The Bay Area Real Estate Blog

GREEN SPOTLIGHT: ClearEdge 5 - Available Incentives

We have continued doing more research on the available incentives to incorporate ClearEdge5 into a project.  Here is a breakdown of those incentives as summarized on the ClearEdge5 Website:

 

"The ClearEdge5 currently qualifies for significant clean energy rebates and tax incentives.

The Self Generation Incentive Program (SGIP) is available to anyone who is receiving either electricity or gas from any investor owned utility, including:

• Pacific Gas & Electric
• Southern California Edison
• Southern California Gas ("The Gas Company")
• San Diego Gas & Electric

The rebate program provides $2.50/watt for fuel cell equipment. For the ClearEdge5 that translates into a $12,500 check for each unit installed at a qualified site! To learn more about the SGIP program, contact your utility provider, or check out the California Public Utilities Commission's informational website here.

A federal fuel cell tax credit, an extension of the Investment Tax Credit (ITC), adds additional savings. A tax credit is different from a tax deduction, which subtracts money from gross income before tax liability is calculated. The ITC actually entitles the taxpayer to subtract the amount of the credit-dollar-for-dollar-from total federal tax liability.

Home Owners qualify for incentives totaling $17,500

For Home Owners, the fuel cell extension of the ITC will credit 30% of the cost of the unit, up to $1,000 per kW. When a ClearEdge5 is installed at a home, it qualifies for a $5000 total credit.

Businesses can save over $25,000 through rebates and tax incentives

For Businesses, the ITC will credit 30% of the cost of the unit, up to $3,000 per kW. In this case, the ClearEdge5 qualifies for a $15,000 total tax credit.

Click here to get more information about the Investment Tax Credit. For details please speak to your tax consultant.

Also for businesses, the purchase of a ClearEdge5 energy system qualifies for accelerated depreciation deductions. Speak with your tax consultant for details. To get more information from the Database of State Incentives for Renewables and Efficiency (DSIRE) click here."

We are continually learning more about ClearEdge5 amoung other sustainable and energy reducing products that can be incorporated into a home or commercial building. 

Some of the other sustainable products we are studying can be found by contacting us at jburroughs@barryswensonbuilder.com or jwoodyard@barryswensonbuilder.com . 

More energy saving information can be found here.

Ever Heard of Lean Construction?

 Everyone knows about green construction, LEED construction or sustainable construction.  Pretty much slap any trendy "green" buzz word before "construction" and most people will have some idea what you're talking about.  But how about Lean Construction? 

Lean Construction is "a production management-based approach to project delivery -- a new way to design and build capital facilities" according to the Lean Construction Institute.  The general philosophies focused around increasing communication between supplies and project managers that ultimately results in minimizing waste at the project delivery level and improves value for the customer. 

Broken down further.....if general contractors are focused on reducing costs, staying within budget and delivering on time, the Project Managers of construction sites are focused on keeping a consistent and aggressive work pace so crews are continually working on one project and can flow seamlessly onto the next. 

Lean Construction draws on these basic construction principles at the project- level and allows for easier management at the product-level.  Wikipedia has a good summary of Lean Construction's best practices:

• Finished building will deliver maximum functionality, which includes delighted end users.
•  End Users will benefit from the lowest optimum cost of ownership.
•  Inefficiency and waste in the use of labor and materials will be eliminated.
• Specialist suppliers will be involved in design from the outset to achieve integration and buildability.
•  Design and construction will be through a single point of contact for the most effective co-ordination and clarity of responsibility.
• Current performance and improvement achievements will be established by measurement.

Thus far, Lean Construction hasn't caught the trend wave or we would have been hearing more about it.  But it goes to show the sustainable movement felt throughout the industry is hitting at all levels- even at an unsuspected production level.

If you have any questions relating to Lean Construction, contact the Construction Department at Barry Swenson Builder, Ron Cote 408-938-6365 or rcote@barryswensonbuilder.com