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Sunday, February 12, 2017

HB-1106: Huge Money Pit Politics!

By Thornton Crowe

We all remember the hilarious Tom Hank's spoof, The Money Pit, but thanks to Jim Mathias and Sharee Sample Hughes, that comedy just became every Marylanders' horrific nightmare...

 As you all know from my Friday article, the House and Senate voted to override Governor Hogan's veto of this money pit bill, which will cost all Marylanders big bank under the guise of clean energy. This is a continuation to demonstrate the addition drawbacks of this government-enforced strategy to break their constituents.

First, should you decided to get solar panels there's a few things you should know about how it can affect your bottom line should you decide to sell your home in the future. While Fannie Mae claims it could increase the sale value, many dispute this, saying your home will be more difficult to sell. If you have twenty year old solar panels, the buyer will have to agree to all the contracts associated with that solar panel system. This can cause many perspective buyers to shy away from purchasing your home or better yet, look for rebates which will drive the price down. If you're in a hurry to sell a home, this can throw muck in the wheel.

Furthermore, should you live in a community where a Home Owners Association exists, your neighbors knowing they're essentially paying for your solar system, can also make you susceptible to unyielding rules. One source relayed while mature trees would have to be removed to make room for the panels, mature trees would have to be replanted to mask these unsightly panels. If you've checked into having mature trees planted, its a lot more expensive than simply going to Lowes and buying trees.

In the Daily Caller, from May 2016, many firefighters state solar panels make their job "harder and more dangerous." In such a catastrophe, the fire department has to cut into a roof during a fire for ventilation purposes. With solar panels you can't just cut through them or chop them off a structure. Common sense would dictate this presents the difference between a sectional fire and total destruction of  your home (or business) should the firefighters not be able to prevent the destruction to spread throughout the whole structure.

Lastly, does solar energy really save you money in the long run? "Solar Panels are mounted to your roof, and there's a chance they will damage it."

Like with any alternative energy, they have the potential to be far from being financially prudent. An example was given if you have to replace your shingle roof, you would need to have a solar contractor remove then reinstall the panels after the new roof is installed. This can be very costly because proprietary in nature this meaning only specific companies are trained to do this job. Hence, it's subject to any cost they choose to charge as its an unregulated industry. If you have one solar company in your area, there's not competition to keep pricing down for this type of installation. Once installed, you are 'locked in' and could look at rates escalating at a disproportionate rate; meaning, you could see pricing go up dramatically.

Click to Enlarge
Additionally, solar costs actually escalate your utility bill, not reduce them. In addition to the costly installation and panels, additional hidden costs lurk within. As demonstrated by a commenter from the original article, it doesn't look very cost effective by any stretch. It would seem this only escalates your energy bill, not decrease it! So what's the point?

As you can clearly see, this Green Bill only creates more cost for Marylanders even if they do partake in this solar craze. Did legislators really research this before they overrode the veto? From my research, probably not at all.

Like many outrageous fads throughout prior years, it is a very costly experiment where everyone pays big money for, whether or not they chose to participate. With an economy in such dire straits, can anyone really afford this feel-good, warm fuzzy piffle?

Once again, how say you?

63 comments:

  1. People in Annapolis and DC never actually read the crap they sign. They just listen to speeches by the supposed bill creators and go off their own bank accounts. An investigation should be launched into just how much money these guys got for passing this garbage.

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  2. If you look at the articles referenced, you'll also find tax benefits of installing solar panels goes to the company installing them, not the customer. Choose wisely when deciding on whether solar is an option for you. While it allows you to live 'off the grid" it does have its many caveats that could make participating in solar energy a lose-lose for you all the way around.

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    Replies
    1. It goes to the installer if you surrender them in exchange for financing.

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  3. It clearly is a poor investment, but the whole law reeks of criminality. How can these thug legislators get away with forcing everyone to contribute to their investments and stocks? Not even mentioning their lobbyist.

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  4. Why hasn't our illustrious mayor Jake Day made any comment on this law at all? Doesn't he realize this measure kills his little downtown project? People won't have money to pay their taxes. What then? How impotent is our local government in this kind of situation that they stand mute while their constituents are being raped by Annapolis. The dingleberry probably didn't even know this was going on. Too busy with his damn powerpoints.

