WEB EXTRA: The State of Backup Power Financing
Believe it or not, many states have put their money where their mouth is in terms of offering incentives for providers making good power choices. Check out the chart below and see if your state is a hybrid-power friendly one.
STATE INCENTIVE
California California offers a $3/Watt incentive through the State rebate program for fuel cells using renewable fuels.
Colorado Colorado offers a property tax exemption and a sales tax exemption on the purchase of a fuel cell solution. They
also offer New Energy Economic Development grants and loans.
Connecticut Connecticut offers a property tax exemption.
Delaware Delaware offers a rebate for fuel cells using renewable fuels. Depending on the location of the fuel cell, the rebate is
between 25% and 50% of the cost of the fuel cell.
Florida Florida offers a tax credit of 75% of the cost of a fuel cell solution up to $12,000. This credit includes EF&I as well as
equipment. Additionally, Florida offers a sales tax exemption of 6%.
Idaho Idaho offers a sales tax refund.
Michigan Michigan offers a property tax exemption of 100% of the increase in value of a site due to fuel cell use.
Montana Montana offers a property tax exemption on the purchase of a fuel cell solution. They also offer a 35% corporate tax
credit for fuel cells using renewable fuels – participant investment must be more than $5k and a revolving loan program
up to $40k.
Nevada Nevada offers a property tax abatement of 55% on the increased value of a site using fuel cells.
New Jersey New Jersey offers a property tax exemption for 100% of the added value a fuel cell brings to a site. They have a
grants and loans program as well - 50% cost share is required.
New Mexico New Mexico offers an alternate energy product tax credit of 5% of a taxpayer's qualified expenditures for fuel cells
using renewable fuels. They also offer a bond program for financing fuel cells for state government or school district
buildings.
New York New York offers a tax credit, which varies by project. They also have a fuel cell rebate program, which varies by size,
sector and performance. For fuel cell projects under 25kW, the maximum available is $50,000.
Oregon Oregon offers a tax credit of 50% of the project cost of a fuel cell solution when the fuel cell is fuelled by renewable
hydrogen. This credit includes EF&I as well as equipment. They also offer a property tax exemption.
South Carolina South Carolina offers a sales tax exemption on the purchase of a fuel cell solution.
Tennessee Tennessee offers a tax credit of 40% of the installed cost of a fuel cell solution up to $75,000 when the fuel cell is
fuelled by renewable hydrogen. This credit includes EF&I as well as equipment.
Vermont Vermont offers a sales tax exemption on the purchase of a fuel cell solution.
Washington Washington offers a sales tax exemption on the purchase of a fuel cell solution.
Table provided by ReliOn. This information can also be found on their website: www.relion-inc.com.
Source: Database of State Incentives for Renewable Energy website and supporting documents: www.dsireusa.org/summarytables/finre.cfm.
About the Author
Sandra Saathoff is the Director of Marketing Communication for ReliOn. She has more than 10 years experience with the company in the area of fuel cell power solutions. Prior to this, she worked for 3 years at Avista Utilities. For more information visit www.relion-inc.com or email ssaathoff@relion-inc.com or email fuel.cells@relion-inc.com.
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