PROGRAM ELIGIBILITY

New equipment purchased and installed in Vermont after the program's start date, September 1, 2006 , is eligible for incentive.

Solar Electric Systems – Only grid-connected photovoltaic electric systems are eligible for incentives. All new systems must include the components necessary to result in a functional, independent system. Upgrades to existing systems are also eligible, but to be eligible, an upgrade must include new modules with a rated output of at least 1 kW. New modules must be UL 1703 listed. All inverters must be UL 1741 listed or listed by another nationally recognized testing laboratory. All systems must comply will all applicable requirements of the current version of Vermont Public Service Board Rule 5.100.

Solar Hot Water Systems – Solar hot water systems must be complete systems capable of serving domestic hot water loads. The thermal collectors used in the systems must have an OG-100 output rating from the Solar Rating Certification Corporation (SRCC) or an equivalent organization. Upgrades to existing solar hot water systems are also eligible, but to be eligible, an upgrade must include new collectors with a rated output of at least 15 kBtu/day. Systems that heat water for swimming pool use are not eligible.

Small Wind Systems – Only grid-connected wind energy systems are eligible for incentives. All new systems must include the components necessary to result in a functional, independent system. Upgrades to existing systems are also eligible, but to be eligible, an upgrade must include new turbines with a rated output of at least 1 kW. All inverters must be UL 1741 listed or listed by another nationally recognized testing laboratory. All systems must comply will all applicable requirements of the current version of Vermont Public Service Board Rule 5.100.

There are not specific minimum or maximum sizes for new eligible systems, although any systems that will be net metered must comply with eligibility requirements as defined by 30 VSA 219. The maximum size for net metering of small wind and solar electric systems is currently 15 kW (or 150 kW for farm-based systems). The Public Service Board may also grant up to five CPGs per year for non-farm systems of up to 150 kW. System upgrades must meet the minimum size requirements listed above.

For multi-family low-income projects, program incentives will support the first 10 kW of installed capacity for a solar electric system or the first 1,000 kBtu/day rating for solar hot water collectors; larger systems are eligible but will receive an incentive capped at the lesser of $35,000 or 50% of the total installed cost of the system.

For other customers, program incentives will support the first 5 kW of installed capacity for a solar electric or wind system or the first 500 kBtu/day rating for solar hot water collectors. Larger systems are eligible for program support, but will receive an incentive capped at $8,750 for solar and $12,500 for wind. Incentives for wind systems installed by schools, farms, and local and state governments are limited to the lesser of $20,000 or 50% of the total installed cost of the system. Portable systems and solar hot water for swimming pools are not eligible for incentives.

All systems must be installed in accordance with manufacturer's recommendations and all applicable local, state, and federal codes and permits. Solar electric and small wind systems must be interconnected to the electric utility grid and must be installed in accordance with the Vermont Interconnection Safety and Technological Requirements (VT Public Service Board Order of April 21, 1999) and the National Electric Code®.

All wind and all solar electric systems must operate as interconnected net metered power systems, must comply with all applicable requirements of the current version of Vermont Public Service Board Rule 5.100, and must obtain and provide a Certificate of Public Good pursuant to 30 V.S.A. § 248 from the Vermont Public Service Board.

Participants are eligible for incentives for systems that include two or three different technologies (wind, solar electric and solar hot water); however, a single application for a hybrid system must be submitted and will be assigned a single reservation number. The combined total incentive amount for hybrid systems cannot exceed the following amounts: $8,750 for solar hybrid systems, $12,500 for solar/wind hybrid systems (or $20,000 for solar/wind hybrid systems installed by schools, farms, or local or state governments), and $35,000 for solar hybrid or solar/wind hybrid systems installed by multi-family low-income projects.

Customers (businesses or individuals/households) are eligible to receive only one incentive from the program; that is, customers who received an incentive under any previous round of the Vermont Solar and Small Wind Incentive Program are ineligible to receive another incentive under this offering.

Federal NEPA Environmental Compliance Requirement:
Vermont is required to comply with the National Environmental Policy Act (NEPA) for all wind turbines. NEPA compliance is required given the majority of funding for wind systems is from the Department of Energy.

The following reservation approval process is therefore proposed for small wind systems in the new program:

1) Wind partners submit incentive reservation form.
2) The program administrator will notify the installer if the application is in order and assign an incentive reservation number.
3) Installer and customer apply to the Public Service Board for a Certificate of Public Good (CPG): see http://publicservice.vermont.gov/energy-efficiency/ee_netmetering.html .
4) Public Service Board issues a CPG
5) Installer submits CPG to the Incentive Program Administrator.
6) Program administrator receives CPG and submits the NEPA paperwork on behalf of the installer to the Department of Energy's NEPA compliance officer.
7) The NEPA compliance officer will notify the program administrator once the project is approved, or if there are issues.
8) The program administrator will notify the installer that NEPA compliance has been received and the installation may proceed.
9) Installer completes installation and submits project documentation.
10) Program administrator reviews and approves project documentation forms
11) Program administrator issues incentive check.

According to the DPS, the NEPA review process should take less then a month from start to finish. However, it will be important that installers apply for, and receive a CPG and submit a copy to the program administrator as soon as possible in order to initiate the NEPA review process. Please note, we will strive to streamline this administrative process as much as possible. Thank you for patience as everyone works to sort out the most effective way to deal with these new requirements.

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