Georgia Solar Power Rebates, Tax Credits, and Incentives
Rolling hills and trees characterize most of Georgia’s residential communities. Add a generous supply of azaleas and other flowering plants to the trademark dogwood, peach tree, and magnolia blossoms, and you have a picture-postcard look at life in the heart of Dixie. It is truly beautiful.
However, if you actually live in Georgia, there will be times when you also have to deal with the unwanted effects of pollen combined with an excess of air pollution, and your sinuses and lungs might, on occasion, beg for relief. One form of relief could come from state legislation that strongly encourages the use of pollution-reducing energy alternatives, such as solar power.
STATE LEGISLATION
Unfortunately there has been no legislation to promote residential or commercial use of solar energy systems in Georgia. Net metering and solar access easements (as described below) pave the way for solar power in a very limited fashion. The fact that only one (1!) Georgia customer signed up for net metering in 2005 – the most recent year of DOE net metering statistics by state – clearly shows that other incentives are necessary to get people on the solar bandwagon here.
STATE INCENTIVE PROGRAMS, UTILITY REBATES, UTILITY LOANS, and UTILITY INCENTIVES
- Net Metering rules have been in effect in Georgia since June 1, 2002 for photovoltaics, wind power, and fuel cells. System size is limited to 10kW for residential installations and 100 kW for commercial installations. All utility companies are included in this plan, but are obligated only to pay for excess customer-generated power to a maximum of .2% of the utility’s annual peak demand the previous year. These and other conditions relating to net metering can be found here.
- A Solar Access Law/Guideline provides for the negotiation of easements that assure owners of solar-energy systems continued access to sunlight. More information here
- The Tennessee Valley Authority (TVA) offers an interesting program through participating Green Power Switch (GPS) Generation Partners. Solar or wind power produced by residential or small commercial generators can sell 100% of their output to TVA for 15 cents per kilowatt-hour. An additional $500 incentive to help offset start-up costs is also available to residential users who qualify. This TVA website provides the particulars.
EXAMPLE RESIDENTIAL SOLAR INSTALLATION
Georgia’s thriving population center of Atlanta had very humble beginnings. It was originally the 0-mile marker of a railroad that became a trade route from Georgia to the Midwestern U.S., and was known simply as “Terminus”. In the early 1840s, the fledgling community had about three dozen residents who felt a more appropriate name was required. Atlantica-Pacifica was chosen, but later shortened to Atlanta when the town was incorporated in 1847. Today, Atlanta embraces both Fulton and parts of Dekalb counties, and currently has nearly a half million people; the metro Atlanta area has about five million people, or nearly half the state’s population.
The principal electric supplier is Georgia Power, serving about half of the state’s electrical customers. Georgia’s average usage is 13,776 kWh/year at an average rate of 8.64 cents per kWh. An Atlanta resident can replace 50% of that energy use with a solar power system at an estimated net cost of $47,500 (that’s a mid-range projection for both the system and installation costs after a $2,000 federal tax credit), and 550 square feet of roof area.
Although the region’s solar rating is “good”, there are no state incentives to encourage residential solar power installations in Atlanta or elsewhere in the state. Nevertheless, the following advantages should be considered (results shown are for Fulton County; DeKalb County provides slightly better financial benefits):
- Estimated increase in property value – $9,920
- Estimated 25-year utility savings – $20,813
- Estimated reduction in greenhouse gases (CO2) – 141 tons
CONSENSUS
Georgia is one of the fastest growing states in the nation. Government and local utilities officials both have reasons to provide residential incentives for solar power and other renewable energy alternatives to mitigate demands on the state’s electrical capacity. As you can see from the above example, rather than leading in this effort, they are clearly trailing.
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