
January 28, 2009 |
2009-R-0069 | |
SOLAR REBATE PROGRAM | ||
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By: Kevin McCarthy, Principal Analyst | ||
You asked the following questions regarding the photovoltaic (PV) rebate program administered by Connecticut Innovations, Inc. (CII):
1. how many homes and other buildings have had PV systems installed under the program,
2. what has been the average cost per installation,
3. how many contractors have been approved to install residential systems under the program, and
4. what qualifications does a homeowner need to qualify for the program.
We also discuss the related on-site distributed generation OSDG program.
The Clean Energy Fund operates several programs to promote solar and other renewable energy resources. Its solar rebate program has provided rebates to homeowners, nonprofit organizations, and governmental entities who install PV systems with a capacity of up to 10 kilowatts on their buildings. The OSDG program provides grants for larger PV and other renewable energy systems, primarily for commercial buildings. There is a per kilowatt cap on the rebates and a recently adopted $ 850,000 project cap under the OSDG program. Information about all of the fund's programs is available at www. ctcleanenergy. com.
CII stopped taking applications under the solar rebate program in late 2008 due to funding constraints. It encourages homeowners to apply for its new solar lease program (www. ctsolarlease. com). CII stopped taking applications under the OSDG program in January 2009.
Since its inception in 2005, the solar rebate program has installed PV systems in 903 buildings, primarily homes. The average cost per building over the program's life has been approximately $ 50,000. The average cost per residential installation in the fourth quarter of 2008 was approximately $ 63,000, of which the rebate covered slightly less than half. (During this period, the average system size was 6. 8 kilowatts. ) There have been 135 projects funded under the OSDG program. The average total cost has been just under $ 1 million, of which the grants covered about half.
As described in OLR report 2008-R-0562, a residential PV system must be installed by a CII- approved firm to qualify for the rebate. There are currently 21 approved installers, several with multiple locations. Information about these installers is available at
www. ctcleanenergy. com/YourHome/SolarRebates/FindanInstaller/tabid/85/Default. aspx. In addition, PV installers must have the appropriate licenses from the Department of Consumer Protection, whether or not the purchaser is participating in the rebate program (the licensure requirement also applies to contractors installing solar heating systems).
There are no qualification requirements for homeowners to participate in the rebate program. But the best locations for PV systems are where there is no shade and where the PV panels are facing south (plus or minus 20 degrees). In addition, the system must be new and on a list of eligible equipment published by the California Energy Commission (the list is available at www. gosolarcalifornia. org/equipment/index. html). The system must be designed to meet no more than the homeowner's annual average electric consumption. The system owner must report performance data to CII at least twice per year for the first two years following installation.
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