Iowa

Renewable Energy Equipment Exemption

Program Type Sales Tax Exemption
Technologies Wind, solar, hydroelectric
Amount 100 Percent of sales tax exempt
Required Documentation Receipt for services and equipment purchased
Official Web Site http://www.state.ia.us/tax/educate/salespubs.html

Iowa’s tax laws exempt purchasers of wind, solar and hydroelectric systems from sales tax. This includes tax exemptions for any solar equipment or equipment used to transform and transmit solar power.

The statutes originally only applied to wind equipment, but were expanded to include solar in 2006 and too hydroelectric in 2013.

Kalona Renewable Energy Purchase Rate

Program Type Performance-based Incentive
Technologies Photovoltaics and Wind
Amount $0.125 per kWh.
Required Documentation Green Power Project participation, Member of the cooperative, signed 10-year contract
Official Web Site http://www.feckalona.com/energyRenewables.html

The Farmers Electric Cooperative offers customers with wind or solar installations a production incentive of $0.125 per kWh for energy produced by their system, up to 100 percent of the member’s total monthly energy usage. Under the program, customers provide all energy supplied by their renewable energy installation to the grid, and they must install two meters at their own expense: one to measure energy used and the other to measure how much energy their system puts on the grid.

The cooperative buys up to 100 percent of the customer’s total usage for a month at the $0.125 rate and credits the customer 0.06 for excess power sold onto the grid.

 

Iowa Net Metering Program

Program Type Net Metering
Technologies Photovoltaics and Wind
Amount Up to 500 kW. Small systems credited at retail rate for excess energy produced, carries forward on a monthly basis.
Required Documentation Standard application form and interconnection agreement provided by utility
Official Web Site https://energy.gov/savings/net-metering-24

The Iowa Utilities Board first enacted its net metering subrule in 1984. The board technically only requires utilities to credit consumers at the avoided cost rate for excess electricity they put back onto the grid. However, the board has routinely upheld that the state’s two investor-owned utilities must allow consumers to carry retail rate credits forward from month to month.

In 2014, the board ordered an inquiry into distributed generation and interconnection issues that could inform future changes to the state’s net metering policy.

Aliant Energy Residential Efficiency Rebate

Program Type Energy Efficiency Rebate
Technologies P\Insulation, heat pumps, programmable thermostats, other high-efficiency HVAC systems                                      
Amount 50 Percent of installation costs covered
Required Documentation Technical Application Form
Official Web Site http://www.alliantenergy.com/rebates

 

Before solar energy installations can make a big impact, it’s important to reduce electricity consumption at home through energy conservation. To that end, Alliant Energy offers homeowners rebates for make home energy efficiency upgrades as follows:

 

Central Air Conditioners: $200 - $500
Air Source Heat Pumps: $300 - $600
Geothermal Heat Pumps: $1,600 - $3,200
Programmable Thermostats: $10 - $50
Tank Water Heater: $75
Electric Heat Pump Water Heater: $300
Ceiling/Foundation/Wall Insulation: 70% of total installation cost up to $750
Caulking/Weather Stripping: 70% of total installation cost up to $250
Room Air Conditioners: $20
Solid/Thermal Entry Door: $10 - $25
LED and CFL bulbs: 50% of cost

Iowa Rebates and Incentives Summary

Iowa

Iowa ranks fifth in the nation for per capita energy consumption. That’s a lot of energy. But the predominately agricultural state uses a lot of liquid fuel for maintaining those food production operations, which the Energy Information Administration counts in total consumption. Perhaps the more surprising statistic is that the state gets almost 27 percent of its electricity from wind. In fact, wind is second only to coal in the state as a source of electricity generation. With a strong wind energy market, the state is relatively green even as it ranks only 23 in terms of solar policy, according to Solar Power Rocks. While Iowa promotes renewable energy and solar power, the policies aren’t particularly robust, which hasn’t resulted in big industry growth.

Still, the state’s low- and no-interest rate loans, rebate programs, tax incentives, performance-based incentives and other programs have promoted some solar installations.

The state established the Iowa Office of Energy Independence in the early 2000s. The office is charged with producing the state’s annual Energy Independence plan and manages the Iowa Power Fund, which helps finance clean energy development in the state.

While not technically called a renewable energy portfolio standard, Iowa became the first state in the country to require its investor-owned utilities to get a certain percentage of their power from renewable sources when it passed its alternative energy law in 1983. The two utilities combined are required to source 105 megawatts of electricity from renewable sources.

Iowa Solar Power Financial Incentives

Financial Incentives

Iowa Solar Power Financial Incentives

Financial Incentives

Residential Energy Conservation Subsidy Exclusion (Corporate)

US

Financial Incentive

Corporate Tax Exemption

03/05/2002

04/24/2015

Clean Renewable Energy Bonds (CREBs)

US

Financial Incentive

Loan Program

05/02/2006

04/16/2015

Renewable Electricity Production Tax Credit (PTC)

US

Financial Incentive

Corporate Tax Credit

03/11/2002

04/13/2015

Weatherization Assistance Program (WAP)

US

Financial Incentive

Grant Program

03/31/2015

03/31/2015

Qualified Energy Conservation Bonds (QECBs)

