PHOENIX - Arizona Public Service (APS), the state's largest electric utility, has announced that it will double its incentive for grid-connected solar power systems starting Jan. 1, 2004.

The utility currently offers an incentive of $2 per watt, up to half the cost of the installation, but has realized that nearly all of the 200 customers that took advantage of the incentive were located off of the electric grid. The new incentive of $4 per watt for grid-connected systems is expected to help the utility meet its goals for generating power from solar energy.

To further attract more users, Arizona residents can also receive a state solar energy credit equal to one-quarter the cost of the system, up to $1,000.

APS is also doubling its incentive payment for solar water heating systems to $700.

Publication date: 12/15/2003