Is this any way to drive an industry? The answer is a resounding no. The US has virtually no federal renewable energy policy, and almost by accident has become a major solar market in the world despite itself. Many naysayers like to frame the argument in terms of subsidies and handouts, but virtually all forms of energy get some form of governmental support, which for those industries is called policy—somehow people call it subsidies when referring to support for the solar industry and other renewable energy. What makes the solar energy industry special is the extent to which it has had to depend on a patchwork of state and local incentive structures that are as fragile as the state and local budgets to which they are beholden. As local budgets tighten, the windows close leaving many homeowners out of luck and out of patience. Only those who have been able to maneuver their way to the front of the line get the reward. As states cut back on their budgets, solar support has become precarious. Underfunded and handled on a state-by-state basis, failed incentives are leaving homeowners who want to put solar panels on their homes out in the cold and the market unstable and unpredictable. There is a clear need for a stable, long-term federal incentive structure and Congress and the Administration should see that it is in the interest of the country to forge this policy sooner than later.
Posts Tagged ‘solar installation’
Financing of solar energy systems has been a major concern to us at SolarTown since we launched this store and community. The average cost of a typical solar installation is north of $30,000. This amount is substantially reduced with the federal tax credit and some state or local rebates thrown in. But you have to wait months, sometimes many months, to take advantage of the incentives. There are currently alternatives available, but none very appealing. SolarTown has been working on a solution to financing of solar energy systems and we hope to be able to announce the program shortly.