Washington State Solar Power Rebates, Tax Credits, and Incentives
Mt. Rainier National Park
2012 Update
Dreary cloudy Washington? It’s really not that dreary at all. Check out a solar resource map for the entire Pacific Northwest region. There, you can see during the summer months especially, the region enjoys a considerable amount of sunlight. So at least our legislators there have some sun to work with! Lets turn to the current state solar incentives.
Washington’s Renewable Portfolio Standard
In 2006 Washington became the second state in the nation to pass a Renewable Portfolio Standard (RPS), mandating that 15% of utilities’ electricity production must come from renewable resources by 2020.
The 15% standard will be phased-in over 3 targets: 3% of production from renewable resources by 1/1/2012, 9% by 1/1/2016, and finally 15% by 1/1/2020.
Washington deserves some credit for being the second state behind Colorado to pass an RPS of any kind. But not that much credit; compared to the Standard in a whole lot of other states, Washington’s is now sorely lacking. That 15% mark needs to be pushed to 30%, even 40% in the years after 2020 to be at parity with more aggressive standards set across the country.
A strong Renewable Portfolio Standard is an irreplaceable part of any successful renewable energy policy. If targets are low than the State and the utilities lack real motivation to encourage more renewable energy. They can throw a few REC payments, and a scant other incentive or two out there; if some people switch that’s great, but if not it’s no skin off anyone’s back. But if Washington had a stronger RPS that set higher renewable energy targets … that’s a different story!
You’d see the state and the utilities get off their butts and start plugging all of these inexcusable holes in Washington’s renewable energy policies!
Performance Payments
Washington has a Renewable Energy Credit (“REC”) program that will pay you for every kilowatt-hour (kwh) of solar energy you produce. The base pay rate starts at $0.15/kwh. Shop around and find local products, and that pay rate can go up quite a bit.
If your solar system uses modules produced in the state of Washington for instance, and you qualify for a multiplier of 2.4 to the pay rate, or $0.36/kwh of solar energy produced.
If your system’s inverter was manufactured in Washington, you qualify for a multiplier of 1.2, or $0.18/kwh.
What if both your inverter and your modules are manufactured in Washington? Yep – you get both multipliers for a maximum rate of $0.54/kwh.
REC payments are capped at a maximum of $5,000 per year, and they can be combined with net metering (explained below).
Community solar projects get an even sweeter deal; the base rate is $0.30/kWh and the same multipliers apply, raising the maximum possible incentive to an incredible $1.08/kWh! Each and every investor in a community solar project is eligible for a payout up to the $5,000 cap.
All of this sounds fantastic, and to be certain, those REC payments are pretty high. Hinging those high payments on local goods however, that gets a little bit trickier.
We get the desire to help local manufacturers. Really, we do. Unfortunately, using solar panels and an inverter produced in Washington will run you a tad bit more than say, solar panels made in China (we called our expert solar installers in your area and asked). It still probably makes sense to use financial sense to use local products, as we explain in a bit more detail below, but the increased up-front costs cut into your payback timeframe and profits. Since payback and profits is the bottom line, Washington’s overall performance payments scheme leaves a lot to be desired.
We know all of this information sounds like a lot. Don’t worry! All of these incentives must be applied for once when the system is commissioned, and any of the reputable installers we partner with should walk you through this process and simply present you with the papers to sign.
A few of Washington’s smaller communities also have their own performance incentives. If you live in Chelan County ($0.22/kwh), Okanogan County ($0.57/kwh), or the San Juan Islands ($0.17/kwh through OPALCO), you may be eligible for these local incentives, in addition to the state RECs.
Further incentives are available by selling green tags. The Northwest Solar Cooperative http://nwsolarcoop.org/ will pay you $0.02/kWh for the right to sell the fact that you produced green electricity to someone else.
That seems small, but pennies do add up. More importantly, the value of green tags is likely to go up, so smart solar system owners don’t lock into those low rates. For example, in New Jersey, where the market for green tags is more developed, a similar product recently sold for $0.66/kWh. Now that’s some real cash; east coast city prices whoo’eeh!
