District of Columbia: Renewable Energy Incentive Program

In February 2009, the District Department of the Environment (DDOE) introduced the Renewable Energy Incentive Program (REIP), a rebate for solar photovoltaic (PV) systems. In April 2012, solar thermal systems became eligible for the REIP program. The REIP is funded through the Sustainable Energy Trust which is supported by a public benefits charge on utility bills. The DDOE reportedly also plans to introduce incentives for additional technologies, including wind, geothermal, and methane/waste gas capture. However, as of this writing rebates are not available for these technologies.

Most PEPCO customers within the District of Columbia are eligible for incentives under this program; however, the federal government, the D.C. government, and public schools are specifically identified as ineligible. PV systems must be at least 1 kW in order to qualify and should be sized not to exceed on-site energy consumption as measured for the previous 12 months. There is no maximum system size, although incentives are capped at $16,500 per site per fiscal year.

The current incentives for PV systems are:

• $1.50/watt for first 3 kW installed capacity
• $1.00/watt for next 7 kW installed capacity
• $0.50/watt for next 10 kW installed capacity
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There is currently no information available on minimum or maximum system size requirements for solar thermal systems. Although equipment requirements are dependent upon if a system generates more or less than 10,10,000 kWh per year.

The current incentives for Solar Thermal residential systems are:

• Solar Thermal (water heating): 20% of the installed cost up to a maximum of $5,000
• Solar Thermal (space heating): 20% of the installed cost up to a maximum of $2,000
• Solar Thermal (combined system): 20% of the installed cost up to a maximum of $5,000

The current incentives for Solar thermal non-residential systems are as follows:

• Solar Thermal (water heating): 15% of installed cost up to a maximum of $7,000
• Solar Thermal (space heating): 15% of the installed cost up to a maximum of $2,000
• Solar Thermal (combined system): 15% of the installed cost up to a maximum of $7,000

Applicants must get a site assessment and conduct a pre-qualification application to get a reservation number. Once the pre-qualification application is approved, the applicant must complete a final application. If funds run out for a given year, applicants hold their place in line for one year with their reservation number and may receive funding the next year. The system must be completed within six months of the award date. If the system is not completed, the applicant may get a six month extension. If the system is not completed at the end of the extension, then the rebate must be returned to DDOE.

Projects must be located within the District of Columbia and applicants must be customers of Pepco. Projects receiving incentives must be grid-connected and must follow the interconnection, operation, and metering guidelines set by Pepco and the DC Public Service Commission. Large systems must have remote communication capabilities for monitoring of the performance meter.

For more information, additional requirements and program history please view the Solar PV Program Guidelines or Solar Thermal Program Guidelines.

*While the this level of funding remains memorialized in the D.C. Code, funding for the program has been diverted to other uses at least twice in the recent past. The currently authorized Fiscal Year 2011 budget is $1.1 million.