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Total Energy Solutions representative Art Rivera demonstrates Building Integrated Photo Voltaics, architectural solar electric and thermal units for buildings, on Monday afternoon during Solar Fest at Hutchins Street Square in Lodi. (Brian Feulner/News-Sentinel)

Solar energy still a tough sell in Lodi; future incentives could attract buyers

By Chris Nichols
News-Sentinel Staff Writer
Tuesday, July 10, 2007 6:39 AM PDT

Comments (23 comment(s))

Plenty of sun splashes down over our city.

But soaking up that sun in the form of solar energy just doesn't make financial sense for most Lodi residents.

About a dozen solar energy sales teams — along with top city officials — gathered at Hutchins Street Square on Monday, trying to change the minds of local residents during the city's Solar Fair.

"It's the right thing to do," Lodi Electric Utility Director George Morrow said of solar energy, citing its environmental, if not financial, benefits. "When I started in this business in 1978 it was the right thing to do."

Several vendors said they'd gotten little or no interest from residents who live within Lodi city limits. (They did get interest from some who pay higher electric rates outside the city.)

Lodi electric utility customers — everyone in the city limits — pay a lower rate than customers of utilities like PG&E, and thus save less through solar power.

In some cases, Lodi electric charges roughly one quarter what PG&E charges for electricity, according to several vendors at the fair.

What it all means is that Lodi customers would have to wait about two decades before they covered the cost of a typical solar energy system installation, said David Vincent, sales account manager for Sacramento-based SunTechnics.

Purchase and installation runs between $25,000 and $30,000 for an average size home.

Tips for selecting a solar contractor

A licensed solar contractor can install, modify, maintain and repair active solar energy systems. But unless they have separate licenses, they can't legally do plumbing, electrical or roofing work. Solar contractors are classified as C-46 under the Contractors State License Board.
Here are a few things to consider when hiring a contractor.
• Research the contractor's background on the CSLB's Web site, http://www.cslb.ca.gov.
• Get bids from at least three contractors.
• Interview the contractors. Don't necessarily choose the lowest or highest bid; go with the one that you can work best with.
• Upfront, a contractor should charge you no more than 10 percent or $1,000, whichever is less.
• Request a payment plan. If the work slows down or stops, so should your payments.
• Don't pay in cash.
Source: Melanie Bedwell, spokeswoman for the Contractors State License Board.
Reach the Contractors State License Board at (916) 321-2752.
For more information on solar renewable energy programs, visit http://www.cpuc.ca.gov. To find solar energy contractors, visit http://www.findsolar.com.

Vincent and several other vendors noted, however, that with electric costs rising and state and federal tax credits available, buying solar is becoming more feasible.

Unlike other utilities, Lodi does not offer a rebate for solar installation. The utility will have one next year, as mandated by the state, Morrow said.

Touring the fair, U.S. Congressman Jerry McNerney, who represents Lodi, said the federal government needs to create more incentives for residents to go solar. That includes passing a stronger federal tax credit for solar energy, he said.

A bill to do just that, HR 550, was introduced to Congress in January.

McNerney noted that Lodi's agricultural community outside the city limits has made the move toward solar energy.

"Lodi's ahead of the curve," he said. "The winegrape growers are sustainable. A lot of them are using solar. I think Lodi is a leader."

At least one Lodi couple said solar power could work for them.

"It's a possibility," said Tom Daijogo, a retired trucking foreman. He and his wife, Barbara, said they were glad to get more information at the fair.

"It gave us a good idea of the cost," Tom Daijogo said, noting one vendor quoted him a price as low as $15,000.

"We're getting more educated," added Barbara Daijogo.

Ted Baas, a Valley Springs resident, said he was intrigued by the offerings at the fair. But as someone past 60 years old, he said he wasn't sure if the investment was worth waiting for the long-term payback.

"If I could win the lottery, I'd (go solar) yesterday," Baas added.

Contact reporter Chris Nichols at chrisn@lodinews.com.

Reader Feedback

ricardo wrote on Jul 11, 2007 7:41 PM:

" T&C Thanks man. "

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OTH wrote on Jul 11, 2007 2:35 PM:

" Sorry previous post was for Judy. "

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OTH wrote on Jul 11, 2007 2:35 PM:

" Aunt B.....Not to mention the thousands spent to repair vandalism. "

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judy wrote on Jul 11, 2007 9:56 AM:

" Unaware: PGE is for gas only. Electricity is through City of Lodi. T&C: Thanks for the info about questions to PGE - will do. Also, I think the city's financial problems started before Hitchcock & Hanson. I know there was large misspending by previous council - back to even 10 years ago. I believe some council members let their authority go to their heads and they became more interested in their power than in paying attention to what was best for Lodi. Two examples, over 1/2 Million Dollars for skateboard park and millions spent on lawsuit. "

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OTH wrote on Jul 11, 2007 8:59 AM:

" To unaware........Do you buy your electricity from PG&E or just your gas? "

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T & C wrote on Jul 11, 2007 6:34 AM:

" Rinancial? oops, new word from my great vacabulary! LOL Maybe it should be financial. "

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T & C wrote on Jul 11, 2007 6:33 AM:

" Well, Ricardo, The best explanation that I can give is to call councilpersons Hansen or Hitchcock and ask them why they spearheaded the drive to buy power on an unstable and short demand market. For every KWhour they "purchased" they lost many millions of dollars when the price dropped below half of what they bought it for. In essence, this eventually bankrupted Lodi and the LEUD is still struggling with employees and constant rate raises. I place the blame on those two for being the "village idiots" and causing Lodi's rinancial problems. "

