Rebates for solar water heaters approved

[DEDixon 39]

For three years, California has offered homeowners financial incentives to install solar panels that generate electricity. Now, solar water heaters will get their moment in the sun.

California energy regulators on Thursday approved a $350 million rebate program for homeowners and businesses that install solar thermal water heaters, which use the sun's warmth to heat water for the bathroom, kitchen and laundry room.

Such systems have been around for decades, but they've received little of the attention paid to photovoltaic solar panels. And yet, using sunlight to heat water cuts the amount of natural gas or electricity a building needs. Most California homes run their boilers on natural gas, while a few use electricity.

California's popular rebate program for photovoltaic solar has helped spur the growth of the state's solar power industry, from companies that make solar panels to those that install them. The California Public Utilities Commission, which unanimously approved the new rebates on Thursday, now wants to see the same results with solar thermal companies.

"The time is right to establish a program that promotes the growth of the solar thermal market, creates green jobs and furthers our goals of greenhouse gas reductions," said Commissioner Timothy Simon.

There are several variations on solar thermal technology, but most involve a rooftop "collector" that absorbs the sun's heat and transfers it to water. In colder climes, the collector transfers heat to an antifreeze solution, which then transfers the heat to water.

A typical home solar water system costs from $5,000 to $7,000. Using one can cut a home's natural gas bill in half, said Bernadette Del Chiaro, clean energy advocate for Environment California, an environmental group.

"This is another giant step forward for California making solar a mainstream technology," she said.

The new solar thermal rebates will work much like the old photovoltaic rebates, decreasing in size over time. The average residential rebate will start around $1,500 but eventually will fall to $550. The program will run for eight years or until the funding is used up, whichever comes first.

Funding will come from utility customers, through a surcharge on natural gas bills. The surcharge is estimated to be 13 cents per month.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?...L#ixzz0dPBHsPad

5k to 7k for a solar water heater, wow! given americans typically move every 5 years, very few would be around when it starts to pay for itself. i don't know how it would slash my bill in half, this is only a water heater (most people don't have a water/boiler based heating system).

i see the solar effort at home as decentralization of energy production, but not sure, after maintenance of thousand of these systems (they will break and have to be fixed), it will be worth the effort.

at one point, they tried to decentralize computing by replacing expensive mainframes with servers located all over the place. they found it easier maintaining the mainframe so all those servers were trashed and the mainframe was hauled back in. this example sort of applies.

centralized solar seems the way to go but then again, i honestly don't know much about this stuff.

also, i've not seen the sun in 2 weeks!

[spookyturtle 9,466]

I got a $50 rebate for buying an energy star refrigerator.

[Niels Bohr 72]

When you sell the house, you can include the solar heaters in the price as well. It does pay for itself, no?

[Ban Hammer 13,346]

somewhere around here i have the plans for a batch water heater - basically it's a stripped down water heater that's outside in the sun, and it preheats the water via the sun prior to it entering the house. and pretty much good only during the summer time around here.

[DEDixon 39]

When you sell the house, you can include the solar heaters in the price as well. It does pay for itself, no?

yeah, but only if you say to the buyer, you can have it for 4000 or i'm taking it with me.

often, swimming pools, alarm systems, hot tubs, etc. don't add value to the house so not sure a water heater would. the value of the house is usually based on houses in the area so add all kinds of bells and whistles to a home and it is likely not going to help value in the end. it would add to the desirability, but i don't think much value would be added.

somewhere around here i have the plans for a batch water heater - basically it's a stripped down water heater that's outside in the sun, and it preheats the water via the sun prior to it entering the house. and pretty much good only during the summer time around here.

500 feet of hose laying in the sun works in the summer time. provides lots of water too.

[NickD 203]

While I am filing an IRS form 5695, won't believe that tax credit until I see it. Why am I so paranoid with the IRS? Could be because they take, take, take, and very seldom if ever, give a little.

Last tax credit had to do with something about that 50 bucks from the phone company excise tax, read that three times and felt I had all the proof, they didn't ask for proof, just said, send us that 50 bucks plus interest. You are not eligible for that tax credit.

[Gary and Alla 3,694]

More waste of government $$$, hopefully it is only California taxpayers $$$ and not $$$ the federal government confiscated from MY paycheck and sent a portion to CA to waste.

One a product that has been available for many years needs a rebate to be offered by the government, it is time to take that product off the market and euthanize the factory that makes it. Next we will be subsidizing 8 track tapes!

Good products that offer a return on investment are snatched up and catch ion immediately. Others are best left to wither and blow away. Some things just don't work, no matter who "likes them". The freedom to fail is one of our most important.

[Gary and Alla 3,694]

When you sell the house, you can include the solar heaters in the price as well. It does pay for itself, no?

No. If it did, there would be no need for a tax incentive. Things such as this are no more than a "selling point" for real estate. Sure, if your house is for sale for the SAME PRICE as another house that does not have a solar water heater, it may give you a slight advantage...provided the woman who makes the decision also likes your kitchen cabinets. A fresh coat of paint on the front door is more likely to result in a sale. Engineers don't "buy" houses, Neil...housewives buy houses. They only care that there IS hot water, not what makes it hot.