[amchugh]

I don't doubt that it is possible to build a solar system that provides more in cost savings than the amortized capitalization costs over the life of the project, but if that is the case and you want to encourage development and purchase of such systems in your community, I don't think rebates are the best way to go about it. State and local government should instead shape policy to create an incentive for private businesses to finance and insure such projects. If they are economically viable, people will build them. If not, they are probably using more energy to manufacture and install then they will produce over their lifetime. As someone pointed out on Slashdot, how many solar cell manufacturers use their own product to power their plants?

Don't get me started on the power companies though. A lot of people seem to make the mistake of thinking that a privatized regional monopoly is going to be more efficient than municipal services. While it is true that they may have better economies of scale when it comes to administration, they have no competition to drive down prices or encourage efficiency. Private does not equal free market. Also, you have less accountability to voters/consumers.

[P-40]

They do a program here that does something like what California must have been trying to do...although it is hard to be sure of just what they thought they would accomplish. The idea here is not to get 100% of your home’s power needs from solar but to provide a bit of a boost during the time the grid could use it most...when the sun is shining directly on your home. If you evaluate the project based on the benefit to the home owner and the benefit to the power companies/grid, it is a good deal.