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Herald Tribune, July 2006
by Michael Pollick | Michael.pollick@heraldtribune.co
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Floridians who go solar can get help with the costs
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Folks who have always longed to go solar but have always feared the costs have a huge though possibly short lived opportunity to get the state government to shoulder as much as half cost.
Under a new state law that goes into effect today, the state will pay a rebate of up to $4 per watt for solar electric systems.
A solar hot water heating system would net a rebate ranging from $300 to $500 per customer. Bigger systems, ones that actually help power a house, cost in the neighborhood of $16,000. The renewable Energy Technologies Grants Program – signed into law by Gov. Jeb Bush on June19 – would kick in as much as 8,000 for a system at that price, said Kevin Lynn, senior research engineer at the Florida Solar Energy Center in Cocoa.
There is a catch – and really big one, considering the potential interest from consumers watching their power bill spike on rising gas prices: The state set aside only $2.5 million for the rebate,
“We all know that the money is going to go very fast,” said Jeff Curry, alternative energy coordinator for Lakeland Electric.
One solar power equipment dealer guessed that the money will be used up in 90 to 120 days.
Leaving aside the larger solar photovoltaic systems – or PV’s – that would only pay for 5,000 solar hot water systems rebates, Lynn noted.
The PV rebates are limited to a maximum of $20,000 for a residence and $100,000 for a business, publicly owned operation, or one owned by a not-for profit organization, including condominium or apartment buildings.
The new rebates that start today are on top of federal tax credit that started Jan.1 and are scheduled to continue throughout this year and next.
Under the internal Revenue service rules, tax payers are allowed a tax credit equal to 30 percent of their investment in a solar electric panel up to a maximum of $2,000,`and another equivalent credit for investing in a solar hot water heating system.
“I’m educating each client as they call me,” said Doug Greenlaw, a long time solar power installer who operates in Sarasota as Greenlaw Solar Group: “My new business is coming from the fact that people want to save electricity, but they are not aware of tax credits, whether in the sate or federal”
The new state law comes with several restrictions.
The solar electric system must be installed by a state approved solar installer, a master electrician, or electrical contractor, the rebates are for grid tied systems, not those that operates off the grid; and the equipment used must be from an approved list maintained by the Florida Energy Center.
For solar electric, the new law specifies systems that are a minimum of two kilowatts in size.
“Basic PV systems cost about $8 a watt, “Lynn said “Solar hot water cost less, and you get paid back for it more quickly.”
Folks in the solar business think that lawmakers and the governor could have done a better job at shepherding and funding the program.
“This has definitely been what we call last-minute legislation,” said Dale A. Gulden, chief executive of Bradenton’s Solar Direct. “The evolution of it, from the signing to getting the news out to customers, has been very slow and poor to say the least.”
Gulden’s web sites, chief of which is www.solardirect.com, play host to as many as 6,000 visitors each day, and he sells thermal and PV gear all over Florida and the nation.
Solar Direct has most of its e-mails on its lists, and the company’s publicist, Lisa Thorell of Orlando, is busy sending out messages to inform potential clients of the rebates.
“There’s not a lot of money to go around,” Thorell said.
“People have to send a message back to the Legislature. The best thing that could happen is that all the money is spent within the first three months.”
Even though you had to wait until today to install the system that would qualify for the rebate, Jeff Curry of Lakeland Electric warns that you should not expect a check from the state anytime soon.
“There is a group at the State, the Florida Energy Office, and they are doing what is called the rule making. They’re still figuring out how to do it” Curry said.
“I think we are probably looking at September before that process will be available.”
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