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unaware wrote on Jul 11, 2007 12:39 AM:

" ricardo: I didn't think the LNS was online back in 1996. Also, I live in Lodi and pay PG&E. Why do some residents have PG&E and some do not??? I'm confused. "

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OTH wrote on Jul 10, 2007 7:39 PM:

" Judy.......If they don't survive deregulation it's their own fault. They have run it into the ground. We have a utility director in Mr Morrow and yet a retired police chief buys our power. We don't need one of them. "

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ricardo wrote on Jul 10, 2007 5:18 PM:

" When I moved out of Lodi back in 96, I still kept reading the LNS online. If I remember correctly in around 1998 or 99 an article said that Lodi was independent from other sources for energy and was light years ahead of surrounding cities. What ever happened to that scenario? T&C I'm clueless here, can you help me out? "

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WY wrote on Jul 10, 2007 3:56 PM:

" When the cost... you are so right. "

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Taxpayer & Citizen wrote on Jul 10, 2007 1:45 PM:

" Judy, use your computer to send and ask any question of PGE and they'll answer you withinn 24 hours. If you have time, drop by the office in downtown Lodi and speak to the ladies that work there and ask them about deregulation and just how much difference there is in RESIDENTIAL rates between LEUD&PGE. I believe residential rates at LEUD are one of the highest in the state, if not the nation. LEUD keeps comparing their rates of their cheapest commercial and industrial users rather than we highest paying residential customers. Call Mr. Morrow and ask him. "

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Longtime Lodian wrote on Jul 10, 2007 1:23 PM:

" I have addressed this in the past....for years LEUD has had rates that are significantly lower than PG&E and still contributed a modest amount of money to the general fund. I believe it's only been the past three years where that has not been the case. I don't believe you base a decision on three years of over sixty years of history. That's called short-sited. Gives these guys a chance to turn it around. If not, find someone who can. But DON'T sell to PG&E. "

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Aunt Bernice wrote on Jul 10, 2007 12:53 PM:

" Funny that Lodi Electric sponsored the Solar Fair, yet they do not offer ANY incentives to participate. Morrow is quoted as saying that it is the "right thing to do," yet will not make rebates available until next year, when required by the state. "

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Aunt Bernice wrote on Jul 10, 2007 12:49 PM:

" Those vendors are wrong, wrong, wrong about Lodi Electric being cheaper than PG&E. Maybe in a few isolated instances, but not the mainstream residential customers. "

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Aunt Bernice wrote on Jul 10, 2007 12:48 PM:

" Thanks T&C for that deregulation info, very interesting to know that is coming down the road. A choice of electric suppliers will be a welcome thing. "

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wtf wrote on Jul 10, 2007 12:28 PM:

" Love Solar & When the Cost both have good points. The initial cost of solar would be acceptable to most people if it weren't so high. I think people would be willing to pay a little more initially if the cost of installation would pay for itself over time. Right now, the cost is too much; it needs to be more affordable to be more competitive. If prices come down on solar & deregulation comes to be; we're all in for an interesting time ahead. "

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judy wrote on Jul 10, 2007 12:01 PM:

" I did not know there is deregulation for electricity in the works. If this does happen, I would think LEUD would have a difficult time continuing to give big businesses in Lodi the rate cuts they demand if many residential customers move to PGE. Outcome should be interesting. LEUD might not survive a deregulation. "

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When The Cost... wrote on Jul 10, 2007 11:14 AM:

" When the cost is made AFFORDABLE to the many, not the rich few, solar energy will be the wave of the future esp. in states like Calif, New Mexico, Arizona and Texas! But as it is now, Solar companies, like everyone else is looking at PROFIT not helping to solve the energy crisis we all face! "

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Taxpayer & Citizen wrote on Jul 10, 2007 8:52 AM:

" And, by the way CC and LEUD, you know this is on the burner and it's time to open discussion and take some action and stop waiting until the last minute without at least bringing this discussion to the CC meeting and notifying us taxpaying Lodians. "

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Taxpayer & Citizen wrote on Jul 10, 2007 8:50 AM:

" When the electric industry is completely deregulated by the end of next year, we'll have our choice of PGE or LEUD. The city is bilking the utility for over $3 million a month just to pay the city bills and build their "surplus". I've sent letters to PGE and they're pushing deregulation so they can get into Lodi's market and offer lower prices, since it's their main lines that feed our supply. C'mon LEUD and get competitive or you're going to lose many customers by the end of next year. "

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Taxpayer & Citizen wrote on Jul 10, 2007 8:42 AM:

" I'd just like to know where those figures come from concerning us Lodi customers paying 1/4 less than PGE? Aren't you talking about the commercial and industrial customers that get their power cheaper than LEUD can deliver it? Go to the PGE office downtown, or call them, and ask them how much more expensive LEUD is than PGE for RESIDENTIAL customers. Another CC and Sentinel misdirected answer to an important question. Electric will be deregulated by the end of next year and we'll have our choice. "

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Love Solar wrote on Jul 10, 2007 7:11 AM:

" I live in "rural" Lodi (in the country) and we just installed solar panels for one of our well pumps. It cost us about 2500. after incentives and rebates, however, I NO longer have a 200-400 a month bill JUST to water my small vineyard with our ag well. "

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