The Model Solar Panel Plan of Sonoma County
What is the number one thing that keeps people from installing solar on their homes? The up front cost. Sonoma County has a plan that could serve as a model approach for the country.
Sonoma County is located in Northern California. It is roughly a couple of hours north of San Francisco and a bit inland from the coast. The valley is known as a wine producing region and is incredibly beautiful. It is also forward thinking on many energy issues and has come up with a model plan that has been discussed in other areas, but not implemented like in Sonoma. That plan is called Sonoma County’s Energy Independence Program
So, what’s the big deal with this program? Well, it addresses the upfront cost program that causes problems with solar energy. The county has come up with a unique plan. It will give any homeowner in the area a loan for the start up costs of converting to solar energy. The loan does not require any approval from a bank. You simply have to be the owner of the home and make the conversion.
Importantly, this is a loan, not a give-away. The County expects its money back and has a unique approach to getting it. The loan is secured by the property in question, but the payments are made as part of the property taxes. The interest rate on the loan is 7 percent, but the payment terms range from five to 20 years depending on the situation. All and all, that isn’t a bad deal because one can claim a host of tax deductions and tax credits for converting to solar.
The Sonoma County program has been discussed in other areas of the country, but hasn’t been implemented per se. This is a shame. In only a few years of existence, a full four percent of the electricity in Sonoma is now produced from solar panels in the area. This number is expected to dramatically increase as more homeowners take advantage of the program. Imagine if the same occurred through out the state and country.
The single biggest problem with solar energy is the upfront cost. If state and federal governments really want us to switch over to renewable energy, this is a model they can take and run with to get the deal done.