State Rebates
The more than 700,000 residents of Snohomish County (Washington’s third largest) are eligible to receive a rebate on the price of solar installation at a rate of $500 per kilowatt installed, up to a maximum rebate of $2,500. That’s it? That’s it. Combined with the lack of a state tax credit for solar systems, the vast majority of Washington residents aren’t getting any help with installation costs at all. We thought you were pro-environment, Washington.
State Tax Credits
Since Washington State doesn’t have any income tax, there aren’t any solar tax credits to redeem! Moving on to other tax exemptions…
Tax Exemptions
Washington exempts all equipment used to produce solar power, and all labor and services related to the installation of that equipment, from all sales and use taxes. As the sales tax in Washington is currently 9%, that’s nothing to sneeze at when purchasing equipment that costs twenty to thirty thousand dollars. That’s a model law right there. No twists, no tricks, just savings for smart solar energy.
What’s not so hot is the lack of a corresponding property tax exemption for the increase to your home’s value from installation of that new solar system. Another failed simple opportunity to encourage clean solar power. Seriously Washington, what is with all these gaps in your renewable energy policy?!
Utility Prices
Washington pays a bit over 8 cents per kilowatt-hour. That’s low. One of the five lowest average electricity prices in the nation, actually. Unfortunately that electricity is artificially cheap. It may not cost a lot in dollars and cents, but the dirty energy sources like fossil fuels that are producing those low energy costs are also producing environmental costs that are so high they may turn out to be incalculable.
When those environmental costs come to the forefront the cost of energy is going to skyrocket, and you are going to be really, really happy that those solar panels on your roof are producing your own clean, cheap electricity. Fossil fuels may go the way of the dinosaur (no pun intended), but we’re pretty sure the sun isn’t going anywhere! At least for another six billion years, give or take?
Net Metering and Interconnection
Net Energy Metering (“NEM”) is one of the critical contributors to every solid statewide renewable energy policy. Net metering means the utility company has to keep an energy tab for you; they have to track how much energy you produce and how much you consume. Every surplus kilowatt-hour you produce is carried over as a credit to future bills at the regular retail rate. So for every extra kwh of energy you produce one month, you get 8.39 cents to carry forward to any subsequent charges. That’s pretty standard stuff, but it’s the heart of good net metering.
Unfortunately Washington fails the test that separates a great net metering law from one that’s just OK. The best net metering laws make sure that you get the value of every kwh of surplus you produce – either in credit to future bills, or if you consistently run a surplus, in cash payments at the end of a regular accounting period.
In Washington, any net surplus you have accumulated and not used as a bill credit are forfeited to the utility on April 30th of each year, without compensation. Don’t fret! This just requires a little more planning to make sure you don’t install more solar power capacity than you will use each year.
The expert local installers we partner with can help guide you through this planning and a whole lot more. Besides, even if you produce a tad too much energy one year, you are still eligible for the state REC payments, even with net metering.
NEM is solid in Washington, if not spectacular. Sadly, interconnection is not solid at all; unless by solid you mean hard, and by hard you mean difficult, as in difficult to connect to the grid simply and cheaply.
Now, we don’t want to get carried away. Utilities may not require net-metered customers to comply with safety and performance standards not required by the Washington Utilities and Transportation Commission (“WUTC”) or, or to purchase additional liability insurance. So it’s not the worst interconnection we’ve seen … but it’s close.
Redundant external disconnect switches are generally required; customers are responsible for providing too much of the connection equipment; and the performance standards that the WUTC itself mandates — four of them: the National Electric Code, National Electric Safety Code, and standards from the Institute of Electrical and Electronic Engineers and the privately owned Underwriters Laboratories– could be made less onerous.