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  5. Can citizens do a class action against the State of MD for this law? It's not like it was widely discussed and the media didn't even cover it in any big way. We've been bamboozled.

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  6. I say this article relies heavily on supposition and vague sources to make an argument against solar. Seems to me that solar technologies must be improving in efficiency and cost or we wouldn't be experiencing the boom in solar energy that we are seeing now. I remember back in the seventies, there was a big push for solar energy that went no where. The technology was still too expensive and not efficient enough to be sustainable. there are almost a dozen houses with rooftop solar in my neighborhood and everyone seems to be pleased with the savings they are experiencing. I'm also not aware of anyone's electric rates increasing as a result of our neighbors solar. My roof is due for replacement in a couple of years. I'll probably add solar at that time.

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    Replies
    1. In the 70's, little Jimmy Carter introduced massive solar subsidies. Obama did the same. Solar lives and dies by subsidy.

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  7. 1028 surely your neighbors will be so happy to hear you're going to extort them for you to get free energy. You'll be the host of the neighborhood barbecue. Did you bother to read any of the links in the article or are you just a liberal who wants to present some opposing view because you buy into junk science?

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  8. 10:40, great comment. Liberals do NOT read language/bills. We must pass the bill in order to understand the bill. It's unfortunate the rest of the local media refuses to touch on this topic. The Daily Times has what, 6 pages a day of news? The ONLY thing that would make Eastern Shore Liberals happy would be if Salisbury News simply shut down. In the mean time, we are the Anti Christ of the Eastern Shore, go figure.

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  9. 10:40. Yes. I read the links. Nicely cherry picked to support the authors obvious bias. A bit of further research will reveal the fact that these links represent a fairly minority opinion on the state and economics of solar energy. Is there still room for improvement? Of course. But much of what you are reading in this post is pure closed minded fear mongering. And by the way I'm not a liberal at all. Just pragmatic.

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  10. I would like to hear from Solar panel owners on here, those that have had panels for awhile. I do know from my own research on the matter that Solar City leases can have some hidden costs and rate increases, but I still believe that purchasing the panels can lead to big savings over the life of the panels.

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  11. 1028/48 we'll see how cherry picked they are once the law is enacted and your energy rates spike. You do realize this law doesn't take effect until 30 days from its override so there's no repercussions yet. We'll see if you're still singing your tune in a couple months.

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  12. 10:53, Clearly you have not read all of our articles on these panels. Some of you people are real Idiots, seriously.

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  13. 10:18...A class action by the citizens?

    As in descending upon D.C. with bad intent?
    Seeing each of our low class, whining, thieving, backstabbing, bribe taking, self centered and self-important alcoholic "representatives" swinging from the lamposts for as far as they can see? THAT kind of civil action???
    Showing America that "public service" is NOT a road to riches and power but a job that actually entails service, not lining the pockets of yourself and family. It's not taking your entire family on a trip to Japan for a "fact-finding mission" at OUR expense.
    Its NOT saying that your husband just got a 500 million government contract and it WASN'T coincidence. With a straight face.
    Keep cheering.

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  14. Joe, most people are click bait title readers and seldom look beneath the hood at the real meat in any article. They're either lazy or lack research skills. Even the LA Times has articles about how solar energy is a money grab for special interest groups and that's a left-leaning publication. Just sad people make a choice to be ignorant. To each his own.

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  15. Thanks to Mr Crowe and Mr Albero for giving us the working people the facts. I really do not know what I would do without Sbynews keeping me informed of the pre vaseline tactics of Mathias and racist Hughes.

    HATS OFF TO THE HOGAN CREW FOR TRYING TO VETO THIS CRAP!

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  16. If you had enough sense to read the solar contracts, and you could do the math, you would realize the only ones making money in the long run are the solar companies. Why must you sign a 20 year lease? Because after about 5 years the solar companies rates for electric will be equal to or greater than the electric company. And you are stuck buying them out at retail prices or paying more for your electric. READ THE CONTRACT. All you idiots that re elected Mathias are to blame for things like this.

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  17. While I am in favor of solar technology, this article contains many disturbing truths about the state bill and the liability as systems age in the current environment. When my roof need replaced I will consider the new shingles developed by Tessa or something similar, but if I go solar it will be with eyes wide open and hopefully after this nonsense has been reformed.

