Residential Renewable Energy Tax Credit (Personal) (Rhode Island)

This is the approved revision of this page, as well as being the most recent.
Jump to: navigation, search

Last modified on February 12, 2015.

Financial Incentive Program

Place Rhode Island

Name Residential Renewable Energy Tax Credit (Personal)
Incentive Type Personal Tax Credit
Applicable Sector Residential
Eligible Technologies Geothermal Heat Pumps, Photovoltaics, Solar Space Heat, Solar Water Heat, Wind
Active Incentive No

Implementing Sector State/Territory
Energy Category Renewable Energy Incentive Programs
Amount 25% of costs

Carryover Provisions Credit may not be carried over to subsequent years


Eligible System Size PV: minimum module size of 24 square feet

Solar hot water: minimum collector area of 34 square feet
Active solar heating: minimum collector area of 125 square feet
Wind: minimum capacity of 250 watts at 28 mph
Geothermal: minimum coefficient of performance of 3.4 or minimum efficiency ratio of 16











Maximum Incentive Based on maximum system cost of 15,000 for PV, active solar space heating and wind;

Based on 7,000 maximum system cost for solar hot water and geothermal











Program Administrator Rhode Island Office of Energy Resources
Website http://www.energy.ri.gov/renewable/index.php
Date added to DSIRE 2000-01-01
Last DSIRE Review 2011-05-16
Last Substantive Modification
to Summary by DSIRE
2012-03-02


References Database of State Incentives for Renewables and Efficiency[1]


Summary

NOTE: Due to changes in the Rhode Island Personal Income Tax in 2010, the Renewable Energy Tax Credit is not available for systems installed in 2011, unless proposed legislation reinstates the tax credit. Be sure to contact the Rhode Island Energy Office for the latest information on this tax credit.

Rhode Island offers a personal tax credit for photovoltaic systems (on-grid and off-grid), solar hot-water systems, active solar-heating systems, wind-energy systems and geothermal-energy systems. The tax credit is equal to 25% of the system cost and applies only to residential installations. The credit is available to the resident or business that pays for the system.

Photovoltaic (PV) systems must have a minimum module size of 24 square feet, and must either be connected to the grid or to a battery-storage system. PV systems up to $15,000 are eligible for the full 25% credit. (A resident or business that pays for a PV system that exceeds $15,000 in cost will receive a credit based on a $15,000 system cost.)

Solar hot-water systems must have a minimum collector area of 34 square feet and must include a storage tank that holds at least 80 gallons. Solar hot-water systems up to $7,000 are eligible for the full 25% credit. (A resident or business that pays for a solar hot-water system that exceeds $7,000 in cost will receive a credit based on a $7,000 system cost.)

Active solar-heating systems must have a minimum collector area of 125 square feet, and must include a system for storing and/or distributing heat to the living area of a house. Active solar-heating systems up to $15,000 are eligible for the full 25% credit. (A resident or business that pays for an active solar-heating system that exceeds $15,000 in cost will receive a credit based on a $15,000 system cost.)

Wind-energy systems must have a rotor diameter of at least 44 inches and a minimum factory-rated output of at least 250 watts (W) at 28 miles per hour. Wind-energy systems up to $15,000 are eligible for the full 25% credit. (A resident or business that pays for a wind-energy system that exceeds $15,000 in cost will receive a credit based on a $15,000 system cost.)

Geothermal systems must have either a minimum coefficient of performance of 3.4, or an efficiency ratio of 16 or greater. All geothermal systems must have a commissioning sign-off by the manufacturer or distributor of the equipment to verify the proper installation and performance of the system. In addition, all geothermal systems must meet the following standards:

  • ARI/ASHRAE/ISO-13256-1 for water-to-air geothermal systems
  • ARI/ASHRAE/ISO-13256-2 for water-to-water geothermal systems
  • ARI/ASHRAE/ISO-13256 GWHP for groundwater heat pumps
  • ARI/ASHRAE/ISO-13256 GLHP for closed-loop heat pumps

Geothermal systems up to $7,000 are eligible for the full 25% credit. (A resident or business that pays for a geothermal system that exceeds $7,000 in cost will receive a credit based on a $7,000 system cost.)

The following systems are not eligible for the credit: passive solar space-heating systems, passive solar hot-water systems, sunspaces, solar greenhouses, PV and wind systems on boats or recreational vehicles, solar collectors for pools, existing renewable-energy systems, used renewable-energy equipment, and repairs and replacements of existing renewable-energy systems.

To apply for the tax credit, taxpayers must first obtain a system approval from the Rhode Island Office of Energy Resources (RI OER), which is to be attached to the income tax filing. The RI OER website provides details on the criteria and application for system approval. Although the statute contains a provision for RI OER to certify contractors in lieu of requiring system certification, contractor certification procedures are not in place at this time.


Incentive Contact

Contact Name Charles Hawkins
Department Rhode Island Office of Energy Resources

Address One Capitol Hill

Place Providence, Rhode Island
Zip/Postal Code 02908-5890
Phone (401) 574-9100


Email charlie.hawkins@energy.ri.gov
Website http://www.energy.ri.gov
Contact Name Public Information
Department Rhode Island Division of Taxation

Address One Capitol Hill

Place Providence, Rhode Island
Zip/Postal Code 02908
Phone (401) 574-8935
Phone 2 (401) 574-8922


Website http://www.tax.state.ri.us/
     

Authorities (Please contact the if there are any file problems.)

Authority 1: R.I.G.L. § 44-57-1, et seq.




Authority 2: Rhode Island Public Law 10-020
Date Effective 2011-01-01
Date Enacted 2010-06-09

















  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]

References

  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency"

Tax Credits Solar Photovoltaic Incentives

PV Residential Tax Credit % Eligible Costs 25%
PV Residential Tax Credit Max $ $3,750














Tax Credits Solar Space Heating Incentives

SSH Residential Tax Credit % Eligible Costs 25%
SSH Residential Tax Credit Max $ $3,750






Tax Credits Solar Water Heating Incentives

SWH Residential Tax Credit % Eligible Costs 25%
SWH Residential Tax Credit Max $ $1,750





SWH Residential Min Size 60

SWH Residential Size Unit sf




Tax Credits Wind Incentives

Wind Residential Tax Credit % Eligible Costs 25%
Wind Residential Tax Credit Max $ $3,750






Wind Tax Credit Min KW 0.25





  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]

References

  1.  "Database of State Incentives for Renewables and Efficiency (DSIRE)"