NYSEIA News

(Story in Albany Times Union on Jan. 20 by Larry Rulison)
 
ALBANY -- The Public Service Commission voted Tuesday to keep state incentive money flowing to solar electric and other renewable energy installations across the state.
The commission approved $20.9 million -- including $12 million for the state's growing solar electric market -- through the end of June.
 
The money is essentially a stopgap measure designed to give the commission more time to decide on long-term incentives for so-called "behind-the-meter" installations of small scale solar, wind turbines, fuel cells and anaerobic digesters at homes and businesses.
 
Funding officially expired at the end of 2009, and PSC spokeswoman Anne Dalton says the commissioners will decide on long-term funding at a later meeting.
 
The solar industry reacted Tuesday with cautious optimism.
 
"Our position is it's good that the commission passed an interim plan -- it's better than a stick in the eye," said Ron Kamen, president of the New York Solar Energy Industry Association. "But the reality is we need to come up with a long-term solution."
 
The NYSEIA, which represents solar installers, distributors and manufacturers, says that it wants $50 million in annual solar incentives for installers to offer customers. The state spent $58 million last year as demand spiked for solar electric, also known as photovoltaic or PV. That was up from $22 million in 2008.
 
The incentives are provided through a program called the Renewable Portfolio Standard designed to increase renewable energy production in the state through subsidy programs. The money comes through a fee charged on utility bills. The New York State Energy Research and Development Authority administers the program and pays installers directly.
 
"The PSC today took significant action to ensure that funding is available to allow the PV incentive program to continue over the coming months," NYSERDA President Frank Murray said in a statement. "These incentives have been an invaluable tool in helping to build the clean energy economy and helping New York increase its use of renewable energy."
 
The PSC's approval caps spending on PV projects at $2 million a month. The incentive per watt will also be capped at its recently established level of $1.75 -- unless it's determined that that level is too low to attract applications.
 
A typical home PV system is 4.5 kilowatts, which can cost tens of thousands of dollars at roughly $6 to $8 per watt. The state incentives allow installers to reduce the cost to customers for an entire system by thousands of dollars. There are also federal and state tax breaks available that reduce the overall cost even more.
 
NYSERDA reduced the incentive from $2.50 per watt to $1.75 per watt last week to ensure that it could continue to fund the solar program as the PSC made up its mind on long-term funding.
 
NYSERDA has stressed that the funding level is still comparable with incentives in neighboring states.
 
Larry Rulison can be reached at 454-5504 or by e-mail at lrulison@timesunion.com

 
Read more: http://www.timesunion.com/AspStories/story.asp?storyID=890765&category=BUSINESS#ixzz0dHTqM7gR
 
 

Last changed: Jan 22 2010