Sunny California is prime real estate for solar energy, and a number of California rebates make home solar systems highly affordable for Golden State residents. The only downside to these programs is that some have limited funding. Homeowners interested in solar panels will want to act soon to take full advantage of all the savings.

For pricing on a home solar system, click here.

Here are five solar incentive programs that every California homeowner should know.

1. The Federal Incentive Program

The government offers the most generous program. The federal incentive program pays for up to 30 percent of the cost of installing a residential solar system in the form of a tax credit. The program is currently set to expire at the end of 2016.

2. California Solar Initiative

The California Public Utility Commission (CPUC) has transitioned its residential rebate program over to your local utility companies. The CPUC oversees the program. The state still exempts renewable energy home improvements from property tax assessments, so installing a PV system won’t raise your property taxes.

The new program offers per-installed-watt rebates from the state’s three major utilities, Southern California Edison (SCE), Pacific Gas and Electric (PG&E) and San Diego Gas and Electric (SDG&E). It’s a tiered program, with rebates that step down in price as more utility customers participate in the program.

Currently, PGE and SDG&E are at the ninth step of the ten-step program, offering rebates of $.25 per watt. SCE is at the seventh step of the program, offering $.65 per watt.

Municipal utilities offer rebates as well, some of them substantially more generous than those offered by the larger utilities, although annual funds are generally limited. Of course, if you live in one of California’s top solar cities, your rebates are likely generous. The Los Angeles Department of Water and Power, for example, just moved to step six of their ten-step program, offering $1.62 per watt.

3. Single-family Affordable Homes (SASH) Program

Low-income Californian homeowners may be eligible to receive free or greatly-discounted home PV systems under the CPUC’s SASH program. Residents must be PG&E, SCE or SDG&E customers to qualify and must meet income requirements.

Generally, households earning less than 50 percent of the area’s median income levels may apply for a free 1-kilowatt home solar system. Households earning between 50 percent and 80 percent of median incomes may qualify for $4.75 per watt to $7.00 per watt rebates. SASH is administered by the non-profit organization GRID Alternatives.

4. New Solar Homes Partnership

The CPUC offers cash rebates to home builders who build houses with solar electrical systems built in. The New Solar Homes Partnership has been a huge success, and it’s likely the program will meet its goal of 400-megawatt capacity by 2016.

5. Thermal Rebate Program

The three major Californian utilities offer tiered rebate programs for solar water heating systems, too. Currently, all three utilities are in the first of a four-step program. Homeowners who replace a natural gas system can expect rebates of about $1,500. Those who replace electric systems can expect about $1,000.

Photo via joncallas

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Biophotovoltaics. It’s the intersection of life and electronics. Of organic matter and renewable energy production. Of one clean, natural process happily married to another.

Interest peaked? Good. Keep reading. 

The beauty of biophotovoltaics

The term is fairly new to solar industry circles. It’s used mostly to describe a device that can generate solar electricity through photosynthesis.

You may remember a certain “Juicing Jellyfish for Solar Power” idea buzzing around the web over a year ago. Or Daniel Nocera’s artificial leaf, which uses solar to split hydrogen and oxygen for use in a fuel cell.

As farfetched as those concepts seemed at the time, biophotovoltaic breakthroughs keep coming, this time in the form of grass clippings that may someday power whole villages.

How? MIT researcher Andreas Mershin believes that powering up rural villages–often left in the dark without an electrical grid–could be done simply and cheaply by blending custom chemicals with green plant matter and painting it on a rooftop.

Granted, the current efficiency of his solar cell is miniscule. At just 0.1% efficient, it has a long way to go in development, though Mershin’s cell has already quadrupled the performance of earlier biophotovoltaic systems.

His projection for a deliverable paint-chemical-plant mixture? Just a few years.

Do you think it’s feasible?

Let me know in the comments, and check out Mershin’s video for more information.

Photo: MIT News

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Even as the cost of home solar falls, the cost of conventional electricity continues to rise. The Energy Information Administration predicts that energy consumption will more than double by 2035 worldwide. Homeowners are starting to look at solar energy as protection against future price increases.

