Kansas State Solar Power Rebates, Tax Credits, and Incentives

Soldier loved one Kansas Solar Kansas State Solar Power Rebates, Tax Credits, and Incentives
Soldier and a loved one overlooking Kansas

Solar Legislator Score:  Kansas State Solar Power Rebates, Tax Credits, and Incentives

Kansas used to be the floor of an inland sea. That means the state is home to a phenomenal wealth of natural history. Not only that, Kansas is the breadbasket of America. Guess what you need to grow food? You guessed it: sun. With all those wide open spaces on the plains, Kansas is the perfect place to take advantage of clean solar power. Using renewable energy would protect the valuable natural history of the state and preserve its farmland too. Lately, the state legislature has been taking 1 step forward and 2 or 3 steps backward on clean power though. Here’s how the lawmakers have addressed renewable energy.

STATE LEGISLATION

In early 2006, the Kansas legislature passed House Bill 2589, setting a renewable energy standard. This bill says that all energy production facilities put into service in 2007 or later must meet the goal of having 10% of their production from renewable sources by January 1, 2010. Sadly, old power plants were grandfathered in and face no new regulations. It must be time to replace those aging utilities in Kansas!

A little tax credit

Kansas also passed Senate Bill 251, giving a $0.005/kWh tax credit to utilities for the sale of clean power generated from renewable sources. It’s a start, especially when combined with the baby step taken by House Bill 2589.

NET-METERING

House Bill 2844, passed in 2006, established net-metering rules for Kansas utilities. Net-metering is available for systems that generate 10kW or less. Net excess generation is credited to the customer’s next bill until the end of a 12-month billing cycle. After 12 months if you generate more than you use, you’ve just made a donation to your utility company (but it’s for a good cause since you’re using clean power). Reimbursement is however capped at 1% of the total number of kilowatt hours sold by the utility. This means that up to that 1%, customers are credited at the retail rate for the power they generate. Beyond the 1% cap, the utility reimburses customers at 150% of the wholesale rate.

STATE INCENTIVE PROGRAMS, UTILITY REBATES, UTILITY LOANS, AND UTILITY INCENTIVES

The Kansas Energy Office had a grant program in place that offered to help fund many important clean power projects, but it relied upon money from the US Department of Energy which cut back its support, and as of 2007, the Kansas Energy Office has not found other resources to continue the program. Just goes to show that states need to find their own resources and put pressure on the federal government if solar power and other renewable energy sources are going to remain priorities in the US.

On the plus side, all equipment used to generate renewable energy is exempt from property tax in Kansas. That goes for corporations as well as individual taxpayers. Sadly, Senate Bill 385, passed in 2006, makes it possible for counties to require payment to offset the tax exemption. We’ll have to stay tuned to see what that means for the promotion of clean power in Kansas, but it doesn’t look good from here.

Check out these incentives for renewable energy in Kansas:

Property Tax Exemption

* Renewable Energy Property Tax Exemption

State Grant Program

* Kansas Energy Office Grants Program

EXAMPLE 3KW SYSTEM – HOME INSTALLATION COST

Kansas has a Great solar rating. That means installing a solar electricity system is a cost-effective, efficient means of generating power for your home. Installing a typical 3kW system in Wichita would run about $49,500. With your new system, you’d save about $974 each year on your utility bills, and would raise your property value too. Even better, the system should pay for itself in about 22 years (using 1,300 kWh/month at a rate of $0.0858/kWh), and you’d get to keep about 160 tons of greenhouse gasses out of the atmosphere in that time! Here are some other important details about your solar power system:

  • 550 square feet of roof area required
  • $11,600 estimated property value increase (tax free!)
  • Estimated utility bill savings over 25 years of $24,338

CONSENSUS

With all that space in Kansas, solar energy could really make a difference in the future of the state. If only lawmakers could see beyond their own noses and take advantage of this abundant renewable resource. Some work has been done, and at least the legislature has considered the issue from time to time. Unfortunately, the bills that are passed often end up watering down or completely removing any progress on clean power generation. Topeka needs to take solar energy much more seriously. At present Governor Sebelius is still stuck on the dinosaur of “clean coal.” Better check out the fossils in Kansas quickly, they’ll be gone soon…

Click here to get hooked up with solar installers for your Kansas home or business

Read the 21 brilliant comments below or add yours!

Comment on July 15th, 2008.

I am writing a paper on solar energy in southeast kansas if anyone has any good information that could help it would be great

Comment on February 28th, 2009.

Net metering is bogus. The “new” Kansas law is outdated and an appeasement of Westar.
There is a guy on ebay selling 3kw grid tie systems made in USA for 15K
You will not get more than $500 a year in savings with a 3kw system on a house unless you can track the sun, that requires land.
If you have land you will get 4x cost/watt benefit for installing a windmill.

Comment on March 26th, 2009.

i think this is the BEST website ever!!!! i get everything i need just by looking up stuff!!!!!!!!

Alex
Comment on April 16th, 2009.

Want to know information about Kansas energy… http://www.kansasenergy.org/wind_projects.htm
This show the currnet in processed and proposed wind energy ongoing here in Kansas.

D.Clayton
Comment on September 14th, 2009.

“A 3KW in Kansas cost $49,500″ This is pure insanity to propogate this type of misinformation. That equates to $16.50 a watt. No wonder they aren’t investing in solar. You can get systems installed for about $6-$8 a watt. 3KW system should cost $15,000-$22,000 depending on who installs it and what equipment you choose. I am a Georgia based solar company and we get competitive pricing. Maybe I should set up a branch in Kansas and provide the fine people of that state with the service they deserve. Solar power rocks please debunk this $49,500 for 3KW myth. Time to farm the sun like your sunflowers do. Good luck

D.Clayton
Comment on September 14th, 2009.

