Thursday, June 30, 2016
Solar Incentive Payments will be reduced by approximately 35 percent for 2015-2016 Fiscal Year
With the increased demand and popularity of solar generation, Seattle City Light estimates that the state’s annual incentive payment for each of the utility’s solar customers will be reduced by approximately 35 percent for the 2015-2016 fiscal year, which ends today.
City Light is expected to reach its solar incentive cap set by the Washington state Legislature due to various factors, including the increase in average solar system size installed, greater solar resources and decreasing retail sales. The cap determines how much money in state incentives each utility can distribute to its customers who own solar panels.
City Light will not know the actual reduction amount until all production reads have been collected. Solar customers will be notified in September 2016.
Solar customers receive a variety of additional benefits for engaging in solar generation, including the federal solar investment Tax Credit, a Washington state sales tax exemption for systems less than 10 kilowatts and net metering. These benefits will not be affected by the incentive payment reduction.
To stay updated on the solar incentive cap, visit the City Light solar incentive cap web page.