Solar power has a one two punch that is creating virtuous cycle. First, solar power is a great way to save money on electricity for utilities, business and homeowners. So people look the the world’s banks to make use of their cash and finance their solar – like Mosaic that recently broke $1 billion securitized with an A- rating with KBRA.
Then, these investment groups become experts at solar finance – they hire, they train, and solicit large volumes of capital from global investors. After they get good at the product, they begin to trust the product, and they then hunger for the product. And they start to create new products, to help new groups access huge pools of capital.
The machine creates avenues to feed itself, and we are the harvesters.
And now, the result of this financial innovation is that the City of Albuquerque installing 12 solar power systems using a bond that will be paid back with electricity savings. Along with this, the local police and fire facilities are increasing their resilience with onsite energy generation. Along the way, the city moves closer to 25% renewable electricity and local jobs are created.
The Clean Renewable Energy Bonds (CREBs) are part of various structures to assist the public sector’s access to renewable energy. In this case, private funding gains access to highly rated municipal bonds for 20 years of cash flow.
The investment for these 12 projects is set at $5.2 million. Seventeen more projects for approximately $20 million are expected for Phase II.
The projects use various hardware manufacturers and implementation techniques – single axis trackers on top of canopies, solar modules from at least Canadian Solar and Talesun, SolarEdge inverters used by multiple manufacturers, and some sites with energy storage.
The project capacities range from the 20 kW range to some as large as 425 kW.
All projects below will start construction in late to mid-July and are scheduled for completion in September 2018. The Main Library will start installation in November 2018 and be completed sometime in February 2019.
Four local companies won the twelve projects:
Albuquerque Fire Station # 2 located at 2401 Alumni Drive SE
Albuquerque Fire Station # 7 located at 5715 Central Avenue NW
Albuquerque Fire Station # 8 located at 1400 Indian View Place NE
Ladera Golf Course located at 3401 Ladera Drive NW
Alamosa Community Center located at 6900 Gonzales SW
Albuquerque Police Academy and Forensics Lab located at 5412 2nd Street NW
Albuquerque Fire Station 21 located at 10400 Cibola Loop NW
Rio Grande Renewables:
Albuquerque Main Library located at 501 Copper NW
Sol Luna Solar:
Albuquerque Fire Station # 5 located at 123 Dallas Street NE
Albuquerque Fire Station # 11 located at 5403 Southern Avenue SE
Albuquerque Fire Station # 18 located at 6100 Taylor Ranch Road NW