Government Grants for Solar Business in Florida

Rural Energy for America Program

• The U.S. Department of Agriculture offers Rural Energy for America Program grants to commercial entities, as well as state, local and tribal governments, rural electric cooperatives, agricultural entities, schools and public power entities that produce renewable energy systems or research. Solar space heat, solar thermal electric and solar water heat are eligible for funding, as well as other technologies. Grants fund 25 percent of the program costs, and the total funding level varies on a project by project basis. In fiscal year 2012, the program's total budget was $70 million.

High Energy Cost Grant Program

• The High Energy Cost Grant Program, also managed by the U.S. Department of Agriculture, provides funding to commercial entities, as well as state, local and tribal governments, nonprofit agencies and residential complexes that utilize various renewable energy technologies. Projects using solar space heat, solar thermal electric, solar thermal process heat or solar water heat are eligible to receive funding. If grants are awarded to a business, the applicant must demonstrate how funding will benefit the community as a whole. Grant funding levels range from $75,000 to $5 million.

Renewable Energy Grants

• The U.S. Department of the Treasury offers Renewable Energy Grants to commercial, agricultural or industrial entities. Programs that use solar space heat, solar thermal electric, solar thermal process heat or solar water heat are eligible for funding. For these technologies, grants subsidize 30 percent of property costs related to solar energy production. This includes solar energy equipment that produces electricity, heats, cools or provides solar process heat. Solar pool-heating and passive solar systems are ineligible.

Solar Sales Tax Exemption

• Commercial entities in Florida are eligible for the state's Solar Sales Tax Exemption, which voids sales taxes on purchases related to solar pool heating, solar space heat and solar water heat. Eligible technologies must be utilized in the collection, conversion, storage or transfer of solar energy for space heating and cooling or water heating. Businesses that sell such technologies must document and report their tax-exempt sales. The exemption also applies to solar energy used mainly for compounding, processing, producing or manufacturing items for sale within the state.