All federal and state incentive programs are available for customers of Publicly-owned Utilities.  These include:

1.       30% Federal Income Tax Credit based on 30% of all costs related to the installation.  No maximum.  Businesses may adopt to take this credit as a rebate.

2.       10% State Income Tax Credit based on 10% of all costs related to the installation. $9000 maximum.

3.       No Gross Receipts Tax (GRT)

4.       Depreciation Benefit for businesses.  Businesses may take depreciation on 85% of the cost of the solar system.  It can be accellerated on a 5 year schedule.

Net Metering and Renewable Energy Certificate (REC) programs are at the discretion of the public owners of public utilities, the ratepayers.   The State of NM Public Regulation Commission does not have jurisdiction over Publicly-owned Utilities therefore public utilities do not have to fulfill a Renewable Energy Portfolio Standard (RPS) set by the state (as do the Investor-owned Utilities and the Rural Electric Cooperatives).  The standards for renewables, and the financial incentives that encourage solar PV installations, are on a per-utility basis, and are based on the direction given them by their public owners.

City of Farmington

Net Metering

For solar systems up to 10 kW ac, each kWh of solar electricity generated is either consumed on  at the time of its production for “free”, or is sent onto the utility grid, spinning the utility meter backwards.  Every kWh sent onto the grid will be compensated with one kWh from the grid, at a later time or date provided that it is within a selected 12 month period.  Excess production will be compensated at the retail rate of electricity, or the “kWh savings account” can be carried forward.

Los Alamos County

Close to 30% of the portfolio of energy provided by the Los Alamos Dept. of Public Utilities is clean hydroelectric power.  This is based on ratepayer guidance and prudent investment in the late 1980s, well before the widespread acceptance of clean energy investments.  

Net Metering

For home and business owners who install a grid-tied solar electricity system, LADPU offers a net metering program.  Each kWh of solar electricity generated is either consumed on site at the time of its production for “free”, or is sent onto the utility grid, spinning the utility meter backwards.  Every kWh sent onto the grid will be compensated with one kWh from the grid, at a later time or date provided that it is within the billing period it was produced.  Excess production will be compensated at the avoided cost which is close to the wholesale rate.  A new net metering rate will be announced in late 2009.

City of Gallup, Gallup Joint Utilities

Resolution R2009-7, adopted on April 14, 2009, allows the interconnection of solar systems up to 10 kW.

Net Metering

For home and business owners who install a grid-tied solar electricity system, GJU offers a net metering program.  Each kWh of solar electricity generated is either consumed on site at the time of its production for “free”, or is sent onto the utility grid, spinning the utility meter backwards.  Every kWh sent onto the grid will be compensated with one kWh from the grid, at a later time or date.  Excess production in a given billing period will be carried forward month after month.

For more information on public utilities, contact the American Public Power Association at www.appanet.org.  Collectively, public power utilities deliver electricity to one of every seven electricity customers, approximately 45 million people.  Most communities served by public utilities have populations under 10,000 people.