Wisconsin Solar Power Rebates, Tax Credits, and Incentives

Wisconsin State Picture
A cheesehead more interested in cheese than wearing the right jersey

Solar Legislator Score:  Wisconsin Solar Power Rebates, Tax Credits, and Incentives Wisconsin Solar Power Rebates, Tax Credits, and Incentives Wisconsin Solar Power Rebates, Tax Credits, and Incentives Wisconsin Solar Power Rebates, Tax Credits, and Incentives

Updated 9/2009. All that is below about the Wisconsin Solar Rebate or “Focus on Energy Program”  is still good and accurate info, so haven’t messed with it. Thanks Dave and Dan! You rock for …, uhm,  not making Wisconsin change their program before I updated it.

I’ll just add as an example for a 4kW system for solar electric:

  • Cost Before Rebates: $30,000 based on $7.50/watt installed price. (Don’t panic!)
  • Federal / State Tax Credit: $6,750
  • State / Utility Rebate: $7,500
  • Net Cost: $15,750
  • Cumulative Lifetime Savings: $23,092 over 25 years  (Remember they last even longer, so cha-ching.)
  • Investment Return: 5.5%

Your solar electric system may cost more or less expensive depending on your energy usage and other factors.  Bottom Line, whatever your residential usage, if your utility participates in the program, it’s an up to 25% off sale, thanks to the Sate rebate, plus an additional $500 if you go through their site assessment and comply with their recommendations. Not a bad thing to do.

Get a free quote from one of our installers, and they should walk you through all of paperwork. But don’t buy anything until the State approves you and your lovely tree-less/minimally shaded home for the rebate.  That’s the key. But once you do that, get solar, you rock, Wisconsin person. I like your beer an sausages too, but love your solar rebates. If only I could find a Wisconsin girl to love and be able to wear one of those cheese heads.

Solar Fred. 9/2009.

To be eligible for these incentives and grants, your home, business or organization must purchase electricity or natural gas from a Wisconsin utility participating in the Focus on Energy Program. Eligibility information is available on the Web site at focusonenergy.com, or by calling the Information Center at 800.762.7077.

Site Assessment Programs

Site assessments are designed to give business owners site-specific information about how solar electric, solar thermal or wind electric systems can help meet their energy needs. A facility site assessment typically costs $400 to $600 for one technology. Businesses located in the Focus on Energy territory can receive 50 percent off a commercial site assessment.

A residential renewable energy site assessment typically costs $300 to $400. Homeowners located in the Focus on Energy territory can receive this service by paying just 40 percent of the cost; Focus on Energy pays the remaining 60 percent.

REBATES

Rebates or “Cash-Back Rewards” as Wisconsin likes to call them are available for installing or expanding commercially available renewable energy systems. Rewards vary by renewable energy system type, size and by the amount of energy the system is expected to produce.

Solar electric (PV) systems: Rewards for systems with a capacity of 20 kW or less can fund up to 25 percent of the project cost, with a maximum reward of $35,000. Incentives for nonprofit or local government projects may be approved for up to 35 percent, with a maximum reward of $50,000.

Solar hot water systems: Rewards can fund up to 25 percent of the project cost, with a maximum reward of $2,500 for small systems and a maximum reward of $35,000 for systems that produce over 250 therms per year. Incentives for nonprofit or local government projects may be approved for up to 35 percent, with a maximum reward of $50,000.

Wind energy systems: Rewards for systems with a capacity of 20 kW or less can fund up to 25 percent of the project cost, with a maximum reward of $35,000.

Non-residential biomass combustion systems: Rewards can fund up to 25 percent of the project cost, with a maximum reward of $10,000.

Solar bonus for homes: Owners of Wisconsin ENERGY STAR®Homes and existing homes that have participated in the Home Performance with ENERGY STAR Program are eligible for a $500 bonus toward the cost of their solar electric or solar hot water system.

GRANTS

Businesses and organizations are eligible for Focus Grants if they purchase natural gas or electricity from a participating Wisconsin utility.

Business & Marketing Grant

These grants provide financial support to organizations and businesses that provide renewable energy services for developing their business plans and marketing materials. Focus on Energy can fund up to 50 percent of these project costs, up to a maximum of $10,000.

