Tuesday, December 2, 2014

Solar Power Costing

#Solar panel at every rooftop

Objectives:   

1.  To generate 100 pv loans of P30,000 each (P3,000,000)

2.  To help  avert power crisis

Business concept:  financing the acquisition of solar panels. The only stumbling block to solar (the model for solar run)

Mr Joey Escueta Loyola gave me a briefing on cost and prices of products to be offered so that we have good handle on products (solar to be offered)

1.  Components:

Mono crystalline  (Zocen)   100 watts)          5,760.

REC (Norwegian)                250 watts          14,000.

Zocen                                   250 watts          13,000   

Deep cycle batter 12v 100 A                           9,000

Power inverter  500  watts                               4,560

Power inverter   500 watts heavy duty            13,500

Power inverter  charger  2kW 24 v charger     26,000

Power inverter charger   3kW 48 V                  29,000

DC breaker and fuse                                        2,100.

Solar wire  (includes mounting?)                      4,800

Installation           (for small system)                 5,000

Installation for  2 kW                                         11,000

Installation for 3 kw                                           16,000


Pricing

1. REC off grid         

250 watts                                                            66,000

500 watts                                                            123,000

1 kW                                                                    155,000

I find their price to be rather stiff for Norwegian



He sent me a new costing today and his price for China panels is as follows  ( Zocen high quality)

Net price

250  watts                                                          P33,000.00

500 watts -                                                          P96,000.00

1,000 watts -                                                      P154,000

He sent me a new one and this is

200 watts without installation -                         30,000

400 watts with installation  -                              60,000

1,000 watts with installation   -                         150,000

The reason for the high cost are the:

batteries and inverters which could easily jack up the cost by:

Battery bank of 3 x   9,000                                  27,000

Inverter                                                                 29,000

                       Total                                               56,000

2.  Tie grid system (with Meralco without batteries and inverters)

 250 watts                                                           15,000

 500 watts                                                            58,000

1 kW                                                                     92,000

2.  Computing for PV requirement

bulbs   say 20 watts x   ____ hours    =              ______watts

TV    say    100 watts x _____hours    =             ______watts

electric fan   say 200 watts x __ hours=          _____wattts

laptop say 100 watts   x ___ hours      =          ____ watts

refrigerator  say 500 watts x 24 hours  =         -------watts

Aircon and ref would require higher power requirements and more cap ex.

Thus it is necessary to:   

1.  Use power inverters for aircon;

2.  Use low cost led lamps

3.  Exclude aircon and ref in the meantime

3.  Power savings

A PV system is only 30% efficient (can run at full capacity only 5 to 6 hours a day max.) Thus it does not run the rest of 18 hours.  It is an inherent weakness.  Thus off grid system are superior but are more expensive.

Thus if your average power consumption is 

100  kwh   x  P12/kwh    x 30% savings   =   P360.00

200 kwh   x   P12/kwh x  30% savings    =    720.00

300 kwh   x  P12/kwh   x 30% savings    =  1,080.00

400 kwh   x   P12/kwh   x 30%savings     =   1,440.00

500 kwh   x   12,/kwh   x 30% savings     =    1.800.00

4.  Loan package:

The MA should be as close as to the monthly savings if possible

We require:

1.  Basic application form

2.   Chattel mortgage on the PV

3.  PDC for MA

4.  PN for the balance.

We require at least 10 years warranty on the unit, and service agreement with the supplier;

Loan structure:

20% dp

12% per annum add on

3 years to pay.

Say the 400,000 package they are selling would require:

P80,000 d/p

MA   -  12,088.00

5.  Business model:  (How do we make money)

PTM     -   residences with high power consumption
                commercial establishment with high power consumption
                adventurers who need portable power supply

Link:     social media, CRM, existing Holy Gardens customer

Bond:     love of nature, global warming, climate change advoacy

MAIN VALUE PROPOSITION:    Averting power crisis and climate change using solar power

PARTNERS:       Solar power suppliers:    Joey Loyola and Bart, installers
                         Meralco,  LGU

Key activities:     Financing, marketing

Revenues:  

     1.  Mark up on the units -  10 to 20%

        12% interest on the balance, 4 % penalties on arrears

     2.  Cost:      ME of 5%

     3.  GP  10%



                                           





parties.

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