For the love of solar energy… and potatoes
Solar Legislator Score: 
From Lake Pend Oreille to the Sawtooth Mountains and Hell’s Canyon, Idaho has some truly unique natural beauty. Since there’s so much to see and do outdoors in Idaho, keeping the environment clean by using renewable power sources should be a top priority. Don’t forget about all those potatoes either; clean energy helps farmers too. How has the state legislature taken up the issue of renewable energy? Read on!
STATE LEGISLATION
In 2005, the Idaho legislature passed Senate Bill 1192, setting up a bond to fund independent renewable energy projects. This bill was a big step taken to encourage private utilities to develop solar and other clean power generation systems.
Also in 2005, the legislature passed House Bill 106, authorizing a sales tax rebate for the purchase of solar power generation equipment.
However, the going might get tougher, as Governor “Butch” Otter has gone on record with his preference of nuclear energy over solar and other renewable energies in 2007. Let’s hope the legislature can overpower the nuclear governor.
NET-METERING
In Idaho, net-metering is available to residential and small business customers of the three investor-owned utilities (Avista Utilities, Idaho Power, and Rocky Mountain Power) who generate up to 25kW of power. Each utility has it’s own rule as there is no statewide regulation, but all are similar in nature. Residential and small business customers get a credit at the retail rate toward their next month’s bill. The biggest limit to the plans is that system-wide net-metered capacity is set at 0.1% of peak generation from the year 2000.
STATE INCENTIVE PROGRAMS, UTILITY REBATES, UTILITY LOANS, AND UTILITY INCENTIVES
In 2005, the Idaho legislature approved Idaho Code Chapter 63, paragraph 3622QQ, which offers a sales tax rebate for the purchase of solar power and other renewable energy generation equipment. All systems capable of generating 25kW are eligible.
Chapter 63 also includes paragraph 3022C, which allows taxpayers to deduct 40% of the cost of a solar electricity system (or other renewable power generation systems). A taxpayer can take a 40% deduction in the first year, and a 20% deduction for each of the next 3 years (limited to $5,000/year – $20,000 total deduction).
Lastly, on a first-come, first-served basis, Idaho residents can apply for a rebate on the cost of a site assessment for a solar electricity system. This means that you can have the state pay $75 of the cost of having a grid-connected system designed, or $175 of the cost for a system off the electrical grid.
Check out these other rebates and incentives for renewable energy in Idaho:
Personal Deduction
* Residential Alternative Energy Tax Deduction
Private Grant Program
* BEF – Renewable Energy Grant
* BEF – Solar 4R Schools
Production Incentive
* Northwest Solar Cooperative – Green Tag Purchase
Sales Tax Exemption
* Renewable Energy Equipment Sales Tax Refund
State Bond Program
* Renewable Energy Project Bond Program
State Loan Program
* Low Interest Energy Loan Programs
State Rebate Program
* Idaho Solar Electric System Site Assessment Program
EXAMPLE 3KW SYSTEM – HOME INSTALLATION COST
Installing a 3kW solar electricity system in Boise (Ada county) would cost about $49,500. After state and federal tax credits, you would only have to pay $33,244. Since Idaho has a Great solar rating, you would generate more than enough electricity to pay for the system in about 20 years, with an average monthly usage of 1,300kWh at a rate of $0.0660/kWh. During that time, you could expect to save about $740 each year on your utility bills. More importantly, you could keep about 160 tons of greenhouse gasses out of the atmosphere. Here are a few more important details to consider from this estimate.
- 550 square feet of roof area needed
- $8,820 estimated property value increase
- Estimated utility savings over 25 years of $18,505
CONSENSUS
Idaho has taken some important steps toward building a solar and renewable energy market. In the past couple of years, the state legislature has passed important tax incentives to support residential and small business installations as well as a bond measure that could help the energy industry move toward clean power. It’s not time to stop yet though; with all the sun that shines on Idaho, solar energy could become a serious part of the energy equation with continued promotion from the state capitol. Get Governor Otter off of the nuclear kick too. With solar power Idaho can grow, with nuclear it’ll just glow.
Click here to connect with local solar installers for your home or business
