NC GreenPower Production Incentive

Summary

Note: As of February 2018, NC GreenPower has terminated the small solar generator program application.   

NC GreenPower, a statewide green power program designed to encourage the use of renewable energy in North Carolina, offers production payments for grid-tied electricity generated by solar, wind, small hydro (10 megawatts or less) and biomass resources. Payment arrangements for electricity generated by most renewable energy systems may be available by submitting proposals for consideration when NC GreenPower issues an RFP. However, owners of small wind energy systems (10 kW or less) may currently apply to receive program incentives at any time. Owners of small wind-energy systems are encouraged to review and fill out an online application, available on the NC GreenPower web site. Note that customer-generators who choose to net meter are not eligible to participate in the NC GreenPower Program. Note that from February, 2018, NC GreenPower terminates the small solar generator program. This will not affect current generators but new applications are not being accepted anymore.

Generators are required to enter into power-purchase agreements with their North Carolina electric utility and with NC GreenPower. However, because premiums paid to NC GreenPower are funded exclusively by voluntary contributions from North Carolina electric customers, NC GreenPower does not provide guaranteed contracts to generators. Production incentives are based on the amount expected to make the installation of renewable-energy systems approach economic feasibility. The incentives, which include payments from utility power-purchase agreements, are made on a per-kilowatt-hour (kWh) basis and vary by technology. Owners of small wind-energy systems receive $0.09/kWh from the program, plus approximately $0.04/kWh from their utility, for a total production payment of about $0.13/kWh.*

NC GreenPower is an independent, nonprofit organization created by state-government officials, electric utilities, nonprofit organizations, consumers, renewable-energy advocates and other stakeholders. It began operation in October 2003 as the first statewide green-power program in the United States. North Carolina's three investor-owned utilities -- Dominion North Carolina Power, Duke Energy and Progress Energy -- and many of the state's municipal utilities and electric cooperatives are participating in the NC GreenPower Program.


* Some North Carolina utilities charge an interconnection fee of approximately $4.00 per month for systems under 10 kW.