Example 5kW (5000 Watt DC STC) Solar System Return on Investment in Washington
So right about now you’re wondering what all this boils down to, as in how much money is all these Washington solar incentives are going to save you. Lots! Lots and lots! Take a look at the 5kw system example above and we’ll explain everything for you here:
This estimate uses an average price of $7,500/kW. That’s the price you’ll pay, give or take, if you purchase solar panels and an inverter manufactured in Washington to qualify for the increased REC payments. The example does not include the Snohomish County rebate program or the small local incentives. Our partners on the ground can let you know if you qualify for any of that extra free money. In the meantime, let’s see how this breaks down without any of those local programs:
- Cost Before Incentives: $37,000 (5kW x $5,000/kW) (Don’t Worry! It gets lower!)
- SREC payments in year 1: subtract $2,738 ($0.54 x 5070kwh)
- 30% Federal tax credit: subtract $10,429 (calculated after subtracting SREC payments)
- Annual electricity savings: subtract $425 annually multiplied by an increase of electricity rates by 1.5% every year thereafter (a 5kW system in Washington will generate roughly 5070kwh over the course of a year. Since the average price of electricity in Washington is 8.39 cents per kwh, that amounts to $425 saved per year, or $35 a month in savings!
- Cost after 1 year: $23,908, a discount of more than $11,00 already!
- Years to Payback: At that current rate of electricity savings annually, and assuming you cashed in on those REC multipliers, you can expect your system to pay for itself in about 15 years. Wait … 15 years?! Washington is behind the curve on solar policy folks. We’re not legislators, but we think this calls for some letters to your legislators.
- New electricity bill: instead of paying $100/mo (let’s just say) you’re paying only $65!
- Greenhouse Gas (CO2) Saved: 7707lbs/year, or like not buying 392 gallons of gasoline, recycling 1.2 tons of waste (instead of sending it to landfills), or planting 90 trees!
Like we said, this example assumes you chose to go with the higher REC payments, because that gets you the fastest payback. If you want lower up front costs, you can usually install a solar system for about $5/watt, but you’ll also wind up waiting a few more years for the system to fully return your investment because of the lower REC payments.
It’s really up to you: lower up front costs or better long-term financial results. Any of our local experts can help you design the system that is most lucrative for your priorities.
To find out how the numbers work out for you, fill out the form below and we’ll connect you to experts we trust in Washington to get calculate realistic estimates for you based on your unique energy usage, location, shading, roof orientation, and roof type. They’ll even do it for free!
Also, as of 2012, there are even plans available that let you go solar for nothing down, also called solar power purchase agreements (PPAs). You’ve probably heard of them before. Be sure to ask your Oregon solar installers about that possibility too if you’re interested.
Consensus
It’s pretty ugly out there in the world of Washington solar policy. No rebates; no tax credits; no property tax exemption; appallingly low, fossil fuel-backed electricity rates; poor interconnection; mediocre net metering; and REC payments that require you to purchase expensive local equipment to take full advantage. Add it all up and what you get is up front costs that are too high, electricity savings payback timeframe that is far too long, electricity savings that are far too law, and a payback timeframe – 15 years – that is far too long compared to our target “A grade” of 8 years or less in every state.
For such an environmental friendly state, you sure have dropped the ball on this one, Washington.
WA, we need to get with the program!
we are purchasing a Mobil home in Either franklin or benton cvounty in Wa we are seniors the mobile home is new what are the incentives for us to install solar power
Do you honestly think that solar needs to be propped up the way coal and nukes have been? We are in the energy mess we are in because of poorly though out subsidies (to coal, oil, nukes,and natural gas, and ethenol. Why not fight against wasteful subsidies, instead of trying to create yet another subsidy dependent pig at the trough? The Carter solar hot water subsidies created a bunch of tax shelter systems, and the industry went broke when, they were eliminated. You really want history to repeat itself????…..lets try a bit more creative thinking, directed toward local sustainablility, local jobs, and money staying in your communites. Right now the Federal, and most state incentives, promote installation by out of state carpetbaggers, poorly designed systems that underproduce, and move rate payer money directly to china, where “clean” energy solar is manufactured by coal fired electricity and shipped half way around the world by tankers driven by bunker fuel. Typical large scale PV systems are financed thru operations like Goldman-Sachs… not exactly keeping the money local.
