Issue link: https://nebusinessmedia.uberflip.com/i/525675
W W W. M A I N E B I Z . B I Z 23 J U N E 1 5 , 2 0 1 5 directing the Public Utilities Commission to work with stakeholders to develop a solar incentive policy and pres- ent its fi ndings back to the committee by Jan. 30, 2016. e absence of state-level incentives can make solar a tough sell, says Woodruff . e cost of a system can be recouped in as little as six years. Often, though, smaller businesses want to see their capital investment pay for itself within as little as two to four years. "And that's a challenge" Woodruff says. "But solar is also a diff erent kind of investment. You're talking about a product that replaces an escalating operating cost that will last for 30 years. A lot of other capital expenditures won't get that. And solar electric systems really have minimal operating and maintenance costs over their lifespan." Nationally, solar installation is expected to keep growing this year, but expiration of the tax credit looms and threatens to stall growth — especially if no state incentives emerge, Woodruff says. If there's a surge in demand for solar installation next year, as businesses rush to take advantage of the tax credit before it is reduced, that could put pressure on the market. " is year, it's a buyer's market," says Woodruff . "In 2016, it's going to be insane between everyone rushing to get things in before the end of the year. We might see some equipment shortages, or spikes in equipment costs. e labor pool is going to be pretty tight. Companies might have a hard time ramping up. e tax credit due to expire in 2017 is the great uncertainty that clouds everything right now." Follow the sun for greater savings To Kleban, the investment in solar is just another extension of the company's "Do what's right" credo that's engraved on its bottle caps. Its 20 employees are also eligible for a 401(k) plan, a fully funded pen- sion plan and health insurance. "We wanted to prove that we could start a com- pany and do what's right," Kleban says. "We didn't want to just start another business that squeaks by making pennies and can't aff ord health insurance for ourselves or anyone else." Why not just continue to purchase wind credits to off set electricity use? "It's like going from buying fresh vegetables from a farmer's market and having your own garden," Kleban says. "Why wouldn't we produce some power if we can?" e timing seemed right, given that they were already seeking $600,000 in fi nancing to buy fer- menters for their new brewery. "It sounds like a lot of money and it is," says Kleban. "But I also knew the federal tax credits were only going to go through 2016." e solar installation includes 164 panels on the rooftop and another 48 panels on two 20-foot by 21-foot trackers that follow the sun Even beyond the savings on the investment, the solar array may also generate a marketing boost. e gigantic installation on Route 1, just south of the exit for I-295, is impossible to miss. On a recent Saturday afternoon, customers could be seen checking out the solar installation and taking pictures. "If your $200,000 project is building brand loyalty with a certain customer, or even helping you gain customers, you really can't put a price tag on those things," Kleban says. 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