Frank Knight
46290 Baker Loop Road
3-doors down from BigFoots Cave
Concrete, WA 98237
ph: 360-853-7094
frank
Special "STATE OF THE COMPANY" Conference Call Feb. 3rd!
I want to thank you all for your efforts this last year... I am looking forward to an awesome 2008 with Citizenre and hope you share my enthusiasm!
2007 has been a great year for Citizenre and a lot has been progressing behind the lines.
As with most start-ups there have been some delays but rest assured that much has been accomplished.
No Marketing in Austin Texas!
The City of Austin Texas is a very green minded city but currently Citizenre's offer will not work there. Citizenre will work for change but for now the City of Austin has asked us not to market to customers of their munincipal utility.
Citizenre has told them they will honor that request. Please if you are currently marketing there stop! We do not want to cause any waves.... yet anyway!!!
Citizenre Changing Rate Calculations
Here is the official release from Rob Styler:
Customer has the right, with no financial loss or obligation, tocancel this Agreement at any time before the Site Review. If
Customer cancels the Agreement before the Site Review, the
Customer has no further obligation of any kind.
If Customer cancels the Agreement during the Site Review,
Customer will again have no financial loss or obligation, however
Provider may place Customer on a "Do Not Serve List" for the future.
clear. The "Do Not Serve List" is designed so that people will not
waste the time of our ECOs or our Franchisees.
The customer can obviously back out with no penalty, but ECOs
cannot promote this like there is "no commitment." We have heard
of people saying, "This is just an application to see if you might
be interested." Or, "Just sign it. You can back out at any time."
This is a weak posture and it does not serve Citizenre or ECO.
A better approach would be, "The sytem designer will come to your
house and design your personal system. If you change your mind
before that time, you can cancel this contract with no penalty. If
you cancel during the site visit, there is still no financial
penalty, but we may place you on a do not serve list for the
future. Our commitment is to bring solar power to as many people
as possible and we can't waste any time. This is too important.
So please only fill out the contract if you are serious about having solar power for your house.
NEW FLAT RATE PLAN:
To simplify our offer, all contracts will be converted to a flat
rate model. Citizenre will communicate this improvement to all
customers.
The flat rate model is simple. In essence, the deal is the same
for the customer as what we have always offering, it is just an
easier way to present and bill. The variable is how much will the
sun shine? As usual, we have solved this to the benefit of the
customer. Through our insurance partners, we will offer "Solar
Assurance." If the sun does not shine up to the historic levels,
the customer gets a rebate at the end of the year. But if the sun shines more that historic levels, then the customer gets that power for free. Nice.
The customer cannot lose, but they can win. The more the sun
shines, the more power they can potentially get for free.
One way to present this is:
"With our solution, you no longer have to invest tens of thousands
of dollars to purchase solar for your home, you no longer have to
pay for installation, and you no longer have to pay for
maintenance. With Citizenre, you simply rent the equipment for a
flat monthly rate. Our equipment allows you to produce your own
clean, renewable energy from the sun. You take control back from
the utilities and all of the energy that you produce offsets the
polluting energy that you used to have to buy--so the rental ends up
paying for itself. And you have no worries about maintenance or
performance because we have a "Performance Guarantee"--if the unit
ever stops working, you don't pay a dime until it works as
promised. Our engineers design your system to best fit your
needs and the system is constantly monitored so you will never pay
more for our rental than the amount of power you will be able to
self-produce and then offset from your utility."
CUSTOMERS PRODUCE THEIR OWN POWER:
The big thing we need you to get across is that. The customer is producing their own power. They are self-generating. We do not
produce power for them. We rent them equipment and then they
produce the power.
Their contract rate for energy will be the same rate they have had
before and it will match what their utility is charging. We are
moving away from quoting kWh rates. Just say, your contract rate
is 12 cents (or whatever it is in your market) and we lock in that
rate for up to 25 years.