Business and Marketing Grant Round 11 (PDF) ( 184KB)

Business and Marketing Grant Round 11 (Word Format) ( 265KB)

Feasibility Study Grant

These grants provide financial support for feasibility studies to determine whether renewable energy systems will work for you. The grant is intended to increase the ability of businesses and organizations to make informed decisions about using renewable energy systems by understanding and solving technical uncertainties. Focus on Energy can fund up to 50 percent of these project costs, up to a maximum of $10,000.

Feasibility Study Grant Round 11 (PDF) ( 183KB)

Feasibility Study Grant Round 11 (Word Format) ( 259KB)

Implementation Grant

These grants provide financial support for developing large renewable energy systems with a capacity greater than 20 kW or 5,000 therms per year. The chart below summarizes the qualifying systems.

Solar Electric Implementation Grant Round 11 (PDF) ( 168KB)

Solar Electric Implementation Grant Round 11 (Word Format) ( 235KB)

Solar Hot Water Implementation Grant Round 11 (PDF) ( 187KB)

Solar Hot Water Implementation Grant Round 11 (Word Format) ( 595KB)

Wind Implementation Grant Round 11 (PDF) ( 177KB)

Wind Implementation Grant Round 11 (Word Format) ( 250KB)

Development Grant

These grants provide financial support for large projects that are not eligible for Implementation Grants. These grants co-fund complex feasibility studies, environmental permitting, financing and other developmental activities. Focus on Energy can fund up to 50 percent of the project

costs, up to a maximum of $50,000.

Renewable Energy Development Grant Round 11 (PDF) ( 186KB)

Renewable Energy Development Grant Round 11 (Word Format) ( 251KB)

Grant applications are due at noon on the last Wednesday of every month. If your application is received after noon, it will be considered the following month. Grant applications may be submitted to the Renewable Energy Grant Committee by email to renewableapplications@focusonenergy.com, by fax to 608.249.0339, or by mail to Focus on Energy, 431 Charmany Drive, Madison, WI 53719.

Also, don’t forget you get a 30% Federal Tax Credit off your system too. Ask the installer and your tax adviser about that stuff and how it will change the bottom line.

Click here to have multiple solar installers bid to upgrade your Wisconsin home or business.

Read the 31 brilliant comments below or add yours!

Neil O'Connell Identicon Icon Neil O'Connell
Comment on November 26th, 2007.

Don’t forget the WI property tax exemption. Maybe this will elevate WI into the 5-star rating? :)

Mark Meissner Identicon Icon Mark Meissner
Comment on January 2nd, 2008.

Is there a place or web site that is a collection of all you want to know about solar equipment and pricing and subsidies in WI?
Mark

kim Identicon Icon kim
Comment on August 7th, 2008.

Can I get some help on recieving a grant to put in Solar power- we own 40 acres deep in the woods with no hope of electricity,, they have given us a quote of 60,000 to run poser to our place. We are hoping that there is some kind of grant we can apply for to get solar put in. We plan to build there but not until we can figure out our power situation..right now we run off a generator. Please contact me on where to start… kim_krull@yahoo.com

Comment on November 18th, 2008.

Why can’t they make this easry and cheaper for us.

Jerry McIntire Identicon Icon Jerry McIntire
Comment on December 14th, 2008.

It’s pretty easy and the incentives make it much less expensive. Any solar installer will be familiar with the incentives. Find a couple contractors near you to do a preliminary site assessment and give you an idea of the cost of a system. When you figure the ongoing savings, the systems are not overly expensive– especially if connecting to the grid is that expensive.

Ax Identicon Icon Ax
Comment on December 31st, 2008.

Where do i go to learn about intstallation and design of PVC..I would be interested in attending a course.and get the certification in Wisconsin….

Comment on January 12th, 2009.

I work for a solar thermal parts and systems distributor in Milwaukee and have been in the solar industry for 8 years. There are a good deal of solar installation companies in WI and I’d be happy to help put people in touch with installers closest to them. Feel free to contact me at sharon hotwaterproducts com.

