State-Sponsored Incentives for Residential & Commercial Solar
Known for its great wine, stunning shoreline and expansive timberlands, Oregon could soon also become famous for its resolute support for renewable energy. In past years, the state has legislated some of the most vigorous pro-solar incentives in the country.
In many cases, a combination of state-sponsored incentive rebates and tax credits can significantly reduce the final installed costs of your solar energy system. Below, you'll find info on the programs available at the state level in Oregon. Also, don't forget the 30-percent federal tax credit and accelerated depreciation rules available to residents and businesses that install a solar energy system.
For a complete listing of solar energy installation professionals in your area, visit our Oregon Solar Directory.
Oregon Solar Rebate Programs
Energy Trust of Oregon: Solar Electric Buy-Down Program
Launched in 2003, the Solar Electric Buy-Down Program is available for customers of Pacific Power and PGE who install new PV systems on new or existing buildings. The program provides a per watt incentive, depending on the system size, sector, and utility.
Eligible:
Photovoltaics in residential, commercial, industrial, government, non-profit and other sectors
Amount for residential:
Residential (Homeowner): $1.50/W DC for Pacific Power; $1.75/W DC for PGE;
Residential (Third Party): $1.00/W DC for Pacific Power; $1.25/W DC for PGE;
Amount for commercial:
up to 30 kW: $1.00/W DC for Pacific Power; $1.25/W DC for PGE;
30-200 kW: $1.00/W DC - $0.50/W DC for Pacific Power; $1.25/W DC - $0.75/W DC for PGE
Systems above 200 kW (PGE only): $0.75/W DC;
Other info:
To be eligible, the system must meet several technical standards and warranty requirements. This program is commonly used in tandem with the state's personal and business tax credits. See their DSIRE database incentive page for more information and maximum incentives for each type of system.
Energy Trust of Oregon: Solar Water Heating Buy-Down Program
Solar Water Heating Buy-Down Program complements the PV incentives offered by Energy Trust of Oregon. The program is available to Pacific Power and PGE customers who install solar water heating or pool heating systems. Incentives are proportional to the amount of energy savings gained by the solar water system.
Eligible:
Solar water heat in residential, commercial, industrial, government, non-profit and other sectors
Amount for residential:
- Solar water heating: $0.40 per first-year kWh savings, up to $1,500
- Solar pool heating: $0.10 per first-year kWh savings, up to $1,000
Amount for commercial:
- Solar water heating: $6.00 per first-year therm savings, up to 35% of project costs
- Solar pool heating: $1.50 per first-year kWh savings, up to 35% of project costs
Other info:
To be eligible, the system must meet several technical standards and warranty requirements. This program is commonly used in tandem with the state's personal and business tax credits.
Utility-Sponsored Rebate Programs
Thanks to strong support from the state government, Oregon is home to a slew of utility-sponsored rebate programs aimed at promoting renewable energy and energy efficiency. What's offered below is a quick review of what's out there. For more details on the options in your area, click through to the program's main page.
Ashland Electric Utility: PV and Solar Water Heat Water Rebate
Eligible:
PV and solar water heat for residential sector
Amount for PV:
$2.25 per watt, up to $7,500 per project
Amount for solar water heat:
$0.40 per kWh in annual energy savings (typically $800 to $1000), up to $1,000
Central Electric Cooperative: Solar Water Heater Rebate
Eligible:
Solar water heaters and PB systems for residential sector
Amount:
$375 to $500 for solar water heaters
up to $1,500 for PV systems
Consumers Power, Inc.: Solar Energy System Rebate
Eligible:
PV and solar water heat for residential sector
Amount for PV:
$500 per kilowatt
Amount for solar water heat:
$500
Douglas Electric Cooperative: Solar Water Heater Rebate
Eligible:
Solar water heat for residential sector
Amount:
$500
Emerald People's Utility District (EPUD): Solar Water Heater Rebate
Eligible:
Solar water heat for residential sector
Amount:
$500
Eugene Water & Electric Board (EWEB): Bright Way to Heat Water Rebate
Eligible:
Solar water heat and solar pool heating for residential sector
Amount:
$600
Max amount for solar pool heaters:
$1,100
Eugene Water & Electric Board (EWEB): Solar Electric Rebate Program
Eligible:
PV for residential, commercial, industrial and other sectors
Amount for residential:
$2.00 per watt AC for net-metered systems, up to $10,000
Amount for commercial:
$1.00 per watt AC for net-metered systems, up to $25,000
Salem Electric: Solar Water Heater Rebate (PDF)
Eligible:
Solar water heat for residential sector
Amount:
$600
Salem Electric - Photovoltaic Rebate Program
Eligible:
PV systems for the commercial or residential sector
Amount:
$600/kW-AC for first 3 kW, $300/kW for each additional kW
Oregon Tax Incentives
Oregon recently upped its business tax credit from 35% to 50%, up to a potential of up to $20 million—that's the largest such incentive in the entire country. Individual homeowners are by no means left behind: they get a break on up to $6,000.
Residential Energy Tax Credit
Eligible:
PV, solar water heat, solar space heat, wind (plus a host of other renewable energy systems)
Amount for PV:
$3.00 per peak watt, with a maximum of $6,000, up to 50% of project costs
Amount for wind:
$2.00 per kWh, or $6,000, whichever is less
Other info:
Credit is limited to $1,500 per year (up to $6,000). To be eligible, the system must conform to performance and warranty tandards.
Business Energy Tax Credit
Eligible:
PV, solar water heat, solar space heat, wind (plus a host of other renewable energy systems)
Amount for PV:
50% of certified project costs, distributed over five years (10% per year)
Renewable Energy Systems Exemption
Solar and other renewable energy technologies are exempt from property tax, so investing in them does not increase property tax liability for homeowners or businesses.
Oregon Grants and Loans
Ashland Electric Utility: Bright Way to Heat Water Loan
Eligible:
Solar water heat for residential sector
Terms:
0% interest loan
Central Electric Cooperative: Solar Water Heater Loan
Eligible:
Solar water heaters for residential sector
Terms:
100% financing, up to $5,000; prime lending rate with a term of 5 years; no loan fee and no penalty for early payment
Emerald People's Utility District (EPUD): Solar Water Heater Loan
Eligible:
Solar water heaters for residential sector
Terms:
0% interest loan, up to $7,500, with a repayment term of 5 years
Eugene Water & Electric Board (EWEB): Bright Way to Heat Water Loan
Eligible:
Solar water heat and solar pool heating for residential sector
Terms:
0% interest, up to $4,000; 5-year repayment term
Salem Electric: Solar Water Heater Loan (PDF)
Eligible:
Solar water heat for residential sector
Terms:
5% interest, up to $7,500; term from one to five years
Oregon Production Incentives
Eugene Water & Electric Board (EWEB): Solar Electric Program
Eligible:
PV for all sectors
Amount for PV:
$$0.07-0.12/kWh for 10 years
Other info:
System must be at least 10kW in capacity and its owners must abide by an EWEB interconnection agreement. All system equipment must be UL-listed, and all PV modules and inverters must be rated by the CEC.
Oregon Pilot Volumetric Incentive Rates and Payments Program
In June 2009, Oregon established a pilot solar volumetric incentive rate and payment program* with legislation. Under this incentive program, systems are paid for the kilowatt-hours (kWh) generated over a 15 year period, at a rate set at the time a system is initially enrolled in the program. The Oregon Public Utility Commission (PUC) was left with the discretion to establish rates and rules, and incentive amounts may vary.
Updated 8/12/10
Oregon: Residential Solar Incentives |