The California Public Utility Commission’s Self-Generation Incentive Program (SGIP) provides financial incentives to support existing, new, and emerging distributed energy resources. The SGIP provides rebates for qualifying distributed energy systems installed on the customer's side of the utility meter. As of Jan. 1, 2008, qualifying technologies include fuel cells and wind turbines.
The program was created in 2001 in response to California peak demand problems, and runs through Dec. 31, 2011. In April, the CPUC raised the cap on cash incentives for SGIP projects from 1 megawatt to 3 megawatts on a pilot basis. The CPUC authorized program administrators to use carryover funds from prior budget years to pay incentives up to 3 megawatts through Dec. 31, 2009.
The SGIP reimburses fuel cell power plant owners $4,500 per kilowatt for biogas-run units and $2,500 for those operating on natural gas. The first megawatt is eligible for 100 percent of the incentive; the second megawatt is eligible for 50 percent of the incentive; and the third megawatt is eligible for 25 percent of the incentive.
April 24, 2008
CPUC Raises Cap on Cash Incentives for Customer Installed Clean
Energy
Incentives vary by technology and fuel type. For program statistics, evaluation reports, and information on how to apply for incentives, please contact the program administrator for your utility:
- Pacific Gas & Electric Company
- Southern California Edison
- Southern California Gas Company
- San Diego Regional Energy Office