Fewer than 2 out of 10 Hawaii homeowners who are considering installing solar photovoltaic panels said they would do so if the availability of state renewable-energy tax credits was "reduced considerably or eliminated," according to a survey published Thursday.
The survey was commissioned by the Honolulu-based Blue Planet Foundation as part of its effort to gauge the impact of the tax credits on consumer behavior regarding PV installations. The nonprofit’s stated mission is ending Hawaii’s dependency on oil and creating a global model of energy self-sufficiency.
The survey, conducted by QMark Research, asked respondents without PV whether they planned to install a system. The 40 percent who answered yes were asked a follow-up question: "What if the tax credits were reduced considerably or eliminated. Will you still probably install PV?"
Only 16 percent of the respondents said yes, 21 percent said no and 63 percent said they weren’t sure or didn’t know.
The survey was conducted as state legislators consider a bill to incrementally reduce the amount of the renewable-energy tax credit, which is currently fixed at 35 percent. The bill was introduced by legislators concerned that the amount of tax revenue lost because of the credit was becoming a drain on the state’s finances.
"The tax credit clearly works. This market research demonstrates just how effective it is in motivating homeowners to go solar," said Jeff Mikulina, Blue Planet Foundation executive director.
"Without the incentive, Hawaii wouldn’t have had the success we’ve had in replacing oil with sunlight," he said in a news release.
Hawaii utilities use petroleum to generate about 76 percent of the state’s electricity. Residents pay about 36 cents a kilowatt-hour for electricity, roughly triple the national average.
The survey found that 79 percent of PV owners cite cost savings as the most compelling reason for installing a PV system. Also, 1 in 4 homeowners with PV systems said they still would have installed a system if there were no tax credit.
QMark Research polled 475 homeowners on Oahu, Hawaii island, Kauai and in Maui County in an online survey between March 15 and 23. The survey had a margin of error of plus or minus 4.5 percentage points.
