Utah Launches Statewide Solar Rebate Program

by Dan Harding

Utah is using stimulus funds to launch its first statewide renewable energy rebate program. Homeowners can recoup nearly $9,000 of the initial cost of their home solar power installation. But the first-come-first-served deal, offered through the Utah State Energy Program, will likely not last long, as there is only $3 million in the solar coffers and applications are piling up fast.

The program offers rebates at a rate of $2-per-watt installed, up to 25 percent of total costs or $8,750, whichever is less. Of course, Utahns are also eligible for the federal 30-percent tax credit as well, which means that, for the time being at least, roughly half the cost of home solar power systems could be subsidized.

Solar hot water systems and wind turbines are also eligible for the rebate. Solar water heaters may earn up to $2,500 and residential wind systems $5,000. PV systems must be a minimum of 900 watts in size (up to 25 kW). Some 50 applications have already been received in the first days of availability, and program coordinators expect about 250 to 300 homes and businesses to receive rebates through the program, according to public radio affiliate KCPW. Perhaps if demand for the rebate is exceptionally high, the program will get more funding from state policymakers. In the meantime, if you live in Utah and want to go solar, now’s the time for action.

Most utilities in Utah do have existing rebate programs for solar power, most likely in response to the state’s renewable portfolio standard, which sets goals for 20 percent of a utility’s “adjusted retail electric sales” to come through renewable energy by 2025. However, utilities are only required to pursue renewable energy to the extent that it is cost-effective for them.

A quick note for any Utah homeowners out there: applicants to the state rebate program must first receive a bid from an eligible solar contractor, and then submit a Rebate Reservation Application with the Utah State Energy Program to start the process.

Category: Green Facts