Energy Law

San Francisco to Fund Nation's Largest Municipal Solar Program

By Maria Urbina

The City and County of San Francisco Board of Supervisors on June 10, 2008, approved a program that will create a fund to provide rebates for residents and businesses that install solar power systems. Under the Solar Energy Incentive Program, the nation's largest municipal solar program, residents could receive between $3,000 and $6,000 for photovoltaic systems. Businesses could receive $1,500 per kilowatt installed, with a cap of $10,000 per building. The 10-year program will use up to $50 million from the city's energy-conservation account. The Board of Supervisors also voted to approve a complimentary one-year pilot program that would budget $1.5 million to buildings owned and operated by low-income residents and non-profit organizations.

The Solar Energy Incentive Program would supplement incentives from the federal investment tax credit and the California Solar Initiative. Creation of the program is propitious since the federal investment tax credit is set to expire at the end of this year.

Supervisor Dufty, a co-sponsor of the measure, believes that the program will provide an important opportunity to encourage the development of the solar industry in San Francisco. The incentives provided by the program will help with installation costs, which are more expensive in San Francisco than in surrounding counties. The program also seeks to help San Francisco increase its amount of solar generation. Currently, the city ranks last in the Bay Area in terms of the solar energy installed per capita, according to data compiled by the California Energy Commission and the California Public Utilities Commission.

Full post as published by Energy Legal Blog on June 20, 2008 (boomark / email).