How do solar incentives work? Energy Trust provides funding to reduce the upfront cost of installing a qualified home solar water or pool heating system. The amount of the cash incentive depends on your utility and how much energy your system will save annually.
To make it easy for you, the cash incentive is applied up front—like a coupon—reducing the amount you pay to your contractor. Once your project is complete, we verify that it was properly installed and then reimburse your contractor for the amount of the cash incentive.
Energy Trust Incentives
| |
PGE or Pacific Power customers, electric water heating |
NW Natural or Cascade Natural Gas customers, gas water heating |
Maximum incentive |
| Solar hot water |
$0.40 per annual kWh saved |
$8.00 per annual therm saved |
$1,500 per home |
Solar Bonus Package
Receive $400 for completing a solar improvement along with two energy-efficiency upgrades within a six-month period. Learn more.
Home Performance and Solar Assessment Package
Qualify for $100 for completing a solar site assessment in addition to a Home Performance with ENERGY STAR assessment within four weeks of each other. Learn more.
How do I determine how much incentive I will receive?
The amount of your cash incentive depends on the fuel you use to heat your water currently, and how much energy your solar water heating system is estimated to save annually. Home solar water heating systems are rated by a national organization to determine how much energy they will save when installed in different climate zones. This estimated energy savings is called the “annual rated savings.”
Energy Trust bases its solar water heating incentives on the annual rated savings of the system you install. Qualified solar water heating systems and their rated savings can be found on Energy Trust’s Eligible Residential Solar Water Heating Systems list.
Tax Credits
In addition to Energy Trust’s cash incentives, your project may be eligible for a state energy tax credit from the Oregon Department of Energy and a federal energy tax credit. Tax credits, sometimes called tax incentives, reduce the amount of tax you owe dollar for dollar.
The following description of the tax incentives does not constitute tax advice and cannot be used to avoid IRS penalties:
Oregon Residential Energy Tax Credit: Potential Oregon tax credit may be available. View availability and requirements. Ask your tax professional for complete details.
Federal energy tax credit: Potential federal tax credit may be available. View availability and requirements. Ask your tax professional for complete details. For the federal income tax credit, net system cost is the total installed cost less the Energy Trust incentive.
All incentives and tax credits are subject to change.
You must be an Oregon customer who heats their water with electricity from Portland General Electric or Pacific Power, or with gas from NW Natural or Cascade Natural Gas. Domestic solar water heating systems (for heating water that is used inside your home) must be on Energy Trust’s eligible residential solar water heating systems list.
All systems must be installed by a qualified Energy Trust solar trade ally contractor. Self-installed systems do not qualify. Systems must be new, and incentives are not available for replacing components. Expansions or repairs to existing solar systems are not eligible.
If your water heating fuel is not provided by Portland General Electric, Pacific Power, NW Natural or Cascade Natural Gas, please visit www.solaroregon.org/otherincentives to see if your utility provides incentives for solar installations.
Follow these steps to install a home solar water or pool heating system and get your cash incentives and tax credits:
1. Establish your eligibility. Contact an Energy Trust or Solar trade ally.
2. Get bids from several Energy Trust solar trade ally contractors. Your contractor must be listed with Energy Trust if applying for cash incentives.
3. Select a contractor. Need help comparing bids? Read the How to choose a solar contractor fact sheet.
4. Sign a contract with your installer. Your contractor will complete and submit your Energy Trust application form on your behalf. Your Energy Trust cash incentive is applied to the cost of your solar installation up front—like a coupon—reducing the amount you pay your contractor.
5. Your contractor installs your system. Typically, it takes anywhere from two weeks to two months from the time you select your contractor to the completion of your installation.
6. Complete and submit the application for your Oregon Residential Energy Tax Credit. Your contractor will provide the form and assist you.
7. Claim your federal energy tax credit when you file your taxes. Complete the IRS Residential Energy Credit Form and submit it with your federal tax return.
8. Enjoy your clean, free, renewable energy for years to come!
Questions? Call us at 1.866.368.7878.
Your contractor will work with you to complete the proper form for your Energy Trust cash incentive. They will also provide assistance with completing your state energy tax credit application.
Have questions? Call us at 1.866.368.7878.
Interested in going solar? Here are some great ways to get started, and the supporting resources you will need along the way.
Other Resources
Fact sheets
Consumer guides to solar water heating
Tax credits
Tools and other resources