Battery – Nextwatt

Battery

Battery Energy Storage Systems (BESS)

Battery Basics

Nextwatt develops battery energy storage (BESS) projects, which are groups of rechargeable batteries that are placed in a cooled metal container. They work by:

storing (buying) electricity from the power grid when demand is low (and the price is low), and
dispatching (selling) the stored electricity into the power grid when the demand is high (and the price is high).

BESS projects have multiple benefits, such as stabilizing the grid, providing backup power, reducing power costs, and integrating renewable energy.

Timeline

1. Site Control

(1-3 mns)

Consent Form. The Landowner and Nextwatt sign a non-binding Utility Consent Form, which the utility requires to start the interconnection study process.
Option Agreement. The Landowner and Nextwatt sign a Lease or Purchase Option Agreement to agree on the terms of the agreement for Nextwatt to lease or purchase the land if the solar project is built.

2. Interconnection

(3-5 mns)

Technical Review (15 days). The power utility performs a desktop review of the project and creates a report indicating viability.
CESIR Study (60 days). If the Technical Review is positive, the utility performs a full interconnection study that details the required grid upgrades and costs. If the upgrade costs are within budget, the project moves to permitting.

3. Permitting

(6-12 mns)

Municipal Permits. Nextwatt works with the municipal government (e.g., the Town Planning Board) to secure all necessary permits (e.g., a “Special Use Permit”) to obtain the right to construct and operate the solar project.
Engineering. Nextwatt hires a civil engineering firm to create all the necessary plans (e.g., Survey, Site Plan, Environmental Site Assessment, etc.) for permitting.

4. Construction

(2-3 mns)

EPC Contractor. An Engineering, Procurement, and Construction (EPC) Contractor that specializes in solar projects is hired to construct the solar project. The construction is typically minimal and usually consists of clearing and grading (if any), laying concrete pads and conduit, delivering the premanufactured battery system, and interconnecting to the power utility.

5. Operations

(30-40 yrs)

Project Owner. After the battery project begins operating, the project owner remotely monitors the power stored and dispatched digitally, and maintains the project by conducting scheduled inspections to maintain the project and ensure its optimal performance.
Landowner. The Landowner has no responsibility to maintain the project.

6. Decommisioning

(1 mn)

Project Owner. At the end of the project’s life, the project owner removes the solar project and returns the land back to its previous state. The decommissioning costs are typically guaranteed by a bond, and municipalities often require a decommissioning plan.
Landowner. The landowner has no decommissioning responsibilities or expense.

F.A.Q.

Do you lease or buy land?

What is the process?
The process is the following:
- Site Control. Sign a Lease or Purchase Option Agreement with the landowner.
- Permitting. Request a grid interconnection study from the local power company and obtain permitting from the municipal government.
- Construction. Construct the solar project, which includes erecting the supporting metal structure, placing the solar panels, connecting the solar project to the electric grid via a power line.
- Operation. Operate and maintain the solar project, which includes remotely monitoring its power production, periodically cleaning the panels, and trimming any overgrowth vegetation
More details are in the Timeline section of this webpage above.

What are the benefits?
1. Earn more money! Solar projects offer landowners a way to take what might otherwise be unused land and either lease or sell it to generate more income. And if you sell the land, you will not have to pay the customary 3-6% real estate agent fee for listing your land; that’s a big saving to you. Many landowners are interested in leasing their land to cover the cost of their annual property taxes. That is a great reason to lease your land for a solar project!
2. Decrease your community’s electric bill by 10-20%! Community solar projects allow local residents to subscribe to the solar project (usually at no cost) and earn credits that decrease their monthly electricity bill by 10-20%! That means that you can decrease your and your neighbors’ monthly electricity bill by 10-20% with a community solar project. Sound too good to be true? This is possible through state government subsidies from taxes. See the other FAQ “How does community solar work?” for more details.
3. Help the environment. Solar projects help us move towards a cleaner environment and help decrease global warming.

What are the risks to me?
- The biggest risk to you is that after you sign the Lease or Purchase Option Agreement, the developer may not be able to obtain grid interconnection or all the required permits, in which case the project will not be built and the developer will not lease or purchase your land. You will receive an upfront payment that you will still keep, and potentially periodic payments, but you will not receive the larger lease income or sale proceeds that you expected. This risk is unfortunately unavoidable and is clearly communicated to you and in the agreement that you will sign.
- If all the permits are obtained and the project is constructed, then both solar are relatively low maintenance with very little risk of disruption or danger.

Who will remove the solar project?

If you lease your land, at the end of the lease term the solar developer will be responsible for removing the solar project and all of its components and restoring your land to the condition that it was in when you signed the Lease Option Agreement. This will all be specified in the Lease Option Agreement that you will sign.
Sometimes, the solar developer is required by local law to purchase a decommissioning bond to cover the costs of removing the solar project, and almost always local law requires the solar developer to create a decommissioning plan that the local planning board must approve.

How much do you pay?