Also, for certification questions, here are some important links:
http://www.the-mrea.org
http://www.focusonenergy.com
http://www.renewwisconsin.org
http://www.nabcep.org

Becca Identicon Icon Becca
Comment on January 22nd, 2009.

that dog has number 4 for brett favre but he is retired so you should change it to a differant number!!!!!!!

hayley Identicon Icon hayley
Comment on January 22nd, 2009.

that dog looks like an awesome fan, i would like that dog to be my fan!!!!!!!

Comment on January 22nd, 2009.

On Wisconsin Packer Dog!!!!!!!!

Neil Identicon Icon Neil
Comment on February 4th, 2009.

I would like to put up a skystream 3.7 wind turbine but i am on bayfield Electric co-op and cannot use focus on energy incentives. Any one know if anything else is available.

rachel Identicon Icon rachel
Comment on April 28th, 2009.

Sharon, I am looking into solar energy to supplement electricity/contractors Milwaukee, WI.

Adam Identicon Icon Adam
Comment on May 4th, 2009.

What is the current situation for selling power back to the grid off solar?

d. reynolds Identicon Icon d. reynolds
Comment on June 7th, 2009.

Is it possible to get a grant to help put solar panels at our municipal pool to heat the water? Where would I find help with this?

Comment on June 21st, 2009.

Great site! One helpful element that’s missing is a date on the information. It would be helpful to know how recent the data are! Thanks!

Shirley Identicon Icon Shirley
Comment on July 2nd, 2009.

If a Wisconsin LLC purchases solar panels solely for the manufacture of electricity of which they sell directly to Alliant Energy as a contractual 10-year agreement in the buy-back program, is the equipment purchased for that manufacture subject to Wisconsin sales tax?

Pat Bajwa Identicon Icon Pat Bajwa
Comment on September 13th, 2009.

I would like to start out with an inexpensive kit. on a small scale to see how it works?

Is there a place that sells everything included?

Thank you, Pat

Comment on September 13th, 2009.

Hey, Pat,

Unless you’ve got some training, I really wouldn’t bother about size and testing things out. Solar is modular any way, meaning that you can always start small and add later if you want to test.

These are some excellent incentives here in Wisconsin, so just get a free quote from one of our installers for a small system. The sales person should explain or show you models of different sizes. You really can’t lose and you will probably learn a lot, at worst. Again, it’s free, so nothing to lose here.

FYI, I would NOT invest in any of these DIY kits that claim that you can find all you need to build your own solar panels at the local hardware store. Unless you have a great deal of time and energy and patience (as well as money) these are scams. Please trust me about this.

Pingback on September 13th, 2009.

[...] 9/2009. All that’s in the Wisconsin Solar Rebate and Incentives Page is still good and accurate info, so Solar Fred hasn’t messed with it. Thanks Dave and Dan! [...]

JP Identicon Icon JP
Comment on September 21st, 2009.

I may have missed something, but why are the Federal/State tax incentives only listed at $6,750 (22.5%) when the US Treasury Grants alone will cover 30%? Is there a limit on what it can be used in conjunction with?

Comment on September 21st, 2009.

JP,

From our reading, if you are a resident, you must calculate the Federal 30% Investment Tax Credit AFTER any state rebate has been deducted. Businesses may take this cut from the top, but there are other tax considerations. Residents can also try this, but it’s unclear whether the IRS will accept this, and most of our installers have erred on the conservative side.

Also, remember this is NOT a grant, i.e., cash for home owners and small businesses. This is a tax credit, which is sort of like a gift card for the IRS. So if you get a $6,000 solar tax credit (no matter how you calculate it) then you can use that $6,000 to pay your tax bill. If you owe $8,000, on April 15th, you only have to pay $2,000. However, if you owe less, say $5,000, you won’t get a $1000 back from the government. Instead, you’ll have to use that extra grand towards next year’s tax bill or the following years. Check with your own tax people about the 30% calculation, but this is our understanding. We’re also waiting for the IRS to actually print the tax form and give more specific guidance.

Hope that helps.

Dave Cook Identicon Icon Dave Cook
Comment on September 28th, 2009.

