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Solar thermal (ST) installations - also known as solar hot water or solar water heating - are not as common in upstate New York as solar electric or wind energy systems. They are, however, the most efficient and time tested of renewable energy systems. Solar thermal systems use sunlight to heat water or a non-toxic antifreeze which is then used to provide heat for domestic hot water and/or space heating needs.

If you are interested in learning more, read this page, check out pictures of our installations, then send us a secure Client Information Form for solar thermal systems. The online form gives us some basic information to begin to address your situation. Of course, you can simply give us a call or send an e-mail with questions.

Solar Thermal (ST) Technology      (back to top)

The concept of solar thermal is simple. Water left in direct sunlight gets hot... think of a garden hose! Solar thermal systems can heat water to 180°F or even higher.

There are two types of solar thermal systems. The simplest and least costly is referred to as a domestic hot water (DHW) system which provides hot water for uses such as bathing and washing dishes. The second type, a solar space heating system or combi-system, can offset a significant fraction of the heating requirements of a building in addition to providing DHW and is best matched with low-heat hydronic heating systems such as radiant floor.

When sunlight strikes solar thermal collectors, the absorber plates in the collectors transfer solar light energy to a non-toxic propylene glycol/water mixture - the heat transfer fluid. Propylene glycol is a food-grade substance which acts as antifreeze for systems installed in freezing climates. The heat transfer fluid is moved by a pump through a pressurized, closed loop of copper pipe that runs from the ST collectors to a heat exchanger within the indoor hot water storage tank. After heating the water in the tank, the heat transfer fluid returns to the collectors to be reheated. If necessary, the solar preheated water becomes the "cold" input to a conventional water heater. Because water entering the water heater has been preheated by solar, little (or no) energy is required of the conventional water heater to heat up the incoming hot water to useful temperatures. As such, a solar thermal system turns your existing water heater into a backup device for mid-winter and the occasional string of gloomy days.

Because solar preheated water can exceed the temperature needed by a boiler or backup water heater (especially in the summer months), mixing valves, pressure-temperature relief valves, and heat dissipation devices are typically used with solar hot water systems. These safety devices ensure the longevity and efficiency of the system.

Two of the most common types of solar thermal collectors are flat plates and evacuated tubes. There are advantages and limitations associated with both types of collectors. The appropriate choice will depend on the intended use(s) for the system (DHW and/or space heating), the installation site, and aesthetics. Both types of collectors are mounted in such a way that they absorb as much sunlight as possible. The collectors can be mounted either on the roof (usually south-facing, but sometimes east-west) or on the ground, depending on accessibility and preference.

Ground-mounted ST systems are slightly more expensive to install because of the foundation work required to mount them securely and trenching for the buried heat transfer fluid pipes. Ground-mounted systems can be oriented to be as efficient as possible, are not limited in size by the available roof space, and are much easier to keep free of debris and snow as compared to roof-mounted systems.

Roof-mounted ST systems are less expensive to install and do not require trenching to route the solar loop back from the array. However, they are limited by a site's available roof space and orientation. Our system designers will ensure that the system design is a good match for your situation. One size does not fit all.

Site Evaluations      (back to top)

In order to design a residential or commercial ST system, our system designers will come to your site to evaluate its solar potential. The fee for a residential site visit is $250 plus $1 per mile of one-way travel beyond a 30-mile radius from Ithaca. The fee for a commercial site visit is $500 + travel for a single building/site and may increase with the number of buildings and sites involved. Please note that our Site Evaluation fee will be refunded in its entirety if you have us design and install a system for you.

For Residential clients, our Site Evaluation will result in the following deliverables:

1. Shading report - a highly detailed analysis with annotated images and dimensions of every roof surface clearly showing those roof areas which are useful for deployment of solar - as well as those which are not. If no roof surfaces are appropriate or desired, then sites on the property suitable for ground-mounted solar are analyzed for shading.
2. Energy usage report - an analysis based on Customer-supplied bills or on a Utility-supplied usage summary showing what fraction of present or historical energy usage can be offset by solar thermal.
3. Customer Purchase Agreement (CPA) - consisting of a detailed Project Description, datasheets for major system components, itemized materials and labor costs, anticipated incentive payments (if any), and estimated tax credits.