TRAINING ANALOGY:
Here is a simple way to look at it. Imagine that you have a
beautiful pool in your home. Each month you have to buy water from
the local utility to keep your pool full. But the utility has to
burn coal or another polluting technology to bring you that water.
We rent you a "waterfall" to produce clean, pure water right there
where you need it. You can still get water from the utility if you
ever need it and we can even save you money over time. As you
know, the rates from the utility continue to rise. We lock in
your rental rate so it will never go up for as long as 25 years."
If they have questions about net metering, try this:
"Remember the pool analogy...well the pipe from the utility stays
connected to your pool and if the "waterfall" ever produces more
water than your pool can hold, that water will flow back into the
pipeline for the utility. Then, when you need that water again,
you can get it back from the utility at no charge. This is called
net metering.
A little more detail could be:
"The one thing we never want to do is provide more water than you
use in your pool that year because then the utility might be able
to take the water that you produced and not compensate you for it,
or compensate you for less than what you paid for it."
How do I know that your "waterfall" is producing what you say it is?
"We monitor the production on a daily basis. You can even track it
online, if you want. Plus there is a utility grade meter for third
party validation on the production."
Why don't you charge me per kilowatt-hour like my utility?
"Because we are not a utility. We simply rent you solar equipment
at a fixed rate. This solar equipment produces energy from the sun
that can offset the amount of energy that you buy from your
utility. To put it in perspective, whatever you pay to us in rent,
will decrease the amount of energy you need to buy from your
utility and thus decrease your bill from them. In essence, the
rental pays for itself. You can even save significant money in the
long run because we lock in your rate for up to 25 years--plus you
will be producing clean, renewable energy--and that is good for
everyone."
POTENTIAL PURCHASE OPTION:
We do not have all of the details worked out yet, but if a
particular utility digs in their heels about our rental model, the
purchase option is one way that we can service that territory and
potentially reach into markets that don't yet have net metering.
The goal is to get solar on roofs in whatever method is best for
the customer.
There are many questions that we need to work out internally
before, and if, we launch this program. The reason for sharing
this now is that we want all ECOs to know that we are not going to
abandon a market. We know how hard many of you have worked to
develop a customer base in certain areas. We cannot control the
posture of the utilities. Our goal is to create a win-win. We
will do everything we can to cooperate, and we will not back-down
from our right and responsibility to bring renewable energy to the
masses.
LOCAL CHALLENGES:
As many of you may have heard, there are some areas that have not
yet opened their arms to our solution. Far from impeding us (except
for a short while), these issues have spurred us to make the
changes described above. While we continue to move ahead, if you
are located in either of these Challenging areas, please stay in
close touch with your Regional Sales Director (listed in the
Resources section of your back office) and watch for further
updates.
The State of Nevada and the City of Austin both have questions
about how our rental model works within their policies. Until
further notice, ECOs are to stop marketing to customers of Austin
Energy. Austin is one of the most progressive cities in the nation
and they are deeply committed to renewable energy. They have
committed hundreds of millions of dollars to support solar energy.
Since our model is new, some areas do not yet have laws on their
books to support or solution. Our commitment is to show the
utilities and the politicians how we can create a win-win together.
As we have known for a while, Nevada law poses obstacles for our
rental model. The Nevada Public Utilities Commission has decided to
explore these issues directly. If it comes out in our favor, these
questions will be answered. However, as the process is likely to
take a few months, ECOs should be aware of this concern. We are
writing up a position paper that ECOs can share with potential
customers in Nevada.
Our model is new. These challenges are to be expected. We are
confident that we can find solutions in these important markets,
especially since our goals are so similar.
For those of you who already have customers in these markets, we
will take every step necessary to make sure your customers can
enjoy their right to clean, renewable energy from the sun. Your commitment, time, and energy to these markets will be supported.
100% of ENERGY--WE CANNOT PROMISE THAT.
