Moloka'i businesses see the light, turn to photovoltaics

BY GREG WILES
Advertiser Staff Writerf

Friendly Market said it currently pays about 46.5 cents per kilowatt-hour, or about 40 percent higher than the state average. It's installed a rooftop system that should provide about a third of its energy needs, the company said... "Given Moloka'i's abundant sunshine, the photovoltaic system should produce approximately 30 percent of the store's power demands," said Marco Mangelsdorf, ProVision president. At least three companies trying to escape Molokai's high electricity rates are turning to photovoltaic installations to help reduce energy costs. The Friendly Market Center in Kaunakakai last week completed installation of an 81.7-kilowatt photovoltaic system hoping to escape electricity rates that are among the highest in the state. Earlier this year and last year, Kamoi Snack-N-Go installed an about 35-kilowatt system and Molokai Drugs put a 41-kilowatt system in. Friendly Market said it currently pays about 46.5 cents per kilowatt-hour, or about 40 percent higher than the state average. It's installed a rooftop system that should provide about a third of its energy needs, the company said. "By installing this solar electric system and other energy efficiency technologies, we can offset skyrocketing energy costs and hold the line on the cost of groceries," said Crystal Egusa, a principal in the family-owned business. The operation includes a 5,000 square-foot store and 4,500-square-foot warehouse. "Electricity rates have always been really, really high for our island," Egusa said. The rate Friendly Market pays compares to the average commercial rate in August of 33.15 cents per kilowatt hour, according to U.S. Energy Information Administration data. The rate was also about four times the national average commercial rate in August of 11.07 cents per kilowatt hour. Businesses and government buildings have been installing photovoltaic systems to cut energy costs and reduce reliance on imported foreign oil. "We're very ecstatic about everything," said Kimberly Svetin, president of Molokai Drugs and general manager of Kamoi Snack-N-Go, an ice cream shop. She said the panels help cut the shop's energy bill by more than 90 percent, in part because they also provide some insulation because of their rooftop installation. Svetin expects the same effect on the pharmacy's energy bills once it switches to a more efficient air-conditioning system. "It's great," Svetin said. Friendly Market won a U.S. Department of Agriculture grant that paid for about a quarter of the system's $700,000 cost. The store said it is also taking advantage of state tax credits of 35 percent and a federal credit of 30 percent and thinks the system would pay for itself in 4.5 years. Egusa said the payback period is figured with the grant, tax credits, accelerated depreciation and $4,000 monthly energy savings. The work was handled by ProVision Solar, Inc., which installed the systems for Molokai Drugs and Kamoi. "Given Moloka'i's abundant sunshine, the photovoltaic system should produce approximately 30 percent of the store's power demands," said Marco Mangelsdorf, ProVision president. For more solar and renewable energy news [SolarAccess.com]