In 2008, Iowa enacted S.B. 2386, which requires the Iowa Utilities Board (IUB) to create energy savings standards (electricity and natural gas) for all rate-regulated utilities. The IUB ordered utilities to reduce retail sales by 1.5% of average sales for the previous 3 years by December 31, 2011.* Utilities that are not rate-regulated (municipal and cooperative utilities) were required to establish their own energy efficiency goals. These goals were filed in December 2009.
Iowa imposes a replacement generation tax of 0.06 cents ($0.0006) per kilowatt-hour (kWh) on various forms of electricity generated within the state. This tax is imposed in lieu of a property tax on generation facilities.
Under the Energy Replacement Generation Tax Exemption, the following facilities are exempt from the replacement tax:
Farmers Electric Cooperative offers a production incentive to members that install qualifying wind and solar electricity generating systems. Qualifying grid-tied solar and wind energy systems are eligible for a $0.20 per kilowatt-hour (kWh) production incentive for up to 10 years for energy production that offsets up to 25% of monthly energy usage.
Farmer's Electric Cooperative (Kalona) offers rebates for the installation of small wind and solar photovoltaic (PV) systems to its member customers. The amount of the rebate is set at $1,000 per peak kilowatt (kW) for both technologies, with a maximum rebate of $5,000. It is only available for systems placed in service after January 1, 2008. Rebates for both wind and solar systems require a site assessment and are subject to prior approval of metering and installation arrangements. Equipment must be new and permanently installed by a professional installer on the customer's premises.
Farmers Electric Cooperative (FEC) offers a grant program which splits the cost of simple energy efficient improvements to the home. The utility will cover 50% of the cost of eligible improvements made by the participating member. Grants are limited to $100 per year. A variety of measures and equipment are eligible for this incentive, including, but not limited to: insulation, ceiling fans, programmable thermostats, and occupancy sensors. Participants must be FEC members and provide all necessary purchase and installation information.
Farmers Electric Cooperative (FEC) offers a variety of rebates for the purchase and proper installation of energy efficient equipment for the home. Incentives are available for geothermal heat pumps, air source heat pumps, central air conditioning, lighting, heat pump water heaters, freezers, refrigerators, clothes washers, and appliance recycling. Heat pump and air conditioning rebates vary based upon system efficiency. All minimum equipment requirements must be met in order to be eligible for incentives. Refrigerators, freezers and clothes washers must be Energy Star.
Black Hills Energy offers commercial and industrial customers incentives to encourage energy efficiency in eligible businesses. Prescriptive rebates are available for furnace and boiler replacements, insulation, doors, water heater replacement, ENERGY STAR set back thermostats, commercial cooking equipment and more. Custom rebates are available for commercial, industrial, and agricultural projects not eligible in the prescriptive program, such as HVAC systems and building envelope measures. All purchased equipment must meet program efficiency and installation requirements.
Black Hills Energy offers its residential Iowa customers incentives to encourage energy efficiency in their homes. Black Hills Energy offers a free home energy audit to customers (both owners and renters) to determine what energy efficiency programs would be best for them. Rebates are offered for certain Energy Star appliances and thermostats; energy efficient replacement furnaces, boilers, and water heaters; and weatherization measures such as insulation up-grades and door replacements.
Black Hills Energy offers new construction rebates for home builders in the eligible service area. Rebates between $800 and $5,000 are available for a range of efficiency measures incorporated into home construction. Qualifying homes must use natural gas and meet the minimum efficiency requirements. The program web site listed above has a complete summary and table of available incentives and program requirements. A program application with complete program information is also available on the program web site.
''Much of the information presented in this summary is drawn from the U.S. Department of Energy’s (DOE) Building Energy Codes Program and the Building Codes Assistance Project (BCAP). For more detailed information about building energy codes, visit the [http://www.energycodes.gov/states/ DOE] and [http://bcap-ocean.org/ BCAP] websites.''