Friday 8 April 2016

Vancouver Renewable Energy Co-op, something isn't right.

UPDATE  I notice I have been blocked from posting on the VREC facebook page.  Truth must be censored no one would buy solar in BC if they knew what they were doing.

 I keep asking the principle of this vertically integrated solar sales venture where the money for the dividends paid are coming from,  I get no answers, the last one "a childrens story" attempts to explain their program. This is my adult story, I keep asking where is the income that's paying the dividends coming from, its not from the solar system.  Dividends are profits distributed to shareholders, whats missing?
The only people coming out ahead here is the Vancouver Renewable Energy Coop(business) that sells and installs solar systems.
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SolShare’s first investors are being brought on through the B.C. Securities Commission’s family, friends, and business associates exemption from filing a prospectus.

This story attempts to explain the solar system economics inserting the word firewood instead of electricity, solar power seems to create loss of common sense in otherwise intelligent people.

Using their their 23kW, $69,000 solar system for example, historical long term Vancouver solar data shows solar systems if everything is perfect might earn 900kWh/kw of solar panels/yr. Their 23kW of solar panels could make about 20,000kWh/yr.

An adult story:  (in contrast to their "a children's story")  

A group (VREC) a business selling solar systems, the word co-op might suggest something non profit, its really Rob Baxter pictured who sells solar systems, gets together because they don’t like BCHydro firewood, they think they can deliver better wood.   They form a public share offering as SolShare.ca 

 A housing co-op was getting firewood from BCHydro cut and delivered with clean green hydro power for $1600/yr.  (BChydro @ .08c/kWh x 20000kWh/yr solar power).  VREC said they could get better firewood (free sunpower) for less money, 3.1% annualized returns increasing to 4%.  Just put up $69,000 to buy a diesel pickup, gas and oil and chainsaws.(solar system). Loan payments $4800/yr.
The money was raised and the housing co-op agreed to pay a premium  for this firewood (14c/kWh instead of 8c/kWh, 75% more) making the firewood cost now $2800/yr (premium paid for solar power)
New annual firewood costs, $4800(loan) + $2800(premium solar rate of 14c) - $1600(BCH power replaced) = $6000, $4400 more than BCHydro firewood. Almost 3 times as much for firewood!

Dirty firewood, (solar isn't  (green energy), in BC)  the non renewable energy to mine and manufacture plus toxic chemicals involved to make their diesel truck, oil gas and and chainsaws(solar panels) and all non renewable to transport their firewood (solar panels from China) creates far more carbon than their previous clean green water power cut and delivered firewood from BC Hydro.  

They now pay $4400 more for their firewood yet dividends are being paid?  They say 3.1% increasing to 4%, from what?  The definition of dividends is "profits distributed to shareholders".   There are NO profits!   The prospectus clearly states "this is a risky investment and one could lose all their money".  It also fly's under the cover of the BC Securities Commission as exempt from filing a prospectus.   The vertical integration of the  principals who put this plan together and make the profits is hardly arms length, Vancouver Renewable Energy Co-op is a business.  SolShares is put together by these same people.  There never was a chance of income from the solar power.  Something is missing here, what is it?

BullFrog Power comes to mind, is it that money providing this mysterious income to pay dividends?  I did see their name in some article associated to these people.  Did they subsidize this?

Someone wrote Bullfrog Power is like selling tap water for bottled water prices.  They put money into renewable projects like this, and then get to sell the power once again to other misinformed and misguided people who think they are buying green energy...a double collection for the same "dirty" solar power?  They are similar to those charities we hear about, where maybe 10% gets to the charity, these Bay Street boys from Toronto started in Ontario when that government was paying people 8 times as much for solar power, which was necessary to achieve a  payback, Ontario is now backing off its costing everyone too much, Germany is in the same boat.  Germany the golden boy of solar in the world, not at all what we think.  Nevada, where the sun does shine is reneging on expensive solar subsidies



Historical long term solar power for Vancouver suggests maybe 900kWh/kw of solar panels/yr.  Making the 23,000kW solar system making $2000 annually.   Inverters life expectancy 10-12 years, typically 25% of original cost, add in maybe $20,000 at year 10.  Under performing solar panels, defective equipment cleaning of solar panels,  maintenance the list goes on.  Insurance premiums, in some jurisdictions firefighters will only contain fires that have solar systems on the roof, firefighters cannot be assured the power will be off and won't chance electrocution hazards.  After 10 years solar power earned might be $20,000.  $69,000 with the magic of compound interest in 10 years will be $96,000.  If the solar panels last 20 years they might be making at best 80% power or $1600/yr in todays dollars, invested $135,000, and BC's carbon footprint will have increased instead of decreased!  I am not anti-renewable, I am tired of watching the public pocket being picked for something that won't help us in BC.

I have worked with solar power for 30 years, where it belongs.  Off grid where its the economic choice, either because bringing grid power in is more expensive, or grid power is not available.  I wish solar worked, I know it intimatley.   If and when solar ever becomes viable in BC we will all know it, we won't need these solar salesmen to put together their fantasy solar projects that keep picking everyone's pocket for their benefit.  I am about education.  The solar industry propaganda machine is extremely powerful, solar isn't understood and its very difficult for anyone to understand the reality of solar as it applies to us in BC.  I am trying to educate and stop my pocket from continuously being picked by people who don't understand.
SolShares is just another example of picking people's pockets who don't understand.

BCHydro will continue to deliver clean green firewood for the next century, night day, rain, snow or sleet and Site C has to be built if future projections for power are to be met.   Solar firewood--- good at best for 25 years, then junk toxic solar panels, and power only available when we are at the beach, the only time solar is available.  All the solar in BC won't help us in winter, the dark, rain, snow, etc.,  Nor will it avoid the future cost increases when most power is consumed, in winter and at night.  And it won't reduce infrastructure cost because its distributed power (the concept where we don't need the big transmission lines from our big dams.....solar only adds to distribution infrastructure to bring us the conventional firm real power we all need the 90% of the time solar does nothing!!)

This isn't Robin Hood, this is a wolf in sheep's clothing.


The emperor has no clothes.......
Solar Housing co-op                 VREC

VREC/SolShares show a sample of an on line system they installed in Richmond, but the data isn't public.  
There are thousands of solar systems showing public data here is one from a SolarBC grant that put solar systems on high schools all over the province. 

You can find the McNair High School on line public data,  doing the calculations this has earned tops 900kWh annually per kw of solar panels.  Its 4.5kW (4500 watts) of solar panels installed February 2012.  Total power earned to date 16.3MWh or about 4kWh annually.   Typical installs today $4 per kW their 4500 watts of solar panels in todays dollars an installation of probably $18,000 or more.  Annual power it earned at BC Hydro residential rates about $320 dollars annually.  Borrowed dollars at 3.5% over 20 years $1250/yr to make at best $320 in power virtually nothing in winter?   This is typical of any solar system in the Vancouver area, so how is SolShares paying dividends on the community solar system????  There are no profits to distribute as dividends!   Bullfrog power must be the money they are distributing as pretend income, and Bullfrog resells this fantasy solar power again to others who think they are buying "green" power.   Solar panels might last 25 years earning less power every year as they age.  Insurance companies are beginning to see the hazard, roof leaks, fires etc.  In some jurisdictions firefighters will only contains fires from spreading from a building with solar panels because they cannot be sure the power is turned off, creating bigger insurance premiums.  

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