Frequently Asked Questions - All FAQs
There are no Arizona or utility rebate incentives on solar systems. There are Arizona and Federal tax credits and/or rebates that may apply to your situation. See Renewable Energy Incentives
This inquiry is best met by direct contact with the various non-profit organizations and for-profit businesses. The Arizona Solar Center's Resources Directory is a good place to start.
(HB 2593) provides the full text of the bill in a PDF formatted file. In the case of commercial accounts, the utility uses meters that measure both the real power (watts) and the reactive power (volt-amperes reactive or VAR) and charge for the VARs if they constitute more than a certain percentage of the meter reading. This is important to utilities because while the VARs do not represent real energy, they do cause excessive currents that the utility needs to invest in larger equipment to handle. Measurement of VAR in residential service is very uncommon. These KVAR units do reduce the VARs and lower electric bills, but only for commercial service. In the case of master metering for connected buildings such as apartment complexes, the utility may be charging for Power Factor, in which case the KVAR units could be beneficial.
We are not aware of any damage coming from KVAR units.
These articles contain descriptions of how Arizonans have used a variety of techniques to reduce their energy usage.<< Link not working
[Answer content currently under review - OUTDATED 12/10/2016]
The so-called “cost-barrier” to PVs is overstated. Costs are not a barrier to large systems, remote systems, systems where competing costs are high (e.g. Japan), or when environmental costs are given any consideration at all.
- Many in the solar community would (if predictably) say “What cost hurdle?” And they have a point. Japan has removed all incentives as of Jan. 06 and the orders are still very strong. Of course, electricity prices are not subsidized as they are here, so they tend to be higher.
- Solar is now cheaper than conventional electricity in most of the rest of the world. Electricity, like oil, is subsidized in the US. Japan ’s retail electric rate is $0.25 / kWh (about 3 times Arizona ’s average rate)
- Many recent studies have pegged the per kWh cost at below $0.10/kWh. The recent spot market cost for PVNGS is over $0.10/kWh. It is widely known that the estimated cost per kWh is thought to be 3-5 cents per kWh for large-scale systems in the 100 MW range.
- Tucson Electric Power generates currently at 9.9 cents/kWh, albeit their system is adjacent to their existing coal-burning Springerville power plant, obviating the need for the usual infrastructural costs (transmission, land, etc.). Their site might be a ideal site for additional large-scale centralized installations.
- “The new federal energy bill also includes an important component for the current discussion. Beginning in 2006, residential solar systems are eligible for a 30% tax credit (later reduced). Current 2022 information is available at EnergyBot (commercial website) The tax credit is allowable on the installation price less the state tax credit. So in this case, the allowable credit is $4,050 based on the $13,500 net after the state tax credit ($14,500– 1000 = $13,500 X .30 = $1,350).” Out of pocket expense is thus $9,400 for a five kW system (most people around here have been installing 3-8 kW).
- See the more current information on our Renewable Energy Incentives section.
Table 1: Net cost of a 5kW system
Retail Cost ($) |
Az Tax Credit ($) |
Federal Tax Credit30% of $13500 |
Out of Pocket Expense ($) |
| 14,500 |
- 1000 |
- 4,050 |
9,450 |
- It should also be said that the use of PV is an economic choice right now for off-grid and remote locations, including many Indian reservations. If one were to give any value at all to the environmental benefits of using solar, there would be no question that it was economic. The economic argument may well be the most compelling, as solar emits no greenhouse gases after manufacture and an infinitesimal amount when compared to coal.
- Many solar dealers/installers are offering leased systems with little up-front cost. These have become very popular starting in 2015.
- Caution: Recent changes in electrical service rates for homeowners with PV systems by SRP (and applied for by APS, etc.) along with changes in net metering will impact the savings. This is complicated, make sure that the dealer explains the situation. See the topics under 'Economics' on the top menu of our main web page.
Yes. The solar energy device must meet the required criteria except for the warranty and professional licensing requirements. The value of your own labor is not allowable for tax credits, only out of pocket costs.
- Do I own my own home, or can the improvement be moved?
- Do I have a suitable area for a solar system?
- Do I have the cash or financing for the system?
The Arizona Solar Center is not currently hiring. However, we suggest you consult the GreenStart Job Board 
on the American Solar Energy Society website (www.ases.org ). They have jobs posted in the solar energy area. Our own Internet site has many links to sources of information on renewable energy as well.
Internships are also possibly available from individual companies. We suggest you contact them directly. And there are many internship programs you should be able to find on the Internet. Among them is the Environment and Energy Study Institute (www.eesi.org ) in Washington, D.C. Their telephone number is 202-628-1400. Their job and internship board can be found at www.eesi.org/jobs .