Arizona might seem like an ideal place for solar adoption, but a complicated energy market and lack of financial programs has builders in one of the sunniest states facing hurdles.
TecHome Builder’s new solar series takes it state-by-state to provide you with a better grasp on today’s solar market, including current laws and advice from builders on how to overcome challenges.
Part one of the series focuses on the federal tax credit program. Part two explores California’s solar-friendly market. Part three looks at Texas’ complex energy system, and part four introduces a controversial net-metering proposal in Maine.
Now, part five of the series heads to Arizona. We speak to national production homebuilder, Ken Johnson of Landmark Homes, who is exploring solar in other states but not in Arizona.
“I’m actually struggling to find any programs that make sense for the customer and builder in Arizona,” says Johnson. “Economically, solar in Arizona seems less compelling than it was ten years ago.”
Arizona represents an area that is ideal for solar adoption. However, due to a lack of rebate programs, builders in the Copper State need to do their research and weigh the options before including solar as standard.
Arizona’s Solar Outlook and Advice for Builders
[tps_title] Energy Market [/tps_title]
Arizona’s Solar Outlook
Arizona’s energy market is unique due to the emergence of energy efficiency standards, a high number of vacation homes and a small per capita consumption of electricity.
According to the U.S. Energy Information Administration (EIA), around eight percent of homes in Arizona are occupied for a small portion of the year. This results in one of the lowest per capita energy consumption rates in the U.S.
In recent years, the state’s low energy consumption has seen a shift, as more builders install air conditioning systems. According to the EIA, 25 percent of the energy consumed in Arizona homes is for air conditioning alone. That’s more than four times the national average of six percent.
Also keep in mind, even though Arizona consumes less energy than other states, the residential energy sector is growing. Arizona homes consume 27.2 percent of the state’s energy.
This should make solar a lucrative option for builders. However, a lack of rebate programs has builders thinking twice about the technology.