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  18. Most fail to understand the industry is relatively unregulated so they can change anything they want. Sky's the limit.

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  19. 1129 that's like leasing a car for 20 years. What lasts 20 years anymore? They're fools for even thinking about adding solar.

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  20. It's one thing to want solar energy for a personal preference but a different thing when your solar energy is being paid by everyone else who didn't make the same choice. This is another state mandated purchase or pay high penalty. Even if you do purchase it's a money grab for an industry that doesn't answer to anyone but their stockholders who want to make big money. The real deal is this is a loser for everyone all the way around and its interesting that none of our representatives bothered to ask what the citizens wanted as opposed to just voting for their own self-enrichment. We haven't even asked if they are exempt from this law or who actually wrote the thing to begin with. Have a feeling it's like Obamacare where citizens get screwed while lawmakers get rich.

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    Replies
    1. If their bills go up (representatives) they just vote themselves a pay raise, their problem is solved and we the people become poorer! 90% of Marylanders can not afford solar panels, or place them due to HOW rules, so the only ones who come out anywhere near ahead will be those in the top 7% of income in the state!

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  21. Like any specialized industry it's all about ROI. They want to get their money back with much to gain in return. People really need to wake up to the reality of how big corporations and special interest groups coincide with lawmakers' initiatives. Until they do this, people like Mathias and Sample-Hughes will continue to pass bad legislation without any worry of repercussions for themselves.

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  22. So, I just went to eBay and then did some math. Here goes...
    Buy a 5kw setup for the "average daily use: in the U.S. for residential house, finance the $15.000 purchase for 20 years @ 4.5% interest (present mortgage rate) and your monthly payment will be $95.00. Add for installation cost, maybe $5,000 and count that as your down payment. Or, finance the whole thing and pay about $127 a month.

    While this gives you 4-6 deep cycle batteries as backup, you will still have to be hooked up to the grid and have an electric bill for nights and gray days, and shortened winter sunshine, and add that monthly bill in as well.

    Now, as the article states, you have an added cost to reroof when the time comes, and you will also have to insure the equipment against lightning strikes and you will have to replace batteries and inverters along the way as regular maintenance. AND, by this time, your equipment is over 20 years old and so inefficient it will require full demolition PLUS replacement!

    All of a sudden, this bill of yours is probably more than you're paying now, so you'll have to walk the neighborhood and pass the hat (subsidy) so you can pay for your green energy. Are you feeling it yet?

    That's why subsidies are needed in order to make solar "affordable", because those who didn't go solar are now paying higher electric rates to cover the real costs of this fiasco. Oh, be sure the politicians' hands are well greased to make sure the legislation goes through...

    How's your butt feeling now?

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  23. The explicit economic impact is laid out here by the state Legislative Service dept:

    http://mgaleg.maryland.gov/2016RS/fnotes/bil_0001/sb0921.pdf

    It says (exhibit 4) that electric customers would see, at the very most, an increase of $3/month, based on the average residential use of 1,000 kWh per month.

    Three whole dollars! The horror!

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  24. 121 You can keep your doctor and your healthcare plan, too. Since when were government numbers and promises ever worth their weight? Off point completely with article but your ignorance is just too hard to ignore.

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  25. Obama's puppet and avowed socialist Van Jones cost the taxpayers nearly $1 billion dollars in failed solar/ green energy companies when he was hired as Obama's energy adviser. Obama finally fired him after fraud was revealed.
    Now Van Jones works for MSNBC as well as CNN-imagine that.

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  26. Reply to 1:21 - I really wish you would stop drinking that Kool-Aid.
    You are not fully assessing the full impact of the newly accelerated RPS (Renewable Portfolio Standards).

    I suggest you also go and research the Community Solar Act - HB-1087 - and then parlay or factor-in that legislation into HB-1106. You will find out more about the 200% limits and how the surplus electricity costs are BORNE BY THE UTILITIES CUSTOMERS BASE instead of the utilities.

    http://mgaleg.maryland.gov/webmga/frmMain.aspx?id=hb1087&stab=01&pid=billpage&tab=subject3&ys=2015rs

    And as each Community Solar subscriber comes online - it in contributing to the escalation of utility costs as the surplus electricity is being paid for by the customer base - NOT THE UTILITY. The sooner you get a grasp on this concept - the sooner you'll realize it is a political scam - to the highest degree. And Mathias and Samples-Hughes are complicit when they voted to accelerate the
    entire RPS program.