Fortunately, there are many solar options that will not only immediately reduce your monthly energy bills, but save you even more money over time. Here are five of the best.

For pricing on home solar power, click here.

1. Solar Water Heating Systems

Solar water heaters can cut your hot water costs by more than 50 percent. That kind of efficiency means that you’ll recoup the initial installation costs in around 5 years. Since the solar panels for these systems last 20 years or longer, you’ll enjoy many years of extra savings. A number of rebates and incentive programs can substantially reduce upfront costs as well. In fact, in many areas, there are more programs offered for solar hot water than there are for home photovoltaic (PV) systems.

2. Small Residential PV Systems

Even a few residential solar panels can make a significant impact in monthly electric bills, particularly if your utility company has a tiered-rate system. Utilities typically offer a base rate to cover basic electrical needs, but as your consumption increases, so do the rates. Many utilities increase rates further during peak-demand periods. The time of day when electricity is most in demand is usually in the afternoon, when solar panels are at their highest efficiency. As solar panels are modular, you always have the option to add more later.

3. Ground-Mounted (Backyard) Systems

If you’d like to go solar, but your home’s roof simply isn’t a good candidate for solar panels, consider a ground-mounted system. In the past, ground-mounted systems were considered more expensive, as they require extra equipment. But more and more solar contractors are offering ground-mounted systems that operate with GPS technology, enabling them to tilt towards the sun as it crosses the sky. This increased efficiency can offset the additional costs.

4. Solar Shingles

If you’re considering installing a new roof on your home, incorporating solar shingles into the design is another affordable way to work solar energy into your life. You’ll spend less than if you purchased a roof and a home PV system separately.

5. Solar Leases

Solar leases make it possible for just about any homeowner to enjoy lower electrical bills for little or no money down. The solar provider will install a system for you, maintain and insure it, and you just pay the provider for the electricity that the system produces at a locked-in rate, protecting you from rising energy costs.

Have You Gone Solar?

Have you made the switch to solar? What type of system did you go for, and why? Let me know in the comments!

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San Jose added more residential solar photovoltaic (PV) systems last year than any other city in California, according to the latest PV Solar Report, a quarterly analysis conducted by solar company SunRun.

San Jose’s number of home solar systems in 2011 was up 45.4% from just the year before, a dramatic increase that points to the rising popularity of home solar.

Out of the 960 home PV systems installed last year, 648 of them were leased systems, what SunRun calls “solar service.”

In total, nearly 7,500 home solar systems were installed in California last year.

SunRun, the nation’s top residential solar power company, installs over $1.5 million in solar every day.

SunRun president Lynn Jurich credits the company’s success to the growing popularity of solar leasing, stating that solar service “allows homeowners to make the switch for zero or very little money upfront, and they lock in a low rate for clean electricity.”

For home solar power pricing, click here.

Beginning in June 2011, solar leasing in California began to outpace purchased systems. In December 2011 alone, over 70% of solar installations in the Golden State were leased systems.

The appeal of leasing reaches beyond lower monthly electric bills. Many Californians are glad to find affordable ways to support technologies that reduce the nation’s reliance on fossil fuels.

San Jose residents can take advantage of incentive programs as well, including the federal tax credit program that can cut installation costs by up to 30%.

San Jose Pacific, Gas & Electric (PG&E) customers are also eligible for per-watt rebates from the utility. The current rate for PG&E rebates is $.25 per watt.

For a 4 kilowatt-sized home PV system in San Jose, rebates can cut the upfront costs from $33,000 to $22,000, with a payback period of about eleven years.

PG&E customers in San Jose can take advantage of net-metering, too. By reducing their conventional electrical use, they can often stay in the base-rate range, avoiding higher rates during peak demand periods.

Whenever the home is generating more power than the home is using, PG&E will credit the surplus to their monthly bill.

The PV report not only looked at the number of solar installations added, but the fastest-growing California solar cities, such as Hemet and Apple Valley.

“We thought it was important to not just look at which cities have the most solar installations,” said PV Report founder Stephen Torres, “but also those that are growing the fastest.”