There is an organization in Washington Sate that brokers Green Tag’s or REC’s for Washington based solar systems. The Green Tag Foundation (GTF) is paying .20 cents/kwh for green tag’s. That is well above what Bonneville Environmental Fund (BEF) is paying. GTF offers five year agreements for tax free cash on production of REC’s. email: greentagfoundation@gmail.com
Gib here from Vashon Solar LLC. Tell me more.
Hello,
Our company designs and manufactures electrical control systems and control panels. We are a UL listed manufacturer and are very interested in teaming up with “green” technology companies and keeping the money in the US. Let me know if we can be of any assistance to further your vision.
Thanks for all you are doing to educate, legislate and get people talking. I am just starting to learn about solar and am thankful to have found your site. I will recommend it to others asking.
I would like to have you on our links page, let me know.
Heidi,
Thanks for your thanks! That means a lot to us. Of course, we’d love a link from you.
Cheers,
- Dan
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Hello, I am doing a school project on Solar power in economics class and I appreciate this site, but I need to cite sources. Who wrote this article?
Hi Bryce. I wrote this article. I mostly dug up information straight from the Washington legislative website. Check their site out by clicking on one of the above bills that passed.
I would like to put up the pvc solar on my house to tie into the grid. But I don’t see the economics. The cost is too hight and pay back time to long! Even for a place like Yakima, Wa. with 300 days of sun. Maybe I’m wrong but thats how I see it. Thanks Dennis
Thanks
This is all quite interesting. Having lived in Omaha since 1991 and now in Washington State. I use to EF&I hot water and hot air systems for living. I did great until the tax credits went away. If my memory serves me correctly the state offered 30% tax deduction and the feds were 40%. The systems worked great and people were extremely pleased of their purchase.
So why is it so difficult to move the tax incentives forward and start the building process?
Be Cool, Rhino
I’ve been looking for Solar Panel installer classes for WA cert. I’ve been unable to find one. I’m looking for a way to get into the field but so far no real luck except “send me your money and we’ll get you certified.” I’ve rebuilt @15 houses in my “spare” time- but I’ve owned them all- so no contractors licence. Thoughts?
Can you give some details on the feed in tariff for WA state ? Is there any cap on producing electricity or getting money ? Can I install on open field and generate profit out of it ?
I’m constantly reading about the need to consider the “application of Solar Panels to create electricity”, so the following information maybe irrelevant, BUT it makes sense to consider the actual fact that “IF” you have an “ATTIC” in your home “YOU OWN A PERSONAL SOLAR HEATING SYSTEM” and it sure makes sense to use it to “HEAT YOUR LIVING QUARTERS” AND THE MONEY SAVED, which “Anachronism” has proven for “25 Years” will help you save and “Purchase” your new SOLAR ARRAY!
I have built (5) commercial “Passive Solar Systems” starting in 1983 to 1989 in Washington State. My first system “COST” $48 in 1983 and has produced 95% of heating necessary to 70 degrees for 25 years. This building is 95’ long X 55’ wide x 28’ tall. The cubic area is the same as 14-1800 sq. foot homes. My monthly cost when 30 degrees outside cost $1.00 per day. The last project built in Vancouver, Wash in 1989 uses my combination “Passive Heat and automatic Passive Cooling”. The building is 145’ long by 74’ wide and 22’ high. My winter gas bill for heating and cooling averaged $1 per day in 1989/90.
Look up on Internet (http://push.pickensplan.com/profile/Anachronism) to see five project using my Passive Solar Heating systems. IT IS REAL AND WORKS. You need help? ASK.
I’m looking for info. on where I can get training to work in a solar panel manyfacturing plant. Any help would be greatly appreciated:
Outriderchris@hotmail,com
Howdy,
I wanted to thank you for your site. It is cool to see others working towards a green future in our EverGreen State… you would think with a name like the EverGreen State we should be the leaders in green energy production! Let’s hope with the future and more folks being aware and taking action that we can change that!
I do also have a question: Do you know of any cities or counties offering incentives for residential PV systems?
Are there companies that manufacture inverters now in WA.?
Ken,
Thanks for asking the 3¢ question!
