August 24, 2001 – West Hawai’i Today
A first for the state is happening in Kawaihae – a small business running on a renewable net energy metering system.
Hawaii enacted net energy metering in June, encouraging the installation of renewable energy systems (wind, biomass, hydro and solar) in homes and businesses by participants receiving credit for surplus power produced by the systems feeding into the utility electric grids.
Tom and Lana Plum, of Kawaihae, installed the first net energy metered solar electric system for their computer consulting company, Plum Hall, Inc. and signed a net energy metering agreement Monday with Hawaii Electric Light Company.
“I’ve waited years to go solar electric,” Lana Plum said, “and I’m thrilled to be the first in Hawaii to sign up for net energy metering.”
The renewable energy system generates 30 of the 90 kilowatts of power the Plums use everyday to run their business.
Any surplus power goes into the HELCO Kawaihae grid, providing electricity to homes and businesses in the area and HELCO credits the Plums at the retail rate of the energy generated from their system.
The $70,000 system, which took about a week to install, was designed by ProVision Technologies, Inc., a Hilo – based high tech company specializing in solar electric applications in Hawaii and the Pacific Rim.
Receiving federal and state tax credits totaling about 50 percent in the first year, as well as saving more than $200 per month on the Plum’s electricity bill, the system will pay for itself in about 10 years, Marco Mangelsdorf, of ProVision Technologies marketing and sales said.
The photovoltaic panels have a 25-year warranty and the inverters have a two-year warranty and are very reliable, Mangelsdorf added.
Mangelsdorf said the 90 kilowatts of energy used by the Plum’s small business is on average more than what many households would use.
He estimated it would cost $20,000 to install the system in other homes.
Residences installing this type system, however, do not receive the same tax credits of small business owners, Mangelsdorf said, noting households receive no more than $1,750 of state tax credit.
The roof on the Plum’s house and small business is covered with 48 solar panels facing southwest and southeast to receive light. The solar energy is fed through conduits to two inverters, which change the direct current (DC) electricity into normal 120 house current electricity, Mangelsdorf said.
The Plums also had eight DC batteries installed as an uninterruptible power supply for backup in the event of a HELCO outage, providing electricity to critical load circuits in certain rooms of the house, Mangelsdorf said.
Mangelsdorf said a benefit of using a net energy metered solar electric system in a home or small business is a reduction in the utility bill, especially as utility bills are increasing.
The renewable energy industry has grown by “leaps and bounds,” Mangelsdorf said, noting the growth of 44 percent worldwide from last year.
“Solar already makes a lot of sense for many applications,” Mangelsdorf said. “Manufacturers are having a hard time meeting demand.”
Mangelsdorf said he is being “overwhelmed” with the calls of interest in the system by residences and businesses on the island.