Just when customers are feeling the heat of rising energy bills, PG&E is offering to pay for a home energy storage system that benefits both the utility and you, the customer, as well as the entire community. PG&E’s Self-Generation Incentive Program (SGIP) pays from 15 to 100% of the costs of new batteries installed in homes used for energy storage. Batteries are expensive! Equipment and installation can cost up to $15,000. The SGIP program is ongoing. It’s a little confusing, but a separate program run by the federal government, offering a 30% tax rebate for solar power systems (battery not included), will no longer be available for solar panels installed and operational by January 1, 2026.
The SGIP rebates serve PG&E by providing it with flexibility during times of peak demand through its demand response program, and by allowing PG&E to shift energy services during emergencies, such as accidents, high winds, or wildfires. Your home can be part of an extensive battery storage network. SGIP serves you, the customer, by covering most or all of the costs of a battery storage system that enables you to continue powering your home during power outages. If you accept the rebate, you must enroll in the Solar Billing Plan, which allows the utility to shift your grid energy use during peak times or during emergency shutdowns. Battery storage means that you won’t notice a change. (No more wasted food unloaded from a freezer that hasn’t had power for hours on end.) The plan costs a little more than other plans, such as Time of Use, which charges more for your electricity during peak use times, between 4 pm and 9 pm.
Whether you can receive a 15% or 100% rebate on new battery storage systems depends on your rate plan with PG&E. Any customer can apply for the 15% rebate. There are specific conditions for the more generous rebates, known as Equity Resiliency Rebates, which cover 80% to 100% of the cost of installing a storage system. For the Equity Resilience Rebates, you must (adapted from PG&E website):
- Live in Tier 2 or Tier 3 High Fire-Threat Districts (HFTD)or
- Have experienced more than two Public Safety Power Shutoffs (PSPS)or
- Have experienced five or more Enhanced Powerline Safety Setting (EPPS)outages since 2023 and
- Meet one of the following:
- Be on the Medical Baseline Program
- Meet income eligibility standards
- Rely on an electric well pump for water
- Have incentives reserved in the income-qualified solar programs (SASH or DAC-SASH) or
- Be enrolled in the Energy Savings Assistance (ESA)program
You can find more information about qualifications and the application process on the SGIP website.
To apply, you must work through an approved solar battery installer. The company you choose will serve as a liaison between you and PG&E.
Since the federal tax rebate is set to expire in January, solar companies are rushing to complete projects by then. To receive tax credits and battery rebates, you should initiate the process immediately. Even so, there is no guarantee you will qualify for the tax rebate in time. The battery rebates will be around for a while.
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