or vacation homes without access to the electricity grid can use solar systems more cost-effectively than if the grid was extended to reach the location. Remote homes in sunny locations can obtain reliable electricity to meet basic needs with a simple system comprising of a PV panel, a rechargeable battery to store the energy captured during daylight hours, a regulator (or charge controller), and the necessary wiring and switches. Such systems are often called solar home systems (SHS).

Commercial

On an office building, roof areas can be covered with glass PV modules, which can be semi-transparent to provide shaded light. On a factory or warehouse, large roof areas are the best location for solar modules. If the roof is flat, then arrays can be mounted using techniques that do not breach the weatherproofed roof membrane. Also, skylights can be partially covered with PV.

The vertical walls of office buildings provide several opportunities for PV incorporation, as well as sunshades or balconies incorporating a PV system. Sunshades may have the PV system mounted externally to the building, or have PV cells specially mounted between glass sheets comprising the window.

Industrial

For many years, solar energy has been the power supply choice for industrial applications, especially where power is required at remote locations. Because solar systems are highly reliable and require little maintenance, they are ideal in distant or isolated places.

Solar energy is also frequently used for transportation signaling, such as offshore navigation buoys, lighthouses, aircraft warning light structures, and increasingly in road traffic warning signals. Solar is used to power environmental monitoring equipment and corrosion protection systems for pipelines, well-heads, bridges, and other structures. For larger electrical loads, it can be cost-effective to configure a hybrid power system that links the PV with a small diesel generator.

Remote Applications

Remote buildings, such as schools, community halls, and clinics, can benefit from solar energy. In developing regions, central power plants can provide electricity to homes via a local wired network, or act as a battery charging station where members of the community can bring batteries to be recharged.
PV systems can be used to pump water in remote areas as part of a portable water supply system. Specialized solar water pumps are designed for submersible use or to float on open water. Large-scale desalination plants can also be PV powered using an array of PV modules with battery storage.

PV systems are sometimes best configured with a small diesel generator in order to meet heavy power requirements in off-grid locations. With a small diesel generator, the PV system does not have to be sized to cope with the worst sunlight conditions during the year. The diesel generator can provide back-up power that is minimized during the sunniest part of the year by the PV system. This keeps fuel and maintenance costs low. 

Economy Payback

When Does Solar Energy Make Economic Sense?

Solar energy can cost three to five times as much as standard electricity pricing. When a user is already connected to the grid, other factors, such as environmental concerns, are most likely to drive an investment decision. When not connected to the grid, solar can be an economical solution.

Even if non-economic factors influence the purchasing decision, the economic payback of a system can be understood by comparing the initial investment on a price per peak watt basis to the cost of other primary energy sources. By further breaking the costs into price per kilowatt hour, the investment in the system can be compared to standard electricity rates. This can also provide a calculation of the time it will take to pay off the initial investment.
In general, the smaller the initial investment, the higher the regular electricity rate
Also, the sunnier the climate, the faster the system will pay itself back.

How Can the Economic Equation be enhanced?

Cost of the Solar Energy System

The cost for a 1 kilowatt peak system can range from US$8,000 to US$12,000 or €8,800 to €13,200 before sales tax and any government program assistance. Installation costs add another US$1,000-2,000 or €1,100-2,200. Assuming a 20 year life for the system, and including the cost of finance, this investment can equal a price in kilowatt hours of 30-40c/kwhr in sunny climates and 60-80c/kwhr in cloudy climates.

Rebates and Incentives

Local utilities or government energy agencies may offer promotions to drive investment in solar energy systems. These local programs may subsidize the cost of the solar system by 10% to 60% of the total cost, thereby significantly lowering the system’s cost per kilowatt hour. Financing programs can reduce rates by 15-20c/kwhr in sunny climates and 30-40c/kwhr in cloudy climates.

Finance Options

Banks may offer low interest loans specifically for the purchase of solar PV systems. Some lenders may also allow an extension to a home loan or mortgage for the installation of solar PV systems.

Value of Generated Electricity

The economic return on investment for a solar energy system is equal to the value of the electricity the system generates. At a minimum, the electricity generated from the solar energy system will displace electricity that would otherwise be provided by a utility or energy service provider.

A utility may also take excess power generated from the solar energy system, so that the electricity meter from the electricity grid essentially moves backwards.

Estimating Financial Payback Times

With basic information on the system price, the cost of finance, and the value of the electricity generated, it is possible to calculate the payback time on your investment using a discounted cash flow analysis.

The graph below demonstrates the impact of the solar system and electricity rate prices on the payback time of the purchase as a function of the value of the electricity generated (cents per kWh). As you would expect, the less expensive the solar system and the higher the regular electricity rate, the faster the payback on the system.

For example, if your average electricity rate is US$0.20 per kilowatt hour and your installed cost was US$4.00 per watt, your payback time would be just over 15 years. If you are exposed to peak pricing on electricity rates, by taking account of tax incentives (available for corporate purchasers), payback may be closer to 10 years.

Payback time can also be affected by weather conditions and the cost of finance. In less sunny locations, such as Germany, the United Kingdom, or Japan, the average sunlight level may be closer to 2.5 sun-hours per day. In this scenario, a system priced at $8/W will take significantly longer for payback, perhaps 10-20 years.

Over the last 20 years the cost of solar energy systems has come down seven fold. As the demand for systems rises and manufacturing volume increases, costs will decrease and the economic payback time will also decrease.

Quick Facts about Solar Energy

Did you know?

Quick and interesting facts related to solar energy.

• One kilowatt equals 1,000 watts.
• One kilowatt-hour (kWh) equals the amount of electricity needed to burn a 100 watt light bulb for 10 hours.
• A sunny location (like Los Angeles, California, US) receives an average of 5.5 hours of sunlight per day each year.
• A cloudy location (like Hamburg, Germany) receives 2.5 hours per day of sunlight each year.
• A 1 kilowatt peak solar system generates around 1,600 kilowatt hours per year in a sunny climate and about 750 kilowatt hours per year in a cloudy climate.
• A solar energy system can provide electricity 24 hours a day when the solar electric modules are combined with batteries in one integrated energy system.
• Solar modules produce electricity even on cloudy days, usually around 10-20% of the amount produced on sunny days.
• The typical components of a solar home system include the solar module, an inverter, a battery, a charge controller (sometimes known as a regulator), wiring, and support structure.
• A typical silicon cell solar module will have a life in excess of 20 years
• Monthly average residential consumption of electricity in the US in 2008 was 920 kilowatt hours. (Source: US DOE)
• Monthly average residential electricity bill in the US in 2008 was $103.67. (Source: US DOE)