US

Financial Incentive

Loan Program

10/23/2008

03/20/2015

U.S. Federal Government - Green Power Purchasing Goal

US

Regulatory Policy

Green Power Purchasing

02/19/2004

03/20/2015

Alliant Energy Interstate Power and Light (Gas and Electric) - Farm Equipment Energy Efficiency Incentives

IA

Financial Incentive

Rebate Program

06/05/2006

03/20/2015

Alliant Energy Interstate Power and Light (Electric) - Residential Energy Efficiency Rebate Programs

IA

Financial Incentive

Rebate Program

06/05/2006

03/19/2015

Alliant Energy Interstate Power and Light (Electric) - Business Energy Efficiency Rebate Programs

IA

Financial Incentive

Rebate Program

06/05/2006

03/19/2015

Business Energy Investment Tax Credit (ITC)

US

Financial Incentive

Corporate Tax Credit

03/15/2002

03/18/2015

Alliant Energy Interstate Power and Light (Gas and Electric) - New Home Construction Incentives

IA

Financial Incentive

Rebate Program

06/05/2006

03/17/2015

Alliant Energy Interstate Power and Light (Gas) - Residential Energy Efficiency Rebate Programs

IA

Financial Incentive

Rebate Program

06/05/2006

03/17/2015

Alliant Energy Interstate Power and Light (Gas) - Business Energy Efficiency Rebate Programs

IA

Financial Incentive

Rebate Program

06/05/2006

03/17/2015

Alliant Energy Interstate Power and Light (Gas and Electric) - Low Interest Energy Efficiency Loan Program

IA

Financial Incentive

Loan Program

06/05/2006

03/17/2015

Low Income Home Energy Assistance Program (LIHEAP)

US

Financial Incentive

Grant Program

03/16/2015

03/16/2015

Interconnection Standards for Small Generators

US

Regulatory Policy

Interconnection

10/30/2007

03/16/2015

Energy Efficiency Standard

IA

Regulatory Policy

Energy Efficiency Resource Standard

12/15/2010

03/10/2015

Tribal Energy Program Grant

US

Financial Incentive

Grant Program

05/01/2003

03/05/2015

USDA - Rural Energy for America Program (REAP) Energy Audit and Renewable Energy Development Assistance (EA/REDA) Program

US

Financial Incentive

Grant Program

02/18/2015

02/19/2015

Residential Renewable Energy Tax Credit

US

Financial Incentive

Personal Tax Credit

08/10/2005

02/16/2015

Residential Energy Conservation Subsidy Exclusion (Personal)

US

Financial Incentive

Personal Tax Exemption

03/05/2002

02/16/2015

USDA - Repowering Assistance Biorefinery Program

US

Financial Incentive

Grant Program

10/08/2012

02/06/2015

Modified Accelerated Cost-Recovery System (MACRS)

US

Financial Incentive

Corporate Depreciation

03/15/2002

12/23/2014

Energy-Efficient Commercial Buildings Tax Deduction

US

Financial Incentive

Corporate Tax Deduction

01/10/2006

12/22/2014

Residential Energy Efficiency Tax Credit

US

Financial Incentive

Personal Tax Credit

01/10/2006

12/22/2014

Energy-Efficient New Homes Tax Credit for Home Builders

US

Financial Incentive

Corporate Tax Credit

01/10/2006

12/20/2014

USDA - Rural Energy for America Program (REAP) Grants

US

Financial Incentive

Grant Program

04/09/2003

12/09/2014

USDA - Rural Energy for America Program (REAP) Loan Guarantees

US

Financial Incentive

Loan Program

04/09/2003

12/09/2014

FHA PowerSaver Loan Program

US

Financial Incentive

Loan Program

12/04/2014

12/04/2014

Net Metering

IA

Regulatory Policy

Net Metering

01/01/2000

11/24/2014

USDA - High Energy Cost Grant Program

US

Financial Incentive

Grant Program

09/27/2010

11/20/2014

U.S. Department of Energy - Loan Guarantee Program

US

Financial Incentive

Loan Program

09/12/2008

11/20/2014

Alternative Energy Law (AEL)

IA

Regulatory Policy

Renewables Portfolio Standard

01/01/2000

10/31/2014

USDA - Biorefinery Assistance Program

US

Financial Incentive

Loan Program

10/04/2012

10/08/2014

Energy-Efficient Mortgages

US

Financial Incentive

Loan Program

03/21/2002

10/06/2014

City of Dubuque - Solar Thermal Licensing Requirement

IA

Regulatory Policy

Solar/Wind Contractor Licensing

02/02/2012

10/03/2014

Rural Electric Cooperatives Energy Efficiency Rebate Programs (Offered by 12 Utilities)

IA

Financial Incentive

Rebate Program

12/12/2007

09/18/2014

Waverly Light & Power - Residential Solar Thermal Rebates

IA

Financial Incentive

Rebate Program

03/19/2008

09/18/2014

Farmers Electric Cooperative (Kalona) - Renewable Energy Purchase Rate

IA

Financial Incentive

Performance-Based Incentive

02/04/2010

09/18/2014

Linn County Rural Electric Cooperative - Solar Water Heater Rebate Program

IA

Financial Incentive

Rebate Program

05/23/2011

09/18/2014

Renewable Energy Production Tax Credit (Personal)

IA

Financial Incentive

Personal Tax Credit

06/27/2005

08/25/2014

Interconnection Standards

IA

Regulatory Policy

Interconnection