Rhode Island residential solar energy incentives

Residential renewable energy tax credit:

-This is a tax credit offered to residents of Rhode Island who have installed a photovoltaic system, solar heating system, wind energy system and/or geothermal heat pump.
-These renewable energy technologies are eligible for a 25% tax credit.
-The maximum incentive amount for photovoltaics, solar space heating and wind systems is $15,000. The maximum incentive amount for solar hot water systems and geothermal technologies is $7,000.

Renewable energy certificate incentive – People’s Power and Light:

-People’s Power and Light is a non-profit organization that buys renewable energy credits from photovoltaic systems and small wind-energy systems.
-The renewable energy credits collected from PV and wind systems are combined with renewable energy credits from low-impact hydro and biomass and sold together as “New England GreenStart”.
Renewable energy credits from photovoltaic and small wind energy systems are purchased from the system owner by the Energy Consumers Alliance of New England at a rate of $0.03 per kilowatt hour for a period of 3 years.

Property tax exemption for renewable energy systems:

-Renewable energy systems in the state of Rhode Island are exempt from property taxes.
-Eligible systems include solar photovoltaics, solar water heat, solar space heat, wind, biomass and hydroelectric.

Residential solar property tax exemption:

-All residential renewable solar systems including solar water heat, solar space heat and solar PV are exempt from property taxes.
-Some residential solar systems may only be assessed at the value of a conventional system.
Renewable energy sales tax exemption:
-In the state of Rhode Island certain renewable energy systems and technologies are exempt from sales tax.
-Eligible technologies include solar PV, solar water heat, solar space heat, solar thermal electric, wind, geothermal heat pumps and solar pool heating, as well as some equipment used with these technologies.

Solar thermal rebate program:

-Residents of Rhode Island who own solar water heating, solar space heating or solar thermal systems that are tied to National Grid are eligible to receive a 15% rebate of total project costs up to $1,500.
-Participants must share their water heating usage data for a 12 month period to qualify for this rebate program.

Net metering:

-In the state of Rhode Island, customers who generate electricity by using solar or wind technologies are eligible for net metering.
-Customers that generate excess electricity during a billing period have the option to have the net excess generation (NEG) credited to the next billing period at a rate that is slightly less than the utility’s retail rate or the customer may opt to receive compensation in the form of a monthly check for NEG.

Residential renewable energy tax credit:

-This personal tax credit allows the taxpayer to claim a credit of 30% of expenditures including labor costs and installation of qualified residential solar-electric systems, solar water heating systems or fuel cells. Small wind-energy systems and geothermal heat pumps can also be accredited for.
-Solar-electric systems and solar water heaters have a maximum incentive of $2,000 if placed in service before 2009. There is no maximum incentive for systems placed after 2008.
-The excess amount of the federal tax credit may be carried forward to the next taxable year if it exceeds tax liability.
-This can be carried forward until 2016, but after that, it is unknown if the unused credit will be able to be forwarded.

Residential energy conservation subsidy exclusion:

-This is a personal exemption of 100% of energy conservation subsidies provided by public utilities.
-The value of a purchase or installation of any energy conservation measure by a customer such as solar water heat, solar space heat or photovoltaics will not be included in the customer’s gross income.
-Customers of an electric utility company, who participate in the utility’s energy conservation program, may receive a rate reduction of electricity furnished or a nonrefundable credit against the purchase price of the electricity on each monthly electric bill.

Energy-efficient mortgages:

-This is a federal loan program where homeowners can use EEM (energy-efficient mortgages) to finance renewable energy technologies in a home.