Auto Team Goes Solar

MANKATO — Running an auto repair shop can be a messy job, but Joe Miller will tell you it doesn’t have to be a dirty business.

Most of the waste that flows through Miller’s Modern Garage, the Madison Avenue shop Miller owns and operates, finds a green destination. Old tires and drained antifreeze are recycled. The black gunk left over after oil changes is poured into a burner and used to heat the building.

“The amount of garbage we haul out of this business is less than the average household,” he said.

Business has been decent this year. After Miller balanced the books, there was more than enough left over to fund a trip to Las Vegas. He decided there was a better use for his money.

As he thought about it, Miller’s answer came from above.

“I have this bunch of flat empty roof that wasn’t doing anything so I thought I should get solar panels,” he said. “I have kids. I’m doing it for them because I believe we should stop using so much energy.

“It’s just the way I think and this fits in with that.”

With his skills as a mechanic, Miller could have easily purchased a few panels and installed them himself. But he was concerned about buying “the Yugo” of

solar panel systems so he looked for professional guidance.

That paid off. He learned there were enough incentives available to fill his roof with panels. They should provide enough power to fill his shop’s electrical needs, which include power lifts, power tools and bright lighting.

“I intended to go in just wasting the money, but the incentives will cover two-thirds of the cost,” Miller said.

Those incentives include a 30 percent tax credit and a rebate paid through Xcel Energy’s Minnesota Solar Rewards program, said Jamie Borell, sales manager for Innovative Power Systems in St. Paul. That’s the business Miller hired to install his solar panels and the other equipment used to convert the sun’s energy into electricity.

“People want clean power and the cost of things have come down tremendously over the past few years,” Borell said. “Solar equipment costs have come down about 50 percent.”

The incentives are available for commercial and residential buildings, but Borell is seeing more interest for business owners than homeowners right now. That’s likely due to the struggling economy and the added incentive businesses have with being able to depreciate the equipment for tax purposes, he said.

Borell estimated that it will take less than 5 years for Miller to recoup his equipment costs. The pay back time is much longer for equipment installed in homes.

As electricity rates continue to rise, Borell expects more homeowners will start looking at solar power.

John Wold, Minnesota Solar Rewards portfolio manager, said about 160 solar systems qualified for Xcel’s rebate this year. He expects that number to double next year, which would use the $4.6 million that is budgeted for the program. The rebate is paid up front by Xcel after the system is installed, inspected and approved.

“We’re seeing more commercial customers using the program, but we encourage everyone to look at it — both residential and commercial,” Wold said.

Another incentive, called the Minnesota Bonus Rebate program, was passed by the Minnesota Legislature last spring. It provides additional funding for solar projects that use panels and components manufactured in Minnesota. Only one business, tenKsolar in Bloomington, currently fits that requirement, Wold said. The panels manufactured by that business work best on flat roofs, so more businesses are also able to take advantage of that incentive.

Xcel is encouraging anyone considering the Minnesota Solar Rewards program to first invest in an energy audit at their home or business. It’s quicker and easier to save money by replacing an old furnace or adding insulation, Wold said.

“We also encourage customers to get multiple installation bids,” he added. “That keeps everybody honest and helps drive down the cost of these systems all the more.”