Solar installers face uncertainty with incentives (Phoenix)

The short-term future of Arizona’s solar installation industry is in limbo now that Arizona Public Service Co. has run out of rebates for residential solar projects through October, and possibly into next year.

APS’ announcement last week that it has committed all of its available solar incentives through the fourth quarter and lowered the rate to $1.95 per installed watt has many in the industry saying they will be forced to slow down or cut costs at best. At worst, some could be forced out of business.

“It’s been rough,” said Lane Garrett, CEO of ETA Engineering and Dependable Solar Products Inc. in Mesa. “We have way too many companies in the market for the business that’s really there.”

APS cut its rates at the beginning of April from $3 to $2.15 per installed watt because of increased demand draining its pool of incentive funds. Even with the lower rate, the utility received enough applications for solar incentives in the past three weeks to implement an Arizona Corporation

Commission-approved step-down mechanism, which will drop the rebates to $1.95 per installed watt.

Read the full story in the Phoenix Business Journal.