As far as I know Outback is the only major inverter company in Washington state. They have a manufacturing facility in Arlington, WA.
Two more questions :)
Could you define “community”? We have a large homeowners association where I live that includes an office, maintainence team, marina, etc. Would the association qualify for a community incentive if they used the power for say the office?
Second question relates to the incentives. The way I read it, the incentive is for the gross power produced, not jsut the net metering. If so, does the total get added to the billing credit, or is the incentive sent as a check if it exceeds the billable amount?
Great questions Ken
1. WA Senate Bill 6170(passed 7/1/09) defines community solar as solar energy systems owned by local entities and placed on local government property or owned by utilities and funded voluntarily by utility ratepayers.
I recently heard that the legislation is being rewritten due to a lot of confusing language.
2. Your reading is correct. the incentive is for the gross *energy* (in kWh) produced. A second, dedicated, production meter is installed on a grid-tied system. The utility reads that meter, and once a year, they send you a check for your production.
As I understand it, net metering arrangements are separate from production incentive payments. Ask your local installer.
My wife and I are seniors with fixed incomes, we are new to the srate and want to build our home as green as possible, are there any educational resources on solar in our area (Goldendale, WA)?
Christian,
I’m not sure about educational resources on solar in the Goldendale area specifically. But I highly recommend John Schaeffer’s Solar Living Sourcebook as an excellent general reference for anyone interested in building their home as green as possible. Also, Chris Herman at winter sun design ( http://www.wintersundesign.com/ ) is a good green building consultant that I know of in the Seattle area. I think he works throughout the state.
I live in Goldendale WA. We live off the grid. Power cost to much to run to our residents. We have two 165 watt solar pannels and a Air X 400 watt working now. We also have a Whisper 200 we want to install. Where can we get help to finish installing our system, It seems most information is for grid tried systems only. Got any ideas. Thank you
Norma Geane,
As I already mentioned. I don’t know of any contractors right in Goldendale. You might check renewableenergyworld.com for greenerGetic individuals with reliable transportation in the Portland area.
Norma Geane,
This is a blog for grid-tied solar. If your off-grid, and within a 100 mile radius of Portland, OR you might find help here http://www.renewableenergyworld.com/rea/partner/greenerg
I believe there is an installer called Seraphim in the Goldendale area; they may be from the Dalles now. They were bought by Hires in the Dalles.
This has got to be the best Solar info site I have been to. Answers a lot of questions and gives good valuable info. For someone like I who is going to install their own system, this is a must or for the owner that is contracting out.
Thanks again
(Centerville WA)
I think being paid for creating surplus energy is a great idea. It should encourage more people to try alternative means for obtaining their energy requirements.
To Quote you back at you…..
“But Whoa, Not So Fast!
Well Sam, I’m here to say, 1) not so fast and 2) who are you crapping? “….
What you presented was NOT an original quote from Erik Paulson, as you suggest, so keep your facts and your flaming separated.
It was a Quote from Denis Hayes (founder of Earth Day, second director of NREL, and head of the Bullit Foundation. It was an article in SolarBuzz (a factual source of solar information, not a personal screed) and it was back in 2006. A lot of water under the bridge since then. Nowhere in America did we have anything resembling a feed-in tariff. THIS WAS THE FIRST OF ITS KIND IN THE US. The reality is that Erik was the prime sponsor of the bill and the prime sponsor of the second net metering bill in the nation. No wonder solar is so slow to advance when we crap on anyone that takes a lead. Maybe you should edit out old personal attacks and work with facts.
The tax credit is awesome. I think that it will become standard to have eco friendly water heaters. Its just a matter of getting the crowd moving towards that. What better to do it than to pay them ?
In reference to Ken’s Question:
Are there companies that manufacture inverters now in WA.?
Just recently, Silicon Energy released a 5kW strictly grid-tied inverter. These inverters significantly lower the upfront cost of installing a grid-tied solar electric system. The inverters also have the unique feature of having 2 separate inputs for MPPT tracking. That means you can have two strings at different orientations/and or pitches.
Outback Power also has a grid-tied with battery back-up inverter but the cost is quite a bit higher.
