Oklahoma Rebates and Incentives Summary

OklahomaThe Oklahoma renewable energy industry could use some serious improvement coming into 2012.  It’s safe to say that Oklahoma has yet to give the solar industry any leadership with a renewable energy standard (RES). Only recently in May 2010 has Oklahoma adopted a renewable portfolio standard (RPS) with some pretty lack luster goals.

The goal of Oklahoma’s RPS has only set the bar at 15 percent of its energy generated by renewables by 2015 as compared to the nation’s renewable leader, California, who has established an RPS goal of 20 percent of their energy generated by renewables by 2010 (and met it) with even more ambitions to produce 33 percent by 2020. Also, there are no interim targets for their renewable energy production, and the goal of 15 percent doesn’t extend past 2015 essentially allowing for Oklahoma to fall back into a non-renewable dependence. This doesn’t even get to the limited number of incentives offered by the state to encourage renewable growth.

Although the state does have a net-metering program, and a fair amount of good incentives to commercial business to upgrade their facilities to zero carbon emissions, again Oklahoma falls well short by comparison to most states in the number of incentives, rebates, tax breaks, and loan programs that will only give consumers a reason to jump on the green band wagon.

Oklahoma Net Metering

Program Type Net Metering

Solar Thermal Electric, Photovoltaics, Wind, Biomass, Hydroelectric, Geothermal Electric,

Amount Utility's consumer rate credited to customer's next bill or granted to utility monthly
Required Documentation

Certification by Oklahoma Corporation Commission (OCC), or comparable entity endorsed by the OCC,

and phone or online sign up form with current energy provider

Official Web Site http://www.occ.state.ok.us

Under Order 326195, the Oklahoma Corporate Commission (OCC) has mandated that all investor owned utilities (IOU) and electric cooperatives under the OCC’s jurisdiction offer a net-metering program to eligible renewable systems owners since 1988. Net-metering is available to all customer classes with no limit on the aggregate net-metered capacity, but there is a system capacity limit of 100 kilowatts (kW), 25,000 kilowatt hours (kWh) per year, or whichever is less.

Under the OCC order, utilities are not allowed to dish out extra charges for customers signed up for net-metering, and requiring customers to purchase liability insurance as a condition for interconnection is prohibited as well. Utilities are also not required to purchase net excess generation (NEG), but customers can request that their utility purchase NEG. If the utility agrees to buy back a customer’s NEG it will be at the utility’s avoided cost rate.

Systems must be installed and maintained in compliance with the National Electric Code (NEC), and an external disconnect switch is required.

Zero-Emission Facilities Production Tax Credit

Program Type Corporate Tax Credit
Technologies Solar Thermal Electric, Photovoltaics, Wind, Hydroelectric, Geothermal Electric

$0.0025/kWh - $0.0075/kWh for 10 years; amount varies depending on when the facility is placed

in operation and when electricity is generated

Required Documentation

Facility construction and operation must not result in the creation of pollution or emissions harmful to

the environment, pursuant to determination by the Department of Environmental Quality (DEQ), Tax

Form 511CR, Schedule for Other Credits

Official Web Site https://energy.gov/

The Oklahoma zero emissions facilities production tax credit is only available to commercial energy suppliers that have upgraded or newly built their facilities with eligible renewable systems, and are approved by the Department of Environmental Quality (DEC) for tax years beginning on or after Jan. 1, 2003.

For facilities placed in operation on or after Jan. 1, 2003 and before Jan. 1, 2007 the credit compensation breaks down as follows:

For electricity generated on or after Jan. 1, 2003, but prior to Jan. 1, 2004, the amount of the credit is seventy-five one hundredths of one cent ($0.0075) for each kilowatt-hour (kWh) of electricity generated. For electricity generated after Jan. 1, 2004, but prior to Jan. 1, 2007, the amount of the credit is $0.0050/kWh. For electricity generated after Jan. 1, 2007, but prior to Jan. 1, 2012, the amount of the credit is $0.0025/kWh. For electricity generated by these zero-emission facilities placed in operation after Jan. 1, 2007 and before Jan. 1, 2016, the amount of the credit is $0.0050/kWh

These tax credits are freely transferable during the 10 years after the facility has passed qualification, and include transfers or sales from non-taxable entities to taxable entities and transfers or sales from one taxable entity to another.

Oklahoma Solar Power Financial Incentives

Financial Incentives

Corporate Tax Credit

Industry Recruitment/Support

Personal Tax Credit

State Loan Program

Utility Loan Program

Utility Rebate Program

Rules, Regulations & Policies

Building Energy Code

Energy Standards for Public Buildings

Net Metering

Related Programs & Initiatives

Alternative Fuels and Advanced Vehicles Data Center

The U.S. Department of Energy's Alternative Fuels and Advanced Vehicles Data Center (AFDC) provides a wide range of information and resources to enable the use of alternative fuels and other petroleum-reduction options, such as advanced vehicles, fuel blends, idle reduction and fuel economy. The AFDC site offers a database of state and federal laws and incentives related to alternative fuels and vehicles, air quality, fuel efficiency, and other transportation-related topics.

Green Power Network

The U.S. Department of Energy's Green Power Network provides news and information on green power markets and activities, including opportunities to buy green power. This site provides state-by-state information on green power marketing and utility green power programs. In addition, the site lists marketers of renewable energy credits (RECs), also known as green tags or renewable energy certificates, which represent the environmental attributes of the power produced from renewable energy projects.

Weatherization Assistance Program

The U.S. Department of Energy's Weatherization Assistance Program (WAP) enables low-income families to reduce their energy bills by making their homes more energy-efficient. Through this program, weatherization service providers install energy-efficiency measures in the homes of qualifying homeowners free of charge. The WAP program web site offers a state-by-state map of opportunities, projects and activities.

Wind Powering America

The U.S. Department of Energy's Wind Powering America site provides state-by-state information on wind projects and activities, including wind working groups, validated wind maps, anemometer loan programs, small wind guides, state-specific news, wind for schools, workshops and web casts.