UTILITY SELF GENERATION INCENTIVE PROGRAM TO RESUME

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On September 8, 2011 the California Public Utilities Commission (CPUC) issued revised rules for the Self Generation Incentive Program (SGIP), adding new technologies and modifying the eligibility criteria. Funding for SGIP had been suspended since February 2011 pending the PUC’s revision of the guidelines. One of the major revisions to the program is that eligibility for SGIP incentives will be tied to anticipated greenhouse gas reductions which must be documented in the application form. The technologies now eligible for SGIP funding include: microturbines, combined heat and power (CHP) gas turbines, wind turbines, pressure reduction turbines, biogas powered fuel cells or conventional CHP systems fueled by biogas, and fuel cells. The incentive for microturbines and CHP gas turbines is $0.50 per watt; the other technologies have higher incentives. The utility payments are made 50 percent upfront and the rest based on kWh generation. The maximum total project incentive is $5 million.

If your facility is located in PG&E or Southern California Edison service territory and want more details about the revised SGIP program, you can contact your local utility representative or consult the web site http://energycenter.org/index.php/incentive-programs/self-generation-incentive-program. If CLFP can be of any assistance with obtaining information about SGIP funding please contact Rob Neenan.

Article written by Rob Neenan, Senior Vice President

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