Harvest the Sun

Plant Solar PV in 2017

Cherryland's new Sell-All program is an excellent opportunity for Ag producers to receive long-term, steady, high income per acre from Solar PV

$25-27,000 per acre annual yield
Monthly checks from Cherryland
6-7 year capital recovery
13-17% Return On Investment over 15 Years
25 year system lifetime
Virtually no maintenance
60% of system costs covered by tax credit, grant, rebate, and depreciation

Sample 36 kW Solar Installation

Requires 1/5 acre of land

$80,000 installed cost. $2.22 per watt.

Incentives

25% USDA REAP Grant ($20,000)
30% Federal Investment Tax Credit ($17,000)
$3,000 Cherryland rebate
$12,000 Accelerated depreciation (MACRS w/ 25% marginal tax rate)

Net installed cost = $28,000

Income Stream

Cherryland will pay 10c/kWh for 20 years. A 36 kW system will produce 47,000 kW-hours per year, $4,700 per year. Simple payback = 6.7 years. 13% IIR @ 15 years

Site Requirements

Must be a Cherryland customer
Reasonably level land with no tall trees 500 ft to east, south and west
480V 3-phase service within 1000 ft of site or . . . 240V single phase within 400 ft.
Site footprint: 30 x 300, 50 x 200 or 100 x 100 ft

Sample 106 kW Solar Installation

Requires 1/2 acre of land

$200,000 installed cost. $1.88 per watt.

Incentives

25% USDA REAP Grant ($50,000)
30% Federal Investment Tax Credit ($42,300)
$9,000 Cherryland rebate
$30,000 Accelerated Depreciation (MACRS w/ 25% marginal tax rate)

Net installed cost = $66,700

Income Stream

Cherryland will pay 10c/kWh for 20 years. A 106 kW system will produce 138,000 kW-hours per year, $13,800 per year. Simple payback = 5.7 years. 16.4% IIR @ 15 years

Site Requirements

Must be a Cherryland customer
Reasonably level land with no tall trees 500 ft to east, south and west
480V 3-phase service within 600 ft of site or . . . 240V single phase within 300 ft.
Site footprint: 35 x 600, 70 x 300, 100 x 200 or 150 x 150 ft

Payback and net cost depends on your marginal tax rate. This is driven by the 5 year MACRS depreciation schedule. REAP grant, CEC rebate and ITC tax credit are fixed.

	36 kW	36 kW	36 kW	106 kW	106 kW	106 kW
Marginal Rate	15%	25%	33%	15%	25%	33%
REAP Grant	$20,000	$20,000	$20,000	$50,000	$50,000	$50,000
CEC Rebate	$3,000	$3,000	$3,000	$9,000	$9,000	$9,000
ITC Tax Credit	$17,000	$17,000	$17,000	$42,300	$42,300	$42,300
MACRS Depreciation	$7,300	$12,000	$16,000	$18,000	$30,000	$39,600
Payback Years	7.9	6.7	6.0	6.5	5.7	5.2
15 Year ROI	11.3%	12.9%	14.3%	14.7%	16.4%	17.8%
Net Cost	$32,700	$28,000	$24,000	$80,700	$68,700	$59,100