Hawaii's Energy Future - Solar Water Heating

Solar

Water Heating

$1,000 Rebate offered on Oahu (HECO - see below),Maui (MECO) and Hawaii Island (HELCO)

There's never been a better time to buy a solar water heating system. If you are a year-round Hawaii resident and have an electric resistance water heater, you can save money and help to conserve valuable natural resources. HECO's Energy$olutions^SM for the Home program helps take the guesswork out of buying a solar water heating system.

As of February 13, 2007, HECO provides a $1,000 rebate to help reduce your out-of-pocket costs. (prior to 2/13/07, the rebate amount was $750 per unit installed).
HECO has a list of Oahu participating contractors that have agreed to comply with our rigorous standards regarding equipment use and installation.
A FREE HECO 100 point inspection ensure your system was installed to HECO's stringent standards and specs after your system has been installed.
You can save up to 90% on your water heating costs - about $5-10 per person, per month conservatively with solar.
You may qualify for a 35% Hawaii State Renewable Energy Tax Credit!
You may qualify for a 30% Federal Tax Credit! (Currently set to expire on December 31, 2008).

Harness the sun's energy and install a solar water heating system today! Start by contacting an Oahu participating contractor. They will be happy to come out to your home, analyze your hot water usage, and provide a bid for a complete installation, including your anticipated energy savings. The solar contractor will instantly deduct $1,000 off the installed cost of your system.

The average solar water heating system costs approximately $5,250+ (based on 2006 data). The following example shows that the HECO rebates, combined with the Federal and State tax credits can substantially reduce the cost of a solar water heating system. $5,250+ is the average system cost for the average size system for existing home retrofits. Your price may vary as different household needs requires different sizes of solar hot water systems.

Systems Installed Beginning February 13, 2007

Average Cost of solar water heating system $5,250.00+
Less Instant Hawaiian Electric Rebate -$1,000.00
Customer Payment to the Contractor $4,250.00
Federal Tax Credit (30%* ($4,250 X 30%) -$1,275.00
(Currently set to expire on December 31, 2008)
State Tax Credit (35%* ($4,250 X 35%) -$1,488.00

NET SYSTEM COST TO CUSTOMER $1,487.00

*Disclaimer: This example is for illustrative purposes only and should NOT be considered tax advice. Consult with your tax advisor, IRS, or state tax office to determine how these credits should be calculated for your own individual situation.