The Alameda Times-Star Online

Solar power shines in Bay Area

 

Open Hand sees big savings in alternative energy

 

By Alec Rosenberg, BUSINESS WRITER

 

OAKLAND --

OPEN HAND Manufacturing dedicated a 68-kilowatt solar electric system this week, the largest of its type in Oakland, which the woodblock maker estimates will save the company nearly $17,000 a year in electricity costs. "It's good for the environment. It's good for the community," said Aaron Leventhal, president of Open Hand, a 10-employee firm on 44th Avenue that makes woodblocks for the rubber stamp industry. "It's good for business. ... We couldn't have made the investment if it didn't make business sense."

Open Hand's 4,860-square-foot rooftop system will generate 80 percent of the factory's electricity needs -- enough to power 70 homes -- reducing its monthly electric bill to $400 from $1,800. The $542,000 system will pay itself off within eight years, Leventhal said, assisted by a $271,000 rebate from PG&E, depreciation and state and federal tax credits.

Open Hand's grid-connected photovoltaic system, the first solar array in the city's enterprise zone, was made by PowerLight Corp. (powerlight.com), a fast-growing Berkeley firm whose 2003 revenue rose 33 percent to about $55 million.

Started in 1991 in a garage, PowerLight has become an industry leader with 100 employees and four-straight appearances on Inc. magazine's list of America's 500 fastest-growing privately held firms. It has commercial projects in the U.S. and abroad, with most in California such as San Mateo County's forensics lab, Chabot Space & Science Center, and Santa Rita Jail in Dublin, where it has the nation's largest rooftop solar electric system (1.2 megawatts).

"(Open Hand) demonstrates that it's a smart business investment for medium-size businesses, not only large government agencies," PowerLight President Dan Shugar said.

Solar power generates less than 1 percent of U.S. electricity, according to the Energy Department. But the industry has annual growth above 30 percent and costs have dropped while efficiency has increased, Shugar said.

"For decades, people have been pushing for a solar future," said Mayor Jerry Brown, who praised Leventhal and Open Hand at Tuesday's dedication ceremony. "It's great when a businessman steps up and does something right."

Leventhal said some businesses consider solar power's eight-year payoff too long, but he takes a broader view -- with PowerLight's 25-year warranty on solar panels, he expects at least 17 years of essentially free electricity.

"It not only saves you money, it secures your ability to operate and work in California. If you're in business to stay, a seven- or eight-year payoff should not be scary," Leventhal said. "I figured I'm going to be here for 25 years, and it's a no-brainer."

Alec Rosenberg can be reached at (510) 208-6445 or arosenberg@angnewspapers.com .