Incentives/Policies for Renewables & Efficiency
Last DSIRE Review: 02/13/2013
||Utility Rebate Program
|Eligible Renewable/Other Technologies:
||Solar Water Heat, Solar Space Heat, Photovoltaics
|Amount:||Incentives for PV may be de-rated based on expected performance|
Residential grid-tied PV: $0.10/W-DC
Residential Solar Water Heating and Space Heating: $0.40/kWh-equivalent
|Maximum Incentive:||Residential PV: 50% of system cost. Systems greater than 30 kW DC will receive incentives on the first 30 kW DC only.|
Residential Solar Water Heating and Space Heating: $1,750
|Eligible System Size:||PV: Minimum size is 1.2 kW.|
|Equipment Requirements:||Photovoltaic modules must be covered by a manufacturer’s warranty of at least 20 years |
Solar thermal systems must be certified to SRCC OG-300 standards
|Ownership of Renewable Energy Credits:||TEP|
|Funding Source:||RES Surchage|
Note: The Arizona Corporation Commission (ACC) recently approved modifications to this program. The up-front incentive for residential photovoltaics (PV) has been reduced to $0.10 per watt, all commercial incentives have been suspended, the incentive for solar water heating has been reduced to $0.40 per equivalent kilowatt-hour (kWh), and incentives for all non-solar renewable energy technologies have been suspended.
Tucson Electric Power (TEP) created the SunShare Program in 2001 to encourage residential and business customers to install new photovoltaic (PV) equipment. TEP transitioned away from their original incentive structure for PV and added incentives for a variety of other technologies in May 2008 under the new Renewable Energy Credit Purchase Program (RECPP). The program was substantially changed again in 2013 by eliminating all commercial incentives and all incentives for non-solar renewable energy technologies. TEP offers these incentives in exchange for the renewable energy certificates they generate. Available incentives as of February 2013 are as follows:
- Residential PV (grid-tied): $0.10/W.
- Solar Domestic Water Heating and Solar Space Heating: $0.40/kWh equivalent, up to a maximum incentive of $1,750
See program web site for more information.
Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.
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