New York

The New York State Energy Research and Development Authority (NYSERDA) provides an incentive for the installation of approved, grid-connected photovoltaic (PV) systems, with a goal of supporting 3.175 GW of installed capacity. NYSERDA has established separate megawatt (MW) budgets for different regions of the state: areas served by Con Edison, areas served by PSEG Long Island, and the balance of the state. These separate budgets are referred to as MW Blocks. The incentives available within each MW Block are scheduled to step down over time as certain targets are met.

Incentive Amounts

The non-residential incentives consist of a base incentive, which varies depending on the MW Block. Larger systems will also receive a second tier incentive for installed capacity over 50kW and up to 200kW per meter. Customers of investor-owned utilities, including Central Hudson Gas & Electric Corporation, Consolidated Edison Company of New York, New York State Electric & Gas Corporation, Niagara Mohawk Power Corporation, Orange and Rockland Utilities, Rochester Gas and Electric Corporation, and PSEG Long Island are eligible to participate, as well as customers of NYPA and municipally-owned utilities.

Residential, small business, and not-for-profit organizations are also eligible for low-interest rate financing.  More information about financing is available here.

System Eligibility 

The maximum capacity supported by the program is 25 kilowatts (kW) for residential systems and 200 kW for non-residential systems. Incentives are only available to eligible installers, and incentives must be passed on in full to customers. PV systems must be sized to meet specific site energy needs (local load or demand) and may not exceed 110% of the demonstrated energy demand for the site, taking into account any other on-site electrical power generation systems. Incentive levels will be reduced in proportion to potential output losses of greater than 20%. NYSERDA will hold the title to renewable energy credits (RECs) associated with the system’s energy production for a period of three years, after which REC ownership will revert to the customer/generator.


Program Overview:
State: New York
Incentive Type: State Rebate Program
Eligible Renewable/Other Technologies: Photovoltaics
Applicable Sectors: Commercial, Industrial, Residential, Nonprofit, Schools, Local Government, State Government, Institutional
Amount: Incentive rates will step down over time as MW goals are met. Incentive rates as of 8/14/14:
$0.50/W – $1.00/W, varies by region
Base Incentive $.050/W – $1.00/W for the first 50kW of installed capacity per meter, varies by region
Second Tier Incentive: $0.50/W – $0.60/W for installed capacity over 50kW and up to 200kW per meter, varies by region
Maximum Incentive: Residential: Maximum incentive based on the lesser of 25 kW or 110% of demonstrated energy demand
Commercial: Maximum incentive based on the lesser of 200 kW or 110% of demonstrated energy demand
Eligible System Size: None specified, but systems may not exceed 110% of demonstrated energy demand.
Equipment Requirements: Systems and components must be new; modules and inverters must meet applicable UL and IEEE standards; monitoring equipment with accuracy of +/- 5% required; minimum five-year system warranty against breakdown or degradation of more than 10% from original rated output; two-year warranty on battery back-up systems.
Installation Requirements: System must be a grid-connected, end-use application; be installed by a pre-approved contractor; and comply with New York’s Standard Interconnection Requirements and all federal, state and local codes.
Ownership of Renewable Energy Credits: NYSERDA for first 3 years of system operation, customer/generator thereafter
Funding Source: RPS surcharge and RGGI funding.
Program Budget: $762 M through 2023
Start Date: 08/12/2010 (current PON)
Expiration Date: 12/29/2023 or when funding is fully allocated, whichever comes first
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