Delaware Electric Cooperative - Green Energy Program Incentives

March 07, 2023


The Delaware Electric Cooperative (DEC) provides incentives for solar photovoltaic (PV), solar thermal, wind, fuel cells, and geothermal installed by DEC member-owners. Eligibility is limited to systems that are intended to supply on-site energy needs. Incentives are available to both residential and non-residential member-owners based upon average peak demand over a 12 month period. Class A  member-owners are defined as those with an average monthly peak electric demand of 50 kilowatts (kW) or less over the previous twelve months. Class B member-owners are those with an average monthly peak electric demand of greater than 50 kW over the previous twelve months. 

Applicants may be required to have an energy audit performed by a Building Performance Institute (BPI) certified contractor prior to grant approval. ENERGY STAR homes may be exempted from this requirement. Both grid-connected and off-grid PV and wind energy systems are eligible for incentives, but systems must serve loads that would otherwise be served by the electric utility. Solar thermal systems used for domestic water heating or in radiant heating applications must reduce or eliminate the need for electric or gas heated water. Renewable energy systems designed and utilized as a third-party ownership or independent power producer are not eligible for grant funding.

Solar PV

·Class A and Class B: $0.35/W for the first 5 kW of capacity and $0.20/W over 5 kW. Non-profit: $1.05/W for the first 5 kW of capacity and $0.52/W over 5 kW.

Maximum incentive of $2,000 for Class A and $3,500 for Class B and Non-Profit.

Solar Thermal

·Domestic Hot Water: 20% of installed costs up to $2,000 for Class A systems and $3,500 for Class B systems.

·Radiant Heating: 20% of installed costs up to $2,500 for Class A systems and $3,500 for Class B systems

Wind: $0.85/W up to $2,500

Geothermal Heat Pumps: $800/ton for first two tons and $700/ton for additional capacity, up to $3,000 for Class A systems and $4,000 for Class B systems.

Fuel Cells: Up to 20% of the installed cost up to $3,500 for Class A systems and $5,000 for Class B systems. 

Systems are subject to a variety of equipment, installation and warranty requirements, including limitations on system orientation and shading for solar energy systems. The Delaware Energy Office processes applications and conducts technical reviews for this program. The program rules do not specify the ownership of renewable energy credits (RECs) associated with system energy production; however, net metering customers in Delaware retain ownership of RECs unless they voluntarily relinquish such ownership.

Funding for the program is limited and is distributed on a first-come, first-serve basis. More information about the Renewable Resource Program for the year 2022 can be accessed here.  

Under the 2005 Delaware renewable portfolio standard (RPS) legislation, electric cooperatives were allowed to opt out of the RPS schedule if they met certain other requirements. One such requirement was that they contribute to the existing Green Energy Fund for investor-owned utilities or create their own green energy fund supported by an equal surcharge (i.e. $0.000178/kWh). The Delaware Electric Cooperative (DEC), the state's lone cooperative, opted out of the RPS requirements and established its own green energy fund.

In 2010 the Delaware RPS was amended by SS 1 for S.B. 119 and the section (26 Del. C. § 363) detailing the obligations of electric cooperatives was slightly revised. While these amendments change several other opt-out requirements, the provision mandating green energy fund contributions in the event of an opt-out remains unchanged.


Program Overview

Implementing Sector: Utility
Category: Financial Incentive
State: Delaware
Incentive Type: Rebate Program
Web Site:
Administrator: Delaware Department of Natural Resources and Environmental Control
Start Date: Initial program start year 2007
Eligible Renewable/Other Technologies:
  • Solar Water Heat
  • Solar Space Heat
  • Solar Photovoltaics
  • Wind (All)
  • Geothermal Heat Pumps
  • Wind (Small)
  • Fuel Cells using Renewable Fuels
Incentive Amount: PV:
Class A and Class B: $0.50 for first 5kW, $0.20 after 5kW
Non-Profit: $1.05 for first 5kW, $0.52 after 5kW

Solar Thermal (water and radiant space heating), 20% of installed costs

Wind: $0.85/W

Fuel Cells: 20% of installed costs

Geothermal Heat Pumps: $700 - $800 per ton (varies by size)
Maximum Incentive: PV: $2,000 for Class A, $3,500 for Class B or non-profits
Solar Thermal (domestic water): $2,000 for residential, $3,500 for non-residential
Solar Thermal (radiant space heating): $2,500 for residential, $3,500 for non-residential
Wind: $2,500
Fuel Cells: $3,500 for residential, $5,000 for non-residential
Geothermal Heat Pumps: $3,000 for residential, $4,000 for non-residential
Eligible System Size: Minimum: 500 W
Maximum: No specific limit, but systems must be designed to serve only on-site energy needs
Equipment Requirements: Full five-year warranty required for all systems; grid-connected electricity generating systems must generally meet applicable IEEE and UL standards; PV modules must be UL-1703 certified; wind energy systems must be CEC-listed; solar thermal systems must be SRCC certified (OG-300 for residential and OG-100 for non-residential); geothermal heat pumps must have a minimum EER of 18.0 and COP of 3.6; fuel cells must meet NFPA 853, IEEE 519, ANSI Z21.83 and ANSI C37.2 specifications
Installation Requirements: Systems must generally be installed by a participating contractor, but self-installs also permitted; grid-connected or off-grid systems are eligible; solar PV and solar thermal systems must meet orientation, shading, and aesthetics requirements; wind energy systems may be reviewed for wind resource adequacy
Ownership of Renewable Energy Credits: Customer-generator


Name: Renewable Resource Program Regulations
Effective Date: 01/01/2012 (as amended)
Name: 26 Del. C. § 363
Date Enacted: 07/21/2005
Name: S.S. 1 for S.B. 119
Date Enacted: 07/28/2010


Name: Scott Lynch
Organization: Delaware Department of Natural Resources and
Phone: (302) 653-2733
Name: Mark Nielson
Phone: (302) 349-3147

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.