Transitioning to a clean energy future is a collective effort, and both state and federal programs offer significant financial support to help our community lead the way. Whether you are a homeowner, a renter, or a small business owner, these incentives make it more affordable to invest in the technologies, like rooftop solar, battery storage, and electric vehicles, that protect our local coastline from the impacts of fossil fuel use. Use the guide below to explore the tax credits and rebates available to San Luis Obispo residents, but be mindful of upcoming legislative deadlines that may affect your eligibility.
Federal Clean Energy Incentives (OBBBA 2025)
Important: The One Big Beautiful Bill Act (OBBBA) introduced hard deadlines for many federal credits.
Incentive
Eligibility Deadline
Current Rate
Residential Clean Energy (25D)
Dec 31, 2025
30% (Solar, Battery, Wind)
Energy Efficient Home (25C)
Dec 31, 2025
Varies (Heat Pumps, Insulation)
New Clean Vehicle (30D)
Sept 30, 2025
Up to $7,500
Previously-Owned EV (25E)
Sept 30, 2025
Up to $4,000
Note: Projects installed in 2026 or later are currently ineligible for these federal tax breaks under current law.
State & Regional Incentives (2026)
Central Coast Community Energy (3CE)
Electrify Your Ride: Rebates up to $4,000 for new EVs and $2,800 for used EVs (income-dependent). Applications for 2026 purchases must be submitted by Sept 30, 2026.
Residential Battery Rebate: $300–$500 per kWh for systems 5–26 kWh. Requires daily discharge during peak hours.
Self-Generation Incentive Program (SGIP)
General Market: Covers approx. 15% of battery costs.
Equity Resiliency: Covers 80%–100% of costs for low-income or medically vulnerable residents.
3C-REN (Tri-County Regional Energy Network)
Single-Family: $750–$1,500 incentives for heat pump HVAC, water heaters, and insulation.
Multifamily: Base rebates of $1,000 per unit, up to $5,000 with specific upgrades.
California Energy Commission (HEEHRA/TECH)
HEEHRA Phase I: Up to $8,000 (single-family) or $14,000 (multifamily) for electrification.
Requirement: Systems installed after Jan 1, 2026, must use refrigerants with GWP of 700 or lower.
Local Sustainability Initiatives
City of SLO: Targeting carbon neutrality by 2035. New buildings must be all-electric or meet enhanced efficiency standards.
SLO Green Business Program: Managed by ECOSLO. Offers $250 reusable rebates and free energy advising for small businesses.
