Self generation incentives extended

By CMTA Staff

Capitol Update, March 18, 2011 Share this on FacebookTweet thisEmail this to a friend

AB 1150 (V.M. Perez, D-Cathedral City) makes certain modifications to the Self Generation Incentive Program (SGIP) technology categories and funding levels. It also extends the program’s ratepayer funding sunset through 2016.

The SGIP creates a useful incentive for companies to pursue investments in clean distributed energy generation.  Distributed generation can improve grid stability by placing generation closer to its point of consumption.  The SGIP is one of the few ratepayer funded programs that supports larger companies who are willing to invest in clean energy infrastructure.

However, the program has been oversubscribed and should be modified to allocate the limited funding so that all qualified technologies will have fair access to SGIP rebates. To that end, the bill requires that a single developer or technology provider cannot monopolize program funds.

Mending, and then extending, the SGIP would ensure a diversity of technologies and developers have access to the rebate program.

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