A presentation by John Cappello, Partner, Jacobowitz and Gubits LLP
Solar The
Development
Ideal Solar Site
Job Creation More than 8,135 New Yorkers are Employed in Solar 6th Largest Solar Employer in the U.S. The solar industry added $84 billion to the US GDP in 2016
Economic Benefits Solar Installers median wage $26.00 per hour
Carbon Reduction
Reduces Reliance on Fossil Fuels
Reduces Wear on Aging Energy Infrastructure
Long Term Trends and Policies
Declining cost of solar power Extension of federal Investment Tax Credit (ITC) until 2021 Other state and local incentives Solar + Storage potential to drive market expansion *National Solar Jobs Census 2016, The Solar Foundation
Net Metering Receive a credit on your utility bill for the energy you generate Energy producing asset is built and tied to the utility meter at the same facility where some of the energy is being consumed
Remote Net Metering Allowing for the generator of power and the consumer of power to be located at different physical sites providing the sites share a common utility and load zone
Community Solar Farm Build a single solar farm and have multiple offtakers (any utility customer is in same utility and NYISO load zone) opt-in to purchase the clean energy produced Take advantage of economies of scale Gives access to solar energy to those that don’t own their facilities, don’t have an ideal site for solar, can’t afford the capital investment to build solar, etc. Courtesy of Borrego Solar Systems, Inc. Private and Confidential
Roof
Mounted
Small-Scale Ground-Mount
Solar
Rows of solar panels (modules) strung together are an array Refers to a large (non-residential) array built on a remote location, typically on underutilized agricultural land, landfills, brownfields, etc. Can credit multiple accounts held by a single offtaker via remote net metering Courtesy of Borrego Solar Systems, Inc. Private and Confidential
Minimum
of 3 Acres
Size necessary for around a 1Megawatt System Shading Considerations Less than 15 Degree Slope Free of Vegetation Wetlands, wet areas or streams don’t break up site Environmental Considerations
Courtesy of Borrego Solar Systems, Inc. Private and Confidential
Proximity
to Existing Utility Infrastructure (point of interconnection)
Too
Far Can be Too Expensive
Local
Distribution Grid Needs to be able to Handle Additional Load from Solar Farm
Utility
Load Zones that Qualify and their Ability
to Handle Additional Load Explicit
Application Process Courtesy of Borrego Solar Systems, Inc. Private and Confidential
Roof
mounted
Ground
mounted
serving individual home Consider adopting NYS Unified Solar Permit
Farms
Agricultural use if supplying only farm Businesses Schools Group
and Non-Profits
of home owners
Where
should they be permitted
Proper
set backs, screening and mitigation
of any visual impacts Height
of structures
Fencing
and security
Removal
and decommissioning
Address
Fears and Misconceptions
Fear of Clear Cutting forested areas Fear of loss of large areas of farmland Fear of use of massive amounts of o pesticides to control vegetation growth Disposal of solar panels when no longer used
John C. Cappello Partner of Jacobwitz & Gubits LLP • Lead partner in J&G’s Green Team focusing on advising a wide array of clients on the opportunities available in this emerging field of law • Admitted in New York and California • Board President of Orange County’s Regional Economic Community Action Program Inc. (RECAP); Orange County Citizens Foundation Land Use Committee and Pattern for Progress Affordable Housing Committee
Due Diligence Period
What happens to crops that may have been planted
Term of Lease and Options
Impact of Increased Assessment Rollback taxes Solar exemption – Opt out Proportionality
Assignment of Lease
Insurance
Impact on Remaining Lands
Removal
Utility Easements
Implications
Impacts of option out Notification Provision Consideration of PILOT Consider PILOT Law
NYSERDA
Model
NYSERDA
Solar Toolkit (see page 117)
https://www.nyserda.ny.gov//media/NYSun/files/solar-guidebook.pdf Methods
To Determine Amount For
PILOT Approval NYSERDA
Guidelines
Utility
Low ($/MW AC)
High ($/MW AC)
Central Hudson
$2,600
$7,600
118)
Orange & Rockland
$3,200
$9,500
https://www.nyserda.ny
National Grid
$1,700
$5,100
NYSEG
$1,700
$5,000
Con Edison
$3,700
$11,100
Rochester Gas & Electric
$1,700
$5,000
NYSERDA Solar Toolkit (see page
.gov//media/NYSun/files/sola r-guidebook.pdf
John C. Cappello Partner-Jacobowitz and Gubits LLP
jcc@jacobowitz.com
845.778.2121 www.jacobowitz.com
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