CA Solar Energy Incentives & Rebates
California has a long history of supporting renewable energy.
With a strong renewable energy standard and one of the largest solar incentive programs in the nation, California is one of the leading states in solar power. California offers rebates in a step-down program and the rebates are dropping fast. Now is the best time for homeowners to go solar, in order to take advantage of existing CA solar incentives.
SunRun files all rebate paperwork for you and passes along the savings in your low upfront cost. Instead of paying $30,000 for a home solar system, you can upgrade to solar for as low as $0.
CA Solar Rebate Programs
The California Solar Initiative
The California Solar Initiative (CSI) is the solar rebate program for homeowners who are customers of Pacific Gas & Electric (PG&E), Southern California Edison (SCE), and San Diego Gas & Electric (SDG&E). Launched in January 2007, the CSI is the biggest program for solar incentives in the state.
Originally, the CSI was expected to give out $3.2 billion in solar rebates to California homeowners in 10 years, but the rebates are going faster than expected. Now is the best time to go solar, so that homeowners can take advantage of as much of the rebates as they can before they go away completely. Learn more about the California Solar Initiative.
Other rebate programs
Other municipal utilities, including Sacramento Municipal Utility District (SMUD) and Los Angeles Department of Water and Power (LADWP) offer their own California solar rebate programs.
- LADWP: The Los Angeles Department of Water and Power offers solar rebates that are based on the estimated performance of the home solar system. The utility company calculates the estimated production of the system and gives the homeowner a one-time payment for 20 years of production. For more information on the rebate program, see the LADWP solar incentives page.
- SMUD: The Sacramento Municipal Utility District also offers homeowners solar incentives based on expected system performance. See the SMUD website for more information on their solar rebate program.
Rebate levels are always changing. For up to date information on all California solar rebate programs, visit DSIRE, the Database of State Incentives for Renewables & Efficiency, or the individual solar rebate programs websites.
History of California Solar Incentives
Beginning in 1998, rebates for small solar energy systems were managed under the Emerging Renewables Program (ERP) at the California Energy Commission. In 2001, a second program that covered rebates for larger systems--over 30 kW--was assigned to the California Public Utilities Commission (CPUC) through the Self-Generation Incentive Program (SGIP).
In August 2004, Governor Schwarzenegger affirmed his support for solar energy, and announced the Million Solar Roofs program. Dubbed the California Solar Initiative (CSI) by the CPUC, the goal is to support growth in home solar to one million solar roofs in California by 2018.
In January 2007, the State of California launched Go Solar California, which included two new solar incentive programs, with slightly modified program requirements compared to the older programs. The Energy Commission provides incentives to energy efficient new home construction under the New Solar Homes Partnership. All other existing homes in investor-owned utilities (Pacific Gas and Electric, Southern California Edison and San Diego Gas and Electric) receive rebates from the CPUC-administered program, the California Solar Initiative (CSI).
The new framework also included a major shift in the way solar rebates were calculated - how many dollars you receive for your rebate is now based on performance factors such as the orientation, tilt, and location of your solar electric system. The intention was to make sure all home solar electric systems installed were designed to generate the most solar electricity possible.
Get a Free Solar Quote
Find out how much you can save when you go solar with SunRun.