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Incentives and Rebate Programs Help Californians Install Energy Storage for Power Outages

By Media Office Staff

A power outage may be inconvenient for most people, but for some, preparing for that emergency can be expensive.

But, the California Energy Commission (CEC) and the California Public Utilities Commission (CPUC) has rebate programs to provide financial help to customers.

Rebates covering the cost of equipment and installation of energy storage technologies like battery backups are available through the CPUC’s Self-Generation Incentive Program (SGIP). Eligible residential customers are Californians who live in high fire-threat districts, or who have had two or more public safety power shutoffs and need electricity for medical, health and safety reasons. The CPUC has authorized funding of more than $1 billion for SGIP through 2024.

While SGIP has helped many customers, having to pay for and complete a project before receiving a rebate is a problem for customers, since the average cost to install battery backup system is $27,000.

The Advanced Rebate Payment (ARP) program, which launched in late 2020, eliminates this issue by providing up-front bridge loans to the contractor on behalf of the homeowner, until the project is completed.

The CEC contracted the Golden State Finance Authority to administer the program. Funding for the program came from the American Recovery and Reinvestment Act.

The program is a revolving loan fund, meaning the rebates from SGIP refill the account. Since the program launch, $2.6 million have been used to install 97 battery backup systems at no cost to either the homeowner or contractor. Installations have spanned 30 counties in the service areas of Pacific Gas and Electric, Southern California Edison, Southern California Gas, and San Diego Gas and Electric.

For more information SGIP, go to the website.

Contact an approved program contractor to learn about how to apply for the ARP program.

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