Solar Incentives & Financing in West Virginia
What type of solar incentives are available?
Several types of incentives can help you go solar.
West Virginia does not currently offer any state-specific incentives.
The Rural Energy for America Program (REAP) provides grants and/or loans to agricultural producers and rural small businesses for renewable energy systems. They are available for energy efficiency improvements as well.
How do I know if my farm or small business qualifies for REAP?
What does the REAP program provide?
- Competitive grants are available for up to 25 percent of total eligible project costs.
- Loan guarantees are available for up to 75 percent of total eligible project costs.
- You can combine a grant with a loan for up to 75 percent of total eligible project costs.
How can I get help applying for a REAP grant?
- Check out the resources we’ve developed to help you secure a grant or loan.
Power Purchase Agreements
In 2021, West Virginia became the 29th state to allow Power Purchase Agreements (PPAs). PPAs are a widely available method to finance distributed energy generation projects.
How do Power Purchase Agreements work?
- A tax-paying third-party developer installs, owns, and operates a distributed energy system on a customer’s property,
- A customer purchases the system’s electric output at a fixed rate – generally lower than that of the local electric utility- for a predetermined time period, usually 15-25 years
Who can use a Power Purchase Agreement?
- Municipalities and governments
- Commercial businesses and manufacturers
- Tax-exempt entities like schools, churches, hospitals, and nonprofits
How do Power Purcahse Agreements benefit customers?
- Electric savings from day one
- Little to no upfront cost
- Stabilized energy costs
- Protection against utility rate increases
- PPAs allow tax-exempt customers to benefit from tax credits through the project’s developer
Considering a Power Purchase Agreement in West Virginia? Learn more about them here.