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  27. In light of Senator Mathias and Delegate Sample-Hughes vote, I believe a voter recall is in order. It's not like we are Fairfax County here on the eastern shore. For crying out loud, why do you think crime and the drug trade are some of county's largest employers. There is a reason, and that's because nearly 1-5 residents are living at or below the poverty level. And that's a fact than shouldn't be ignored.

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  28. The $3 calculation is a lie.

    Here's are real numbers. Talbot County has a demonstration project of 750kw wind and 750 kw solar. It cost $4.6 million dollars and produces $23,000 annually in electricity. The wind turbines have a life expectancy of 10 years and the solar panels have a life expectancy of 20 years. When Solar Renewable Credits were at their peak, the project collected another $123,000 a year from these. Which is a fee placed on producers to opt out of installing solar. These fees have diminished and are about 1/3 to 1/5 of what they were when $123,000 was collected. See calculation.

    Cost $4,600,000 for $460,000 of electricity $23,000 X 20 years = $460,000). This is a generous calculation, since wind turbines will last less than 20 years, and no cost is being allocated for maintenance or lost production for maintenance, or backup electricity dumped. Taxpayers paid for this garbage and it only produces electricity when the wind blows and the sun shines.

    It's important to understand that SRECS collections of $123,000 are not energy produced but hidden fees paid by consumers in order to mask the enormous cost of renewable energy.

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  29. The increase in RPS is about littering the Eastern Shore with Solar panels and placing 700' turbines off Ocean City's shoreline.
    Politicians are banking on us not objecting because they believe we are too dumb to understand what is happening.

    Property values are tanking in Somerset due to 1100 acres of solar panels, poultry manure plants, and Crisfield's wind turbine. Dorchester County is next with proposals for more than 1,000 acres of solar. Then will come Ocean City because visitors will not want to witness dolphins and whales washing up on the beach.

    Bad policies hurt the middle class the most. Somerset Officials are the dumbest on the shore for allowing the degradation of the environment in return for a few pennies from dishonest developers.

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  30. If a pool can lower a house value, wouldn't a 20-year lease be a problem for homebuyers who don't want to get locked down to an agreement the previous owner made? Many don't buy into HOA areas for the same reason. Wouldn't that be a deterrent for selling your home?

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  31. Solar costs 3.5 more than conventional energy when no new transmission is needed. The Great Bay Solar project requires $55,000,000 in transmission upgrades that are being charged to native ratepayers. See Public Service Case #9393 which states new electricity transmission is not needed for the Eastern Shore. In this case, the developer was erroneously granted the native ratepayers transmission.
    The power will be shipped north, off the Eastern Shore, but we still pay for it because its generated on our turf. Costs are not just monetary because we pay through the degradation of our environment and lower property values. When the panels are removed, these parcels will not be fit for farming, even the Farm Bureau knows it. These sites will either remain generating stations or be brownfields that can serve no functional purpose.

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  32. Obama Crooked BastardoFebruary 5, 2017 at 2:28 PM

    Those Slimeballs in Annapolis who voted for this terrible bill need to be Fired. Are they "representing" us, the constituents? No. These Crooks ar3 more interested about their own agenda and their own pockets. Throw the Bums Out!

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  33. Reply to 1:21 - Another utility cost that is being tacked onto Maryland customers that has gotten under the radar. You know all of the those new ugly brown utility poles that are being installed in and around Wicomico County. Well - there is a Public Service Commission case no . 9393 filed 08-24-2015. Basically - it reads;

    'Delmarva Power & Light Company - an Application for a Certificate of Public Convenience and Necessity to construct a new 138 kV overhead transmission line on existing right-of-way from Piney Grove Substation in Wicomico County, Maryland to the Maryland/Virginia State line. (ML 173607')

    You need to also examine the financial implication on Maryland ratepayers as the costs for these improvements are, once again, borne by DP&L utility's ratepayers. And it has to do with the solar farms that are being developed - guess where - not Maryland - but Virginia.

    http://webapp.psc.state.md.us/Intranet/casenum/CaseAction_new.cfm?CaseNumber=9393

