West Virginia Solar Rebates

Nearly 85% of US energy comes from fossil fuels, and 15% of those fossil fuels are West Virginian coal.  With that on the table, it is no surprise that this state is historically reluctant to encourage renewable energy.  However, the clamor has grown in recent years and West Virginia has not been immune to the progress of much of the nation.

In 2007, West Virginia enacted a rather weak net metering program, but since has passed legislation to offer a 30% tax credit (capped at $2,000) on residential solar installations, including PV and Solar Thermal.  West Virginia also allows for zero sales and service tax on Energy Star rated appliances, provided they are purchased during the months of September and November of 2009 or 2010.  Bear in mind that all these incentives come in addition to any eligible federal incentives.

Net Metering [2007]

• All forms of renewable electrical generation are acceptable, from fuel cells to PV.
• The limit on net metering is 0.1% of the utility’s peak load.
• Customers must install a bi-directional meter if one is not in place and provide exterior disconnect at their expense.
• Customers must carry $100,000 in liability insurance and all systems must meet accepted electrical standards.
• Net Excess Generation (running the meter backwards) credits to the following month’s bill as a kWh credit for up to 12 months.
• Current laws limit array size to 25 kW for residential systems.
• Potential change in law could raise array limits to 2mW for residential customers and 500kW for commercial customers (West Virginia Public Service Commission to rule by July 1, 2010).

Solar Energy Tax Credit [2009]

• Offers a 30% tax credit with a cap of $2,000 derived from the cost to purchase and install a PV system.
• All solar collecting systems are eligible, including thermal hot water and PV, with the exception of those used to heat pools or hot tubs.
• To be eligible, a hot water system must derive 50% of its energy from the sun.
• If the total credit is not used during the issuing tax year, the remainder rolls over to subsequent years but cannot be carried past July 1, 2014.

Sales Tax Exemption on Energy Efficient Products

• Only available during the months of September and November in 2009 and 2010.
• Energy Star Certified appliances not more than $5,000 are eligible if purchased during the “tax holiday.”
• Exempts these appliances from sales and service taxes.
• Includes air conditioners, heat pumps, programmable thermostats and dehumidifiers, along with standard home appliances.

Useful Links

• Public Service Commission
• West Virginia Division of Energy
• DSIRE: West Virginia