Downtown Indianapolis
Solar Legislator Score: 
STATE SOLAR LEGISLATION
The Indiana General Assembly wrapped up its 2007 legislative session on April 31 with some unfinished business. State Bill 2006 would have adopted a Renewable Electricity Standard (RES) requiring Indiana to obtain 10% of its electricity from renewable sources, but died because the House and Senate couldn’t reach an agreement on certain language in the bill. Other recent legislative action promoting solar power has been conspicuous by its absence. This, plus a comparative lack of current solar energy incentives, earns a “poor” rating for the state of Indiana. The Hoosier Environmental Council is doing its part to fight for the 10% RES. You can learn more and join the effort by clicking here.
STATE INCENTIVE PROGRAMS, UTILITY REBATES, UTILITY LOANS, AND UTILITY INCENTIVES
A state property tax exemption allowing an annual deduction against property tax valuations is one of the few solar incentives offered to residents of Indiana. Individual statutes cover solar, wind, hydro power, and geothermal systems. The property tax exemption applying to solar installations used for heating or cooling has been in effect since 1975. It broadly covers the entire system, including equipment for storage and distribution, and solar power installations attached to mobile homes. Specifics are available here.
From the Indiana Office of Energy & Defense Development, non-residential entities are eligible for grant funding. These are available to Indiana’s public, non-profit, and business sectors under the state’s Alternative Power and Energy (APE) Grant Program, which is supported by an annual budget of $300,000. 50% of the project cost up to $25,000 is available for solar electric or hot water systems, and/or wind power. Funding will be provided for the first 5 kW of rated capacity of solar electric systems and the first 10 kW of rated capacity of wind power systems; larger systems are eligible for a grant, but the additional capacity will not be subsidized. More information about this program is available here.
In September 2004, Indiana adopted Net Metering rules for solar, wind, and small hydroelectric generators with a capacity up to 10,000 kW. Residential customers and K-12 schools are eligible. Details are available here.
EXAMPLE RESIDENTIAL SOLAR INSTALLATION
Indiana businesses and residences demand a relatively large amount of electrical power (average: 12,504 kwh/year), requiring a solar power system of commensurate size. The following is an example of a solar installation in Indianapolis (Marion County), the state’s largest city, which has a population of almost 800,000 and more than 350,000 housing units; the main power provider is Indianapolis Power & Light.
* Roof area required – 550 sq. ft.
* Estimated mid-range cost of system/installation – $49,500
* Federal Tax Credit – $2,000
* Property Tax Exemption – yes
* Estimated increase in property value – $7,100
* Estimated 25-year utility savings – $14,896
* Reduction in greenhouse gases – 128 tons
CONSENSUS
As you can see, residential solar power systems in Indiana are a fairly costly proposition, with very little incentive offered by the state to promote their use. Net metering and property tax exemptions are a start, but still a long way from making solar power economically viable for homeowners. A lot more needs to be done here.
Click here have Indiana solar installers bid to upgrade your home or business
I am doing a paper on the practicality of harnessing solar power and I need to ask someone some questons can somebody help? send me an email AVahar00@pnc.edu.
Don’t let this be a measure of the whole state. I recently talked to a gentleman who had the option of either paying $20K for the electric company to run lines to his house or pay $20K for a solar system. Hmm… he went for the solar system. He lives in the West Central part of the state where prices are a bit lower than they are in Indy.
So sad to see our General Assembly not addressing the importance of this issue. They are still in the stone age.
I’m glad to see you offer a (dollar) cost vs. savings, something I’ve not been lucky enough to find on many sites. I’m in Indy and keep wondering whether I should upgrade to solar–if nothing else, solar water heating, but am finding little around online to help me in the decision-making process. With the possibility of the $2000 cap lifted from the 30% federal tax credit, after 25 years, your net cost (based on the numbers you’ve given, what with increase and property value and utility savings) would be about $12,650 instead of $25,500, which is a huge difference for the average homeowner. Are there also Indiana (or Marion County) tax incentives for installing energy-efficient and/or alternative-energy systems in the home? I’m having trouble finding these, but thought I’d seen them when I’ve paid taxes in the past.
I find that the utility companies in Indiana don’t want to see alternitive energy or want you to save by them as to be cutting into the money they make. you can’t even find good energy eficiant water heaters. you should be able to buy one through your utilitys compony and make payments with your electric bill
The two biggest barriers to solar power installation are high upfront cost and long payback period. Without some type of public initiative, solar power will never be successful. To advance solar energy use,Indiana needs to implement a carbon tax. This tax offers the promise of bringing solar energy to the masses.
