Solar Surviving the Recession
Ontario's Green Energy Act
Sales at Home Energy Solutions haven’t increased this year but there has been a shift in the market to grid tie in systems. Unlike off grid systems, tie in systems also have power from the grid.
“In the Canadian market, the strongest markets are BC, Alberta and Ontario. But the strengths between them is relatively the same, however, that’s about to change. Ontario is about to bust right open because of the Green Energy Act,” said Ed Knaggs.
Ontario's Green Energy Act
Premiere McGuinty’s proposed Green Energy Act (GEA) will produce 50,000 green jobs and stimulate the Ontario’s economy with billions of dollars. The Feed-in Tariff program (FIT) will allow people with solar grid tie in systems to sell back power produced by their solar systems.
“They will be buying the solar power back at 80 cents per KW hour which is 10 times what we pay for the energy currently. So imagine being able to sell it back at 10 times of what your paying for it to use,” said Ed Knaggs.
The proposed GEA will encourage the use of green energy. Household solar systems which are typically less than or equal to 10kW will get the best rate for selling back power at 80.2 cents per kWh. The GEA will help the solar market and other green markets in Ontario.
BC Solar Power
BC, however may not share the same growth as Ontario. Bruce McIntosh owner of Sheraton Solar Energy Systems has been in business in BC since 1996 installing and servicing solar systems to people with cabins or who live in remote areas.
British Columbia has however invested $5 million in the SolarBC program which gives BC residents incentives to install solar hot water systems as a way to reduce reliance on fossil fuels and use green energy
“Up to this point if you buy a whole system from me, whether you’re on grid or off grid and lets say you pay $25,000 and part of that sale includes the solar panels, you get the entire order free of provincial sales tax, with the exception of the batteries,” said McIntosh, “As soon as HST comes in and then HST will apply to the entire order.”
HST which stands for Harmonized Sales Tax, will replace PST and GST as a single combined tax. Certain items that used to be exempt from PST such as solar systems now will have 12% HST applied to them.
BC Hydro purchases power back at a lower rate and now the government is bringing in HST to BC, McIntosh is not optimistic about the future, “Basically government and BC Hydro within this province kill the industry.”
Building Integrated Photovoltiac (BIPV) System
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