Energy storage incentives are being adopted by more and more states across the country. California, New Jersey, Maryland and Nevada are acting as leaders in this movement, while Massachusetts, New York and Hawaii seem to be next in line. We at Think Energy discuss the possible perks for residential and industrial taxpayers who have energy storage systems, exactly what plans the participating states are drawing up and how they may benefit our local customers.
In April of this year, Maryland passed a bill that created a 30 percent tax credit for energy storage devices, effectively joining both California and New Jersey in promoting energy storage. Shortly after, the state of Nevada adopted its own electricity storage incentive. As of now, California is the only state where the incentives have truly been implemented. In the spirit of this recent change, California reopened its Self-Generation Incentive Program (SGIP) and passed a bill providing rebates for home energy storage systems. Although the other states have yet to implement regulations for their own incentives, it’s still early in their processes, and regulations will most likely be drawn up soon.
As for other states following in these four’s footsteps, Massachusetts passed legislation last summer that laid the groundwork for a power storage mandate and should be finalizing procurement targets any day now. On top of this, incentive levels for Massachusetts’ SMART program are currently being drafted and would be separate from the mandate.
At the end of June, New York passed two bills (SB 5190 and AB 6571) that directed the state’s Public Service Commission to develop an Energy Storage Deployment Program. This program includes a storage procurement target for 2030. It’s believed that the setting of Massachusetts’ mandate could very well influence New York when it sets its own electrical storage target.
Hawaii, a state with the utmost ideal conditions for renewable energy production (particularly solar), has an electrical energy storage incentive bill that recently moved forward in hopes of approval. HB 1593’s goal is to reduce oversight and speed up the loan process in order to encourage more renewable projects as well as the usage of a green infrastructure loan program for disadvantaged residents and communities. This loan program would host a rebate program to incentivize renewable energy storage technology installed simultaneously with solar panels.
With a greater number of states adopting incentives that promote energy storage technologies, homeowners and businesses may be looking to start their own energy storage projects. Whether or not you’re looking into electrical storage systems of your own, it’s always good to know what benefits are available in your state. Here at Think Energy, we’re all for our customers being rewarded for their energy-saving practices.