Posted: September 9, 2013
Solar power - why now? For Long Island
A solar rooftop lease generates income, increases building value, and helps protect the roof from damaging UV rays, all without any additional expense for the property owner.
The Long Island Power Authority (LIPA) began its Clean Solar Initiative Feed-In Tariff in 2012. Under PSE &G, it will continue.
This program increases local production of energy and provides incentive for companies to invest in solar. The system owner receives income from selling the energy directly to LIPA. Solar power reduces stress on the power grid and keeps LIPA from having to invest millions of dollars in building new power plants and transmission lines. This program is the driving force behind the increase in rooftop solar leasing in Long Island.
Commercial rooftops make ideal locations for solar energy systems. Most rooftops are flat, and have open, unused space with clear access to sunlight. The businesses that occupy these buildings use more electricity, particularly during daylight hours when solar production is highest and can have major impact in the grid..
Through a rooftop lease, the property owner leases space to a solar company who designs, installs, owns and operates the solar electric system. The tenant maintains the system and sells the energy directly to LIPA through a separate, metered account. Since every property is unique, the amount of rent a solar company will pay varies depending on the property. Building size, height, structure, roof type, and rooftop equipment all play roles in determining the solar value of the roof.
Installing a solar energy system is a substantial investment, so the lease agreements are highly detailed, and typically provided by the tenant to the property owner. A quality lease agreement will have language protecting the system from disturbance or shading, and establish procedures and responsibility for roof repair or replacement when needed.
The commercial facility qualifications are as follows: Located in Nassau and Suffolk County, New York, minimum of 20,000 s/f of roof space, roof must be in good condition and structurally sound to support a rooftop mounted solar energy installation. Solar is a win-win for building owners. Now is a great time to put solar on your rooftop.
Kevin Cassell is the Long Island advisor at Nautilus Solar Energy, Ronkonkoma, N.Y.
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