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Incentives >> Commercial and Non-Profit Solar Incentives

PENNSYLVANIA COMMERCIAL SOLAR INCENTIVES

Pennsylvania Sunshine Solar Rebate Program:

The Pennsylvania Sunshine program offers rebates to residential and small commercial residents that install photovoltaic (PV) and solar thermal systems.Only systems installed after the date of program opening are eligible for rebates. A total of $100 million (funded through state bonds) is available for rebates over the lifetime of the program. The DEP expects the program as a whole to last three to four years.

All residential applicants must be Pennsylvania residents, own the home upon which the system is installed, and use it as a primary residence (i.e., vacation homes and investment properties do not qualify for residential rebates). Small business applicants must be for-profit entities located within the state of Pennsylvania with no more than 100 full-time employees.

The list below describes incentive levels and other program rules:

Residential PV: $0.75/W for systems of 1-10 kilowatts (kW). Systems larger than 10 kW are eligible, but incentives are limited to first 10 kW.

Residential Battery Back-up: $0.35 – $1.00/amp-hour, based on the incentive step under which the associated PV system was approved. Systems larger than 10 kW are not eligible for battery back-up incentives.

Small Business PV: $0.75/W for systems of 3-10 kW and $0.50/W for next 90 kW. Systems larger than 100 kW are eligible, but incentives are limited to first 100 kW.

Solar Thermal: 35% of installed system cost, with maximums of $5,000 for residences and $50,000 for small businesses.

Low-Income (PV and Solar Thermal): 35% of installed costs (the maximum rebate authorized by the enabling legislation).

Solar Renewable Energy Certificates (SRECs):
An SREC is a certificate that is awarded for every megawatt hour of electricity you produce with your solar electric system. Pennsylvania’s SREC program provides a means for people with solar power systems to gain significant value through the selling of SRECs to utilities. In order to receive payments, your system must be registered in the state(s) where the SRECs will be sold.

SRECs are slightly different from standard RECs, as they are only produced by solar systems. Standard RECs are produced by any renewable source. This includes sources such as wind, biomass, hydropower, etc. SRECs are, therefore, less common and more valuable than standard RECs.

You are guaranteed to receive payments for your SRECs for 15 years; the price for an SREC changes every day. To see how much extra cash you could make by selling your SREC’s follow this link for a free solar installation quote.

FEDERAL COMMERCIAL SOLAR INCENTIVES

Commercial Federal Grant:

For all commercial solar electric and solar hot water systems there is a federal grant equal to 30% of the total installation cost, with no maximum. limit. This grant is issued by the Treasury Department and paid within 2 months of the completion of your solar power project. This incentive is set to expire on December 31st, 2011 and construction must begin before this date for a property to be eligible.

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Federal Bonus Depreciation:

All commercial solar electric and solar hot water installations are eligible for 100% year one Bonus Depreciation in 2011. This incentive reverts to a 50% deduction in 2012.

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