As we approach the end of the year, Energy Trust solar program staff would like to draw your attention to some important information for you and your business to consider as 2019 comes to an end.
Federal Investment Tax Credit (ITC)
The Federal Investment Tax Credit (ITC) begins to step down starting in 2020 and the IRS has provided some guidance to help solar trade allies determine if their projects will qualify for the current level of the ITC.
For residential projects, in order to qualify for the 30% ITC the project must be “placed in service” by December 31, 2019. Energy Trust system verification and utility net meter installation are not requirements to qualify for the 2019 investment tax credit.
For commercial projects, in order to qualify for the 30% ITC the project must “commence construction” by December 31, 2019 and must be “placed in service” by January 1, 2024.
For more information on the IRS Guidance refer to the recent Insider article.
Oregon Solar + Storage Rebate Program
The Oregon Department of Energy (ODOE) expects to file permanent rules for this new state program on December 20, 2019. According to the draft rules on the ODOE website, in order to qualify for the incentive a contractor and a project must meet the following requirements:
330-240-0020 (3)(b) Contractor Eligibility – “If the contractor is an Energy Trust of Oregon trade ally, the contractor must have at least four stars in the five-star Energy Trust of Oregon rating system…”
330-240-0030 (1)(e) Project Eligibility “The purchase contract for a solar electric system or paired solar and storage system must be signed on or after January 1, 2020”
Refer to the program’s draft rules for additional requirements. Go to the ODOE website for more information on the Solar + Storage Rebate Program rulemaking.
Please direct any questions about the program to ODOE.SolarRebates@oregon.gov.
Energy Trust solar incentives in 2020
The program will continue to allocate funding for solar electric systems into incentive “steps” and publish that information on the Solar Incentive Status Report. When funding in a step is fully reserved, the funding in the next step will become available at a new incentive rate. For additional details about the current, past and upcoming incentive rates, refer to the Solar Incentive Status Report.