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This is the key to this competition-winning business model: more than half the cost of a resi solar system in the US is in the installation and the design/permi
by floatrock 7y ago
This is the key to this competition-winning business model: more than half the cost of a resi solar system in the US is in the installation and the design/permitting.
Permitting involves things like making sure the design is up to fire codes (eg there are setback requirements to make sure a firefighter can put a ladder on the roof) and the interconnection work with the utility that lets you send energy back into the grid. In the worst states, these extra costs are largely artificial barriers (ie outright anti-competitive tactics).
I believe Germany for example spent a lot of work streamlining these all these permitting and interconnection fees, and as a result has much lower solar costs.
What this company appeared to have proposed in this contest is that by bolting solar onto pre-fab homes in the factory:
1. Installation costs drop, presumably because it's built into the design of the home and there's factory tooling around it instead of a retrofit system; and
2. Permitting costs go down because the design is standardized and presumably you can get economies-of-scale if you're connecting a whole subdivision or trailer park all at once.
This also nicely addresses the equity angle since prefab homes are generally aimed at lower income levels -- the claim here is that this building can drop the price of solar by almost half for this demographic.
- KaiserPro 7y agoThe biggest cost saving in the UK (at least) is the cost of scaffolding. its about £900 to get it up. which is 1/5th of the total install in some cases.