Clean Energy In the News

By STEVE ALBERTS / KVUE News

If you were hoping to take advantage of the city's solar rebate program, you could be out of luck. The city isn't accepting any new applications until next month, and they're cutting how much they'll hand out.

Solar is becoming big business. Austin Energy has seen the number of applications for its solar rebate program more than double compared to last year.

"It’s a perfect storm of events," said Karl Rabago, Austin Energy utility vice president.

Rabago says the program is a victim of its own success. He says so many people were applying for the solar rebate program, the utility was running out of money.

"We’ve been so successful that we had to re-toll the program for next year’s budget which starts today (October 1, 2009)," Rabago said.

In a memo to council, Rabogo informed members no new residential rebate applications will be accepted until November 1. That left 135 people who did apply for the program in limbo. Officials say they can reapply.

Under the new guidelines for residential customers, the solar rebate offered November 1, 2009 will be limited to 2.50 cents per watt -- down from 3.75 cents per watt. The total rebate allowed for each individual project will be limited to $15,000 per project -- down from $50,000 per project.

Austin Energy will now require energy efficiency standards be taken by every home that receives the rebate.

Luke Metzger, director of Environment Texas, says he is concerned limiting the rebate program could hurt the city in the future.

"What we don't like is they are going to have such a small budget, they will have to turn away hundreds of Austinites who want to go solar, are ready to invest thousands of their own dollars into this infrastructure that will benefit the whole city. This could really hurt the solar industry that has grown up over the last five years," he said.

"Almost 1,000 roofs have solar panels on them, but it’s growing so fast we’re going to have to adjust to the times," said Rabago.

Austin Energy says it is suspending installation of solar panels for businesses and nonprofits until January.