Has anybody installed a system on a tracker to take maximum advantage of the WA production incentive?
I have solar on my house in Olympia. It is worth it! While, I didn’t do it for the money, that is nice. It is preforming better than we expected. South Sound Solar was who we went through and we were really happy. It was an investment, but we would have done it without the payback. I think the idea of payback is actaully hurting the green movement. My house doesn’t pay me back. My car doesn’t pay me back. My clothes, kitchen, tv…nothing pays you back like a solar system. So people hear about the “10 years to get your money back” it’s a turn off. It shouldn’t be about the money.
Amy,
You are absolutely correct! It shouldn’t be about “payback”. However many people make “sense” of solar on their roofs simply by looking at the dollars they’ll recoup down the road. It’s about the environment, it’s about sending a positive message to future generations, it’s about being responsible, it’s about conserving energy, it’s about contributing to a clean, growing, vibrant economy. A lot of people who go solar don’t think hard and clearly about all these things until they actually see the panels up on their own roofs and reflect on the warm fuzzy feeling about doing something RIGHT.
It is a wonderful thing that people are taking Solar and wind power into their own hand for personal use and contribution to the grid. Although starting out just providing for your own home is a great thing, it could be so much better if you were making more to put into the grid. Some states like Nevada have now made it illegal for HOA’s to say no to Solar packages being put up by individuals. The power company also buys the extra power produced with no hassle. My folks just put in a 10 kw system costing $52K. The state and other incentives knocked that down to a $23K. As for that extra power that is made. Somewhere across the USA they need it. What a wonderful thing it could be if different areas of the country could be helping each other in a total grid system. Let’s hope Washington DC pushes regulations that say all extra will be bought up from individual producers to help us all out.
Anybody know anything about local Washington companies that manufacture or design such products, solar panels, controllers, inverters and the like?
Hi Ian,
Silicon Energy in Marysville produces panels and an approved inverter. Another inverter manufacturer is Outback.
1,Does anyone have any experience:
*with PV or tube panels mounted on a metal roof? Such as:
*difficulty for washing the slippery, steep roof?
*who can give me recommendations/warnings about installers from actual installed metal roofs(no sales people, please)
2. After the jolly sales person comes out to the site, what it the common cost for an actual bid?
3. How steep does a roof in Seattle need to be to take the problem of heavy snow accumulation out of consideration?
4. Any bonded contractors to recommend who have managed coordination between roof and solar panel installers?
What is the smallest kW system that qualifies for the Washington State incentive.
Getting the whole project completed needs the assistance of professionals. I welcome the availability of and funding for installation. By the way are there any panel producers in WA?
we had a 4.2 kw PV system installed on our roof in Yakima; Jared of Yakima Solar lives about 2 miles from us in Yakima and installed the system; the Washington made panels combined with the rate increases of Pacific Power mean we’ll have the price of the system paid back in 8 years. We’re running 100 kwh over predicted for April and the days are only getting longer. We’re adding solar water this Spring and the combo will cut our grid use by 50-60%
The PROBLEM with enforcing solar energy in washington is you are literally betting on the kid with the compound fracture to win the race. Washington state west of the mountains averages only 3.65 (average over a year) full hour of full sunlight a day. This include cloudy days in which your solar panel is a little less than 80% effective. This makes your god forsakenly expensive system just above worthless. So they are focusing East of the Cascade obviously and that is a minority of the population. So why are we not focusing on macro hydro electric. There are systems with a minimal foot print of effect. So why are we betting on that kid again? This subsidy needs to be split so the money won’t be wasted and help susidize these systems that can make a major difference with minimal long range transmission losses, which average around 6% for long range transmission.
Thanks , I have just been looking for info about this subject for a long time and yours is the greatest I’ve found out so far. But, what in regards to the bottom line? Are you certain in regards to the source?|What i do not realize is in fact how you are no longer actually much more smartly-appreciated than you might be right now. You are very intelligent.
