Taking Full Advantage of the REAP Program

Solar Heat Exchange Manufacturing has partnered with select solar dealers to assist small businesses and communities in the purchasing and installation of solar hot water systems. This program utilizes a host of available incentives and rebates in combination with SHEM financing.

How Does It Work?

If your business uses 250 gallons (or more) of daytime hot water and is located in a community of under 50,000 population, then you may qualify for a new solar hot water system using both REAP grants and Federal cash back tax credits.

The USDA Renewable Energy for America Program (REAP) grant, in combination with Federal cash back rebates and SHEM financial support enable you to realize the cash value of multiple programs and long-term benefits of free hot water.

That's the good news. The bad news is this program combination is limited in it's availability. REAP funds area available on a first come first served basis. Federal cash incentive program is available only until the end of 2011. The REAP commercial grant deadline is considerably shorter, ending April 1, 2011.

Allocation of Expenses

This program involves a 20% downpayment by the purchaser, payable incrementally as follows:

5% of estimated cost of your system will serve as an initial deposit to begin the grant application. There is a significant amount of work involved in the development of the grant for every individual system. This deposit ensures the dedication of participating parties.

Another 5% payment is due upon the award of the grant. If the grant is not awarded, the initial 5% deposit is returned.

The final 10% downpayment would be due upon completion of the installation. These three payments (5%, 5%, 10%) represent the total cash investment. The balance of system cost is financed through grants (25%), rebates (30%) and cash flow from reduced utility expense (25%). 

The REAP grant will cover 25% of the system cost. This 25% payment will be due from the purchaser after it is received from REAP, some 75 days after completion.

Federal rebates of 30% are payable in a similar fashion. These amounts are payable after the purchaser receives their federal rebate, estimated at 150 days after completion.

SHEM will provide a maintenance agreement and financing for the 25% balance of your system's total cost. The cash flow for these payments is guaranteed to come from the utility savings. Twice per year, your solar dealer will check your system to assure peak performance, and to communiate savings. In other words, future payments cover both system cost and on-going maintenance and supervision, and are paid for by savings.

The net result: Your total out-of-pocket expense will be 20%. The system's savings are guaranteed, with performance measured with data loggers and supervised by bi-annual site inspections.

Please call (785) 597-2333 or email us to contact our REAP Program Director to begin the application process.

Elementary School Students Learning the Wonders of Solar Hot Water

Last November we installed a solar thermal system at the Wakarusa Elementary School in Lawrence, KS.  We've been logging data on the systems performance for the past 2 months and have since had a write up in the paper on the success of the installation. Tours given by staff to the "Solar Hot Water Room" have proven to be a successful tool in educating the kids in the function of the solar hot water system, and the importance of reducing energy consumption while also saving money.

Read more and see the video at:
http://www2.ljworld.com/news/2011/jan/25/wakarusa-valley-school-gets-new-solar-thermal-syst/#c1498531

HLN Money Expert Clark Howard Installs Solar Collectors on His Roof

Sure this guy is kind of a goof-ball, and looks a skinny Steve Carell in this screenshot, but he's right on target with this bit on solar hot water collectors. He had one installed at his home this summer and did a special on it to highlight the simplicity, efficiency, and savings associated with installing a solar hot water system in your home. Check the video out right here.

Who Killed the Solar Hot Water Heater?

Awesome article from www.getsolar.com about the Rise & Fall of Solar Hot Water Systems in the U.S. 

All over the world, everyone is making (or has already made) the economical and environmentally sound change to solar hot water. It's reliable. It's way less expensive. It's simple. Seriously... all over the world they're doing this. Why haven't we done so here in the States? Read on:

Turns out, solar hot water was becoming increasingly popular in the 70's and 80's due to great gov't incentives passed by the Carter Administration. However, the rapidly-expanding-market (without much oversight) led to lowered quality systems and bad install jobs. This, combined with the Federal Gov't later cutting the incentives program, gave solar hot water a very bad rap as being uneconomical and an ineffective means of heating  your water.

Well, times they-are-a-changin'.

The government has reinstated absolutely KILLER incentives and rebates to make solar hot water heaters unbelievably affordable (up to 70% paid for in some states! No joke). The technology and refinement of the solar hot water system has been refined. Our patented Simple Drainback System is second to none in efficiency and simplicity. Today's competition (unlike the solar boom in the 70's and 80's) demands reliable systems and perfect installation jobs every time.

Want to dig a little deeper into the possibilities available to you through solar hot water? Read on.

Solar Water Heaters Now Mandatory In Hawaii

Starting this year, Hawaii has become the first state to require solar water heaters in new homes. The bill was signed into law by Governor Linda Lingle in 2008. The law prohibits the issuing of building permits for single-family homes that do not have solar water heaters. Hawaii relies on imported fossil fuels more than any other state, with about 90 percent of its energy sources coming from foreign countries, according to state data.


State Sen. Gary Hooser, vice chairman of the Energy and Environment Committee, first introduced the measure eight years ago when he said a barrel of oil cost just $40. Since then, the cost of oil has more than tripled! It's unbelievable how much the price of oil has risen in such a short amount of time.

Should this bill be passed for other states in the Continental US?  There's probably a positive gain for requiring solar hot water heaters in tropical areas like Hawaii, but to pass this law in parts of the country that endure longer, darker winters probably wouldn't be quite the same. Something to chew on.