This is the big question! For solar projects, the lease and purchase prices that our developers offer range.
The lease offer depends on factors like the power utility that services the area, government subsidies that apply to that area, and power grid upgrade costs to connect the project to the grid. These factors make the lease offer vary widely from $500/acre to $3,000/acre.
The purchase offer can be the market price of the land, given comparable land close by that has sold recently, or it can be up to $6,500/acre.

Depending on the solar developer, the lease term is 25 or 30 years with an option to renew an additional 10 years.

How long will it take?
Below are typical timeframes for each stage of a community solar project:
- Site Control. 1-3 months
- Interconnection. 3-5 months.
- Permitting. 6-12 months, but after receiving the interconnection study (3-5 months) we will have a very good idea of whether the solar project will be feasible and will inform you.
- Construction. 3-4 months
- Operation. 25-35 or 30-40 years

Why should I work with you?
- Nextwatt works with multiple developers and therefore can bring you the highest and most competitive price offer. Also, this increases the likelihood of finding a developer who wants to lease or buy your land. There are no costs to you for working with us.
- We are here to help you monetize your land for a good cause. We are professional, efficient, and pleasant to work with. Our goal is not to hoodwink you into signing over your land, but instead to guide you through the process, explain the benefits and risks, and find an arrangement that works best for you.
- We also only work with serious and well-capitalized solar developers, so you don’t have to worry about the developers going bankrupt or engaging in unprofessional practices.

How does community solar work?
A community solar project is a solar project, to which local residents can subscribe and receive a credit to decrease their monthly electricity bill, typically by 10-20%.

Here are some helpful websites that provide more information:

If I lease, will my taxes go up?

No, the solar developers that we work with will pay any increase in taxes that is caused by the solar project. This will be specified in detail in the Lease Option Agreement that you will sign.
You will continue paying your property taxes as usual. The solar developer will sign a “Payment in Lieu of Taxes” (PILOT) Agreement with the county government, in which the developer will agree to pay the county a fixed annual fee instead (in lieu) of property taxes. This way the developer knows exactly how much it will owe in property taxes to the county, you (the landowner) will not see a change to your property taxes from the solar project.

Submit

If you have a piece of land that you are interested in leasing or selling, please submit the information below and we will perform a desktop review to see whether the land is suitable for a solar or energy storage project. If the land is suitable, we will share a price offer with you.

Please note, we will NOT sell your information, nor will we send you marketing messages. We don’t like spam either.

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Contact

info@nextwatt.com

(518) 327-4431

1750 Tysons Blvd, Suite 1500, McLean, VA 22102

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1. Site Control

2. Interconnection

3. Permitting

4. Construction

5. Operations

6. Decommisioning

The process is the following:

Site Control. Sign a Lease or Purchase Option Agreement with the landowner.

Permitting. Request a grid interconnection study from the local power company and obtain permitting from the municipal government.

Construction. Construct the solar project, which includes erecting the supporting metal structure, placing the solar panels, connecting the solar project to the electric grid via a power line.

Operation. Operate and maintain the solar project, which includes remotely monitoring its power production, periodically cleaning the panels, and trimming any overgrowth vegetation

More details are in the Timeline section of this webpage above.

Help the environment. Solar projects help us move towards a cleaner environment and help decrease global warming.

If all the permits are obtained and the project is constructed, then both solar are relatively low maintenance with very little risk of disruption or danger.

Sometimes, the solar developer is required by local law to purchase a decommissioning bond to cover the costs of removing the solar project, and almost always local law requires the solar developer to create a decommissioning plan that the local planning board must approve.

This is the big question! For solar projects, the lease and purchase prices that our developers offer range.

The lease offer depends on factors like the power utility that services the area, government subsidies that apply to that area, and power grid upgrade costs to connect the project to the grid. These factors make the lease offer vary widely from $500/acre to $3,000/acre.

The purchase offer can be the market price of the land, given comparable land close by that has sold recently, or it can be up to $6,500/acre.

Depending on the solar developer, the lease term is 25 or 30 years with an option to renew an additional 10 years.

Below are typical timeframes for each stage of a community solar project:

Site Control. 1-3 months

Interconnection. 3-5 months.

Permitting. 6-12 months, but after receiving the interconnection study (3-5 months) we will have a very good idea of whether the solar project will be feasible and will inform you.

Construction. 3-4 months

Operation. 25-35 or 30-40 years

Nextwatt works with multiple developers and therefore can bring you the highest and most competitive price offer. Also, this increases the likelihood of finding a developer who wants to lease or buy your land. There are no costs to you for working with us.

We also only work with serious and well-capitalized solar developers, so you don’t have to worry about the developers going bankrupt or engaging in unprofessional practices.

A community solar project is a solar project, to which local residents can subscribe and receive a credit to decrease their monthly electricity bill, typically by 10-20%.

Here are some helpful websites that provide more information:

NY State Energy Research and Development Authority: “How Does Community Solar Work?” and “New York Leads the U.S. on Community Solar”

U.S. Department of Energy: “Community Solar Basics”

Solar Energy Industries Association: “Community Solar”

No, the solar developers that we work with will pay any increase in taxes that is caused by the solar project. This will be specified in detail in the Lease Option Agreement that you will sign.