    Bottom line - Maryland ratepayers are being subjected to the utility's 'cost of service' for providing . . . (see brief filed by Office of the People's Council - Memorandum on Appeal (hyperlink item No. 51). . . .

    it says;
    The current estimated Project cost is
    $25 million2 with estimated annual operating costs of $2.207 million.3
    During the evidentiary
    1 DPL Application at p. 1 (DPL Ex. 6); Proposed Order at p. 6.
    2 Proposed Order at p. 11; Cantler Direct at 14, see JRC-5. 3 DPL Application at p. 14 (DPL Ex. 6). In 2015, DPL proposed to PJM to enlarge the scope of the Project (the
    “Expanded Project”) to incorporate the rebuild of the Wattsville - Kenney - Piney Grove 69 kV transmission line
    2
    hearing and in its Briefs, OPC contended that the proposed Project was neither necessary for
    reliability or stability of the electric system nor economical and that DPL had failed to shoulder its
    burden of proof to satisfy PUA sections 7-207 (e)(2)(i) and (ii) (“the effect of the generating
    station or overhead transmission line on: [i] the stability and reliability of the electric system [and]
    [ii] economics”) and also subsection (f) which requires the Commission to consider “the need to
    meet existing and future demand for electric service.”

    I could go on and on - but for the benefit of SBYnews readers - you really ought to try and educate yourself on this subject as the inherent costs for solar on Maryland's utility customers is far, far, more than $3/month as articulated in your comment.

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  34. Whatever happened to " of the people, by the people and for the people " ? I guess they changed people to politicians.

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  35. Any time utilities want something passed through the utility commission, they always shot for the stars when, all they wanted was the moon. It happened recently with the rate hikes they asked for 3 months ago. And the members of the utility commission have backbones made of marshmallows. So, utilities always get what they want so they can pay out 75% of their earnings to shareholders. So, Excelon is more concerned with rewarding its shareholders than families being able to pay rent and buy food.

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  36. Who actually owns solar panels? Does anyone know anyone or a business that owns/uses them?

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  37. Somerset has always had low property values. Direct correlation with poor schools and poor people. Combine that with limited job opportunities and a prison, why would anyone not from there want to live there? For the most part, unless it is waterfront property, the same thing goes for most of the eastern shore. Has more to do with born heres than with solar panels.

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  38. 3:10, You can't be serious? They are everywhere, including Perdue, Wicomico County, schools and tons of homes in the area. You must live in a cave.

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  39. I didn't read any of the comments yet , but I've seen a number of dwellings with the panels on a platform rather than the roof. Anyway the research that I've done tells me that the payback is way too many years . Bad investment people , no bang for your buck here. I would even entertain it if the payback was 5 years , not so.

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  40. I believe that Democrats all over the country are going to screw the taxpayers because of the election.

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  41. It usually is a bad idea to purchase a depreciating item with borrowed money and solar panels are no exception especially when the owner (company) retains the rights to the tax credits and service of panels. From what I have read, if you can afford to purchase the solar panels on your own and have them installed by a third party, they can be cost effective when the tax credits are included. There are also some real estate investors that are running pro formas on putting these panels on rental properties and claiming the tax credits while charging more for electric included in the rent.

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  42. 4:08 - I agree. It's like leasing a car - the devil is in the details. First thing you'll realize with a car lease is that every time you get into it you are always worried about exceeding the annual mileage because the penalties are so extreme. That's why I have never liked leasing an automobile. Same goes with leasing solar panels. Like stated in the article - if you ever decide to re-roof you're screwed because the cost to remove and reinstall the solar panels will negate any savings you accrued over the years. At least with buying them yourself - you're in control of your own destiny + you can retain all of your SRECs.

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  43. The cost of the Wicomico/Piney Island transmission line was estimated by DP&L to be $25,000,000, but the PSC People's Council said that was an understatement and the construction is anticipated to be $55,000,000 plus $2,000,000 annual maintenance costs. None of this transmission is needed on the shore...None of it, yet we are the ones paying for its installation.
    The line is being converted from 69kv to 138kv because of the 150 MW GBS facility in Somerset and the 80 MW Solar plant in Accomack County.
    It's time to protest and get rid of this garbage NOW!