For Commercial clients:

1. Shading reports - highly detailed analyses with annotated images and dimensions of every roof surface clearly showing those roof areas which are useful for deployment of solar thermal on one or more buildings that are identified by us as having useful solar generation potential.
2. Energy usage reports - analyses based on Customer-supplied bills or on a Utility-supplied usage summary for one or more meters at the buildings/sites visited.
3. Solar Thermal feasibility report - giving specific suggestions and estimated costs for the design, installation and commissioning of one or more ST projects at the buildings/sites visited. Next steps in the process are clearly articulated here.
4. Economic analyses - for all projects described in the Solar Thermal feasibility report.

Home Energy Use      (back to top)

Believe it or not, water heating is the second biggest energy consumer of a typical residential structure in this region. In fact, 18-25% of overall energy usage in a typical residence is associated with water heating. A Solar Thermal system that displaces the fossil fuel costs of a conventional DHW heater can greatly reduce your annual utility bills because DHW must be heated all year round.

As we all know, heating a building is expensive, too! Space heating comprises over half of all the energy used in a home. When the energy used for space heating and DHW is combined, this equates to over 3/4 of a home's total energy demand. Installing a solar thermal combi-system can radically reduce the amount you pay for conventional fossil-fuel energy.

The information in the graph above is from a 2005 Energy Information Administration report and should be a powerful argument for reconsidering the way we use energy in our homes. Making sure our electricity is generated sustainably is an important step in the right direction, but efforts to promote sustainability cannot stop there. Finding ways to heat our homes and businesses sustainably is clearly of vital importance. Solar thermal systems are a valuable tool in decreasing the amount of non-sustainable fossil fuel energy required to heat a home.

Cost Estimates      (back to top)

System Size (collectors)	Storage Tank Size (gallons)	Mount Style	Total Cost	NYS Income Tax Credit	Fed Income Tax Credit	NYSERDA Incentive	Total Tax Credits and Incentives	Final Cost
Domestic Hot Water Systems
3	60 - 80	Roof	$15,000	-$3,750	-$4,500	-$3,700	-$11,950	$3,050
		Ground	$18,000	-$4,500	-$5,400	-$4,000	-$13,900	$4,100
4	100 - 120	Roof	$17,000	-$4,250	-$5,100	-$4,000	-$13,350	$3,650
		Ground	$20,000	-$5,000	-$6,000	-$4,000	-$15,000	$5,000
Space Heating Systems
4	200	Roof	$22,000	-$5,000	-$6,600	-$4,000	-$15,600	$6,400
		Ground	$26,000	-$5,000	-$7,800	-$4,000	-$16,800	$9,200
6	400	Roof	$25,000	-$5,000	-$7,500	-$4,000	-$16,500	$8,500
		Ground	$30,000	-$5,000	-$9,000	-$4,000	-$18,000	$12,000
9	500	Roof	$30,000	-$5,000	-$9,000	-$4,000	-$18,000	$12,000
		Ground	$36,000	-$5,000	-$10,800	-$4,000	-$19,800	$16,200

Notes:

• Roughly speaking, one collector produces enough hot water to meet the DHW needs of an average adult.
• The output of 16 evacuated tubes is approximately equal to 1.5 to 2 flat plate collectors.
• Price estimates are for the complete system. This includes labor costs, installation, materials, and design.
• These prices are rough estimates and do not take into account the considerable variation in plumbing labor. For more detailed price information, please contact us.

Simple payback times realized by energy savings are estimated at around 6 to 10 years depending on the cost and inflation rate of the displaced conventional energy source (electric, gas, oil) during this period. However, a simple payback analysis does not take into consideration intangibles such as greatly reduced carbon dioxide emissions over a system's 20 to 30 year lifespan. The return on investment (ROI) over a system's service life is a far better measure of value. Please contact us for a detailed economic analysis.

