C10 license and a visit to the CEC [RE-wrenches]

[Chris Anderson]

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Wrenches,

I went up to the CEC last week and met with the Assistant Director. The
CEC is NOT in favor of only having C10's being able to install. The AD
showed me a letter that the CEC had drafted stating this fact. We
suggested, as stated in my last email which was a letter to CAL SEIA,
any of the current licenses, in addition to a secondary PV specific
certification similar to the LADWP (Which I think was put on by Endecon
Engineering) or NABCEP certification. The AD thought the NABCEP might be
too exclusive, but thought the 2-3 day workshop was right on. Anyway, we
will see what happens. 

Either way, the AD said that SB1 will not pass the Assembly in its
current form. Assemblymen Levine has his own bill AB1547 and they are
expecting a hybrid of the two.

IN ADDITION - Here are some changes that are most likely coming our way.

THE REBATE IS NOT LIKELY TO GO DOWN ON JULY 1ST. IT WILL MOST LIKELY
STAY AT $2.80/WATT. This will not be official until June 22nd when they
vote on it, but she was anxious to get the word out once it did get
voted on so that they do not get flooded with applications.

There was a session on June 1st where they proposed this. IT IS NOT
OFFICIAL. DO NOT COUNT ON IT OR COME BACK TO ME AND SAY THAT I TOLD YOU
IT WAS GOING TO STAY AT $2.80. ALL I AM SAYING IS THAT THEY HAD NO
OBJECTIONS AND THEY THOUGHT IT WOULD BE APPROVED ON THE 22ND. I AM
TELLING YOU SO THAT YOU CAN CHECK IN WITH THE CEC OR LOOK FOR THIS ON
THE 23RD.

HERE IS THE BIG ONE.....
INSTEAD, THEY ARE GOING TO SWITCH THE PAYMENT LEVEL TO THE COMPLETION
DATE OF THE PROECT RATHER THAN RESERVATION DATE. If they decrease it to
2.60 now, and implement this, then we will be feeling the blunt of the
reduction twice given that it takes 6 months to complete a job from
start to finish with all of the paperwork. We thought this was a good
idea.

Then, hearing this, we suggested doing away with the entire reservation
process, which only increases our overhead and creates more work. If we
are going to get paid on completion and submission of R2, then we should
just submit a bill to the CEC for their portion once we are complete. To
reserve at one level and then to collect at another is going to be a
huge paperwork nightmare. We are currently doing projects without a R1
anyway.
We are assuming some level of risk of their not being funding, but I
think it is pretty minimal - esp. if they allocate 1 billion dollars of
funding.

In short the CEC is overwhelmed and they are looking for ways to cut
back their paperwork. We gave them 10 different suggestions that they
are going to look at one some version of the bill goes through. 

The top two were:
1. Do away with the reservation process for the retrofit projects.
New development construction would still require it b/c of how their
funds are paid out - (based on % completion of a development) 

2. Make the process on line - so that without a completed app, the
computer will not let you submit.
 
 
Chris Anderson
Chief Operations Officer
Borrego Solar Systems, Inc.
727 Allston Way, Suite B
Berkeley, CA 94710
Tel - 510-843-1113 x 105
Fax - 510-843-1116
Cell - 510-501-7062
 
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