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26

Solar Power Incentives in Washington

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Solar power incentives in Washington

This post follows up on the first one in a series that was entitled “Solar Power Incentives in Oregon.”  Washington State, to the north, also boasts a number of generous tax and other incentives to encourage investment in solar power.  We’ll review each of them here, including links and information needed to go solar.

With reduced costs and greater efficiency, solar panels are becoming mainstream faster than you can say, “low electrical bills.”  And, with every $1 you save annually on power, your property increases in value by $20.  Perhaps you’ll save $500 per year?  That’s an automatic $10,000 equity boost, right from the start!

Definitely keep this in mind when considering the cost of solar panels.

Solar Panel install

Install solar panels in Washington state

In order to encourage people to install solar panels, Washington offers several key incentives.  These are in addition to federal energy tax credits, which can be combined to reduce the cost of solar panels by more than 50%.

Perhaps most notable is the state law that waives 100% of the sales tax on purchase and installation of PV and/or solar hot water systems, through 2011 (hopefully the Washington Legislature will extend this generous offer).

In addition, if you qualify for a Bonneville Environmental Foundation (BEF)-Renewable Energy Grant, you could save up to 33% of capital costs for purchase and installation of solar power in Washington. Visit their official website to learn more about the application process.

Under the terms of Senate Bill (SB) 5101, consumers can obtain an annual tax credit for small scale solar systems that are connected to the grid.  The Department of Revenue requires you to fill out a form that you must submit to your local utility, provided they are participating in the program (most are).  If you’ve purchased solar power equipment that was manufactured in Washington, enjoy an additional credit up to $2,000 annually.

All this saving with solar power is worth singing about!

As with the first post on Oregon, here is a list of the solar power incentives in Washington state, with credit to the DSIRE (database of State Incentives for Renewables and Efficiency):

Industry Recruitment/Support

Local Grant Program

Private Grant Program

Production Incentive

Sales Tax Exemption

State Grant Program

Utility Grant Program

Utility Loan Program

Utility Rebate Program

Just a few years ago, Washington State was criticized for not providing adequate, meaningful solar power incentives.  Looks like the Evergreen state is stepping up to the plate, now.  If you have utilized any of these programs, we’d love to hear your experiences.  Please leave a comment below.

And, for more information and resources concerning solar power in Washington, check out Solar Washington.org.

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3 Responses to “Solar Power Incentives in Washington”

  1. Cameron says:
    October 4, 2009 at 6:39 pm

    The incentives offered by the government to encourage solar panel installation will undoubtedly influence a lot of people to make the change. When you decide you want to go solar the next step is finding a contractor who can make your project a reality. To find contractors in your area go to http://www.helphive.com/electrical

  2. Lloyd Zimmerman says:
    March 9, 2010 at 7:24 am

    I am on the Ferndale City Council and I am trying to educate and persuade my fellow councilors about the advantages of building a sustainable public safety building. 3-7 2010

  3. admin says:
    March 9, 2010 at 7:31 am

    Hi Lloyd, I used to live in Washington state! Kudos to you for trying to help encourage sustainable building in Ferndale. Over time, the benefits will outweigh any initial costs: (1) reduced energy use; (2) lower public costs for maintenance and operation of the building; (3) tighter construction and better insulation means lower A/C and heating costs; (4) LED light bulbs mean they may never have to be replaced for 20-30 years; (5) renewable energy installations like solar and/or wind provide reliable back-up power in the event of an emergency, and also lower energy costs. There are many benefits. As an elected official, you will probably need to present specific research on the costs, tax savings, and amount of time that it will take to recoup investment. Many contractors are prepared to help with that analysis. It could be incorporated as part of the requirements in an RFP.

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