Financial Incentives and Tax Credits      (back to top)

NYSERDA Solar Thermal Incentive Program - Pon 2149

NYSERDA (New York State Energy Research and Development Authority) offers its ST incentive program (PON-2149) to reduce the cost of investing in a solar thermal system. The following incentive levels are effective now:

• For residential systems, $1.50 per kWh of electric hot water heating displaced (must be an existing electric hot water heater*) up to a maximum ST system size displacing 2667 kWh or $4000.
• For not-for-profit organizations, commercial or municipal systems, $1.50 per kWh of electric hot water heating displaced (must be an existing electric hot water heater*) up to a maximum ST system size displacing 16,667 kWh or $25,000.

  *Note: there may be funding available for ST systems that will offset conventional fossil fuel hot water heaters. If you have a fossil fuel based hot water heater and are interested in a ST system, please contact us and we can give you the latest information on the NYSERDA program.

The following information about NYSERDA's Solar Thermal (ST) program is taken directly from the PON-2149 Program Manual:

The New York State Energy Research and Development Authority (NYSERDA) provides incentives for the installation of new Solar Thermal (ST) systems for the production of hot water to displace electrically heated hot water. System incentives are capped at $4,000.00 per site/meter for residential systems and $25,000.00 per site/meter for nonresidential applicants. Funding for the Solar Electric Incentive Program (Program) has been allocated by the New York State Public Service Commission through the Renewable Portfolio Standard (RPS) program. The goal of the program is to install 45.54MW of Solar Thermal capacity by 12/31/2015. Incentives will be granted on a first-come, first-served basis, and applications will be accepted through December 31, 2015, or until funds are fully committed, whichever comes first. There is also a small amount of non-RPS funding available for projects which use fossil fuels to heat their domestic hot water. Please call NYSERDA for availability of non-RPS funding.

Renovus will handle all paperwork associated with this new program for our customers.

Please note that NYSERDA offers its incentive program subject to the following restrictions:

• The ST system must be displacing the energy usage of an electric hot water heater that has been in operation for at least one year from the date of the incentive application. There may be funding available for ST systems offsetting fossil fuel based hot water heaters. If you have a fossil fuel based hot water heater and are interested in a ST system, please contact us and we can give you the latest information on the NYSERDA program.
• Incentives are available for ST systems installed for qualified customers only. Qualified customers are those who pay the Renewable Portfolio Standard (RPS)/System Benefits Charge (SBC) as part of their electricity bills. To see whether your utility company participates, please refer to this NYS Department of Public Service webpage. To our knowledge, all New York State investor-owned utilities, including NYSEG and National Grid, participate in this program.
• NYSERDA reserves the right to limit the number of incentives per customer/site/meter.
• Incentives are based on displaced electrical usage as specified by Solar Rating and Certification Corporation (SRCC) OG-300 estimates of system production.
• System sizes may be greater than the maximum size allowed for incentives, however, the incentives will be provided only for the eligible portion of the ST System.
• NYSERDA reserves the right to make changes in the incentive levels. It is anticipated that these changes may occur at two month intervals based on the level of participation in the program and market conditions. Any revisions in the incentive levels will be posted on NYSERDA's website, and Eligible Installers also will be informed via email. Customers' applications that are accepted by NYSERDA after an incentive change will be automatically changed to the new incentive level. Eligible Installers and Customers are prohibited from cancelling and re-applying if incentives are increased.
• Incentives are capped based on the proposed ST System size that does not displace more than 80% of the total kWh consumption for the previous 12 months of electric usage.
• Incentives may be reduced if output losses from factors such as shading and orientation are significant.
• Residential customers may be eligible to participate in any loan programs such as PACE (Property Assessed Clean Energy, On-bill financing, the NYS Energy $mart Loan Fund(sm), should they be available in the future. For customers that participate in the loan programs, the incentive will be reduced by the equivalent "buy down" cost or other cost incurred by NYSERDA to make the loan product available. The total incentive for any customer, including cash and loan product, will not exceed the system incentive cap.
• All components installed as part of an approved ST system must be new.
• All ST Collectors and Hot Water Tanks must be certified as meeting all applicable standards of the Solar Rating and Certification Corporation and detailed in NYSERDA's eligible list.

New York State Tax Credits

New York State offers a tax credit of 25% of the system expenditures, capped at $5,000. This is only for primary residences. Here is a link to NYS tax form IT-255. It is our understanding that this credit can be "rolled over" for up to 5 years, or until the entire amount is claimed, whichever comes first.

