Incentive update

The PA residential rebate program is going quickly and is now down to Step 4 with rebate levels of $.75 per watt.

There is still plenty of funding available for residential and small business solar thermal installations. This program is still on Step 1, offering rebates of 35% of the system's cost up to $5,000.

An additional $4 million in funding from the American Reinvestment and Recovery Act has allowed the Pennsylvania Sunshine Small Business program to continue offering rebates of 0.25 to 0.75 cents per watt depending on the size of the system.

Federal tax credits of 30% of the installed cost for solar are available through 2016 for residential and commercial installations. An extension of the commercial federal grant program is part of the tax legislation currently being considered in Washington.

While the state funding has been decreasing so has the cost of solar modules. Between 2009 and 2010 the average module cost fell 40% helping lower installed costs. With lower material costs solar is more affordable than ever.