Solar Program

Effective May 20th

Self-Generation Incentive Program (SGIP)

Energy Storage Incentives for low-income homes available starting May 20, 2025

Put plainly if you make less than 80k a year that government has a system designed to give you solar at no cost. 

Few solar companies are starting to take advantage of it. 

The California Public Utilities Commission’s (CPUC) Self-Generation Incentive Program (SGIP) offers incentives for installing energy storage and paired solar technology at low-income households.

To support customer resiliency and grid reliability, the CPUC has authorized funding of $280 million for SGIP’s Residential Solar and Storage Equity budget. This funding includes prioritization of low-income customers to provide bill savings. Paired with the IRA tax credit, the incentive is intended to cover the full system installation cost.

Some customers may experience a waitlist for Residential Solar and Storage Equity project funding.

Total SGIP Budget Availability by Category for 2025 Residential Solar and Storage Equity

(Any customer) ~ $280 million

Residential Storage Equity (IOU customers until December 2025) ~ $18 million

These SGIP incentives cover the majority of the cost for the installation of solar and energy storage technology. Depending on which category a customer is eligible for, they can receive $1,100 per kilowatt-hour (kWh) of storage and $3,100 per kilowatt (kW) of solar. The average single-family household is expected to install a 15 kWh battery and a 5 kW solar system (additional capacity of up to 30 kWh requires load justification). The SGIP Advanced Payment Program offers 50 percent of the SGIP incentive upfront so the customer does not pay any costs out of pocket until the system has been installed and the full SGIP incentive received.

Eligibility Criteria for SGIP Incentive

Residential Solar and Storage Equity

Incentive Rate: $1,100/kilowatt-hour for storage $3,100/kilowatt for solar Incentive covers approximately 100 percent of the cost of an average solar and energy storage system when paired with the IRA tax credit.

To be eligible you must meet ONE of the following criteria:

• You live in a single-family home and your household income is at or below 80 percent Area Median Income*.

You live in a single-family home and have already participated in or have reserved incentives in the California Solar Initiative’s Single-family Affordable Solar Homes (SASH) or Disadvantaged Communities - Single-family Solar Homes (DAC-SASH) programs or you must currently participate in and be eligible for California Alternative Rates for Energy (CARE), Family Electric Rate Assistance (FERA), or Energy Savings Assistance (ESA) programs.

• You live in an apartment that is considered low-income housing and includes at least five rental units, and you must either be located in a Disadvantaged Community (DAC) or at least 80 percent of the apartment building residents have incomes at or below 60 percent Area Median Income*.
• You live in an apartment and your property has already participated in the Solar on Multifamily Affordable Housing (SOMAH; http://bitly.ws/Imoc) Program or the Multifamily Affordable Solar Housing (MASH; http://bitly.ws/Imoy) Program.