Distributed Solar Subsidy

A distributed solar subsidy is an incentive for residents, commercial businesses, or industrial businesses to install and operate solar panels on-site. Subsidies are best tied to the amount of capacity installed and should have a sunset provision with decreasing subsidy amounts over time. California previously had a distributed solar subsidy program, the California Solar Initiative, which provided home and business owners with a rebate for installing and operating distributed solar based on the total amount installed in a utility service territory and the performance of the equipment.