Web Content Viewer (JSR 286)

Self-Generation Incentive Program

Program Update:

Self-Generation Incentive Program (SGIP) funds for Renewable and Emerging Technologies have been fully allocated for 2015. We are no longer accepting 2015 applications for these two categories. New funding will become available when the 2016 Program Year opens.

Incentives are still available for SGIP Non-Renewable Conventional CHP category, such as internal combustion engine, microturbine, gas turbine and steam turbine.

About the Program

Designed with Business in Mind

If you want to generate your own power, the Self Generation Incentive Program (SGIP) could be a good option for your business. SGIP offers rebates to residential, commercial, industrial, government and non-profit customers who install qualifying types of distributed generation to meet all or a portion of their own energy needs.

The SGIP can help reduce your greenhouse gas emissions while also helping reduce electrical system demand, which in turn helps reduce the need to build expensive fossil fuel-fired power plants.

There are several rebate levels based on the technology type you use and how much energy you generate. The SGIP Handbook (PDF) offers a detailed guide to the program, and will answer questions you might have about equipment and rebates.

Eligible Power Technologies

SGIP rebates are offered for energy generation related to wind, fuel cell, waste heat capture, and conventional CHP. Rebates are also provided for advanced energy storage, stand-alone as well as paired with SGIP- eligible technologies or solar.

  • Only commercially available and factory new equipment are eligible for rebates, which are based on system type, size, fuel source and out-of-pocket costs.
  • Rebuilt or refurbished equipment is not eligible to receive rebates under this program.
  • There are no minimum size criteria for SGIP eligible technologies.
  • There is no maximum system size limit, although the incentive payment is capped at 3 MW.
  • Eligible generation equipment must be certified to operate in parallel with the electric system grid (not back-up generation) and meet other criteria established by the California Public Utilities Commission (CPUC).

Solar rebates are currently administered under SCE’s California Solar Initiative program.

Incentive Levels & Rates

Calculating Your Rebate

Eligibility for participation in the SGIP is based on greenhouse gas emission reductions. Self-generation technologies eligible for the program are grouped into three incentive levels as shown in Table 1-1.

Table 1-1 Base Incentive Levels for Eligible Technologies
Technology Type Incentive ($/W)
Renewable and Waste Energy Recovery Wind Turbine $1.07
Renewable and Waste Energy Recovery Waste Heat to Power Technologies $1.07
Renewable and Waste Energy Recovery Pressure Reduction Turbine $1.07
Non-Renewable Conventional CHP Internal Combustion Engine - CHP $0.44
Non-Renewable Conventional CHP Microturbine CHP $0.44
Non-Renewable Conventional CHP Gas Turbine CHP $0.44
Non-Renewable Conventional CHP Steam Turbine CHP $0.44
Emerging Technologies Advanced Energy Storage1 $1.46
Emerging Technologies Biogas2 $1.46
Emerging Technologies Fuel Cell - CHP or Electric Only $1.65

1Standalone or paired with solar PV or any otherwise eligible SGIP technology.
2Biogas incentive is an adder that may be used in conjunction with fuel cells or any conventional CHP technologies.

Tiered Incentive Rates

For projects greater than 1 MW up to 3 MW, the incentive identified in the above table declines according to the schedule in the table below.

Tiered Incentive Rates for Projects up to 3 MW
Capacity Incentive Rate (Percent of Base)
0 - 1 MW 100%
>1 MW - 2 MW 50%
>2 MW - 3 MW 25%

Rebates are paid for system capacities up to 3 MW, including existing generating capacity that has previously received SGIP incentives.

Application Materials

Getting Started
For most businesses, the SGIP application is a three-step process:

Reserve an SGIP Incentive
To start the application process and reserve your SGIP rebate, you will need to submit the following forms and documents. Your reservation request will be reviewed by an SGIP Program Administrator and you’ll receive a Conditional Reservation Letter once all forms are received and approved.

See the SGIP Handbook for other documents applicable to your business and energy generation type.

Show Proof of Project Milestone

Non-public entities have 90 calendar days from the date of the Conditional Reservation Letter to satisfy all Proof of Project Milestone (PPM) criteria and to submit the following completed documents:

See the SGIP Handbook for a complete list of required PPM documents applicable to your business and energy generation type.

Request Your Incentive

Once your self-generation project is completed, you may request payment of the rebate using the Incentive Claim Form and supporting documents.

See the SGIP Handbook for a complete list of required ICF documents applicable to your business and energy generation type.

SGIP Archives

Access the SGIP Archives here.