In February 2009, the District Department of the Environment (DDOE) introduced the Renewable Energy Incentive Program (REIP), a rebate for solar photovoltaic (PV) and wind energy systems. The REIP is funded through the Sustainable Energy Trust which is supported by a public benefits charge on utility bills. As you will see in the example below, this rebate program truely makes home solar power systems affordable in Washington DC. However, as with all rebate programs, they will come to an end. Read on to find out how it all works.
- The states net-metering rules specify that metering equipment must be capable of measuring the flow of electricity in two directions.
- Utilities must pay for the installation of the second meter and/or other necessary equipment.
- Net excess generation (NEG) is credited to the customer’s next bill at the utility’s full retail rate.
- The renewable-energy credits (RECs) associated with customer generation are shared between the customer-generator and the utility.
- Utilities must offer a standard net-metering contract approved by the PSC.
Renewable Energy Incentive Program – $3/W DC for first 3 kW installed capacity; $2/W DC for next 7 kW; $1/W DC for next 10 kW
- Maximum incentive is $33,000,
- System must be grid-connected and installed by a licensed contractor; one-year warranty on installation required,
- Homeowners must be customers of PEPCO
- The program guidelines can be found here.
|Av. Monthly Electricity Bill||$120|
|Electricity Usage||10,284 kWh|
|System Size||6.00 kW|
|Electricity Generated per year||7,719 kWh|
|% Reduction in Electricity Bill||75|
|Cost / Watt (installed)||$7.00|
|State Rebate ($3/W DC for first 3 kW installed capacity; $2/W DC for next 7 kW)||$15,000|
|Federal Tax Incentive||$8,100|
|New Av. Monthly Electric Bill||$30|
|Monthly Loan Payment (30 yrs, 6%, 0 down)||$113|
|NEW MONTHLY NET COST||$107- That’s $13 less than your current electricity bill!|
|Greenhouse Gas (CO2) Saved:|
over 25-year system life