UES - Renewable Energy Credit Purchase Program

April 08, 2015

Summary

Note: The Arizona Corporation Commission (ACC) is in the process of modifying some elements of this program. When the ACC issues their final order it is expected that the up-front incentive for residential and commercial photovoltaics (PV) will be reduced to $0.10 per watt and the incentive for solar water heating will be reduced to $0.40 per equivalent kilowatt-hour (kWh). The summary below reflects the program as it was available in 2012.

Through the Renewable Incentive Program, UniSource Energy Services (UES) offers customers who install various renewable energy sources the opportunity to sell the credits associated with the energy generated to UES. Previously, UES only provided incentives for solar technologies, but they expanded the list of qualified renewables in 2008 to include all technologies eligible for Arizona's Renewable Energy Standard (RES). The solar technologies eligible for a rebate include photovoltaic (PV), solar hot water, solar HVAC and solar daylighting systems. Up-front incentives for PV may be de-rated based on expected performance. As of May 15, 2012, renewable energy systems are eligible for the following credit amounts:

  • Residential photovoltaics (PV): Funding has been depleted for 2012
  • Non-residential PV (up to 70 kW-AC): Funding has been depleted for 2012
  • Non-residential PV (greater than 70 kW-AC): Production-based incentive (PBI) on a 10, 15 or 20 year contract.
  • Residential solar water heating and space heating systems: $0.50/kWh (up-front incentive), up to $1,750
  • Small commercial solar water heating and space heating systems: $0.50/kWh (up-front incentive), up to $200,000
  • Large commercial solar water heating systems: Performance-based incentive
  • Solar space cooling systems (non-residential only): The incentive for the thermal energy delivered for cooling by a solar HVAC system is based on actual performance and ranges between $0.104/kWh-equivalent and $0.116.kWh equivalent. In addition, systems that incorporate solar thermal heating and/or solar thermal water heating are eligible for the large solar water heating PBI.
  • Grid tied residential and commercial wind (less than 1 MW): $1.25/W
  • Solar Daylighting (non-residential only): $0.18/kWh anticipated first year savings.
  • Other renewables installed by non-residential customers can apply to receive a PBI.

Funds are assigned through a reservation process. All necessary forms can be downloaded from the program website.

UES is purchasing solar credits and renewable energy certificates to help the company meet the state's Renewable Energy Standard (RES). Participating customers receive a one-time rebate or receive an incentive based on system output or kWh savings. UES will have access to the credits for the life of the RES program.

Program Overview

Implementing Sector: Utility
Category: Financial Incentive
State: Arizona
Incentive Type: Rebate Program
Web Site: https://www.uesaz.com/Renewable/Home/PV/
Administrator: UniSource Energy Services
Start Date: 2004
Eligible Renewable/Other Technologies:
  • Solar Water Heat
  • Solar Space Heat
  • Geothermal Electric
  • Solar Thermal Process Heat
  • Solar Photovoltaics
  • Wind (All)
  • Biomass
  • Geothermal Heat Pumps
  • Landfill Gas
  • Daylighting
  • Solar Pool Heating
  • Wind (Small)
  • Hydroelectric (Small)
  • Anaerobic Digestion
  • Other Distributed Generation Technologies
Incentive Amount: PV incentives may be de-rated based on expected performance
Residential PV: Funding has been depleted
Non-residential PV (up to 70 kW-AC): Funding has been depleted
Non-residential PV (larger than 70 kW-AC): production-based incentive (PBI)
Residential solar water heating and space heating: $0.50/kWh (up-front incentive)
Small commercial solar water heating and space heating: $0.50/kWh (up-front incentive)
Large commercial solar water heating and solar HVAC systems: performance-based incentive
Residential and small commercial geothermal heat pumps: $500 per ton
Grid-tied wind (less than 1 MW): $1.25/W
Solar Daylighting: $0.18/kWh estimated first year savings
Other renewables: performance-based incentive
Maximum Incentive: Up-front incentives can pay for no more than 50% of the cost
Residential solar water heating and space heating: $1,750
Small commercial solar water heating and space heating: $200,000
Equipment Requirements: SWH systems must be certified to SRCC OG-300 standards
Large solar water heaters and other solar thermal applications must use panels with SRCC OG-100 certification or laboratory documentation showing the panel energy output under controlled and replicable test conditions.
Installation Requirements: Solar system must meet orientation, tilt, and shading guidelines.
Ownership of Renewable Energy Credits: UES

Contact

Name: Renewable Energy Credit Purchase Program - UES
Organization: UniSource Energy Services
Address: PO Box 3099
Kingman AZ 86402-3099
Phone: (866) 467-1229
Email: renewables@uesaz.com

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.