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Delaware Electric Cooperative - Green Energy Program Incentives

Last Review: 2013-01-14
Incentive Type: Utility Rebate Program
Eligible Efficiency Technologies: Solar Water Heat, Solar Space Heat, Photovoltaics, Wind, Geothermal Heat Pumps, Fuel Cells using Renewable Fuels
Applicable Sectors: Commercial
Incentive Amount: PV: 0.45 - 0.90/W in general; 0.52 - 1.05/W for non-profits
Solar Thermal (water and radiant space heating): 20% of installed costs
Wind: 1.25/W
Fuel Cells: 20% of installed costs
Geothermal Heat Pumps: 700 - 800 per ton (varies by size)
Eligible System Size: Minimum: 500 W
Maximum: No specific limit, but systems must be designed to serve only on-site energy needs
Equipment Requirements: Full five-year warranty required for all systems; grid-connected electricity generating systems must generally meet applicable IEEE and UL standards; PV modules must be UL-1703 certified; wind energy systems must be CEC-listed; solar thermal systems must be SRCC certified (OG-300 for residential and OG-100 for non-residential); geothermal heat pumps must have a minimum EER of 18.0 and COP of 3.6; fuel cells must meet NFPA 853, IEEE 519, ANSI Z21.83 and ANSI C37.2 specifications
Website: http://www.dnrec.delaware.gov/energy/services/GreenEnergy/Pages/CoopGEP_F.aspx


NOTE: The Renewable Resource Program will accept requests for grant funding for calendar year 2013 beginning January 9, 2013.  Applications for residential PV and geothermal systems will not be accepted after 4:30 pm on January 15, 2013. Applications for all other systems will be accepted until this year’s program budget of $260,481 is exhausted. For 2013, the total annual funds available will be allocated as follows: Small Wind Turbines = 2%, Geothermal Systems = 28%, PV Class A = 50%, PV Class B = 20%.

The Delaware Electric Cooperative provides incentives for solar photovoltaic (PV), solar thermal, wind, geothermal, and fuel cell systems installed by DEC member-owners. Eligibility is limited to systems that are intended to supply on-site energy needs. Incentives are available to both residential and non-residential member-owners based upon average peak demand over a 12 month period. Class A  member-owners are defined as those with an average monthly peak electric demand of 50 kilowatts (kW) or less over the previous twelve months. Class B member-owners are those with an average monthly peak electric demand of greater than 50 kW over the previous twelve months. Maximum incentives are up to $7,500 for Class A and $10,000 for Class B and non-profit systems.

Applicants may be required to have an energy audit performed by a Building Performance Institute (BPI) certified contractor prior to grant approval. Energy Star homes may be exempted from this requirement. Both grid-connected and off-grid PV and wind energy systems are eligible for incentives, but systems must serve loads that would otherwise be served by the electric utility. Solar thermal systems used for domestic water heating or in radiant heating applications must reduce or eliminate the need for electric or gas heated water. Renewable energy systems designed and utilized as a third-party ownership or independent power producer are not eligible for grant funding.

Incentive levels and limits vary by technology, system size and sector as follows:

Solar PV

  • Class A  and Class B: $.90/W for the first 5 kW of capacity (0-5 kW) and $0.45/W over 5 kW. Maximum incentive of $7,500 for Class A and $10,000 for Class B.
  • Non-profits: $1.05/W for the first 5 kW of capacity (0-5 kW) and $.52/W over 5 kW (5-10 kW). Maximum incentive of $10,000 for non-profit systems.

Solar Thermal

  • Domestic Hot Water: 20% of installed costs up to $3,000 for residential systems and $7,500 for non-residential systems.
  • Radiant Heating: 20% of installed costs up to $5,000 for residential systems and $7,500 for non-residential systems

Wind: $1.25/W up to $2,500

Fuel Cells: 20% of installed costs, up to $7,500 for residential systems and $10,000 for non-residential systems

Geothermal Heat Pumps: $800/ton for first two tons and $700/ton for additional capacity, up to $5,000 for residential and $10,000 for non-residential systems.

Systems are subject to a variety of equipment, installation and warranty requirements, including limitations on system orientation and shading for solar energy systems. The Delaware Energy Office processes applications and conducts technical reviews for this program. The program rules do not specify the ownership of renewable energy credits (RECs) associated with system energy production; however, net metering customers in Delaware retain ownership of RECs unless they voluntarily relinquish such ownership.

Under the 2005 Delaware renewable portfolio standard (RPS) legislation, electric cooperatives were allowed to opt out of the RPS schedule if they met certain other requirements. One such requirement was that they contribute to the existing Green Energy Fund for investor-owned utilities or create their own green energy fund supported by an equal surcharge (i.e. $0.000178/kWh). The Delaware Electric Cooperative (DEC), the state's lone cooperative, opted out of the RPS requirements and established its own green energy fund.

In 2010 the Delaware RPS was amended by SS 1 for S.B. 119 and the section (26 Del. C. § 363) detailing the obligations of electric cooperatives was slightly revised. While these amendments change several other opt-out requirements, the provision mandating green energy fund contributions in the event of an opt-out remains unchanged.

Scott Lynch
Delaware Department of Natural Resources and Environmental Control
1203 College Park Drive, Suite 101

Dover, DE 19904
Phone:(302) 735-3480 Ext.
Phone 2:()
Email: scott.lynch@state.de.us
Web site: http://www.dnrec.delaware.gov/energy


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