Before deciding if solar power is right for you, consider factors that will contribute to a successful installation and make you eligible for California incentives. First, your building should receive unobstructed access to the sun's path from about 11 a.m. until about 6 p.m. year-round. Watch out for buildings and trees that may block the sunlight. You need a good place to mount south- or southwest-facing solar panels. A typical 1 kilowatt residential PV installation also requires between 100-200 square feet of solar panels, depending on the type of panel.
Next, ensure that you are eligible for incentives. There are several basic requirements up front:
Please refer to the CSI Handbook (Acrobat PDF file, 95 pages, 1.5 megabytes) for all details on the CSI eligibility and payment process.
To see how much your California Solar Initiative rebate would be on your proposed installation, try our new EPBB Calculator (Expected Performance Based Buydown Calculator).
Next, to see how much additional factors, such as federal tax credits, financing, energy efficiency, and other determinants, can bring down the cost of your planned system, consider the following free or at-cost tools:
Please note that the estimation tools above rely on different factors, assumptions and expectations. The California Solar Initiative EPBB Calculator alone determines the incentive payment level for the California Solar Incentive.
For your existing home and all nonresidential facilities, when you decide to go solar, a solar installer typically will contact a California Solar Incentive program administrator on your behalf to apply for an incentive and arrange for your system to be interconnected to your utility company's power grid. The installer may also apply for local permits and assist you with new federal tax credits on the installation.
When selecting any contractor, it is wise to follow the guidelines in the consumer tips on the California Contractors State Licensing Board's website (www.cslb.ca.gov/). For a solar photovoltaic installation, consider a contractor's solar technology expertise, experience with roof installations and familiarity with your location. The contractor can help you choose the right size photovoltaic system by providing an estimate of how much energy (kilowatt hours) it will produce in a year.
A contractor's bid should include the peak generating capacity (watts) of your solar electric system and the total cost including hardware, installation, connecting to the grid, permitting and warranty. Ask your contractor to verify your solar electric system's performance after installation and to educate you about operation, maintenance and the warranty.
Please be aware: As the owner of a renewable distributed generation facility, you are the owner of Renewable Energy Credits, or RECs, associated with the production of renewable energy by your facility. A "renewable energy credit" includes all renewable and environmental attributes associated with the production of electricity from an eligible renewable energy resource, subject to certain statutory exceptions. The California Energy Commission maintains an accounting system that records and issues certificates of proof that one unit of electricity was generated and delivered by an eligible renewable energy resource. In short, a REC represents the environmental value of the energy produced by your renewable energy system.
As the owner of a renewable distributed generation facility, you own the RECs for the electricity you generate, and you have the right to decide to keep or sell your RECs. Receipt of California solar incentives does not require transfer or sale of your RECs. RECs may or may not have monetary value in the future in California, depending on numerous factors, including policy and market factors. For more information on the potential value of RECs, you may visit Lawrence Berkeley National Laboratory or Solar Energy Industries Association. (Please note: These sites are examples of possible information sources. The CPUC does not endorse or necessarily agree with the information on these sites.). It is your decision whether to sell or transfer your RECs. Be sure to read all of the terms of your installation contract to see if it requires you to sell or transfer your RECs as a condition of installation. As the owner of your RECs, you do not need to agree to any contract language that requires you to sell or transfer your RECs as a condition of installation. Also please keep in mind that other restrictions or requirements may apply.
The program administrator will provide you or your installer with an incentive application form. After the program administrator receives your completed application, it will reserve funds based on the size of your solar project. These funds will be reserved for periods of time indicated in each program, by which time you must provide adequate proof of progress towards installing your system. The administrator will require you to provide documentation to show that you are moving forward with the project.
When your system is installed, you or your installer will contact the administrator for permission to connect your system to your utility company's grid.
Once your system is approved, you will provide proof of payment to the program administrator and receive your rebate!
Beginning January 1, 2007, consumers seeking photovoltaic incentives should submit applications as follows:
Apply to the program administrator for the California Public Utilities Commission's California Solar Initiative incentives in your local area.
Pacific Gas & Electric (PG&E)
San Diego Area: California Center for Sustainable Energy
(formerly the San Diego Regional Energy Office - SDREO)
Southern California Edison (SCE)