California Center for Sustainable Energy

Rebate program for solar water heating goes statewide

Not as much in the headlines as solar electric generation – not as flashy or as high tech – solar water heating got a big boost on May 1 as rebates rolled out for California residents adopting the technology. There wasn’t a splashy announcement that first day for the California Solar Initiative Thermal Program – the big new was in January 2010 when the California Public Utilities Commission ( CPUC) approved $350 million for the program.

We couldn’t help but celebrate at CCSE as a trickle of applications came in the first week because we were the administrators for the Solar Water Heating Pilot Program in the SDG&E territory (2007–2009) – the state’s only such program – that proved the viability of incentives supporting the adoption of solar water heating and helped convince the California Public Utilities Commission to develop the statewide incentive program. We are proud that CCSE’s California Solar Initiative staff will continue as local administrators for the new Solar Thermal Program.

Solar water heating ( SWH) is the original solar energy technology, in use for more than a century, and it stills supports a thriving marketplace in many areas around the globe. It remains an extremely effective means for homeowners to conserve energy and reduce utility bills that is relatively low cost.

A recent study by the European Solar Thermal Industry Federation reported that the Solar Thermal energy industry in Europe grew over 60% in 2008. Last year, I saw firsthand an amazing proliferation of rooftop systems in China where there are an estimated 30 million households with SWH – they lead the world. But when it comes to per capita leaders in the use of SWH, they are Israel and Cyprus with nearly 90 percent of homes using them.

The new Solar Thermal Program can help California grow its residential SWH market. While much of the funding (60%) is designated for nonresidential and multifamily housing solar water heating, there is still ample incentive money to give a homeowner good reason to take note.

You can get details about Solar Thermal rebates on our website, but let me point out two things. First, there’s a grandfather clause – any qualifying SWH system installed after July 15, 2009, is eligible to apply for an incentive. Secondly, SWH can save you money – now and in the future. The maximum residential rebate for those who heat their water with natural gas is $1,875. That’s about 20 percent of what you will pay for a residential system. Then add the 30 percent federal tax credit if you install certified equipment. Finally, with your new SWH system supplying 70-80 percent of your water heating costs, your savings begin on day one.

But saving money isn’t all that SWH is about. It’s also great for the environment because SWH systems reduce greenhouse gas emissions and avoid the use of fossil fuels.

The best way to learn about SWH technology and rebates is to take a free workshop at CCSE. We offer solar water heating basics for homeowners and a technical workshop for solar contractors and self-installers. This an excellent time to Go Solar, California!

Visit: www.energycenter.org/swh

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