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Sectors Eligible: Commercial, Industrial, Residential, Nonprofit, Schools, Local Government, State Government, Institutional, (Must be customer of investor-owned utility in NY

Grant Amount: $1.75/watt DC; Incentive may be reduced for potential production losses associated with shading, system orientation, tilt angle, and other factors

Maximum Grant  Maximum determined by sector and incentive amount.
Residential: $13,750
Non-residential: $112,500
Non-profit, gov't, schools: $56,250
Numbers above include all possible bonus incentives for BIPV, Energy Star Homes

Eligible System Size: None specified, but systems may not exceed 110% of demonstrated energy demand.

NYSERDA Installer Requirements: Installation must comply with all federal, state and local codes; must be grid-connected and installed by a pre-approved contractor; must comply with New York's Standard Interconnection Requirements

PON 1050 Budget:  $12 M in interim funding available through June 2010

Energy Credit/Carbon Credits:  NYSERDA for first 3 years of system operation, thereafter customer/generator

Program Expires:  6/30/2010

Summary:

Note: On February 16, 2010 the New York Public Service Commission (PSC) issued an order providing $12 million ($2 million per month) in interim funding to allow NYSERDA to continue the PV incentive program from January - June 2010. The order also provides that (1) applications that exceed the $2 million monthly allocation will not be accepted; (2) incentive levels will be re-established each month; (3) incentive levels will be reduced by 10% whenever applications exceed available funding during the prior month; and (4) NYSERDA may increase incentive levels by 10% for the subsequent month if available funds from the prior month remain.  
 
The New York State Energy Research and Development Authority (NYSERDA) provides an incentive of $1.75 per watt (DC) to eligible installers for the installation of approved, grid-connected photovoltaic (PV) systems. The maximum capacity supported by the program is five kW for residential systems; 50 kW for non-residential systems; and 25 kW for non-profits, schools and municipalities. Larger systems are eligible for incentives, but incentives may only be received for installed capacity up to the program caps. Incentives are only available to eligible installers, and incentives must be passed on to customers. Once eligible, installers reserve incentives for approved systems for specific customers on a first-come, first-served basis for as long as funds are available. The goal is to increase the network of eligible installers across the state, offering customers a choice of qualified or certified installers in their area.  
 
During 2008 and 2009, the published program budget totaled $75.3 million*, and the PSC has authorized additional interim funding of $2 million per month to allow the program to continue from through June 2010. The program formerly accepted applications from eligible installers on a continuous basis, but a January 2010 notice to installers and subsequent February 2010 PSC order indicate that moving forward, the program will adhere to a monthly budget and applications that exceed the budget will not be accepted.  
 
Installer eligibility will be determined and maintained based on factors such as acceptance of all program terms and conditions, training, installation experience, track record related to utility interconnections, overall performance, monitoring, customer references, customer satisfaction, and commitment to become certified through a national certification program. NYSERDA is providing accredited training opportunities for PV installers to the greatest extent possible. Training opportunities are posted at www.powernaturally.org. The program web site (listed above) provides a list of eligible installers. There are currently more than 80 installers on the list.  
Total incentives may not exceed 50% of the installed project cost. Within this limitation program incentives effective January 11, 2010, (based on direct-current [DC] module ratings at standard test conditions) are as follows:

  • Residential incentives: $1.75/W up to a maximum of 5 kW per site meter  
  • Non-residential incentives: $1.75/W up to a maximum of 50 kW per site meter  
  • Schools, non-for-profit organizations, and municipalities: $1.75/W up to a maximum of 25 kW per site meter  
  • Bonus incentive: $0.50/W for Energy Star Homes and building-integrated PV (BIPV) systems

 

Exemptions to the capacity caps may be provided on a case-by-case basis. Applications are now limited to 225 kW per eligible installer company per month. This limit applies to the total number of applications from one installer company, even if the company employs more than one eligible installer.  
 
PV systems must be sized to meet specific site energy needs (local load or demand) and may not exceed 110% of the demonstrated energy demand for the site, taking into account any other on-site electrical power generation systems. Incentive levels will be reduced in proportion to potential output losses of greater than 20% for traditional PV systems and 40% for building integrated systems, as determined by the required installer system analysis.  
 
Incentives will be paid to installers in two increments and are tied to specific installation milestones. The first incentive payment, or 75% of the total incentive amount approved by NYSERDA, will be paid after all system components have been delivered to a customer’s site and the appropriate form is completed, submitted and approved by NYSERDA. The second incentive payment, or the remaining 25%, will be paid after a PV system has been connected to the utility grid and/or inspected by NYSERDA or its representatives and the appropriate form has been completed, submitted and approved by NYSERDA. The Energy Star Home bonus incentive will not be paid until the home has been registered with the New York State Builders Association.  
 
Customers who pay the state's RPS charge are eligible to participate in the PV Incentive Program. These include customers of the following utilities: Central Hudson Gas & Electric Corporation, Consolidated Edison Company of New York, New York State Electric & Gas Corporation, Niagara Mohawk Power Corporation, Orange and Rockland Utilities, and Rochester Gas and Electric Corporation. NYSERDA will hold the title to renewable energy credits (RECs) associated with the system's energy production for a period of three years, after which REC ownership will revert to the customer/generator.  
 
PV incentives are available for many end-uses (building or non-building) and sectors, including the residential, commercial, industrial, agricultural, institutional, educational and non-for-profit facilities, and government sectors. Incentives provided to customers under this program may not be combined with any other incentive programs offered by NYSERDA, such as a dollar-per-watt incentive, designed to directly offset the cost of a PV installation.  
 
 
* The original Customer-Sited Tier Operating Plan authorized $13.8 million for this program during 2008 and 2009. However, discretionary funding amounting to $4.4 million was later added in order to meet program demand. Supplements of $20.6 million (PSC order) in October 2008 and $21.5 million (NYSERDA reallocation) were made through February 2009 in order to keep the program open. Finally, an additional $15 million in program funding was authorized in June 2009 by order of the PSC, bringing total 2008-2009 funding to $75.3 million. The June 2009 PSC order contains a detailed description of this progression.