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HomeMy WebLinkAbout11 SB1 Program Agenda Item # 11 w► Public Utility Distric 1. ACTION To: Board of Directors From: Kathleen Neus Date: September 16, 2009 Subject: Consideration of Setting the Solar Rebate for the Remaining Years of the SB1 Program 1. WHY THIS MATTER IS BEFORE THE BOARD Board policy is to review the Solar Program annually and to set the rebate amounts for the upcoming years during that review. 2. HISTORY Senate Bill 1 (SB-1) establishes specific requirements for local programs, including system incentives and a minimum rebate amount. The state has also mandated that the rebate amount be decreased by a minimum of 7% a year for the ten-year life of the program. The Board approved the District's Solar Program in November of 2007. At that meeting, the Board set the rebate dollars at $5.00 per watt installed for 2008, $4.50 for 2009 and $4.05 for 2010. There is no rebate amount set for the period after 2010. There were 11 systems installed in 2008. Three systems have been installed in 2009, with Truckee Sanitary District's project expected to be on line in September 2009. 3. NEW INFORMATION The Solar Program is fully reserved through 2010 with four applications for 2011. The rebate amounts for future years have yet to be set by the Board. This makes it difficult for applicants to thoroughly evaluate their proposed projects. For years 2009 and 2010 the rebate amounts were reduced by 10% per year; the recommendation is to reduce the remaining seven years by 10% each year from the previous year until the end of the program in 2017. Attachment 1 shows the proposed rebate amounts. 4. FISCAL IMPACT The SB-1 customer charge was set by the Board in December of 2007, there is no proposed change to the customer charge. This existing charge is sufficient to cover the cost of this program. There is no fiscal impact to the District associated with this item. 5. RECOMMENDATION To decrease the 2010 rebate dollars by 10% for 2011 and to reduce succeeding year's rebate by 10% each year until the program ends in 2017. M z) Michael D. Holley General Manager i PROJECTED kW INSTALLED 700 t I k 596 w 600 504 I 500 N 534 E 5 422 T 461 A 400 _. .. _. ,....... E 348 393 u 281 E 300 D 221 271 200 - 67 — Z16 118 165 100 74 kl 'Installed 10`c Re uctitzn All Years 35 74 kW installed 10%Reduction Years 1-3 7%Remaining 35 Years 0 1 2 3 4 5 6 7 8 9 10 YEARS I Attachment 1