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San Diego Gas & Electric (SDG&E) has filed two proposals with the California Public Utilities Commission (CPUC) that, if approved, may allow you to choose electricity generated by solar energy instead of fossil fuel-based energy, whether you own a home or not.

SDG&E is applying to begin two pilot programs. Information for each of them (and they’re worth checking out) is detailed below.

Note: for pricing on a residential solar system, click here.

Share the Sun Solar Farms

The first program, called “Share the Sun,” would allow solar contractors to purchase and install their own “solar farms” on their own or purchased property. San Diego customers would then be able to purchase a portion of the electricity generated from the provider installations.

You would be able to choose the size of the portion you wish to acquire, and would receive credit on your electricity bill for the value of the solar energy generated. In effect, this program would be similar to group-buying or community solar gardens.

Get a percentage of solar energy through SunRate

The second pilot program, called “SunRate,” would indirectly allow customers to purchase solar electricity produced by SDG&E’s own solar projects. SDG&E would establish a “green” rate that would reflect the cost of the solar energy generated by these projects.

In a twist that puts the power right in your hands, you could choose to have 50 percent, 75 percent or 100 percent of your electricity at the new, green rate. Although you would have to agree to a year’s subscription, the price (and reduction in energy costs) would be guaranteed for the term of the contract.

Why are utilities going solar?

In California, a utility’s renewable energy portfolio must represent 20 percent of that utility’s total energy distribution by 2013, and 33 percent by 2020. SDG&E has been showing progress towards reaching those goals, with several solar farms of their own up and running–and with more planned.

Recently, however, SDG&E proposed that the CPUC allow them to demand a “network usage charge,” a $20 to $30 a monthly fee, on homeowners who own or lease residential solar photovoltaic (PV) systems. The CPUC struck down the proposal.

SDG&E provides service to 3.5 million customers in San Diego and Orange County. The company is a subsidiary of Sempra Energy. Recently, Sempra Energy stock hit a new 52-week high. Before applying to the CPUC for the two pilot programs, SDG&E met with solar providers, community leaders and policymakers for input.

SDG&E is also proposing that the CPUC oversee a series of workshops where interested parties would be able to help shape the pilot programs to ensure transparency. Homeowners in San Diego can already save quite a bit on solar costs due to rebates, incentives and the like.

Should the CPUC approve the two pilot programs, many residents in the area will have the opportunity to go solar without installing a home solar power system at their own homes. As solar energy produced by larger solar installations typically costs less, residents may have the chance to lock in cheaper rates for their electricity, proving, once again, that going green can add green to the wallet, too.

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Chris Huhne, energy secretary, has taken another step to undermine the solar industry in seeking to appeal to the Supreme Court to defend his feed in tariff cuts. The saga of the cuts started back in October when Chris Huhne first proposed that the rate that home-owners received for their excess energy should be halved.

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“Expertise in multiple technologies is the future of the renewable energy landscape,” Victor Abate, vice president of GE’s Renewable Energy business, said in a statement. “At GE, we’re uniquely able to partner on both wind and solar projects with customers like Invenergy.”

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In Vermont’s state legislature, a bill is under consideration that will help owners of residential solar photovoltaic (PV) systems put more green into their pockets.

It’s not a rebate or an incentive program to reduce installation costs, but a change to net-metering policies–a change that can reap substantial savings for Vermont residents.

For pricing on a home solar system, click here.

What Is Net Metering?

When a grid-connected, residential solar system generates more electricity than the home is currently using, the home’s electrical meter literally spins backward, sending the surplus energy back into the electrical grid. In many states, the customer then gets a credit for that energy on the monthly electrical bill.

Net metering is one of the primary reasons that going solar has become so affordable. Even with a small home solar system, there are periods of the day when it will generate more energy than the home needs. When that excess electricity is credited to a home energy bill, it cuts down on the costs of the conventional energy that a homeowner may need to supplement the PV system.

Why is Vermont’s Net Metering Policy Changing?

Across the nation, public utilities are mandated to invest in renewable energy. Many utilities partially meet these mandates through net metering, but states are allowed to dictate the percentage of solar-generated electricity that utilities credit their customers. Last year, Vermont raised the cap on the amount that utilities can get from net-metered PV systems to 4 percent.

