“Remarkable Services, Exceptional Care!

SOLAR PANELS
AN ENVIRONMENTAL FRIENDLY WAY
TO REDUCE COST
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STRATEGIC OBJECTIVE
The organizational goal is strategically aimed at decreasing our reliance
on commercial power providers for electricity.

Commencing on June 22, 2015, the project is anticipated to conclude by

October 5, 2015.
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STAKEHOLDERS
The stakeholders involved in this project include:

1. Management: The responsibilities of the management encompass

approval, cost review, and financial oversight of the project.
2. Maintenance Department: The maintenance department is tasked with
overseeing the installation.
3. Electrical Section Head: The Electrical Section Head is responsible for
monitoring output, as well as conducting regular cleaning and
inspections.
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DEFINE
Planned start date: June 22, 2015
Planned finish date: July 27, 2015

We initiated this project upon discovering that:

1. The primary contributor to environmental pollution is the electric

generation industry.
2. The expenses associated with traditional electricity sources are
escalating.
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DEFINE
Based on the issues identified, the Lorma Medical Center’s objective
is to adopt alternative, cost-effective sources of power that are
environmentally sustainable, renewable, and safe. Utilizing such
alternative power sources, our organization will be benefited, as
these solar panels have a service life of 20 years.
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DEFINE
• Solar Panels

Here are the solar panels situated on the 6th floor rooftop of the Lorma
Medical Center. On the right side, you can see the installation process, and on
the left side, you can observe the output.
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MEASURE
Planned start date: June 22, 2015
Planned finish date: July 27, 2015

Between June 2015 and May 2016, the Lorma Medical Center's
average monthly power expenditure was Php 1,747,691.04,
constituting a 16.90% overhead cost.

Based on the gathered information, in the year 2017, we achieved a

4% reduction in our total electricity consumption, amounting to
(specific amount).

Click here to see the solar panel project gantt chart

Click here to see the detailed solar panels cost savings
Click here to see the kwh data summary and amount saved yearly
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ANALYZE
Planned start date: August 1, 2016
Planned finish date: October 5, 2016

The members of the team and their role:

• Robert F. Kaiser – Team Champion

• Engr. Nasses Nisperos – Team Leader
• Engr. Robert R. Gonzales – Engineering Department Head
• Jeffrey A. Bengben – Engineering Associate Department Head
• Alvin B. Balancio – Engineering Admin Officer
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ANALYZE
When assessing the issues associated with the rise in electricity
consumption, the following steps were undertaken by our team:

1. Recognizing alternative forms of energy with the potential for

reduced electricity expenses, cost efficiency, cost savings, and
environmental friendliness.
2. Identifying renewable energy alternatives, specifically through the
implementation of solar panels.
3. Collaborating with various suppliers to achieve project goals,
including tasks such as site inspection, cost negotiation,
mobilization, installation, commissioning, and observation.
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ANALYZE
Furthermore, this single investment consistently results in ongoing
savings on electricity bills for a duration ranging from 15 to 25
years, despite the initial project cost of Php 5,130,000.00.
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IMPROVE
Planned start date:
Planned finish date:

Considering all factors, our plan involves:

• Assessing the optimal angle to ensure maximum efficiency.

• Placing the panels on the rooftop of the 6th floor for enhanced
sunlight absorption.
• Implementing regular cleaning of the solar panels, facilitated by our
in-house electricians, to optimize energy collection.
• Incorporating additional solar panels in the future to further reduce
our electricity consumption.
• Selecting the latest and upgraded solar panels that offer a longer
lifespan of 40 to 50 years, even at a more cost-effective price.
“Remarkable Services, Exceptional Care!”

IMPROVE
Solar Panel cleaning
Frequency: Semi-annual
Year Month Person assigned Remarks:
2017 June Romel Panit washing panels / no defects seen
2017 December Janry Sanchez washing panels / no defects seen
2018 June Romel Panit washing panels / no defects seen
2018 December Romel Panit washing panels / no defects seen
2019 June Romel Panit washing panels / no defects seen
2019 December Romel Panit washing panels / no defects seen
2020 June Janry Sanchez washing panels / no defects seen
2020 December Janry Sanchez washing panels / no defects seen
2022 June Romel Panit washing panels / no defects seen
2022 December Romel Panit washing panels / no defects seen
2023 June Romel Panit washing panels / 3 inverter defective (1
repaired / 2 replacement)
2023 December
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CONTROL
Planned start date: September 22, 2016
Planned finish date: Continuous

The project's list of issues comprises:

• Accumulation of dust/dirt on the surface of panels
• Electrical wiring issues
• Degradation of solar inverters

In case of any unforeseen malfunctions, we have recorded the contact

information of the solar panel service provider for prompt assistance.
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CONTROL
In summary, the Lorma Medical Center documented zero greenhouse
gas emissions by primarily harnessing the natural process of converting
solar heat into electrons to generate electricity. Water conservation
measures were also implemented in the cooling systems traditionally
associated with conventional energy sources. Thus, this initiative has
greatly contributed to the preservation of natural resources, specifically
fossil fuels.
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CONTROL
The effectiveness of our installed solar panels is expected to
endure for 20 years, though it's important to note that their
usability will persist beyond this period. Because the next
years will only have degradation in terms of output.

We’ve already used the solar panels in seven 7 years (2017 –

2023) and computed the rest 13 years to get the total savings
within 20 years of service.
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CONTROL
Annual Savings on Power Cost
• Year 2016 - ₱ 98,306.205 savings
• Year 2017 - ₱ 681,127.75 savings
• Year 2018 - ₱ 575,097.88 savings
• Year 2019 - ₱ 657,450.02 savings
• Year 2020 - ₱ 525,484.00 savings
• Year 2021 - ₱ 384,972.77 savings
• Year 2022 - ₱ 380,060.32 savings
• Year 2023 - ₱ 353,524.73 savings (Jan.-Sept.)

Total of ₱ 3,656,023.67
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CONTROL
The estimated solar output starting January 2024 is 70,000
kwh/year.

Then,
= 70,000 x 13 years more operation
= 910,000 kwh
= 910,000 kwh minus 13% degradation (1%/yr)
= 791,700 x 7.5 php/kwh
= 5,937,750.00 php estimated savings for the next 13 years
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CONTROL
The Php 3,656,023.67 savings from the start of operation plus the Php
5,937,750.00 estimated savings for the next 13 years, equal to ₱
9,593,773.67 estimated savings after 20 years.

Then,
= ₱ 9,593,773.67 minus ₱ 5,130,000.00 project cost
= ₱ 4,463,773.67 grand savings minus ₱1,026,000 (20% project
maintenance cost)

= ₱ 3,437,773.67 Total savings in year 2037 (20 years lifespan of solar

panels)
“Remarkable Services, Exceptional Care!”

CONTROL
If no major defects, it could last 30 years, then we
would have additional estimated savings of Php
4,200,000.00 (same computation with 2% degradation
per year).
Thank you…