Hawaii's Rebates and Incentives for Solar Energy Systems
Hawaii: a tropical paradise and one of the most visited states in the Union. Also a popular retirement area, the state has a fairly good program to promote solar progression for residents.
Rebates
- HECO, MECO, HELCO-Energy Solutions Solar Water Heater Rebate. This program is offered by the three major utility companies on the islands. There is a $1000 rebate available to homeowners, $125 per kW for commercial applications, plus $.0.05kW for new construction. Customers may also qualify for the 35% Hawaii State Energy Tax Credit and the 30% federal tax credit for solar water heaters.
- KIUC - Solar Water Heating Rebate Program is another utility rebate program for both residential and commercial purposes. Residents can qualify for up to $800, while commercial installations can qualify for 50%-80% of equipment costs. This program is for the island of Kauai only.
Tax Credits
- Solar and Wind Energy Credit. This is a corporate tax credit, but it can also apply to individuals and residential purposes. It is for the installation of solar water heat, solar space heat, and solar thermal electric and photovoltaic panels. This credit has no expiration date and allows individuals or corporations to claim an income tax credit of 35% of the cost of equipment and installation on a new system.
- Solar and Wind Energy Credit (Personal). This is a personal tax credit, but it can also be used for commercial purposes. It also offers a 35% credit on the materials and installation of solar thermal and photovoltaic systems. This one is set to expire in 2009.
- Total state tax credits in Hawaii amount to 35% or a max of $2250, whichever you reach first. Total federal tax credits equal 30% or a max of $2000.
Net Metering
- Hawaii-Net Metering Incentive Program. This program supports the installation of photovoltaic systems by crediting 1.0% of each utility's peak demand to the customer's next bill. Each utility offers a slightly different program, but the purpose is to reward those generating their own electricity through alternative energy sources.
Loan Programs
- The Honolulu Solar Roofs Loan Program. This is available to residents on the island of Oahu for the installation of solar water heat. It offers interest rates as low as 0%, has a varied maximum limit, and has a 7-year term. Qualification for this program is based upon family income.
There are additional incentives offered on the county and city level, making solar energy in Hawaii quite affordable and feasible. Just one more reason to love this tropical paradise!
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