Focus on Energy - Large Renewable Grant Program (WPS Customers Only)

September 13, 2010

Summary

Focus on Energy and Wisconsin Public Service (WPS) have teamed up to offer businesses within the WPS service territory grants for large-scale renewable energy projects. Funds are distributed on a first-approved basis, and applications are due to Focus by December 31, 2010. Program categories include Large Solar Electric Projects, Large Solar Water Heating Projects, Large Wind Projects, and Large Biomass Combustion Systems. Guidelines and applications for individual categories are available on the program website. Large Solar Electric Projects Grants are available for solar electric projects over 50 kW. Eligible entities may apply for up to 25% of the total projects cost, or 35% for nonprofits or government entities. The maximum award amount is $250,000. The actual grant amount depends on the annual electrical production and the cost of the installed system. The payback period for the project must be greater than 1.5 years. The project must also replace or save electricity and must remain in operation for at least three years. Large Solar Water Heating Projects Grants are available for solar water heating projects that offset over 15,000 therms per year. Eligible entities may apply for up to 25% of the total projects cost, or 35% for nonprofits or government entities. The maximum award amount is $250,000. The actual grant amount depends on the annual thermal energy displacement. The payback period for the project must be greater than 1.5 years, the project must replace or save natural gas or electricity, and must be in operation for at least three years. Large Wind Project Grants Grants are available for wind systems over 100 kW but less than 15 MW. Systems must cost less than $5 million. Equipment and labor costs directly associated with the production of energy are eligible to receive grant funding; however, buildings, legal and proposal fees, and roadwork are not eligible. The grant award amount is $0.39 per kWh/yr, minus parasitic energy, with a maximum of 25% of the system cost or $500,000. Large Biomass Combustion Systems Grants are available for biomass combustion systems that cost between $2 and $5 million. Systems must be larger than 20 kW and/or produces more than 5,000 therms per year. Major components and equipment associated with the production of electricity and thermal energy are eligible for grants including biomass storage, buildings additions to enclose equipment, automated fuel feed systems, and combustion systems. Buildings, legal fees, and roadwork are not eligible for grant costs.

• For combined heat and power (CHP) systems, grant awards are calculated as $0.08 x [(kWh annual production)-(kWh annual parasitic energy)] + $0.35 x (annual therms utilized)
• For biogas or biomass thermal energy systems or methane sales, grant awards are calculated as $0.35 x (annual therms utilized) - $0.08 x (kWh annual parasitic energy)

Please see the program web site for additional details.