Archive for August, 2008

Are you buying green power? Have you paid to offset your carbon emission? What if you did not pay for it – but got paid?

We hear everywhere that it is good to purchase green power or offset your carbon emissions. But what are we really paying for when we do that?

Solar Hot Water – the Single Biggest Impact on Carbon Emissions.

When you install solar hot water, you reduce your household’s carbon emissions by around 25%. They are not just offset, they are eliminated. Not once, but for the lifespan of the solar hot water system (often 20 years).

Our government knows that and is paying you to do it: $1,600 federal rebate.

On top of that, you receive payment for REC’s (Renewable Energy Certificates). And guess who purchases these REC’s? It is mostly energy retailers. Up to $2,000. They then pass that charge on to consumers who pay for green power.

The same is true for some carbon offsetting schemes. They purchase REC’s, which gives them the right to the saved CO2.

So what are you really paying for when you buy green power or carbon offsets? You are subsidising someone else to reduce their carbon emissions. It feels good, but you can bet that the subsidised person feels even better.

Here are the two choices:

• Continue to pay the electricity company and let others benefit from the subsidies you pay.

• Or take control, make a real difference in your carbon emissions, get paid for it, slash your electricity bill at the same time and do not get caught with future increases in electricity.

If you have questions about your particular situation or want help in deciding which solar hot water system is most suitable, call me on 5400 1800 or get an instant online quote below.

The best solar hot water position depends on a few factors:

Orientation of the House

To make the best use of sun, you obviously want a roof area that is not shaded. The ideal orientation is North, so that a maximum of the sun’s energy can be used to heat your water.

As a rough guide, North is where the sun is just before lunch-time. If you are uncertain, you might want to type in your address into Google Maps and see an areal picture of your house. North is at the top.

It is no problem if you are slightly off North, anything between North-West and North-East will work well.

Check for Shading

If you have trees around your house, it is best to look at the roof at different times during the day to find the best position. When you do that, remember that the sun’s position varies widely from Summer to Winter.

Position of the Tank

With the tank location, you want to make sure that it is as close as possible to where you use the hot water. Why? Because the water in the pipes is cold. So when you turn your hot water on, the cold water has to run out of the pipes first before the hot water reaches you.

To minimise wasting that cold water, you want to have the tank close by.

Normally an existing tank is positioned in such a way that it is close to water usage. That is why the tank of a split system goes at that same place. The piping to the panels should not be more than 20m, or a larger pump needs to be used.

That is also the reason why we only recommend on-roof systems when the distance between the North-facing roof and the existing tank is under 10m.

We’ll Make Sure

All you need is to roughly estimate which direction your roof faces and how far the tank is from that unshaded roof position. With that information you can use our instant online quoting process and see whether solar hot water is suitable for you.

Our plumbers will always check for the right position and give you the best advise when they actually install the system.

Here is a short video that shows what to expect during a solar hot water installation.

The video shows a split system, where the tank is on the ground.

The installation took about 4 hours, but I’ve cut the video down into 90 seconds. It still shows the most important aspects:

• Taking the old tank away
• Placing the new tank
• Connecting the tank to the plumbing in the house
• Running the pipes up to the roof
• Installing the pump
• Mounting the solar panels on the roof
• Running the plumbing inside the roof
• Cleaning up

The only thing it does not show is how the electrician connected the tank. I was up on the roof at that time and missed it. That’s how quick he was…

According to The Australian, there is discussion about the exclusion of solar hot water heaters from the REC (Renewable Energy Certificates) Scheme.

Anyone currently installing a solar hot water system, receives payment (usually as a point of sale discount) for REC’s. The quantity varies depending on the system and location, but price reductions are substantial (between $1,200 and $2,000).

So if the government really goes ahead with this decision, solar hot water will become much more expensive to purchase and take much longer to pay for itself.

No decision until October

However, I just talked to a very friendly and helpful officer from the Office of the Renewable Energy Regulator. He pointed me to the Department of Climate Change, where a short report outlines the review process of the mandatory renewable energy target which is currently happening.

The conclusion: nothing is decided yet (recommendations will not be finalised until October) and the earliest that new regulations come into force is mid 2009.

One of the biggest changes is that the mandatory renewable energy target is supposed to be extended to 2020 and reach 45,000 GWh. That represents 20% of Australia’s energy consumption and would be a good start.

Not quite like the challenge Al Gore put to America: 100% renewable in 10 years, but another step forward.

One of our clients doubted that he could get the solar hot water rebate for his investment property. He took the trouble to call the Department of the Environment, Water, Heritage and the Arts. The answer: “No, only the tenant can apply.”

When I heard that, I called the Department as well and sure enough got the same answer.

However, I had a FAQ document produced by the Department. Here is what it says:

Can I get the rebate for a system I install on my investment property?

Yes. The system for which a rebate is being claimed must be installed at a principal place of residence. There is no requirement that this is the applicant’s principal place of residence. An owner may apply for a rebate for more than one property.

The sharing of costs other than the rebate between the landlord and the tenant is a matter for you to
negotiate. Regardless of whether you are an owner or a tenant, all other eligibility requirements must be met.

Vita, the lady I talked to, had to ask her superiors. She called back after half an hour, confirming that in fact, yes, a landlord can apply for and receive the solar hot water rebate.

So if you have any problems, claiming the rebate, do not give up, tell the Department to check its policy more carefully.