All That You Need To Know About Applying For Solar Power Incentives

Once you’ve decided to install a solar energy system, and become a part of the California Solar Initiative so you can enjoy amazing incentives, either you or the installer will have to get in touch with the state incentive program administrator. You will need to submit an application for the solar incentive, and you will also need to make arrangements for your system to get connected to your locality’s utility company.

Application process

When you are ready, you will be issued with an application so you fill it out. Once you have completed the filling of the form and you submit it, funds will then be reserved depending on the size of the system you are going to install. You could also apply by filling an application form online.

After approval of the application

After the office the administrator has approved your application, you are then sent a written confirmation which serves to actually confirm what dollar amount your reservation is for. You are also given a date of expiration by which you must have installed your system. Typically, this always happens to be twelve months after the approval of your application.

Ways of disbursement

The payments of incentives are normally disbursed in either of two ways and they are;

  1. PBI – Performance-Based Incentive – Here, the applicant is paid a part of the total amount each month for five years.
  2. EPBB – Expected Performance Based Buydown – For this type of payment, the applicant is paid the whole amount at the time he installs his system.

Only a reputed and respected Solar Energy Company can help you greatly when it comes to applying for and getting solar incentives.


As of January 2010, only systems that feature a capacity of less than 30KW are qualified to earn the user the EPBB payment. Any solar power user whose system qualifies him for the EPBB payment is allowed to take the PBI payment system instead.

Equality of payments

Both of the two payment methods are meant to be financially equal. This actually means that the payment that will be disbursed to a solar user that qualified for EPBB will be the same as that of a user that’s qualified for PBI. The only thing is that it will be after accounting for the time-value of the monthly payments.

Decline of incentives

In other to produce a market that’s self-sustaining for solar energy and power systems, devoid of government subsidies, the payment of solar incentives will decline in relation to the actual growth of the market. This simply means that there will be the corresponding decline in incentive levels as progressively more people apply for the incentive program.

This is all that you need to know about how you can effectively apply for solar power incentives. You can actually calculate how much your solar incentive will be if the capacity of your system is less than 50KW. All you have to do is use the EPBB calculator on the homepage of the California Solar Initiative website. If you are tired of paying high electricity bills, then turn to solar. It’s what millions, probably billions, of families are using.

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