You should consult your tax advisor before making any financial decisions based on tax credits estimated by our company or anyone else.

New York State Property Tax Exemption

Installing a renewable energy system, such as a solar, wind or farm-waste system, will increase property value. To encourage New Yorkers to install such systems, New York State provides a property tax exemptions for properties hosting these "earth friendly" systems. These exemptions assure property owners that their real property taxes will not increase as a result of the installation of such a system. In other words, any increase in the assessed value of real property attributable a solar, wind or farm-waste energy system will be exempt from taxation. These property tax exemptions cover residential, commercial, institutional and industrial systems.

At present these exemptions cover all wind, solar and farm waste systems purchased and installed before January 1, 2015 and provide a 15-year real property tax exemption. The total exemption amount is equal to the increase in assessed value attributable to the renewable energy system. The exemption only applies to general municipal and school district taxes. Local and governments are allowed to opt out of the exemption. Please refer to this listing to see if your municipality or school district has opted out. At present, systems built in the school districts of New York, Buffalo, Rochester, Syracuse, and Yonkers do not qualify.

More detail:

Section 487 of the Real Property Tax Law exempts from taxation, but not special ad valorem levies or special assessments, real property which includes a solar or wind energy system or farm waste energy system satisfying guidelines established by NYSERDA. The solar or wind energy system or farm waste energy system must be existing or constructed before July 1, 1988 or constructed after January 1, 1991 and before January 1, 2015.

A county, city, town or village may adopt a local law or a school district (except the city school district of New York City, Buffalo, Rochester, Syracuse or Yonkers) may by resolution provide that no solar or wind exemption or farm waste energy system shall apply within its jurisdiction for systems constructed after January 1, 1991 or the date of such local law or resolution, whichever is later.

The exemption is equal to the increase in assessed value of the property attributable to the inclusion of the solar or wind energy system or farm waste energy system and is to be granted for a period of fifteen (15) years. Where the system or its components are also part of the building structure, the increase in value to be exempted from taxation equals the assessed value attributable to the system or components multiplied by the ratio of the incremental costs of the system or farm waste energy system or components to the total cost of such system or components. "Incremental cost" is the increased cost of a solar or wind energy system or farm waste energy system or component which also serves as part of a building structure, above that for similar conventional construction, which enables its use as a solar or wind energy system or farm waste energy system or component. For further information, see NYSERDA guidelines. Note that municipalities that offer the solar or wind energy system exemption may require payments in lieu of taxes not to exceed the amount of the exemption.

To claim the exemption, the property owner must submit form RP-487 from the New York State Office of Real Property Services (ORPS) to the city or town assessor.

Federal Tax Credits

The Federal government offers an income tax credit of 30% for residential systems. Due to recently passed legislation, there is now no cap on the maximum amount that may be claimed. As such, this credit can offset a significant amount of the "total" or "basis" project cost (a term which the Solar Energy Industry Assocation (SEIA) interprets in their Federal Solar Energy Incentives FAQ to mean before any incentives have been applied). To claim the credit or for more detailed information, refer to Federal tax form 5695. The 2009 form states If you cannot use all of the credit because of the tax liability limit..., you can carry the unused portion of the credit to 2010. It seems reasonable to assume, by implication, that the carry forward can continue for as many years as required to claim the entire amount of the credit.

The Federal Business Energy Tax Credit of 30% also has no cap. To claim the credit or for more detailed information, refer to Federal tax form 3468. More information on current legislation is available at the Database of State Incentives for Renewables and Efficiency.

You should consult your tax advisor before making any financial decisions based on tax credits estimated by our company or anyone else.

Heating a Pool      (back to top)

One very popular use for solar thermal is to heat a swimming pool. In general, systems designed exclusively for pool heating are usually designed to operate seasonally. As such, these systems tend to be inexpensive, simple designs that work very well for pool heating. That said, the design of DHW and supplemental space heating systems described above can also be easily extended to heat a pool.

Also, please note that systems designed exclusively to heat a pool are typically not eligible for state and Federal income tax credits. However, systems that also provide DHW and/or supplemental space heating in addition to pool heating may be eligible for these credits. Please contact us for more information about this.