This, along with Vermont solar rebates, was good news for residents, but the new law restricted the size of eligible solar panel systems to only 5 kilowatts. In Vermont, the average home PV system is around 7 kilowatts, leaving most homeowners ineligible to take advantage of the extra savings without undergoing a taxing application process.

House Bill 475, which just passed in the state’s house of representatives, allows for a simple application process for PV systems sized up to 10 kilowatts. Best of all, the bill also credits customers with home solar systems more money per kilowatt hour for surplus electricity. The bill must still pass the state’s senate.

What About Other States?

Almost every state has programs in place that garner extra income for PV system owners. In many areas of California, for example, net metering savings can be augmented by taking advantage of tiered and time-of-use (TOU) rates. Tiered rates are those that rise as the customer uses more energy. TOU rates increase during peak-demand periods. Home PV systems typically generate enough electricity to keep customers in the lower, base rates.

Other states like New Jersey award home solar system owners a Solar Renewable Energy Credit (SREC) for each megawatt-hour of electricity that their systems produce. New Jersey SRECs are currently selling for $675 each.

Cutting installation costs through rebate and incentive programs is only the beginning of solar savings. Programs like net metering not only offer ongoing savings for homeowners, but decrease the payback period for their systems. Once that period is over, those savings become sheer profit.

For more assistance paying for a home solar system, check out solar lending programs, offered in Vermont and across other states as well.

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This house is beyond cool. Those in Southern California should swing by the California Science Center in downtown Los Angeles to tour a solar home nonpareil.

Known as the CHIP house, for “Compact, Hyper-Insulated Prototype Solar House,” the home was designed and built by students of the Southern California Institute of Architecture (SCI-Arc) and the California Institute of Technology (Caltech).

The project won first prize in the Energy Balance division of the Department of Energy’s Solar Decathlon competition held in Washington, D.C..

On approach, the CHIP house looks as if it’s been turned inside-out. CHIP wears the heart of its green technology on its sleeve. Most of the home’s exterior is wrapped in insulation, a flexible, quilted vinyl membrane.

It’s this exterior insulation, combined with solar technology, that creates the high R-values necessary for a net-zero dwelling. The home looks a bit like a giant pillow topped with a solar panel hat.

For solar pricing on a project in your area, click here.

CHIP is equipped with 45 solar panels, enough to provide three times the amount of energy the house consumes. The intention was not only to power the home, but to keep two electric cars up and running as well. As the primary sponsor for the CHIP project, Hanwha SolarOne, from their North American headquarters in nearby Costa Mesa, provided the panels.

It’s not the solar panels that make this 750-square-foot home so distinctive, but the way that the panels, and the entire home’s green technology, are operated. The CHIP home interface uses Apple iPad apps and an Xbox Kinect system as a master command center.

Residents not only can operate the home’s lights and electronic devices, but monitor the home’s energy systems by using natural gestures like pointing and waving their arms. The home is equipped with 3-D cameras, too, that signal light to turn on and off as residents move through the space.

The interior of the home features a single, open space, with living areas defined by a series of platforms, terraces that climb upwards and inwards into the home. Private areas occupy the highest platforms. The open floor plan is arranged around the natural flow of daily activities.

It took more than 100 students, two years and $1 million in funding to build CHIP, although the project team estimates that replicating the home elsewhere would cost about $262,000. You can take a look at the CHIP home, inside and out, at the California Science Center, through May 31, 2012. Free tours are available every weekday from 10 a.m. to 1:30 p.m. and on weekends from 10 a.m. to 4 p.m.

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Here’s a sweet little gem from our friends at Ecopreneurist:

Originally featured on the cover of SolarGas by David Hoye, the cartoon illustrates the frustrating battle of Big Oil versus Solar. Oil corporations have a stranglehold on every major energy source except renewables. How can the fledgling yet highly accelerating solar movement break into such an industry? From the ground up.

Residential solar at the local level is our best bet to flag the attention of policymakers in the U.S.  Demonstrate that the demand is there, and incentives to go solar will increase, making solar more and more affordable for all.

Interested in home solar power? Click here for cost information in your area.

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