Mass. unveils new solar-rebate programs

Massachusetts energy officials unveiled the heirs apparent to its wildly successful Commonwealth Solar rebate program, using a mix of ratepayer funds and stimulus money to pay for the incentives.

Dubbed Commonwealth Solar II and Commonweath Solar Stimulus, the programs aim to fill the gap in financial incentives left when the first, $68 million Commonwealth Solar program ran out of money in October — more than two years ahead of schedule.

At the time, solar installers told the Boston Business Journal they were concerned the lack of incentives would stop projects from moving forward.

Commonwealth Solar II will provide rebate incentives for small residential and commercial systems, with total allocations up to $4 million per year. This program will be funded through the Massachusetts Renewable Energy Trust, which managed the last Commonwealth Solar program and is funded by a surcharge on electricity bills.

For larger projects, state officials plan to tap $8 million in state energy plan funding from the American Recovery and Reinvestment Act to provide rebates to projects.

Both programs are expected to begin in late January.

“Commonwealth Solar has already played an important role in speeding the Bay State’s transition to a clean energy economy,” Gov. Deval Patrick said in a statement. “I commend the more than 1,200 homeowners, businesses and municipalities who have taken advantage of this innovative program in the past two years, and encourage many more to partner with the commonwealth as we continue along the path toward a cleaner future.”

The state continues to work on a long-term incentive program based on renewable energy credits, which must be purchased by utilities and can be used to finance projects, rather than post-construction rebates. The Massachusetts Department of Energy Resources is developing regulations for such a scheme, and officials say they expect a program to launch in January.