{analytics}

Solar News

You are here: Home » News from SolarFlair Energy Inc.

Posted on: November 29 2010 Tags:

There are two things that the government is almost always working towards, encouraging growth in small business along with encouraging people to make use of alternative sources of energy. Program 1603 from the U.S. Treasury department accomplishes both. The program was enacted with the passing of the American Recovery and Reinvestment Act. Passed in 2009, the Act established the program in order to offer businesses involved in renewable energy projects the option of a 30% cash grant rather than the usual tax credits. With the financial crisis the credits were not getting used very often. The government hoped that more people would be interested in exploring alternate, renewable energy sources like solar energy if they knew they were getting cash back instead.

Program 1603 actually served a dual purpose. Its given task was to help keep the drive for increased use of renewable energy going as the economy got tighter. It also served the economy by helping those involved in the field hold onto their jobs while creating others.

Getting handed a boat load of cash by the government was all the encouragement that Michael Kane, the owner of 126 Self Storage needed to convert his facility in Ashland, MA, over to solar energy. However, with 57,000 square feet of roof space at his facility he knew the task would not be a cheap one all be it one he knew he should do.

“Being that it’s cleared of trees and it’s a huge flat roof area, it’s ideal for solar,” he thought.

After having a solar energy consultant assess his facility he discovered that it would cost upwards of $2.2 million to convert his self storage facility over to solar energy. What really made doing so possible for him was the cash grant being offered. For a project of his size it meant getting back close to $700,000!

For Kane to enjoy the cash grant there was one thing he would have to do—get the project done soon. The cash grant option expires at the beginning of the year. While people can still reap the rewards of the program they will have to wait until the following year when they can use the tax credit they have been issued.

Due to the expiration of the cash grant there are several businesses like 126 Self Storage around the nation that are scrambling to get their solar projects completed in time.

“It’s going to make it a lot harder for a lot of businesses to pursue these projects without that cash grant,” said Matthew Arner, president of SolarFlair Energy Inc. of Framingham.

By John Stevens

Click Here for Original Story



{analytics}