First and foremost, tax revenues raised by taxing carbon emissions should be used to expand the earned income tax credit to help mitigate the negative impacts of carbon taxes on low-income families. Second, some of the revenues should be used to reduce the upfront cost of solar power installation.
Indiana is overdue for a big step forward in our energy options. A well-designed implementation of a carbon tax will accomplish this goal.
Hi Guys; Here is another incentive for solar power that I did not find in this page analysis….I am not associated with this company,,,just found the website by googling solar energy tax credits….and other companies exist that will accomplish the same goal.
Sol Systems provides an additional revenue stream over the term of the contract to enhance energy and cost savings. For example, a customer could purchase a 4kW system with installation for approximately $40,000. Depending on the location and system-type, the customer could produce approximately 5MW from the system each year. If Sol Systems were to contract with the customer to purchase SRECs for $300 each, the owner would receive an additional $15,000 over a ten year period. (Prices used here are for example purposes only)
http://www.solsystemscompany.com/
Also, the law or regs need to be changed in Indiana to force the electric companies to properly pay for the negative affects of coal plants. No such thing as a clean coal plant and until the coal plants environmental costs are properly charged to the electric companies, you will see a huge upswing on the cost efficiency of solar power.
my first eyeopener to solar was back in the late70’s early 80’s,when my parents bought 2 gigantic bubble type panels, not to affective but impressive for the time..Things are better now in this industry.It is sad to see how backwards Indiana is about solar, recently the star news published an invite to the public to submit what would best be suitable to build on the old MSA site downtown, How about a energy complex producing power and education to the citizens of Indiana. But,I bet they don’t do it. However it is easy to vote in a new stadium,convention center and a 100 million dollar road in Carmel. WTF, get real Indiana..
why not convert all post office vehicles coast to coast to natural gas or propane? they would burn clean, and the engines would last much longer. Next the US Navy has over 60 years experience with Nuclear power and missiles,they can build power generators on the bases,just off shore, for good cooling, as Japan is now doing. marine life likes warm spots, is there a more secure place for nuclear ? the power can be sold to the national power grid. future lasers will need the power.. and we can operate electric cars and trucks sooner. burt
If we want solar (or wind) incentives from the State, we have a lot of work to do. We will need the help of friends, neighbors, and communities to voice their opinions and get active in grassroots organizations.
Indiana is a coal producing state, with coal jobs, and coal fired electric plants. If we wait on the State, it will never happen. The coal lobbyist and big utiliies don’t want it, and they have deep pockets. Have you seen their commercials for “clean coal?” (What a joke!)
I’m new to the dialogue on solar in Indiana. I live in Indy and would be interested in what grass roots organizations already exist that educate or lobby for green energy. Anybody out there that can help
Hopefully Nanosolar will start selling to consumers by the end of 2009. Supposedly they are able to make thinfilm solar for 30 cents per kilowatt and will sell it for $1 per killowatt. If this pans out it could be a game changer for solar power. I’m pretty sure installed solar now costs $8-$10 per kw. The efficiency of the thin film is around 10% but at $1 per kw who cares as you could cover your entire roof with thin film for not very much $. http://www.nanosolar.com There are also some cool youtube videos of the thin film production process.
What a bunch of junk. Come on who are they trying to kid.
Solar Power Rocks.comIndiana??
It should be living in backwardsindiana.com
This is the only state I know of that has a great potential for wind and solarpower but will only bicker about it untill the big money people can get thier hands on it to monapolise it.I would love to go solar but I do not see it being any type cost savings in backwards Indiana before I die
Can anyone tell me what the average homes kwh an hour is in Grant County Indiana?
[...] 25-year utility savings – $14,896 * Reduction in greenhouse gases – 128 tons Indiana solar power and solar energy rebates, tax credits, and incentives. Cost breakdown for photov… __________________ [...]
You Solar fantasy people just crack me up. You never let physics or reality creep into your minds when your thinking…..Thinking is the wrong word…dreaming is more like it….tell me where are you going to get you electricity from when the sun isn’t shining? Remember we are currently in a HUGE economic mess….taxing people at this time is REDICULOUS!!! Look forward to reading some intelligent responses.
Lets turn this around on you IronRanger?
Where are you going to get you power from when we run out of coal, oil, gas, places to burry nuclear waste.
I think your mistake in assuming that solar power advocates are claiming that solar power is the ONLY solution. We are only advocating solar as PART of the solution.
