Look On The Bright Side
November 1, 2008 
Ranch owner Hassan Yarpezeshkan can thank the sun for the decrease he has seen in his utility bill the past couple of months. Because of the solar electrical system he recently had installed, 400 acres of the orchards on Ahoo Ranch, LeGrand, CA, are now powered by solar energy.
“The savings were immediate; I started saving money on my energy costs the minute the system was turned on,” he says.
Like many other fruit and nut growers, Yarpezeshkan has watched his energy costs increase significantly in recent years. His utility bill was no exception, which motivated him to consider using solar energy as an alternative. He was introduced to the idea of using solar power as an alternative by Jim Maxwell, CEO of Agriland Farming Company, which manages Yarpezeshkan’s ranch in addition to more than 12,000 other acres of orchards and vineyards. Yarpezeshkan turned to Cenergy Power, a solar energy company, and they gave him an offer he could not refuse.
Cenergy (www.CenergyPower.com) installs solar electrical systems that are able to power the lift pumps, deep wells, filter stations, and booster pumps that comprise irrigation systems for orchards. Solar specific storage technology is still very pricey, so right now the systems use the net metering programs of local utilities. The grower’s utility bill is credited for any power they generate through solar energy.
Cenergy Power will provide growers who decide to lease a solar electrical system from them with zero upfront costs and a seven-year lease structure in which they will see a 10% to 20% reduction in their power bill. In addition, the grower is able to build up equity so that by the seventh year, they will see a 60% to 70% savings when they purchase the system.
Yarpezeshkan says he does not have to worry about the money for the system coming straight from his pocket because he can pay for it using the savings he obtains through using solar energy. Furthermore, the system increases the value of his land by $400,000 per each 100 kilowatt system. The system costs virtually no time or money to maintain; once every six months, the grower needs to check a meter that indicates whether or not the system is working. Also, the solar panels that comprise the bulk of the system should be washed every three to six months. Yarpezeshkan is so pleased with the benefits he receives from using solar power, he plans to expand his usage to a 300-kilowatt system in the future.
While Yarpezeshkan’s orchard is the first agricultural project for Cenergy Power, their installation team has been installing solar power systems for more than 30 years. The solar electrical systems offered and installed by Cenergy Power can be used for all types of fruit crops, not just nuts.
Bill Pham, CEO of Cenergy Power, believes solar power will be the most widely used alternative power source for growers in the very near future. “I think you will see widespread adoption of solar systems in the agricultural sector because it makes more economic sense to use them. Growers can then invest the savings derived from using these systems in their other input costs,” he says.
Cenergy Power aims to make the process of leasing a solar electrical system as smooth as possible for the grower. The company handles all of the details including purchasing the materials, getting any applicable building permits approved, and installing the system. Cenergy Power has people on their team to complete all of the necessary steps including contractors, electrical engineers, and structural engineers. This enables the entire process to go faster and increases the cost savings for growers.
The government is giving growers even more incentives to use solar power. Congress recently extended the tax incentives awarded to growers who install solar electrical systems in their operation. Without tax incentives, the cost of using solar power would be substantially higher.
Making A “Green” Impact
Agriland Farming Company (one of American/Western Fruit Grower’s Top Nut Growers) has plans to install solar power in more of their orchard operations in 2009. Maxwell, who prides himself on setting an eco-friendly example for the community through his company, commissioned the installation of a solar electrical system at the company headquarters in Chowchilla, CA, a little more than a year ago. “We are business people and to a degree we need to look at these deals from that angle, but we also have a responsibility to look at the environmental effects. We need to make a meaningful difference in regard to our environmental impact,” he says.
To achieve this goal, Agriland Farming Company has implemented practices including treating 5 miles of their dirt roads on an annual basis to control the dust particulates stirred up by farming machinery, and shredding rather than burning more prunings than designated by government requirements. “Mr. Maxwell started thinking green years before other people started thinking green, which was part of my motivation to become involved with Agriland Farming,” Yarpezeshkan says.
Though the initial cost of the installation at Agriland Farming Company’s headquarters was substantial, the company is already seeing a return on its investment. Pleased with the decrease he has seen in Agriland Farming Company’s energy costs since the installation of the solar electrical system, Maxwell is exploring methods for making the company’s usage of solar power even more prudent. He is currently researching companies that manufacture electric carts. Maxwell would like to convert the ATVs Agriland Farming Company staff members use in their nursery to electric carts that could be recharged via the solar panels. He has found carts that would be quite efficient and compatible to the needs of his staff.
“I think that, given the price of oil over the past year, and realizing it will be expensive in the long term, we should remain focused on the development of alternative resources. Solar energy is something that is efficient and very doable now,” he says.
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