New Rebates Announced - Solar Now Affordable For Everyone

From SE CERTS Chair Anne Morse
This message was sent to all Winona County residents who attended the 2009 Solar Energy for Homeowners Workshop, Winona County EDA committee members, Sustain Winona members and other interested parties.

Great news! Federal stimulus dollars are now available to Minnesota residents for solar PV systems via the $2/watt state rebate. The Mn Office of Energy Security is managing the fund, which is about $3.5 million, so they’ll be able to support quite a few projects. For anyone desiring a solar system, the time is now, as installs have never been so affordable. As one rather jealous contractor from Rochester commented recently, if you’re in Xcel’s territory and can take advantage of it’s aggressive $2.25/watt rebate, solar PV is a virtual no-brainer! Please spread the word, and help make Winona County a leader in the number of solar installations.

Below are a couple of cost analyses to demonstrate how the rebates and credits work for Xcel residential customers. The costs detailed below, while reasonable estimates, are only a guide. Costs include installation, but do not account for complex installations. Retrofits are more costly than new construction, of course.

These solar systems have an expected lifetime of 30 years (panels typically have a 25year warranty), so with an expected $700 worth of electricity generated each year, paybacks are under five years, and in years 6 – 30, your system is a revenue generator.

5KW Solar PV system
Original Cost ($7/watt x 5000 watts) $35,000
Less 30% fed tax credit - 10,500
Less state credit of $2/watt - 10,000
Less Xcel rebate of $2.25/watt - 11,250
Net Cost of 5 KW PV System $ 3,250

Solar hot water system
Original Cost of 2 4x8 ft panels $9,500
(64 sq ft @$150/SqFt)
Less 30% fed tax credit - 2,850
Less state rebate of $25 sq/ft - 1,600
Net Cost of Solar Hot Water System $5,050

For State Rebate:
Rebates up to $10,000 per home are now available to Minnesota homeowners who install qualifying solar electric and solar hot water systems. Rebate reservations are available on a first-come, first-served basis for solar systems that are installed at an applicant's primary residence by a licensed contractor that meets program participation criteria. For more details, go to www.energy.mn.gov and you’ll find the Residential Solar Rebates link in the left column, under “What’s New” Printable Content

Manual on Tax Questions - http://seia.org/galleries/pdf/SEIATaxManual_v3-0_FAQ.pdf

Best Website for current Information on rebates & credits - www.dsire.org

Area Dealers who can get you started with a site analyses, designs, quotes, installation and service:

IPS Solar
Curt Shellum, Rochester,507.990.1382 curt.shellum@ips-solar.com

Winona Renewable Energy LLC
Tim Gulden, Winona, 507.312.0190 timothy.gulden@yahoo.com

Good luck, and let me know if you need help, or more information. Here’s hoping everyone who wants to can install some solar in 2010.

Anne Morse
Sustainability Coordinator
Winona County Environmental Services
225 West 2nd Street
Winona, MN 55987
Office 507.457.6468