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State Pushing Hard To Expand Solar Energy To Homes

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Solar energy (Philippe Huguen/AFP/Getty Images)

Solar energy (Philippe Huguen/AFP/Getty Images)

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By STEPHEN SINGER
Associated Press

MANCHESTER, Conn. (AP) _ As Connecticut pushes aggressively to expand solar energy to homes across the state, few supporters are more enthusiastic than Eugene DeJoannis.

The retired mechanical engineer from Manchester has long been a booster of green energy and boasts a keen interest in home energy issues. He’s now serving as a volunteer solar ambassador promoting a state program that subsidizes home solar projects and urges homeowners to participate.

“I have a personal fascination with the residential energy picture,” DeJoannis said. “Whenever we go to church, I invariably take out my literature and display it there.”

Backed by a $27 million fund supplied by utility ratepayers, a campaign known as Solarize Connecticut joins as many homeowners as possible to lower the cost of residential solar installation. It annually earmarks $9 million of the available funding to finance residential installation by solar panel businesses competitively picked.

The intent is to boost nonpolluting energy, reduce demand on the electric grid relied upon by utilities and cut dependence on overseas sources of power such as oil.

Bob Wall, director of marketing and outreach at Connecticut’s Clean Energy Finance and Investment Authority, said the agency is running solar panel installation campaigns in 22 of the state’s 169 towns and cities and has completed solar energy installation campaigns in nine towns.

In the past 22 months, 2,160 residential solar systems contracts have been approved.

Gary and Debbie Sweet, looking for information about putting solar panels on their house, attended a recent meeting in Manchester organized by state energy officials, bankers and solar installers. Sweet, an architect, said solar panels could slash his electricity costs.

“It doesn’t cost me anything. Why not?” he said.

The cost to homeowners is significantly reduced, and although it’s touted by Connecticut as a “once in a lifetime bargain,” it’s not free. Glenn Cucinell, solar division manager at Encon Solar Energy Division, which won the contract to install solar panels on homes in Manchester, said a typical system in Connecticut would cost about $24,000.

After a state rebate of about $8,000 and a 30 percent federal tax credit available for the remaining $16,000, a homeowner’s cost for a residential solar system would be cut by more than half, to $8,000 to $12,000, which can be paid for in long-term financing.

Connecticut’s subsidy is not unusual. Virtually every state offers loans, grants, rebates and other incentives to support broader use of residential solar panels, according to the U.S. Department of Energy. “It’s an incentive driven industry at this point,” Cucinell said.

In 2010, the most recent year for which statistics are available, solar energy received $1.13 billion in federal subsidies in the form of direct spending, research, tax benefits and loans, according to the U.S. Energy Information Administration. In contrast, wind power received nearly $5 billion in subsidies, and coal was the beneficiary of $1.36 billion in subsidies.

Andy Pusateri, a utilities analyst at Edward Jones, said solar power will not be weaned off federal and state subsidies anytime soon. Wind power is the fastest growing alternative source of power, but solar energy has a greater growth potential, he said.

“We’re still a ways off from a competitive generation source without subsidies,” he said.

Pusateri said politics is a factor behind the push for public subsidies of solar energy.

“Democrats tend to favor renewable energy,” he said. “I think that’s driving that.”

The solar campaign is part of a broader effort by Democratic Gov. Dannel P. Malloy to rework Connecticut’s energy policy. It includes a greater reliance on hydropower from Canada, an increase in natural gas connections to homes and businesses and a push for renewable power such as solar.

DeJoannis promises to keep at it with his campaign for home solar projects.

“There’s a garden club meeting tonight. Maybe I can break in there,” he said.

(© Copyright 2013 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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