The Issues: Incentives for Renewable Energy

Today’s question: What incentives would you like to see the city offer to encourage homeowners and businesses to install solar power and what kind of return on investment would be necessary to make the solar projects viable?

City Council candidates

I like the idea of solar panels being available cheap for homeowners. I put one of the first sets up in Solano County a dozen years ago and it’s worked out great, but the only way I could do it was because it was heavily subsidized by the feds and PG&E. That’s the only way it still really works.

The state has a bond plan that the last I heard is presently tied up in court that Benicia along with several other state cities is in line to use. It would allow a homeowner to borrow from the state bond fund and spread the payments over 20 years and not have to make the upfront costs. That’s what we’re doing and if it ever gets out of court and implemented by the state it would be a great option that homeowners in Benicia could use for solar panels.

The city could take the lead in organizing options for solar use by working with companies that provide solar energy and define and broker costs with multiple users.

Did not answer

Wherever the savings from solar power can offset the initial cost, I would support the installation and use of solar power. We have a solar company in town that uses available grants and installs solar at a cost where the homeowner or business owner can recoup their expense over a period of years – perhaps four or five. Beyond that, they would have reduced energy costs.

Mayoral Candidates

I think that setting aside some of the money that is left from the Valero Good Neighbor Steering Committee settlement money to be used to pay part or all of the permit fees for solar installations would be a good incentive to help homeowners and businesses go solar. The return for the city is movement towards the goal of reduced greenhouse gases as part of the climate action plan.

We already have incentives for homeowners and businesses to consider solar through Ennovations, now known as Watts On, which conducts energy and water use assessments (audits) and provides data on what size of solar system a typical household or business would need. Secondly, the adopted Climate Action Plan includes strategies for the city to provide financing programs for residential and commercial solar.

Unfortunately, financial institutions “challenging” the legitimacy of these assessment-financing programs undercut the innovative program initiated in California. Litigation brought by the State of California is winding its way through the courts to resolve this. Other communities, such as Sonoma, have continued to use the assessment approach for commercial projects. Meanwhile, non-governmental organizations and business enterprises have stepped in to provide programs for residents and businesses. The city’s sustainability website (under construction) will have details in the near future.

The city can and is working with Watts On and an ARRA-funded program for all Solano County cities to provide the incentive funding for solar projects, and there will be at least 39 funded projects in Benicia.

Through the Good Neighbor Steering Committee and Valero settlement money, businesses can apply for money to support projects for energy and water conservation, including solar projects.

Additional city incentive measures can include modifying city fees – although most studies show that such fees are not a deterrent to solar installation.

Nov. 8, 2011, City Council and Mayor Election Handbook: Candidate Q&As, Bios and Voter Guides

Disclosure: Patch editor JB Davis was the campaign manager for Dan Smith in his successful campaign for City Council in 2001.  He has no involvement in Smith’s 2011 campaign.