Energy

GoSolarSF

To encourage more installations of solar power throughout San Francisco by offering financial incentives

Topic Areas Addressed:

Energy

Keywords:

Submitting Jurisdiction:

City and County of San Francisco

The Solar Energy Incentive Program (GoSolarSF), established by ordinance June 2008, is administered by San Francisco’s Public Utilities Commission (PUC), which allocates $3 to $5 million of its net operating revenue to this program annually. Incentives are awarded on a first-come-first-served basis until the incentive budget is exhausted.

GoSolarSF offers residents up to $4,000, and businesses up to $10,000 to install solar power. Low-income residents and non-profit, multi-family residences can get even more.

Public Outreach and Education:

San Francisco Department of the Environment and PG&E partner to bring Neighborhood Solar Champions Training Courses, which are free solar training for SF citizens interested in learning about solar energy installation.

Target Audience:

San Francisco residents, local businesses and non-profit organizations

Measurable Outcomes:

By August 2009, projects under GoSolarSF totaled nearly 3 megawatts of new solar power installed or committed, primarily in the residential sector. In addition, the program has created 22 new green-collar jobs.

The program has been less successful in encouraging solar installations on properties occupied by businesses, non-profit organizations and low-income households.

Public Support & Opposition:

The ordinance has the support of Sierra Club, Vote Solar, the A. Phillip Randolph Institute, SPUR, Literacy for Environmental Justice, and the Neighborhood Parks Council, among others.

Fiscal Impacts:

In San Francisco, a typical 2.5 kilowatt (kW) residential solar installation costs about $25,000. Depending on the level of incentive, the cost of this system could be cut in half. Low-income residents could save 60% - 70% and pay between $7,000 and $10,000 for solar power. Businesses and non-profits could save well more than half the cost of their systems

There were 388 applicants in the first six months of existence, totaling $2,380,370 in incentive requests.

Legal Issues:

Because non-profit organizations do not pay federal taxes, they are unable to receive the federal solar tax credit – currently 30% of the total project cost. Additionally, the ordinance requires properties to be both owned and operated by a non-profit in order to be eligible for the incentives.