Residential Renewable Energy System Tax Credit

November 02, 2015

Summary

Rhode Island (RI) law provides 25% tax credit for installing residential renewable energy systems. Eligible systems include photovoltaic (PV) systems, solar domestic hot water system, active solar space heating, geothermal, or a wind-generating system. Applicants must be residents of RI and must own, rent, or the contract buyer of the dwelling served by the renewable energy systems. Maximum incentive for system depends on the technology type and is provided in table above.

To receive the credit applicants must obtain system certification from the State Energy office, or the systems must be installed by a contractor holding a contractor certification issued by the State energy office.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Rhode Island
Incentive Type: Personal Tax Credit
Web Site:
Administrator: Rhode Island Office of Energy Resources
Start Date:
Eligible Renewable/Other Technologies:
  • Solar Water Heat
  • Solar Space Heat
  • Solar Photovoltaics
  • Wind (All)
  • Geothermal Heat Pumps
  • Wind (Small)
Incentive Amount: 25% of the cost of the system
Maximum Incentive: Solar PV: Maximum credit of $15,000
Solar Hot Water: Maximum credit of $7,000
Active Solar Heating: Maximum credit of $15,000
Wind: Maximum credit of $15,000
Geothermal: Maximum credit of $7,000
Eligible System Size: Solar PV: Must be battery or grid connected; minimum size of 24 sq. ft.
Solar Hot Water: Minimum collector area of 34 sq. ft.; storage tank of at least 80 gallons
Active Solar Heating: Minimum collector area of 125 sq. ft.
Wind: Must have rotor diameter of 44 inches, and factor rated output of 250W at 28 mph
Geothermal: Must have coefficient of performance of 3.4 or greater or efficiency ratio of 16 or greater
Equipment Requirements: Must be new
Carryover Provisions: Not eligible; must be claimed in the tax year when the system was placed in service

Incentives

This program has 4 incentives
Technologies: Solar Water Heat, Solar Space Heat, Solar Photovoltaics, Wind (All), Geothermal Heat Pumps, Wind (Small)
Sectors: Residential
Parameters: The incentive is 25.00 %
Technologies: Solar Water Heat, Geothermal Heat Pumps
Sectors: Residential
Parameters: The incentive has a minimum of $7000.00
Technologies: Solar Photovoltaics
Sectors: Residential
Parameters: The incentive has a minimum of $15000.00
Technologies: Solar Space Heat, Wind (All)
Sectors: Residential
Parameters: The incentive has a minimum of $15000.00

Authorities

Name: Chapter 44-57-4 et seq

Contact

Name: Chris Kearns
Address: One Capitol Hill
Providence RI 02908
Phone: (401) 575-9113
Email: christopher.kearns@energy.ri.gov

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.