Monday, January 28, 2013

PA DEP reboots its Sunshine Rebate Program for solar PV and hot water

Since 2008, Pennsylvania’s Sunshine Rebate Program has provided rebate money as a flat figure per unit of installed capacity, for residential and commercial solar photovoltaic (solar PV: at $0.75/Watt up to $7,500 for a 10kW system) and solar hot water (solar hydronic) systems.

Early on, the rebates, combined with Solar Renewable Energy Credits (SRECs) mandated in PA’s Act 129 legislation, created a boom in solar PV construction in PA. By 2010, it appeared that the rebate money allocated for the program was all but gone, with many more approved projects in a provisional funds reservation queue, than could possibly be funded.

However, the rapid deployment of PV resources also depressed the market for SRECs, suddenly rendering many of the pre-approved and ‘reserved funding’ projects financially unfeasible. As project approvals and funds-reservations expired uncompleted, and new applications slowed to a trickle, it became clear that DEP still had significant funds remaining yet to be allocated. In the absence of a robust demand for SRECs, the published availability of rebate funds has not rebooted PA’s solar PV economy, but it does remain as an opportunity for some long-term investors to receive a good return on their investment in renewable solar PV and solar hydronic energy production capacity.

Now, the DEP has adjusted its approval process and streamlined some aspects to bring down administrative costs and increase the certainty of funds for those who apply and get accepted into the program. DEP has effectively ‘rebooted’ the Sunshine Rebate Program for its final 12 months, to make sure participants can access the funds efficiently and fairly. According to its recent announcement:

Residential projects continue to be offered rebates up to $7,500 towards the purchase of a photovoltaic system with the maximum size being 10 KW ($0.75/watt up to a 10 KW system). Small businesses continue to be offered rebates up to $52,500 towards the purchase of a photovoltaic system, with the maximum size system being 100 KW ($0.75/watt for the first 10KW and $0.50/watt for the next 90 KW). Solar thermal projects are provided rebates up to a maximum of 35% of the total cost of the project design, installation and equipment. The maximum solar thermal rebate for a residential project is $5,000. The maximum solar thermal rebate for a small commercial project is $50,000.

PA DEP, Sunshine Rebate bulletin, January 26, 2013

Licensed Electrician Robert Monk PA DEP reboots its Sunshine Rebate Program for solar PV and hot water Copyright Robert Monk, 2012

Source: http://www.phillylicensedelectrician.com/pa-dep-reboots-its-sunshine-rebate-program-for-solar-pv-and-hot-water/

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