I just installed a 7.5 kW system for our home at a hefty chunk of change. It is grid-tied and our co-op is happy to finally have someone install a system so they can evaluate how it works. But we have no grants available in the state from this co-op, and as far as I can see, I can only hope to recoop some of the cost through my federal taxes credit. I don’t see a state tax credit (only sales tax) and the property tax credit is only there so the assesor doesn’t assess my house at a higher rate because of adding in solar. Property tax credit won’t lower my property taxes.
What is in the future to help offset the cost in terms of tax credits from the state or grants for homeowners.
Dave in Rusk County

Comment on September 28th, 2009.

Dave,

first let me thank you for going ahead with your solar system despite the lack of rebates. You certainly rock, especially with a 7.5kw system. Sadly, you are accurate that the 30% federal tax credit is going to be the only real payback on that system if your co-op is not part of the Wisconsin “Cash Back Rewards” program.

Furthermore, I do not have solar crystal ball to predict the future rebates and state tax credits that might defer further costs for you. Typically, these are not retroactive, but perhaps with a little letter writing and phone calling from you and your neighbors to your co-op. and/or public utility commission, you might be able to affect some grass roots change. You also might want to contact votesolar.org and see what they suggest in terms of being proactive with your local legislator yahoos.

I’m sorry I can’t be more help. Any other Wisconsin lawyer/lobbyists able to help Dave? Please chime in. Either way, Dave, you’re a solar hero to us for installing the system. It should eventually pay for itself, just not as fast as people in the Rewards areas.

Dave Cook Identicon Icon Dave Cook
Comment on October 1st, 2009.

Thank you Fred.
For me putting in solar is a political/social decision even more than a monetary decision. I knew that we are not yet at a point where rebates are abundant, but I am hopeful they will as we need more clean energy. Even if I don’t fully recoop my expenses, my children and grandchildren will. I like reading your website, so thank you so much.

Comment on October 1st, 2009.

Thanks again, Dave! For saying what you said above, I’m recognizing you as a solar hero. I write another solar blog for the solar industry, and I’m including you on my solar hero list. You can see it here:

http://www.renewableenergyworld.com/rea/blog/post/2009/10/send-me-your-solar-heroes

Thanks again!

Joe Pater Identicon Icon Joe Pater
Comment on November 29th, 2009.

Solar in Wisconsin! I’m very glad to see all this great info on the WI solar landscape.

Bob Identicon Icon Bob
Comment on December 7th, 2009.

Hi Dave,
I wanted to know how did you calculate the cummulative savings and investment return percentage?

jan Identicon Icon jan
Comment on December 11th, 2009.

i have an inc. business with a flat 5000 sq ft roof in milw. i don’t know much about solar power, but am very interested. my biz is a day care and we would like to go as “green” as possible as a teaching tool. we have 360 degree exp. to the sun. is my building a good candidate? how many panels? would i be able to sell power back and how does that work? would i qualify for tax credits if i am a small corporation? thank you

Greggory Lawson Identicon Icon Greggory Lawson
Comment on January 12th, 2010.

Link: Wisconsin first in midwest to introduce feed-in tariff bill in 2010

January 8, 2010
Wisconsin First in Midwest to Introduce Feed-in Tariff Bill in 2010
by Paul Gipe, Contributing Writer
Wisconsin, United States [RenewableEnergyWorld.com]
Powerful Wisconsin legislators were first out of the gate in a brewing race to be the first to pass feed-in tariff legislation in the Midwest…

[NOTE: Due to copyright laws, we could not reprint the whole article that was left in this comment. Please RenewableEnergyWorld.com. The gist is that there is a Wisc. Feed-in-Tariff being introduced, but has not yet passed. Our apologies for not keeping up to date on every solar nook and cranny in every state. We have to eat sometime. ]

Thanks for the heads up, Greg. You Rock.

Nikki Identicon Icon Nikki
Comment on January 17th, 2010.

Interested in solar power for our barn…great sun exposure where do we start??

Comment on January 18th, 2010.

Hey, Nikki. I think you should peruse our FAQ sheet and then get a free quote from one of our partner installers or others in your area. I say this because every home is different, and since it’s a free estimate, the only thing you can lose is a bit of time, but you’ll get way educated about payback for you. Wisconsin has just passed a Feed-in-Tariff, so things are going to get even better there for incentives and quicker payback.

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