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  44. Wow, these are some really informative articles. I was in HD a few weeks ago and made inquiry about solar panels w/ solar city but chickened out when he said that I would have to pay the entire cost of removal for a re-roof. And then the escalation clauses scared me to in that the cost of their electric rates were to rise to. And So I walked away.

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  45. Pure and simple - the utility lobby has found a way into every utility's customer' s hip pocket. Special interest has for all practical purposes bought our politicians i.e. Mathias/Hughes.

    ReplyDelete
    Replies
    1. Maybe it's time for a Boston Tea Party approach to the utilities.

      Delete
  46. I hope someday that I see either Mathias or Hughes stranded along the roadside. I will blow my horn as I flip them the bird and keep on down the road. Both worthless.

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  47. Trump wants to eliminate Federal subsidies. GO TRUMP!

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  48. Eddie Johnson, Somerset's Farm Bureau President's son just collected more than $1.5 million from Great Bay Solar and Mike Hall collected more than $2 million dollars. These deals have tanked Somerset's property values while a few have cashed...BIG.
    Maybe we should look to who these two supported in MD's House & Senate.

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  49. Joe the very first commercial they showed during halftime of the superbowl was a short video of a Mexican woman and a little girl walking in the wilderness trying to tug at your heart strings. Anyone with a brain will know that it represents pro-illegal aliens. It finished with a short statement saying the journey continues at journey84.com. The page wasn't up when I checked it, but it is sponsored by 84 Lumber. I will never shop there or anywhere that supports illegal aliens.

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  50. 9:29 That is how politics works - dem or gop - they all get rich selling out working people.

    8:24 Sorry but you are wrong. Maybe 90% of born heres but In 2015, Maryland again ranked first in the nation in median household income at $75,847, rising 2.4 percent higher than 2014, and well above the national median of $56,500.

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    Replies
    1. Sorry 824 but your info is false or flawed but nowhere near accurate. Your statistics sound insidious when you actually drive around Salisbury. Might want to get out more, honey. You're shutin lifestyle betrayed by your statement.

      Delete
  51. What's the solar farm annexation on the city council agenda? What are the taxpayer liabilities? Will anyone ask or care?

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  52. 9:36 The occasional purchase you make will not impact a national company. Trump won the electoral votes but not the popular vote. There are more of them than there are of you. It is hilarious to see all the places and companies that people in salisbury/wico boycott. Do you realize that you are pretty much the last market place national companies open a store? Do you have a krispy kreme, wingstop, sport clips or kumon math & reading centers? All in the top 15 franchises in america right now.

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    Replies
    1. If you take out illegal aliens, dead people & votes counted multiple times, an estimate between 3-5M, Clinton did not win the popular vote 1211. You liberals love to cry foul when it fits your idiot statement but when Trump says he's doing a voter fraud investigation you claim there's no fraud. Get your facts straight. After seeing you repeat the popular vote lie, stopped reading your idiotic comment. That alone tells everyone you're uninformed and not on top with what's going on.

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  53. Solar energy is a crock and if you don't think so you are a fool. The ONLY reason it's even an option is because of 'clean energy' lobbyists. It's a benefit for no one except those in the industry and the politicians wined and dined by the lobby. It's the democrat way of 'creating jobs' since most manufacturing has gone offshore. The 'jobs' are paid for by tax payers.

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  54. 9:36
    Krispy Kreme...yes, in late April

    The others? Who cares, we're doing OK without them!

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  55. 7:12 If you are doing ok then stop complaining about taxes, no jobs, falling home prices, crime, and gangs.

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  56. Maybe now you stupid people will start to understand that the whole reason and only meaning of politicians is to take your money at all cost in any way they can, as much of it as they can... You never see them give you breaks, or lower taxes or anything else, yet when they raise taxes and fees, you buy less stuff, in return the economy stays stagnant, and then they raise taxes and other fees or make new ones to offset you not buying crap... Then you buy less and less because they raise and raise... You ask yourself, who will in the war, not the battle, and it will be the politicians... Remember all the laws they pass, they seem immune to...

    Also, 8:30 AM when you call someone out, make damn sure you are on point in every way because you must be stupid to, your 8:24 is WRONG, the guys time stamp is 8:27 AM big difference when you actually read it... Oh but you just get on here to bash people and make yourself look like a damn fool...

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