I Decided to go Green in Greene co. IN. In the Town of Bloomfield
I Am INstalling almost a kilowatt of solar panels on my shop 20′x 24′ where I do repairs On ATV ,Scooters, Motorcycles ,golf carts, lawn mowers, small engines.
I will operate my lights, Battery chargers, power tools Off the suns power and makes a small dent in my part less carbon footprint . I am tickled Green about And have always wanted to do this since i was a Kid .
It Makes a Difference and i will advertise this to the local news and newspapers and hopefuly “GREEN” will get contagiuos!!
Like Ohio is the Buckeye state, Indiana is the Backward State. Indiana will, as usual, be the last state to adopt solar/alternative energy policy. Only after the majority of other states have done so, will Indiana start to move in that direction.
January 11, 2010
Indiana Legislator Introduces Feed-in Tariff Bill
First Comprehensive Proposal of 2010 in US, Adapts Rates from Ontario for a “Made In Indiana” Policy
by Paul Gipe
Indiana, United States [RenewableEnergyWorld.com]
Representative Matt Pierce (D-61st, Bloomington) introduced AB 1190 into the Indiana General Assembly January 7, 2010. The bill is the first comprehensive proposal for a system of feed-in tariffs in the current legislative sessions that have begun in states across the US.
AB 1190 tries to go Ontario one better as competition for renewable energy heats up in North America’s heartland….
[Note: For copyright reasons, we cannot print the entire comment/article. Please see above article on RenewableEnergyWorld.com. The gists is that Indiana is intro-ing a Feed-in-Tariff. It remains to be seen whether it will be passed, given that Indiana is a friendly coal state, but one can hope. ]
Thanks for the heads up, Greg. You rock.
I would like to have the stability of my own power source. The goverment doesn’t want that. Imagine if everyone was self reliant. What would the gov do then? So don’t look for the answers to come from them! There was a storage question in one blog. The answer is simple battery back up! On large scale operations I’ve heard of heating a volume of water. Then they extact the heat and turn that back to electric. It’s all energy and that alone turn the modern world.
I looked into many options when I built my home two years ago. Insulated concrete form (ICF), solar, wind, etc. I eventually went with geo-thermal and a blown cellulose insulation with a glue to prevent settling. It was the least expensive and provided the best return I could find. The answer is to do what is best for you. Educate yourself and run the numbers. Be as efficient as you can with what you have to work with (usually a budget, although that doesn’t seem to matter anymore). I’m all for being as energy efficient as possible, but there doesn’t appear to be a clear cut single solution so stop offending each other. You should be embarrassed. Just because you can plug in your car doesn’t mean it didn’t take coal to charge it in the first place. Moderation in all things!!!
The earthquake nuke disaster, should be the wake up call of wake up calls that we must improve our thoughts on our power needs. Surely leaving our children a poisoned world, thats unsustainable. I would hope is unacceptable.
In southern Indiana 1993 I watched a three day solar powered music festival.
I happen to know the same portable system is still in use and has since been supplemented with a windmill. Birds perch on the support wires and none have been shredded in spinning blades. the PV panels and small windmill charge a bank of batteries. He offers these systems and wishes to avail himself for those interested in doing it. I hope this is not too spammy and I am in no way financially affiliated with this genius. Try /www.faeriehillfarm.com that is his music site , but you can ask him about it.
btw he and his wife are off the grid FTW! they surf the net until their bandwidth runs out then they play electric guitars and synthesizers the rest of the day and night. conservative, but totally wired for modern convenience.
forgot to come back here in 2009 to respond to those that responded to my comments……..so here are my rebuttals. When I hear someone claim..’ what will we do when Coal runs out’ i have to laugh…..we have verified OVER 1000 years of coal resources in this country alone……I remember in the 70’s when the fear mongers claimed we only had 50 years of oil left at the current consumption rates….well, our consumption rates worldwide have DOUBLED+, and guess what they are saying now? we have 50 years of oil left……….So you ‘end of the world’ folks have got to stop using emotion where science is concerned……I would like Indiana to be one of the last states to adopt solar…why you ask? Because that means all the other states paid for the R&D installed the first and second generation Solar, while we will benefit from all of that and get the lastest and greatest Solar technology………by the way, I own a 100% electric car…… look forward to others comments………little quiz question….is our air in the USA cleaner now then it was 10 years ago……….???? remember science over emotion!
burt’s a mole, ladies and gentlemen.
