FOR IMMEDIATE RELEASE (pdf version)
February 19, 2013
Paul Udowychenko, CEO, President
Pudowychenko@e2ecta.com or (732) 469-3400
Martin Hausman, CFO
firstname.lastname@example.org or (732) 469-3400
e2/ECTA Says Time is Ripe for NJ Businesses to Consider Solar
Incentives for Commercial Solar Installation in NJ Better Than Ever
Somerset, NJ – Like all business owners, e2/ECTA President & CEO Paul Udowychenko understands how critical it is to see significant return on business investments and that timing is everything. That is why he is strongly urging New Jersey business owners to consider the benefits of solar while conditions are in place for a full return on investment in about one year with 100% savings on the electric generated by solar going forward.
Udowychenko’s New Jersey-based company e2/ECTA is one of the leading solar energy installation companies on the East Coast. Having done business throughout the Mid-Atlantic region and Eastern Seaboard, he knows first-hand that New Jersey is the prime spot to invest in commercial solar right now. The incentives are better than anywhere and the return is fast and great. In fact, the Solar Energy Industries Association—the nation’s trade association for the solar industry—gives New Jersey top ranking for its substantial incentives for renewable energy.
Here’s a snapshot of advantages e2/ECTA can offer qualifying New Jersey businesses that make the move to solar in 2013:
Reduced Operating Costs
With electricity rates increasing an average of 6% each year, according to the US Energy Administration, changing to solar reduces expenses and protects against future rate increases. Installing a solar power system is the equivalent to prepaying for nearly 40 years of energy, but at just a fraction of what businesses are currently paying for electricity.
Significant Tax Savings
The Federal Investment Tax Credit returns 30% of the total cost of the solar systems back to the businesses, further reducing the cost of the systems. This tax credit, which can be carried back 5 years, is scheduled to expire in 2016.
Section 179 allows for the depreciation of $500,000 on purchases not exceeding two million dollars in the first year. Commercial solar investors can also utilize the Modified Accelerated Cost Recovery System (MACRS) depreciation, which depreciates the solar system over five years. A bonus depreciation allows for an additional 50% deduction in year one, for a total of an additional 70% depreciation in the first year, in addition to what is provided by Section 179. This bonus depreciation is scheduled to end this year.
Minimized Investment Risk
e2/ECTA can arrange for the pre-purchase of all SRECs (Solar Renewable Energy Certificates) to be generated by the commercial solar system, which insulates businesses from the volatility of the SREC market by eliminating the potential risk and reducing the investment required to purchase the solar system.
A Maintenance Free & Reliable System
Once installed, solar power systems require virtually no maintenance. Solar utilizes existing roof space to provide electricity quietly and cleanly for 25 to 40 years. The solar panels and racking carry a 25-year warranty and the inverters provide a 20-year guaranty.
Earning the “Green” Label
Solar reduces businesses’ environmental impacts. A typical commercial solar system of 30kW will offset CO2 emissions by 2,300,000 lbs. over 25 years, the equivalent to planting 225 acres of trees!
“While the economic outlook may be uncertain on many fronts, 2013 holds definite promise for New Jersey business owners looking to utilize the tax incentives to take advantage of renewable energy, said Udowychenko. “Solar reduces a company’s carbon footprint, lowers operating costs and increases profits and asset values. And with so many tax credits and incentives available, now is the time for businesses to get the most bang for their buck.”
One New Jersey businessman who knows a good deal when he sees one is Paul Frontczak, Executive VP of Command Enterprises headquartered in Secaucus, NJ. In 2012, e2/ECTA installed solar on the roof of Command’s 110,000 square foot building at 100 Castle Road. This was Command’s third solar installation, making all of their New Jersey operations solar powered.
“Working with e2/ECTA was a pleasant and rewarding experience. Everything went off without a hitch and there were no surprises,” stated Mr. Frontczak. “Going solar was more than just doing something good for the environment, it was a savvy financial decision for us. For business owners and companies like ours that are able to take advantage of the tax incentives, the payback is extremely short; and with energy costs on the rise, the return becomes greater each year,” he concluded.
About e2/ECTA, First in Energy Conservation
e2/ECTA—headquartered in Somerset, NJ— is an industry leader in commercial and residential solar energy, lighting & HVAC installations, leveraging the best people, products, and procedures to achieve energy independence. e2/ECTA’s real-world financial models use project finance, government incentive programs, and capital allocation to accelerate market growth and make energy independence attainable. e2 executives share over 50 years of experience in project finance, solar and energy-related engineering. The company serves the Mid-Atlantic and Eastern seaboard region. For more information, please visit https://e2ecta.com/.