Incentives are currently available for battery storage systems up to 50kWh paired with solar energy systems.
For customers outside Xcel Energy service areas (administered by the Department of Commerce):
- $250 per kWh up to a $7,000 maximum
- Income Qualified Pilot Program $1,000 per kWh up to a $15,000 maximum ($270,000 in available program funds, program in development)
- Non-Xcel funds remaining: $1,788,130 (as of Feb 11, 2025)
You can look up your electric utility by your address here. Funds are limited for both incentive programs and will be administered on a first come, first served basis. The Department of Commerce will have approximately $2,160,000 available for incentives and is additionally collaborating with the Tribal Advisory Council on Energy to develop a program specific for Tribal Nations.
Xcel Energy Storage Incentive Program
As of November 12, 2024, customers inside Xcel Energy’s service territory may access incentives for solar plus storage systems. Xcel Energy has approximately $3.48 million available for incentives. The following information has been provided by Xcel Energy:
Battery Storage Incentive Program Details
When you or your small business add a new battery storage system to a new or existing solar Interconnection Agreement, Xcel Energy will provide an incentive within 30 business days of operation. Eligible homes and businesses should not exceed a capacity of 50 kWh. For your participation, you will earn an upfront incentive that includes:
- $175 per kWh of energy capacity.
- Income qualified customers: $370 per kWh of energy capacity.
- The upfront incentive payment is capped at $5,000.
For help completing the Storage Equipment Incentive application, email SolarProgramMN@xcelenergy.com.
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