In just about all the information I have read on renewable energy and indicators of potential, Kansas always pops in my head. Kansas is the perfect environment for wind, solar, bio-fuel production and food for human energy. Kansas seems like the epicenter for renewable energy production to me.

Comment on October 21st, 2009.

Kansas Solar Electric Co~operatives, Inc.
Non-profit Founded2005 Incorporated 4/2008
Issued 1 Million N/P Shares $10 Each

PhaseI Demonstration 10,000 SF @ KS County
Phase II Foundation 1,000 MWp BI-PV Solar in KS by 2022 $3 Billion
Phase III Manage+Maintain+Monitor 2010-72

GOALS ARE TO INCREASE:
Homeland Security
Emergency Preparedness
Environmental Integrity
BI-PV Solar Expertise
Provide Over 1,000 Green Energy Jobs 50Yrs

Visit Website – Read Annual Report 2009
http://www.geocities.com/Solar_Electric_Cooperatives

Help Support K-SEC Intervention Before
Kansas Corporation Commission [KCC]

Have you seen KCC’s on-line oil well permit site: https://solar.kgs.ku.edu/

Please help redirect misrepresentation and encourage KCC to change SOLAR acronym for coal business to SOAR. See K-SEC’s comments filed with KCC Oct 20, 2009.

brenda
Comment on October 26th, 2009.

Just one question since I’m just learning about solar panels and I live in Kansas. We do get a lot of sun and of course, wind.
unfortunately, we have severe weather as you know. Does insurance cover these or I’m assumiung you have to pay for insurance and also, can they take tennis ball size hail a few times a year? what about 80-100 mile an hour winds and of course, what about the winds from tornados? In other words, how much beating can the solar panels take and are there systems to help hold them down in high winds?
Is this possibly why many people do not purchase solar panels here in Kansas?
I’m seriously asking this because again, I’m just learning about them. thank you.

John B
Comment on November 29th, 2009.

Bio-fuels are a waste of time. They are not sustainable and if considered at the global scale, really do much more harm than good.

Bill Feleciano
Comment on July 23rd, 2010.

Can a Homeowner install the solar panels? Certainly a professional is needed to install a converter and hook it up to the grid. Is a permit required? Why is it so expensive? It seems that all of the natural resources(wind & sun)are in place. Seems we are being delayed by the quest for $$$$$$$$$ rather than saving energy costs.

Comment on August 25th, 2010.

Clayton, a good solar installer should recognize there is a mistake in the example provided. I think there is a mistake on the example system. My guess is that it is talking about a 7 kW system.

bbird
Comment on February 16th, 2011.

I am a business man. I.m looking for a new business and solar sounds promising. I’m a general contractor and I’m interested in selling and installing solar shingles or other solar products. any help will be appreciated

Typo91
Comment on April 4th, 2011.

bbird contact me on face book if your in the Wichita area, we are just starting and have wholesale accounts already in place for all equipment needed. Solar shingles are the plan for specialization.

John B C
Comment on May 16th, 2011.

I’m from Illinois, planning to move to Kansas. Illinois has one of the best programs for Solar Power. I plan on installing Solar Panels in my new house in Kansas, I just wish Kansas had a program that would help the residents like many other states. Get With It Kansas!!

L Mayden
Comment on May 30th, 2011.

To b bird and D Clayton, we should start a complete do it yourself store for home solar power.bmaster59@hotmail.com

Patrick
Comment on July 21st, 2011.

We are building a home and the developer/HOA will not allow any type of solar installation. His reasoning is that it is unattractive and reduces property values/resales. This is in a development with average home prices of over $500k. Any ideas on how to make the right to solar power actionable? We had already broken ground when we informed that solar was out. Its hard to believe that Kansas is do backwards when it comes to renewable energy.

Steve S.
Comment on September 26th, 2011.

Can anyone recommend some solar PV installers who would bid a small 5 KW system in Rush County (Hays/Great Bend area)? My father is interested in installing a system for his farm and would like it completed by Dec. 31 if possible. Any recommendations for quality, reasonably priced installers would be appreciated. Thanks!

Roland in KS
Comment on September 29th, 2011.

To Brenda – I had panels up and we had tennis ball sized hail or even bigger and the panels handled it ok, although almost every roof in the area didn’t and even my mailbox had holes in it. Previously we had over 90 mile per hour wind that managed to suck the panels out of their housing and they hit the ground, breaking the back of one. Upon reconnecting them they worked fine. I had mine insured, but I think they are probably covered under house insurance also, but check with insurance on that.

Comment on January 27th, 2012.

Hello,
I started a solar business in Wichita Kansas early this year. Due to the lack of interests and out of capital, I moved. I am a license contractor, and solar trained by SEI. I have whole account with multiple suppliers, especially Lumos and Magnum energy. I am specialize in battery backup system. I can help build a 3KW system for as little as $5/watt or I can show you how to do it yourself as long as you buy your equipment from me. I will stay with you during the entire installation process and beyond 10+ yrs. Please let me know davyechan@gmail.com. Offgrid is the way to go.

Donna
Comment on February 2nd, 2012.

I am interested in solar energy and live in Kansas but how do you know how big of a system you need for your home, i.e. 3k, 7k, etc. and how much savings you will get versus the cost of the panels, etc.

Darlene
Comment on March 10th, 2012.

Davy, Im sorry your solar business diddnt survive in Wichita. The common thought is in this economy in Kansas is a solar company must have res wind and be willing to travel.
& Patrick unless i am mistaken it is against the law for a HOA to deny a renewable energy installation. Take it to the city council first. BUT FIGHT! We need all the renewable energy we can get!

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