Hawaii Mandates Solar Hot Water

Hawai'i has become the first state in the country to require the installation of solar water heaters on new single-family homes.

Hawaii Governor Linda Lingle today signed into law a bill requiring home builders to include solar water heaters in new single-family dwellings beginning in 2010. The measure specifically prohibits the issuing of building permits for single-family homes that do not have solar water heaters, effective Jan. 1, 2010. Variances would be allowed if an engineer or architect finds that solar would be impractical because of insufficient sunshine or if it would cost more than would be saved by lower utility bills, or if an alternative renewable energy system or gas-demand water heater is used.

"This solar power legislation is another important step in our long-term plan for energy independence in Hawai'i," Lingle said. "In addition to solar, it is critical that we continue to develop innovative energy solutions that capitalize on our natural renewable resource advantages in order to achieve our goal of having 70 percent clean energy in Hawai'i by 2030."

The governor's office did express some concerns with the bill, including the elimination of the existing 35 percent tax credit for solar water installations for residential home developers in 2009.

Opposing the bill was the Building Industry Association of Hawaii, which represents contractors, developers and suppliers.

BIA Chief Executive Officer Karen Nakamura said the law would raise the cost of homes. She said the law not only eliminates the 35 percent state tax credit, but a $1,000 HECO rebate for new home buyers.

Nakamura said that first-time home buyers who are already having trouble qualifying will suffer the most because the additional cost will make buying a new home further out of reach.

"The total cost is being put on their backs," she said.

Sen. Gary Hooser (D, Kauai-Niihau), who introduced the bill, said, "With oil $140 a barrel, this is especially timely and will save consumers money, create additional energy security for the state and dramatically reduce greenhouse gas for the environment."

He said he is hopeful other states will follow Hawaii's lead.

Another opponent of the bill is Solar Energy Industries Association, Hawaii, which represents some 25 businesses that install a majority of the solar water heaters in Hawaii.

The law has a loophole that will allow developers to opt out of the mandate by heating the home with a tankless water heater using gas instead, said group Vice President Rolf Christ.

Christ, who is also owner of R&R Solar Supply, the only manufacturer of solar water heaters in Hawaii, said he expects his business will rise with the mandate, but said the law will make solar water heaters less affordable for people buying homes.

The Hawaii Public Utilities Commission will set standards for the water heaters and counties will establish procedures to implement the law.

For more information on solar hot water heaters, check out this great article from Fine Homebuilding magazine which details various type of solar hot water systems.