Government understands the value of solar electricity and is encouraging its use by reducing the net cost to the level of current fossil-fuel power plants.

For residences: The state of California will pay 50% of the cost up to $4,500 per kW. To qualify for the rebate you must submit a reservation form, a letter-of-intent or purchase agreement with the installing company, and proof of current electric use. If approved, the California Energy Commission (CEC) will send a confirmation notice. The purchaser has 9 months to present proof of the final installation. A rebate check is then sent to the purchaser or installer, as mutually agreed upon.

For small businesses: There is a 10% Federal tax credit and 5-year ACRS depreciation. In addition, the same state rebate as residences is applied on the net cost. This can reduce the net cost by 66%. Our Sizing Options shows how these incentives may effect you.

The Emerging Renewable Resources Account

(the Buy-down Rebate Program)

The California Energy Commission (CEC) is managing the rebate program authorized into law in AB 1890 and SB90. It provides a direct rebate of 50% of the system, or $4.50 per installed watt, whichever is less. The purpose of the law is to encourage the creation of a grid of small power producers throughout the state. However the funds for this incentive are limited in both time and dollars, and are reserved on a first-come first-served basis.

The CEC allows either the installer or the purchaser to receive the rebate. In order to minimize your up-front costs, we prepare our bids showing the full cost of the system, and then discount the cost of the rebate. When we are assigned to receive the rebate, you will be billed for just your portion.

Part of the service of Borrego Solar Systems is to take care of this paperwork for our customers. We will provide for your signature the CEC Reservation Form - the first step in qualifying your PV system for the rebate. We will fill in the information needed and submit it to the CEC along with the following required information:

  1. Purchase Order or Letter of Intent.
  2. Copy of a recent utility bill (provided by you to Borrego Solar Systems).

The Energy Commission will review the Reservation for eligibility and send a Reservation Confirmation and Claim Form, along with the rebate dollar amount. Your system must be installed within 9 months of the confirmation date. Once your system has been permitted, completely installed, and is operational, Borrego Solar will submit the Claim Form to the Energy Commission for payment of the rebate.

More information is available at:

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