State-Sponsored Incentives for Residential Solar in New York State
Across the country, a number of states offer rebates, tax credits and other incentives for the purchase of a solar energy system. Among them, New York is considered a national leader of pro-renewables legislation.
In many cases, a combination of state-sponsored incentive rebates and tax credits can significantly reduce the final installed costs of a solar energy system. Below, you'll find info on the programs available at the state level in New York. Also, don't forget the 30-percent federal tax credit available to residents (and businesses) that install a solar energy system.
Are you the owner of a New York business? If so, check out our list of commercial incentives.
For a complete listing of solar energy installation professionals in your area, visit our New York Solar Directory.
Related reading:
New York Solar Rebate Programs
New York State Energy Research and Development Authority (NYSERDA): PV Incentive Program
This program has been suspended as of July 2010. For more details and updates on when it will reopen, check back here. A new program, PON 2012, is in the works with NYSERDA. Enacting some useful tweaks to how applications are processed, the new program will offer a very similar rebate, most likely the same $1.75 per watt DC. NYSERDA cannot guarantee an exact dollar amount for its new incentive since the precise values truly are subject to change. However, one of our partner installers in the area has revealed that $2 million per month is allocated through 2015.
Long Island Power Authority (LIPA): PV Rebate Program
Eligible: Photovoltaics (PV) for all sectors
Amount for residential systems:
The rebate level is now at $1.75/watt. This rebate will be offered in two 500kW blocks for the Solar Pioneer Program. The first block will be effective August 16, 2010, after 5PM and all applications submitted after this date and time will be at $1.75/watt. Once the 500 kW block is used up, no future applications will be approved. On October 1, 2010, an additional 500 kW block will be made available for the program at $1.75/watt. Once this block is used up, no future applications will be approved.
Amount for commercial systems: $1.75 per watt DC, for systems up to 50 kW in size (for max incentive of $87,500)
Amount for schools, non-profits and government: $2.75/watt DC (for a max incentive of $137,000)
New York Tax Incentives for Solar Energy
Solar (and Fuel Cell) Tax Credit
This personal income tax credit enables residents to reduce their tax liability when purchasing solar-energy technologies. To be eligible, residential PV systems must not exceed 10kW in size; multi-family systems must not exceed 50 kW.
Eligible: PV, solar water heat, solar space heat (and fuel cells) for residential and multi-family residential sectors
Amount: Up to $5000 for any solar energy system
New York City - Property Tax Abatement for Photovoltaic (PV) Equipment Expenditures
Eligible: PV systems across all sectors in cities larger than 1 million people, therefore essentially PV systems in New York City
Amount: Installed from August 8, 2008 to December 31, 2010: 8.75% of system expenditures per year for 4 years (total of 35%); Installed from January 1, 2011 to December 31, 2012: 5% of system expenditures per year for 4 years (total of 20%)
Other info: Up to $62,500 annually or the amount of real property taxes owed during a year. Solid legislative and institutional backing for next four years.
NYSERDA - Energy $mart New Construction Program
Eligible: All sectors; supports green building with an emphasis on solar incorporation, specifically passive measures
Amount: 50%-75% of incremental costs, depending of type of project. There is an $850,000 residential cap, and a $1.65 million cap for Con Edison customers.
100% Solar Sales Tax Exemption
In 2005, New York enacted legislation exempting the sale and installation of residential solar-energy systems from the state's sales and compensating use taxes. Eligible technologies include: PV, solar water heat, and solar space heat for residential sector.
New York Grants and Loans for Solar Energy
NYSERDA - Assisted Home Performance Grants
Eligible:
Low-income residential solar hot water and photovoltaics (pv)
Amount:
50% of costs up to $5,000 for single-home owners, $10,000 per building for 2-4 family units
Additional Info:
Other restrictions apply.
NYSERDA - Clean Energy Business Growth and Development
This associated program targets businesses specifically, with generous allotments of funding for new clean energy projects.
Eligible:
Commercial, Industrial: essentially any clean energy project, including solar
Amount:
Grants are offered for up to 50% of a project’s cost, with an upper cap of $200,000 on funding.
NYSERDA - Energy Star Financing Program
Eligible:
Residential solar water heater & photovoltaics (pv)
Amount:
Up to 100% in costs; $2,500 - $15,000/$20,000 (upper limit depending on credit)
Other restrictions:
“Measures installed must meet minimum energy specifications as set forth by loan program; if a measure meets Energy Star qualifications, it is eligible,” “Equipment must be installed by approved Building Performance Institute (BPI) certified contractors,”
New York State Energy Research and Development Authority (NYSERDA): Energy Star Homeowner Financing Incentive
Eligible:
Solar water heat, PV systems, wind, biomass, geothermal heat pumps
Amount for residential:
10% of project costs up to $3,000
Net Metering Rules
In June of 2007, the New York State Assembly passed Bill 08690, a piece of legislation that expands the scope of New York's net metering provisions. Essentially the bill means that customers who install solar power will receive credite for the excess power generated by their PV systems.
City-Level Rebate, Tax Credit, Grant, and Incentives Programs
Riverhead - Energy Conservation Device Permitting Fees
Eligible:
Business or Residential photovoltaics, as well as “any energy conservation devices which qualify for any federal, state or local tax exemption, tax credit or tax rebate”
Amount:
Permitting fees are now a flat rate of $150, rather than costs that often reached into four figures
Last Updated 8/18/10 New York: Residential Solar Incentives |