There has been a miscommunication and some ECOs have promoted that
we will provide 100% of the energy for the Customer. There are two
problems with this statement. First, we do not "provide" any
electricity. We simply rent them the equipment and they produce
their own energy. Also, we never want them to produce more energy
than they can use in a year, so we take that into account when we
design their system. The best thing to say is, "We will design the
system to best fit your needs."
Many people will not have the roof space for them to produce all of
the energy that they need, so the more we can show them how to
conserve, the better off we will all be. The cleanest Watt of
energy is the one that never had to be produced because it was
conserved. It is call a "negawatt."
So, in summary:
This is the Gorge Hydro-electric power station.
You may wonder... where's the dam! The dam is located about 2-miles upriver and the water reaches the generators through a massive tunnel over 2-miles long! Not many like that around!
Citizenre on National TV!
PRESS RELEASE
For Immediate Release
Media Contact:
Erika Morgan, SVP Communications
emorgan@citizenre.com
SOLAR ON A TIGHT BUDGET?
CITIZENRE SOLAR RENTAL SHOWCASED ON
HGTV’S “Living With Ed”
November 5, 2007 — A young married couple in their first home, shoestring budget, baby on the way—how can they possibly afford to add solar energy to their house?
“By renting it”, said Ed Begley Jr., six-times Emmy nominated actor and environmentalist.
In the November 5 episode of “Living With Ed”, host Ed showcases solar in this new form. “Putting the 2 kW Citizenre system on this house symbolized a 20-year dream for me, to help put solar power within reach of anyone.”
The young family in Venice, CA, shows exactly why renting solar makes so much sense. Paul Eckstein & Hala Khori have just moved into their 2-bedroom bungalow. He is a writer, she is a yoga instructor and their first baby is due anytime. How is this the right time to be adding an expensive solar system to their home?
“Renting the system just makes so much sense”, said Paul. “We really wanted to do the right thing, to make our new house is as green as possible. But we sure didn’t have the cash to buy a system, or even to carry loan payments. This way, Citizenre takes care of everything—they install it, fix it, all that. And our savings increase every time the rates go up”.
Paul and Hala worked closely with Citizenre’s local system installer Stephen Gates, who designed and installed their solar system. “The family should save about 30% - on their electricity each month, for $25.00 per month,” Gates explained. “Since they averaged $28 per month for that same amount of electricity, they are already saving a little each month”.
“It’s so great that we can actually have solar on our first house”, said Hala. “By renting, we actually save money– and that’s money we can save for something else. And we know we’re still doing the right thing for our baby’s future. That’s the very best part of the story”.
“I have been involved with residential solar power for over 20 years, and put my own system on in 1990. You can’t make gasoline in your house, but you can make electricity on your roof – I’ve been doing it for 17 years,” said Begley. “I’ve been frustrated by how many people come to me for advice on solar, only to find it is out of their financial reach. With Citizenre’s rental program, all that changes. Anyone who wants to make clean, green power in their home can do it. With the help of Citizenre, I hope we duplicate Paul and Hala’s story nationwide beginning in 2008.”
The Eckstein family and “Living with Ed” are showing that solar electric systems can now fit in everyone’s budget.
View the episode “PERFECT PRESENT” at http://www.livingwithed.net/eguide.asp.
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About Citizenre Corporation
Founded in 2005, Citizenre Corporation announced its “solar made simple” residential rental model in late 2006. High-volume manufacturing, a national network of branded franchise installation companies, proprietary technology and innovative finance will enable Citizenre to achieve similar breakthroughs in cost and customer service for non-residential solar customers as well. Further announcements about Citizenre’s plans and achievements are expected throughout the months ahead. Ed Begley Jr. has served as media spokesperson for Citizenre Corporation and their innovative REnU rental program since December 2006.
It just gets better everyday!
Peace,
Frank Knight
Frank Knight
46290 Baker Loop Road
3-doors down from BigFoots Cave
Concrete, WA 98237
ph: 360-853-7094
frank