Wow! $3M for Connecticut Commercial Solar Incentives

It’s official.  Connecticut has switched on funding for its Commercial Solar Photovoltaic (PV) Program.  This is an extremely generous grant program that is financed through the American Reinvestment and Recovery Act (ARRA).  Funding is available through April 12, 2012, but I suspect the $3 million in subsidies will be exhausted much sooner.

Acting CCEF President Dale Hedman said, “This new incentive program enables CCEF to continue its strong tradition of supporting the installation of solar PV systems at commercial, industrial and institutional sites around the state. To date, 143 commercial solar installations in Connecticut have been completed using CCEF funding. An additional 43 projects are in progress. CCEF looks forward to supporting a diverse assortment of new solar PV projects with these ARRA funds – helping schools, businesses, farms, government buildings and other facilities go green.”

The program is open to customers of all Connecticut utilities, including Connecticut Light and Power (CL&P), United Illuminating (UI) and all Connecticut Municipal Electrical Energy Cooperative (CMEEC) member municipalities.  Each application will be independently examined by CCEF.  Funding will be determined by an assessment of the Customer’s cost of energy displaced by the renewable energy system compared to the total cost and value of the energy generated by the PV system.  Below I have included a table from the CCEF program manual depicting the maximum funding limits for the commercial solar PV program:

Table 1 – Funding Limits for PV Projects

The Connecticut Clean Energy Fund (CCEF) and ARRA have imposed some restrictions.  Eligible projects must be at least 50 kW AC (Be aware: most PV systems are measured in kW DC) and must be in the development phase (the project cannot be in construction).  All PV installations must be completed and placed into service by April 12, 2012. Energy generated from the project must be primarily consumed at the Customer site at the moment it is generated. The program is open to for-profit companies, not-for-profit companies, municipalities, and state and federal government agencies.  No residential structures will be eligible for funding, including single-family homes, multi-family homes, condominium associations, apartment complexes or any commercial enterprise based on housing.

Applications for the Commercial Solar PV program will be reviewed by CCEF on a rolling basis until ARRA resources are consumed.  CCEF will only approve those projects that meet the following requirements:  (1) has attained significant progress in permitting and site control (2) involves minimal investment from CCEF, and (3) ready for construction.  If approved, the application will then be sent to the CCEF Board of Directors’ Project Committee for its final consent of grant disbursement.

If you’re interested in pursuing solar energy for your business, non-profit, or public institution, I urge you to act quickly because the commercial PV funding will go quickly. Brightstar Solar is an experienced solar company that can provide a complimentary evaluation and in-depth financial analysis to determine if solar energy would be a viable option for your site.