More New York homeowners than ever want to put solar panels on their houses.
That should be good news for the 174 contractors registered with the state to install solar photovoltaic systems. But the demand has put such a strain on subsidies for residential solar that the state has reduced the amount offered, hoping to make a dwindling pot of money last through the end of the year.
A new round of funding for 2010 and beyond has not yet been approved, and that leaves solar power installers hanging. They can’t sign up customers until they know what the subsidy will be. And without customers, an emerging industry employing between 800 and 1,000 people statewide can’t create more “green-collar” jobs.
Solar is popular for a couple of reasons. The price of solar panels is coming down due to increased production in China and falling prices for materials. It’s also easier for people with solar installations to sell their surplus electricity back to the grid.
On Oct. 13, to keep the money from running out, NYSERDA cut the incentives for residential solar photovoltaic installations from $3 per watt to $2.50 per watt, up to the first 4 kilowatts. Incentives for commercial and nonprofit solar power installations also were cut.
In one day, the agency was flooded with applications — several installers heard it was more than 100, though NYSERDA will only say it was “quite a few.” Some installers were left with the impression those applications would soak up whatever money was left in the solar incentive program.