Island Pacific Energy LLC

Dear Sir or Madam:We received notification today from the Hawaii Revdex.com of a complaint filed against our company. Island Pacific Energy is proud of our reputation for delivering the best products and services at the highest level of customer service. We take customer concerns...

seriously as we strive to not just  meet, but exceed every customer’s expectations. We believe the complaint is the result of a misunderstanding by the customer of the terms and conditions of the contract of sale.  We also believe that this misunderstanding can be resolved in a way that is acceptable to all parties.On October 5, 2013, Island Pacific Energy sold an 11.6 kWDC photovoltaic system to [redacted] for installation on the home of her father [redacted] located at [redacted] in [redacted], HI. The system consisted of 40 LG NeoN 290w solar modules, 40 [redacted] micro inverters and associated system monitoring hardware. The photovoltaic system was installed and energized in November of 2013.The system was sold with a 25 year manufacturer’s warranty on power production of the photovoltaic modules, a 10 year manufacturer’s warranty on the workmanship of the photovoltaic modules, a 25 year manufacturer’s warranty on the inverters and a 10 year workmanship warranty from Island Pacific Energy. The system also included a 5 year production guarantee and a onetime, complimentary cleaning of the solar modules.On June 15, 2015, the complimentary solar module cleaning was performed. At the time of the cleaning, it was noted that some of the covers on the electrical junction boxes on the roof were starting to warp. The covers were repaired in September of 2015.On November 2, 2015, we received an email from Mr. [redacted] stating his photovoltaic system was reporting zero energy production. We investigated immediately and determined that his PV system was not communicating properly with the manufacturer’s monitoring website. We instructed Mr. [redacted] to contact the monitoring company ([redacted]) directly. We provided Mr. [redacted] the support telephone number and website and explained that [redacted] was best suited to troubleshoot the problem as they have the necessary visibility to his system’s communication issues.Mr. [redacted] responded in multiple emails that it was his understanding that Island Pacific Energy constantly monitors his system, that he had a warranty and that it was Island Pacific Energy’s responsibility to keep his system operating at all times. Later that day, Mr. [redacted] contacted [redacted] and reported back to Island Pacific Energy that [redacted] determined there may be a hardware failure in his system.On November 3, 2015, we visited Mr. [redacted]’s residence and determined that a fuse in his PV system  had blown and the system was not operating. We explained the situation to Mr. [redacted] and informed him we would return in the next few days with a replacement fuse. While we were there, Mr. [redacted] stated he has been paying $600 - $800 electric bills since July. He asked “Who is going to pay for the electricity your system didn't generate?” We explained to Mr. [redacted] that the PV system was his, not Island Pacific Energy’s and that it was his responsibility to properly monitor and maintain his system. He then stated "You (Island Pacific Energy) were supposed to monitor my system". We then explained once again that the inverter manufacturer [redacted] monitors his system through the Enlighten web based software. We encouraged him to contact [redacted] and find out why he did not receive any email alerts. Mr. [redacted] stated he could not call [redacted] as he has no long distance service. We then arranged for our salesperson to meet with Mr. [redacted] to review with him how to access and use the [redacted] Enlighten system monitoring like was done with him when the system was first installed.On November 4, 2015, we visited Mr. [redacted]’s residence and replaced the blown fuse. The system was turned on and began producing power. The system has been operating since.On December 10, 2015 we received an email from Mr. [redacted]s detailing his electric bill from June 15, 2015 to November 15, 2015 and asking for a certified check in the amount of $1,867.97.We explained to Mr. [redacted] that his claim for reimbursement was denied. The terms of the production guarantee are that it is his responsibility to monitor his system and keep it in working condition. In the event of a production shortfall, he needed to notify Island Pacific Energy in a timely manner. We explained to Mr. [redacted] that the production guarantee is not an "energy as a service" contract. It is a guarantee that the system has been designed to generate the proposed amount of energy when properly operated and maintained. Island Pacific Energy was not notified of any problem until November 2, 2015, almost five months after the system stopped producing power. Once we became aware of the situation, we replaced the defective parts under warranty and had the system operating in two days.We also sent Mr. [redacted] a copy of the contract of sale with the language from the Production Guarantee (below).Island Pacific Energy guarantees your system will produce a minimum amount of energy or we pay the difference. It's our way of assuring you that you will get the savings that your expect. Subject to the conditions described below, if during the Production Guarantee period, your photovoltaic system should fail to produce the amount of kilowatt hours on an annual basis as presented in the production chart below, we will reimburse you for any shortfall at the current utility rate. Our Production Guarantee is effective for five years from the date of installation and is over and above the warranties on the system itself. This guarantee does not apply to systems that have been altered, tampered with, disabled, damaged, destroyed, or are no longer functional. The owner is responsible for keeping the system free from shading, debris or other factors that may limit performance. This guarantee does not apply to periods when the system is under warranty repair or replacement. This Production Guarantee is nontransferable and is for the original system owner only. To make a claim against this Production Guarantee, customer must submit a claim in writing to Island Pacific Energy within 30 days of the system generation falling below the guaranteed amount on a rolling twelve month basis. Island Pacific Energy will inspect the inverter and if the claim is found to be valid, will calculate the amount due based on difference between the estimated annual production and actual production multiplied by the stated kWh rate adjusted for the de-escalator.Going forward, we encouraged Mr. [redacted] to actively monitor his system and if he does encounter an unusually high electric bill, to contact us immediately so we can address and problems with his system.We understand Mr. [redacted]’s frustration with the situation. Once a customer enjoys the benefits of a photovoltaic system and the corresponding savings in their electric bill, it is never pleasant to go back to the days before solar. If Mr. [redacted] would have monitored his system and notified Island Pacific Energy when he received his first unusually high electric bill, we could have corrected the situation immediately and saved him any unexpected expense. Unfortunately, Mr. [redacted] waited five months to take action which was too late for Island Pacific Energy to prevent the situation. Hopefully now that Mr. [redacted] understands the terms and conditions of the production guarantee we can avoid misunderstandings like this in the future.