I have a 5000 sqft flat roof commercial building. I was wonering how realistic it would be to cover the roof w/ PV, power the building (office and warehouse) and sell excess power back to the utility (seattle city light). I notice the energy credit is annual and has a limit. The utility gets to keep the extra power generated, past this credit. Monopoly on electrical power generation ?
With regards to Washington’s lack of a tax credit, to be fair, Washington State doesn’t have any income tax so there wouldn’t be any tax credits to give. The sales tax exemption is the best equivalent you could do in the state, and at over 9%, is significant.
Oh, and as far as the cheap electricity, almost 90% of Seattle’s electricity comes from Hydroelectric (See http://www.seattle.gov/light/FuelMix/ ). That’s why it is so cheap (and non-fossil fuel powered, for the most part). Unfortunately, the story isn’t all good, as the hydroelectric dams have a pretty harsh impact on fish. There are things being done to mitigate the impact, but it is still only so good.
Thanks Casey! That’s very helpful info we’ve incorporated into the page!
In your financial analysis, you calculate the Washington Power production payment before applying the federal tax credit. This would be correct if it was an additional rebate. it is not. and the State Department of Revenue will not file the transaction with the IRS. The 30 percent tax credit is applied to the full cost of the system. It will alter your calculations significantly
This whole thing smells bad to me. I can buy as many quality solar panels as I want right now in Arizona or Florida for less than $1/watt. Grid tied systems are overrated and anyone can put together their own 5kw or larger system including batteries for a small fraction of the cost of buying into arcane, unreliable and wasteful government social engineering projects. The rules will change as time goes on and budgets get cut so why not cut the cord and install your own stand alone system and enjoy the benefits of a glut of solar panels on the market today. If you inform government that you are willing to jump through hoops then there will never be an end to it. As far as government is concerned it is always better to say you are sorry than to ask permission. Save your money, buy your system, educate yourself, install your system and invite all the parasites to prey on others. If your location makes this difficult you need to relocate to the country.
I really have an issues with the tone of this article when it is discussing the low cost of power in Washington State. Claiming the rates are low due to “fossil fuel-backed electricity rates” is just ignorant. The state has ONE coal plant and only 12 Natural Gas plants worth mentioning. Washington State rates are low due to the largest hydroelectric power system in the nation. In 2011, Washington State was the leading producer of electricity from hydroelectric sources and produced 29 percent of the Nation’s net electricity generation. To go on about the “artificially cheap” electric rates due to fossil fuels and to not even make a single mention of hydroelectric is very misleading.
On all other counts, I completely agree. Washington State needs to do more for people that want solar. I happen to live in Eastern Washington which is far from the ‘Evergreen State’ most people think Washington is and we get a lot of sunlight. I would love to harness that light for my own house but could never afford the initial costs. As a side note, commercial solar would not be as viable here due to high wind (creating large dust storms) and other factors. Commercial wind production is a booming industry here though and while not as staggering as hydroelectric, Washington State placed 6th in the nation for wind power production in 2011.
Ryan,
Your points are well stated and well taken. There indeed should be more mention of hydropower in Washington in our review. Hydro plants, while significantly a better option than coal or nuclear, disrupt fragile ecosystems – even with fish gates open.
We’re all too familiar with these issues in Oregon for example, as there have been strong calls to tear some of the larger dams down in favor of preserving the essence of what used to be.
Regardless, the price of electricity in Washington is low. Hydro indeed is a big reason for that. While nobody likes higher electric prices, we think it’d be best to switch over more to a solar/wind combination.
I just want to be clear on how the net metering is calculated. Lets say I produce 1000 kwh in one year from my panels. I use 1000 kwh (these may be unrealistic numbers but bear with me). Do I get paid 1000*.54 (washington panels and inverter) = $540, or do I simply pay nothing to the electric company? If the latter is true, the net cash benefit would only be 1000*.08 = $80.
It’s different everywhere, but basically it usually works like roll-over minutes. If you generate 1000kWh, and you use 1000kWh, you are credited for that and owe nothing (but you don’t get any money). Think of it as credit against the grid.
Where it gets complicated is with time-of-use rates where you are generating at a higher retail rate than night-time electricity (it’s a good thing, just complicated)