TEP – Renewable Energy Credit Purchase Program

TEP – Renewable Energy Credit Purchase Program;
State: Arizona

  • Incentive Type: Utility Rebate Program
  • Eligible Renewable/Other Technologies: Solar Water Heat, Solar Space Heat, Photovoltaics, Landfill Gas, Wind, Biomass, Geothermal Electric, Solar Pool Heating, Daylighting, Anaerobic Digestion, Small Hydroelectric
  • Applicable Sectors: Commercial, Residential
  • Amount: Up-front incentives for PV may be de-rated based on expected performance
  • Residential grid-tied PV: $3.00/W-DC
  • Residential off-grid PV: $2.00/W-DC
  • Non-Residential grid-tied PV (100 kW or less): $2.50/W-DC or production-based incentive
  • Non-Residential grid-tied PV (more than 100 kW): production-based incentive
  • Non-Residential off-grid PV: $2.00/W-DC
  • Wind (grid-tied): $2.25/W-AC
  • Wind (off-grid): $1.80/W-AC or a performance-based incentive
  • Daylighting (non-residential only): $0.18 per kWh savings for 5 years;
  • Residential Solar Water Heater: $0.25/kWh-equivalent, plus $750 up to a maximum amount of $1,750
  • Non-Residential Solar Water Heater: $0.50/kWh-equivalent, plus $750
  • Non-Residential Solar Water Heater: performance base incentive;
  • All other eligible technologies can receive performance based incentives which vary depending on the technology and the length of the contract. Contract options for performance-based incentives are 10, 15 and 20 years.
  • Maximum Incentive: Residential PV systems greater than 20 kW AC will receive rebates on the first 20 kW AC only
  • TEP incentive for PV can not exceed 60% of the total project cost.
  • TEP incentive for PV may be combined with other state and federal incentives, but combined they can not pay for more than 85% of the total project cost
  • Eligible System Size: PV: Minimum size is 1.2 kW.
  • Equipment Requirements: Photovoltaic modules must be covered by a manufacturer’s warranty of at least 20 years to qualify for the up-front incentive.
  • SWH systems must be certified to SRCC OG-300 standards
  • Eligible small wind systems must be certified and nameplate rated by the CEC.
  • Wind systems must have at least a 10-year manufacturer’s warranty to qualify for the up-front incentive; wind systems must have at least a 5-year manufacturer’s warranty to qualify for the performance-based incentive
  • Ownership of Renewable Energy Credits: TEP
  • Web Site: http://www.tep.com/Green/


Blanka Anderson
Tucson Electric Power
3950 E. Irvington Road
Mailstop RC 116
Tucson, AZ 85702
Phone: (520) 918-8296
E-Mail: Banderson@tep.com
Web Site: http://www.tucsonelectric.com/