High Hopes for Solar Energy in Connecticut

With 2010 nearing its end, both renewable energy advocates and solar installers in Connecticut are looking at the year ahead.  In some ways, you could say 2010 was a disappointing year for solar energy, but others can say that the industry saw many signs of optimism.

Let’s first go over some of the largest disappointments of the year:

1. Veto of the Connecticut Energy Bill (Senate Bill 493) – This is a bill that would introduce a Solar Renewable Energy Credit (SREC) market to the state and the goal was to lower electricity rates.   Historically, Connecticut has the highest electricity rates in the domestic United States.  The energy bill was passed by large margins in the House and Senate, but was unfortunately vetoed by Governor M. Jodi Rell.  An SREC program in Connecticut could drastically change the economics in the state.  Just to give you an example, an SREC market was introduced in Massachusetts this year and cut the payback of a solar electric investment in half.
2. CT Solar Lease Program Dried Up – On February 26^th, 2010, the CT Solar Lease program announced the suspension of all applications and the program did not resume for 5 months.
3. No Rebate for Commercial Solar Installations – In the past, Connecticut had a rebate program available for commercial solar installations.  Although we won’t see the rebate resurrected, two grant programs are now available for commercial projects.

Although most solar installers are not happy with the events of 2010, there are also good signs of optimism for the coming year including:

1. Malloy Elected as Governor – Governor-elect Dan Malloy is known to be a proponent of renewable energy technologies.  As Mayor of Stamford, Malloy supervised the first municipal solar installation in Connecticut.  The governor-elect also mentioned he would have signed Senate Bill 493 (mentioned above) into law.  All good signs for solar power in the year ahead.
2. Restoration of the On-Site Distributed Generation (OSDG) Renewable Energy program – The Connecticut OSDG is a grant incentive for medium to large-sized commercial projects, including solar (PV) installations over 10 kW AC.  The OSDG program will be offered through July 2012, or until funds run dry.
3. Commercial Solar PV Program Announced – Connecticut now has an incentive for large-scale photovoltaic solar installations – those over 50 kW AC.  The funding from ARRA is available through April 12, 2012, but I suspect that it will be exhausted sooner.
4. Introduction of More Generous Solar Thermal Program – Connecticut increased incentives for solar thermal installations by 60% in October 2010 with the use of ARRA funds.
5. CT Solar Lease Program Reopened – As of July 15^th, 2010, the Connecticut Solar Lease is open again, but has funding for approximately 100 leases.  At the current rate, I don’t expect the program to be open for all of 2011.
6. Residential Solar Rebates Holding Steady – The per watt solar residential rebate in Connecticut has held steady for all of 2010, with no indication of changes for 2011.  Most states, including California, Massachusetts, New Jersey, and Florida, have seen incentives dwindle as equipment costs have declined.

We think 2011 is going to be a good year for solar energy in Connecticut, and it will only get better if SREC legislation is signed into law. Brightstar Solar, a licensed Massachusetts solar installer, can provide a complimentary evaluation to determine if solar energy would be a viable option for your home or business.  If you decide you want to move forward, our company will help you complete the necessary paperwork to maximize the available incentives for your project.  Please contact us today for your free solar evaluation.