Sunshine Solar Program


Program Type Rebate
Technologies Photovoltaic and Solar Thermal
Amount Up to 35 percent of total cost of project
Required Documentation Pre-application submitted by state-certified installer, application and fee, and proof of deposit with installer
Official Web Site http://www.portal.state.pa.us/portal/server.pt/community/in_the_news/10475/pa_sunshine_solar_program/553019

Under the program, homes or small businesses that install a PV system will qualify for a state rebate for a PV system of up to 10 kilowatts (kWs)  and can submit applications for multiple rebates. But only one at a time. Before they can submit a second application, the previous project must be complete. Projects larger than the limits will qualify for a rebate of the initial limit. Both can qualify for a solar thermal rebate of up to $2,000 for residents and $20,000 for small businesses.

Rebates for residential PV systems were as high as $2.25 per installed watt. So a 1 kW PV system could have qualified for a $2,250 rebate under the program. However, the program is stepped and as more projects qualify for the rebate, the amount of the rebate falls. As of July 2010, it offered homeowners $1.25 per watt for PV systems.

As of July 2010 only $4 million remained in the fund to support small business PV systems. Originally, small systems between 3 kW and 10 kW qualified for rebates of $2.25 per watt, medium systems between 10kW and 100 kW qualified for rebates of $2.00 per watt, and large systems between 100 kW and 200 kW qualified for rebates of $1.75 per watt. Due to popularity of the program, by July 2010, rebates fell to $0.75 per watt, $0.50 per watt, and $0.25 per watt for the same sizes, respectively.

To qualify, for the PV rebate, all PV components must use new equipment and be in compliance with the state’s construction codes. A solar shade analysis is required. It must show that the system will produce at least 80 percent of what an optimally placed system would produce. The PV installer must be approved by the state Department of Environmental Protection. And for new construction to qualify for the rebate, it must be Energy Star qualified. Most systems must be grid-tied, but applicants can request exceptions.

For solar thermal, it must also be new equipment and it does not cover solar pool heating or solar hot tub heating.

Applicants are eligible to qualify for federal incentives as well. Between the two, roughly half of a solar system could be covered. But PV systems may not qualify for both the sunshine rebate and the PPL Electric Utilities solar rebate program for the same PV panels. However, part of a PV system could qualify for the Sunshine Solar Program and the other part the PPL Electric Utilities rebate program.