Investing In Sustainable Energy - Do You Have The Energy For Success? 
Article contributed by: Cameron Aiken, Ontario Energy Matrix

It used to be that responsible, sustainable energy choices were made purely for environmental rea¬sons. This was a privilege often reserved for those with disposable income or at least the ideology and wherewithal to put their money where their mouth is.

The consumer was faced with a minimum twenty-five year payback that was hard to swallow and seemed idealistic, if not foolish, at the best of times. There were dreams of getting 'off the grid'; becoming 'independent' and 'distinct' from the 'status quo' ... stress the 'status'. There were battery banks, complex designs, and a price tag to match. Kudos to those pioneers who braved this new world but why should saving the planet be so difficult and expensive? Most of us learned in the schoolyard that being a pioneer was painful for both the ego and the pocketbook.

Enter the Green Energy Act or Bill 150 if you follow that sort of thing. I call it the oil industry or bully pacifier. The focus of the Act is sustainable energy and the associated economies, including manufacturing and a variety of service based industries. The idea is to create 50,000 jobs in Ontario over the next 3-5 years; picking up the slack for the failing auto industry. Ontario doesn't want to be just another second rate 'Actor' though (I know ... Canadian television is getting better. .. slowly ... even if my attempts at humour aren't). Our current renewable energy production is approximately 8,300 megawatts. The goal is 10,000 megawatts by 2015 and 25,000 by 2025.

Many experts believe our Green Energy Act has the potential to make Ontario a world leader in renewable, or more correctly, sustainable energy production and conservation. If you want to look into the future, take a peek at Germany and what it has already done. Since its comparable pro¬gram's inception, it has seen an annual doubling of solar power production.

The starring r()le in Ontario is played by our Feed-in Tariff (FIT) Program, and is administered by the Ontario Power Authority (OPA). Bill 150 grants priority access to renewable energy projects through Local Distribution Companies (e.g. Hydro One). FIT gives this concept legs through incentives ... monetary ones (aren't they the best kind?) and a guaranteed return on investment for energy developers. But it's not what you think. Joe public wasn't left out of the loop this time. You, as much as anyone, are meant to play the part of the developer, and you'll get a 20 year contract and fixed pricing for being so bold, (or 'SMART' if you like acronyms).'

You can develop projects in a variety of ways, because the medium remains the message. Solar PV (photovoltaic) receives the highest incentive (80 cents a kilowatt); however wind, water, biomass and biogas all receive one as well. The question is what energy source is right for you? Perhaps energy integration is on your mind. Now, more than ever, this is a real possibility as well as a sustainable one. The fact is there is a wealth of information and products out there, but the water can be murky. My advice is to do your home¬work and talk to a professional about the solutions that might be a perfect 'FIT' for you.

Just in case I haven't gotten your attention, I'll introduce The Rule of Ten, or TROT. It's something I developed to explain the investment value of solar PV, now that Ontario's decided to exercise its sustainable rights. We will talk more about this next time, so no need to think you have to get it all in one go, but the gist of it is this:

When we talk about solar power in basic terms everything is a multiple of ten ... which makes seeing
the value of the investment so much easier. Here is a sample project to explain what I mean:

$10,000 capital investment = 1 kW of Power = $1,000 annual energy production

Over the 20 year (TROT x 2) life of the contract you will see a 10%+ return on investment. So, at year 10 you've paid for your system and for the next 10 you are seeing pure profit. The best part is you get a cheque right away from Hydro, and every month thereafter for the energy you send back to the grid. It does¬n't get any better than that. .. a sound investment that just happens to save the world.

Article contributed by: Cameron Aiken, Ontario Energy Matrix

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