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Tuesday, March 19, 2002

Last modified at 11:06 p.m. on Monday, March 18, 2002

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  Bryan Wilson of American Solar Energy hooks a line to solar collectors on a house under construction in Orange Park.
-- Will Dickey/Staff

Utility will help customers go solar
JEA to pay portion of equipment costs

By David Bauerlein
Times-Union staff writer

Jacksonville is a Sun Belt city in the Sunshine State. The minor league baseball team is called the Suns. City Hall's logo for its Better Jacksonville Plan construction program shows a fiery sun.

For a source of energy, the city utility is looking at the sun as well.

A new JEA program will help pay the cost of installing solar equipment in homes and businesses, making the purchase more affordable for customers who want to harness the sun's heat as a power supply and reduce their electric bills.

Anytime a JEA customer buys solar equipment from a JEA-authorized installation company, the utility will write a check to the company for a portion of the cost. The JEA expects the company will use the JEA's contribution to reduce the consumer's price by roughly 25 percent.

For example, a solar system that heats water in a home would ordinarily cost a consumer $3,000 to $4,000. But with the JEA's contribution, the company selling the solar equipment could reduce the price it charges the consumer by $800 to $1,280, JEA officials say.

With a solar hot water system, the savings on electric bills will pay back the cost of the solar equipment in five to nine years, according to the Florida Solar Energy Center.

The Florida Solar Energy Center provides reams of information about solar power. For more information from the center's Internet site, go to jacksonville.com; keyword: solar.

The JEA began the solar program on a pilot basis Feb. 1 and plans to kick off a marketing campaign in April to coincide with Earth Day. It has set aside $450,000 for the program through the end of September and hasn't decided how much to earmark in the next fiscal year.

The JEA pledged in a 1999 agreement with the Sierra Club and American Lung Association to pursue "clean" energy sources such as solar power that offset smokestack emissions from generating stations that burn coal and oil.

By 2007, the JEA wants solar power to produce 0.1 percent of its overall generating capacity. The power from solar would be equivalent to the average electric consumption of 3,000 homes, according to the utility.

Other utilities serving Northeast Florida say the high cost of solar equipment keeps it from being an attractive feature.

Florida Power & Light, which serves parts of Duval, Clay and Nassau counties, offers financial incentives for customers to install high-efficiency central cooling and heating systems, repair air-conditioning-heating ducts, and add ceiling insulation. Clay Electric Co-op, which primarily serves Clay County, will provide loans for such things as energy-efficient electric water heaters.

Florida Power & Light offered rebates for solar-heated water for years, but ended the program in 1997. The program helped individual customers but, given the cost, it didn't do enough to affect the electric rate paid by all customers, company spokesman Bill Swank said.

"Over time, as more systems are installed, the cost might go down," said Sherman Phillips, manager of energy services at Clay Electric.

Even though solar power would contribute a relatively small amount of energy consumed in Jacksonville, the JEA's initiative is the most ambitious in the state, said Jennifer Szaro, energy analyst at the Florida Solar Energy Center, a research institute of the University of Central Florida.

The JEA's goal would amount to six times the amount of solar power currently produced in the entire state, she said.

"They're the only utility that has really stepped up to the plate to do this," she said, adding that Florida's climate is well-suited for solar power.

The JEA hasn't set any caps on what companies in the program can charge, so those businesses could potentially take advantage of the JEA's contribution by raising their prices and increasing profits. The Florida Solar Energy Center, which recently finished dispersing a half-million dollar state grant in a state solar rebate program, faced the same concerns about solar companies gaining the financial benefit, rather than consumers, Szaro said.

"In the beginning, I think there may have been some ... [price] gouging going on," she said.

But as the program progressed, competition among companies caused prices to go down, she said.

The JEA will provide the biggest financial incentives for solar equipment that is manufactured and installed by companies located within the JEA service area. The JEA wants to create a homegrown solar industry in which competition will result in lower prices. The utility won't be involved in negotiations between customers and companies, but it will keep track of what companies are charging.

"We do want to make sure our customers get the most value for the dollars they spend and that we get value for the dollars we spend," JEA spokesman Bruce Dugan said.

Business owners in the solar trade say they anticipate the JEA program will bring a sharp increase in customers.

"I expect it to go gangbusters," said American Solar Energy's Mark Krenn, who plans to apply for authorization with the JEA.

"The program is one of the most aggressive, other than in Hawaii, that I've seen anywhere in the United State," said Billy Byrom, president of Alternate Energy Technologies, which runs a Westside plant that manufactures solar panels for distribution worldwide.

Staff writer David Bauerlein can be reached at (904) 359-4581 or via e-mail at dbauerlein.


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