Hot Water, Cool Rates
The Hot Water, Cool Rates program aims to install 1,355 solar water heating systems on Hawaii, Maui and Oahu. This effort will help to reduce the state's dependency on imported oil and lower electricity costs by encouraging energy efficient and renewable energy technologies.
Why Solar Water Heating?
- 30% Federal tax credit*
- 35% State of Hawaii tax credit*
- One-time property tax credit for County of Hawaii
- 90% of the energy used to heat water is provided free by the sun, which could save about $10 to $15 per person each month or $600 per year for a family of four
- Water heating costs account for 35% or a majority of the average residential electricity bill (in a non-air conditioned home)
- Participating Contractors are trained, licensed, insured and in good standing with the Better Business Bureau (BBB)
- Participating Lenders are offering a 0% interest or low interest loans to qualified applicants
Financing Your Solar Water Heating System
Hawaii residents who finance a new solar water heating system to displace their existing electric water heater through a Participating Lender are eligible to participate in this program that currently offers select financial institutions (Participating Lenders) a $1,000 incentive to buy-down the interest rate to 0% or a low rate for borrowers.
|Average Cost of a Solar Water Heating System||$6,600+|
|30% Federal Tax Credit ($6,600 X 30%)||($1,980)|
|35% State Tax Credit ($6,600 X 35%)||($2,310)|
|Potential Interest Charges for Financing SWH System||$1,000|
|Interest Buy Down Rebate (Paid to Participating Lender)||($1,000)|
|NET SYSTEM COST TO CUSTOMER||$2,310|
The average family of four saves $50 per month.
+ $6,600 is the average system cost for the average size system for existing home retrofits. Your price will vary as different household needs require different sizes of solar hot water systems. Contractor charges also vary.
++ $2,250 is the maximum state tax credit.
*Loan amount must be greater than $5,000 in order to qualify. Loan subject to credit approval.
Monthly Principal & Interest: $0.00
Total of 0 payments: $0.00
Payoff Date: ---
This calculator only provides estimated figures. Please check with a Participating Lender for more detailed information.
Participating Solar Contractors by County
If you have questions or would like additional information regarding the “Hot Water, Cool Rates” program, please call 808-537-5577 or 877-231-8222.
If you are a financial institution interested in participating in the program, please email us at HawaiiEnergy@saic.com.