the direct conversion of solar photons (tiny particles of light) to power the planet is one of the most important challenges of this century. although many efforts focus on photovoltaics, the approach taken by these researchers follows a relatively unexplored path: trapping solar energy in the form of high-energy chemical bonds using light.

because these molecules store absorbed sunlight as heat, they can use the energy at a later time and place. this strategy has several key advantages over traditional approaches:

• heat loss is reduced by replacing thermal storage with chemical storage;
• stored energy is transported over long distances and times;
• temperatures can increase through control of chemical reaction rate;
• the adjustable molecular frame allows for optimal solar spectral overlap and maximal energy capture; and
• the storage material is completely recycled.
• the molecules under investigation constitute prototypes of structures that may eventually find use in thermal batteries that are rechargeable by sunlight.

grinnell’s ninety-year-old maps, photographs and field notes provided a basis for locating his original survey sites along a transect that passed from the san joaquin valley through yosemite to mono lake, and covered an elevation range from near sea level to more than 10,000 feet. within the park, moritz’s team returned to sites from the valley floor to the mountain crest and collected animals in many of the same locations as grinnell. moritz’s team relied on live-animal traps; whereas grinnell’s original survey used lethal traps to collect animals. mathematical checks showed that the different collection techniques were not a problem in successfully comparing the two sets of data.

moritz’s team used the new survey results and grinnell’s original data to compare the ranges of 28 species of mammals. on average, the mammals had moved their ranges upward about 500 meters at the same time that the temperature in the area increased 3 degrees celsius. the species that were originally found at lower elevations tended to expand their ranges to higher elevations. species originally at higher elevations tended to contract their ranges as their minimum elevations shifted even higher. this suggests that species are already trying to adapt to a warmer climate. it also suggests that species that have historically lived at higher elevations may not have anywhere to go in the future as mountain tops experience temperature changes. further warming would lead to the extinction of many species that are adapted to cold, alpine conditions.

municipal property tax assessment financing
removing key barriers to residential solar
jd polk
february 2009

abstract: this paper outlines a new residential solar financing option, and provides a policy primer on how to replicate the model in cities and towns across america. the financing mechanism, known as the berkeley financing initiative for renewable and solar technology(first) model, allows property owners to roll the price of a residential solar installation into a 20-year increased property tax assessment. in this model a city or county authorizes municipal bonds to cover the capital costs of the renewable energy projects.

the first model represents a breakthrough in residential solar deployment by removing a key barrier to solar adoption: high upfront capital costs. this voluntary, opt-in property tax assessment model has the potential to dramatically increase the penetration of residential solar systems, helping municipalities achieve renewable energy generation and climate change goals. in this paper the benefits and challenges of the model, both to property owners and to municipalities, are explained. the paper concludes with a policy discussion of the steps needed to implement this financing tool in other jurisdictions.

introduction
innovations in the financing of solar systems are as important to market adoption of solar
installations as innovations in solar technology. in this paper we explore a new financing
method currently being deployed in berkeley, california that will allow consumers to purchase solar for their homes and businesses with very little, if any, up-front capital cost. the financing initiative for renewable and solar technology (first) model has the potential to spur widespread adoption of small-scale solar systems (as well as energy efficiency retrofits) in u.s. homes and small businesses. the purpose of this paper is to describe this new finance tool, noting its benefits and potential pitfalls, and to provide policy makers with a primer for implementing this option in additional communities across america.

the berkeley first model
in 2007, residential solar energy systems in berkeley, california were selling for roughly
$12,000 – $40,000 for a 2 -5kw system, and throughout the city approximately 400 solar
photovoltaic (pv) systems, averaging 2.6 kw, had been installed on homes. adoption of solar was progressing, but not at a pace fast enough to help berkeley meet its voter-adopted climate change goal. city officials, led by cisco devries, the then-chief of staff to mayor tom bates, decided that the local government should intervene to speed up the shift to renewable sources of energy. what emerged was the berkeley first program.

“we needed to find a way to help people finance solar and energy efficiency programs in a way that eliminated the high upfront cost,” said devries. 2 the first program is a property-tax assessment program that allows property owners – both residential and commercial- to pay for the installation of solar systems (electric or thermal) and energy efficiency improvements to their buildings through their property tax bills, spanning a twenty-year duration. under the program, individuals wishing to install solar will still contract directly with qualified private solar installers. rather than paying the up-front cost of the solar system, the customer will instead opt-in to the city’s first financing program and pay a bi-annual assessment bundled into their local property taxes that covers the project’s costs, including fixed interest rates and administrative fees. berkeley’s analysis shows that for many residents, the yearly assessment will be less or equal to the electricity savings throughout the year.

the city of berkeley will be able to provide the upfront funds for the solar and energy efficiency projects by issuing taxable municipal bonds, which will be reimbursed as participating property owners, pay their tax bills for the subsequent 20 years. the basic principal of the program is that solar should be financed like most capital-intensive purchases these days – a new car, a major
home repair – through long-term payment plans that alleviate much, if not all, of the up-front capital expense.

the scenarios mentioned above are real-life examples of barriers that make it more difficult for consumers to use solar panels at their home or business. the first three scenarios represent a barrier that is caused by a lack of ownership. tenants must have a landlord’s permission to install solar panels on the landlord’s property. even if the landlord were amenable to this arrangement, tenants will likely choose not to install solar panels if they plan to relocate in a few years. the last two scenarios represent another type of barrier: insufficient sunlight for energy generation.

many of us have probably considered buying solar panels at one time or another only to pass on the idea when confronted by some type of barrier. since we are limited to deploying solar panels at our place of residence or business, we are essentially prevented from investing in solar energy if our place of residence or business faces one, or more, of these barriers. but, what if we had another option at our disposal, i.e. the solar hosting farm (shf)? shfs would overcome most, if not all, of these barriers.

located on a plot of land with an abundant source of sunlight, shfs could be designed and developed for the sole purpose of hosting solar panels for both residents and businesses. energy generated at shfs would be sold directly to the grid with the income received by shf customers used to offset utility bills. if shfs were readily available, might consumers change their minds about buying solar panels? the answer may be yes for a large number of residents and businesses.

in order to answer the question above, a framework should be developed around the concept of shfs by asking additional questions:

• what are the common types of barriers encountered in traditional solar panel deployments?
• is there a similar type of hosting model being used successfully in another industry that might serve as a guide?
• what would a shf look like? what benefits might residents and businesses gain from a shf?
• what energy and tax policies might be enacted by federal and state governments to encourage the use of shfs?
• what key metrics can we evaluate at a high level to gain an understanding of existing and potential solar panel adoption levels in the united states?
• what actions are necessary to facilitate the development of shfs?

explore raymond’s argument in the full article at the ecology law quarterly’s website, ecology law currents.

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raymond marshall is a certified public accountant with a b.s. from the haas school of business, u.c. berkeley, and a m.b.a. from golden gate university, san francisco. this research was originally published by the university of california, berkeley.