The New York State Energy Research and Development Authority (NYSERDA) currently manages major incentive programs for solar power and energy storage projects. They also run the NY Green Bank, which provides financing for private renewable energy developers. The business case for a commercial solar PV system greatly improves when you can qualify for NYSERDA grants and green loans.

Get a professional solar PV design for your building and qualify for NYSERDA incentives.

Here we will discuss the NYSERDA NY-Sun Megawatt Block Program, and the benefits offered as of October 2022. The program is part of the broader NY-Sun Initiative, which seeks to install 6 GW of solar PV capacity in New York state by 2025.

NY-Sun Megawatt Block Program

The MW Block Program is one of the largest solar incentive programs in the US, which has provided cash rebates for photovoltaic systems of all sizes: residential, non-residential, large commercial and industrial. The MW Block Program provides a financial incentive per watt of installed capacity, which means the rebate amount increases along with installed capacity. The exact incentive rate is calculated based on project location and scale:

• The MW Block Program is divided into three regions: Con Edison, Long Island, and Upstate New York.
• Solar projects are classified into residential, nonresidential, and large commercial/industrial.

As of October 2022, the MW Block Program has run out of funds for the Long Island region, but the program is active in the Con Edison and Upstate NY regions. The tables below summarize the incentive rates available in each region, for each project scale.

NY-Sun MW Block: Solar Incentives in the Con Edison Region

The residential incentive has been available since 2014, and the rate was originally $1.00/W. However, the program has been gradually reducing its incentive rate as more households deploy solar panels. The current $0.20/W rate is available for 270,000 kW of capacity, and there were more than 150,000 kW remaining as of October 11, 2022.

The nonresidential incentives are available from June 7, 2022. The incentive rates are higher than in the residential sector, but the total solar capacity that can qualify for them is much lower:

• 30,000 kW of PV projects below 200 kW each
• 40,000 kW of PV projects between 200 and 1,000 kW each
• 85,000 kW of PV projects larger than 1,000 kW.

If you plan to install a commercial solar array in the Con Edison service territory, NY Engineers can get your design completed and approved in a short time. Commercial solar systems can often be installed for less than $2,000 per kilowatt, which means the NY-Sun MW Block incentive covers a major portion of upfront costs.

Commercial solar projects can also qualify for the Parking Canopy and Rooftop Canopy Incentive Adder, which increases the rebate amount by $0.20/W for the first 25 kW of capacity. In other words, canopy solar installations can get an additional incentive of up to $5,000. There is also a Prevailing Wage Incentive Adder for projects over 1 MWac, which also increases the incentive rate by $0.20/W.

There is also a Community Adder of $0.20/watt in the Con Edison territory, which is available for community solar projects. The incentive is currently available for 100,000 kW of solar capacity, and less than 10,000 kW had been submitted as of October 2022.

NY-Sun MW Block: Solar Incentives in the Upstate NY Region

Just like in the Con Edison region, you can check the total eligible capacity and remaining on the online program dashboards provided by NYSERDA. The total PV capacity getting the incentive at each project scale is the following:

• 40,000 kW of residential PV capacity
• 65,000 kW of nonresidential PV capacity
• 350,000 kW of commercial PV capacity

After the current incentive block for nonresidential PV is depleted, a new block will open with a reduced incentive of $0.25/watt. This rate will be available for a total of 90,000 kW. The Prevailing Wage Incentive Adder is also available for solar projects over 1 MWac in the Upstate NY region. These projects qualify for an additional $0.125 per watt DC.