Currently there are no longer incentives or rebates offered by the state of California for installing a solar panel system. The good news is that there is a rebate for installing a energy storage system called the Self-Generation Incentive Program (SGIP)! This can be claimed alongside the California solar tax credits.

Recently California’s Governor Brown signed SB 700. This adds approximately $800 million in additional funding for SGIP and extends the program through 2025.

The California energy storage rebate program was established in 2001.  Until recently, applying for SGIP was a difficult process, especially for residential customers.  The rebate previously worked by making the program funds available on a specific day, and most of the funds were allocated to big industrial-sized energy storage projects, leaving very little left over for homeowners looking to store their solar energy.

For homeowners who are customers of either SDG&E, PG&E, SCE and SCG are eligible for an incentive for up to $400 per kilowatt-hour when you install a home battery. This huge incentive has the ability to cover most of your battery costs. How big the battery is will determine the value you receive per kilowatt.

For example, if you were to install a Tesla Powerwall 2 with a 14 kWh capacity. Under SGIP, the first 10 kWh will recieve up to a $400/kWh incentive, and the remaining is eligible for a $200/kWh incentive. This is worth up to a total of  $4,800 towards the Powerwall equipment, which is worth $5,500!

The solar panel California tax credit and energy storage rebates really add up to a significant amount when getting a new system installed!


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