Berkeley Solar Financing Plan Model for Other Cities To Help Residents Go Solar
Cities can develop their own renewable energy and energy efficiency finance programs suited to their residential and commercial needs. For instance, in November 2007, the Berkeley City Council authorized staff to develop a plan to pay for the installation of solar panels and solar hot water systems for any homeowner or commercial building owner. Property owners retain ownership of the solar systems, paying back the cost over 20 years through an assessment on the annual property tax bill. This program entails little risk on the part of the city or the building owner, and overcomes a common obstacle of a costly up-front investment which may take more years to recoup savings than the owner intends to keep the building.
Once accepted into the program, a property owner would schedule an appointment for a solar installer to determine the appropriate solar system for the property. The city would pay the homeowner for the system and its installation, minus any applicable state and federal rebates, and would add a special tax to the property owner’s tax bill to pay for the system.
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