New Rebates

As reported in today's Memphis Daily News from the Associated Press...(To view the full details, click here.

Tenn. to Give Rebates Under Energy Program

Tennessee will begin giving rebates soon to people who buy energy-efficient air conditioning and heating equipment.

The state is among the last to roll out the rebates funded with money from the Department of Energy. Tennessee will offer fewer options than many states, but Ryan Gooch, the state energy policy director, said the state's plan should be effective for residents.

According to The Tennessean newspaper, the state plans to begin its $5.9 million rebate program this week or next.

Purchases dating to April 22, before the early May floods, will be eligible if they meet guidelines. [Read: purchases made after April 22 are eligible.]

According to the U.S. Department of Energy website, Tennessee, Nebraska, the District of Columbia and the U.S. Territory of Guam are the last to get programs up and running.

"It's going to reduce electric bills significantly for Tennesseans all across the state," Gooch said.

The federal energy department allowed each state to pick what appliances would be targeted for rebates. Gooch said the state decided not to make rebates available for kitchen appliances, such as refrigerators or dishwashers, and instead focus on heating and cooling systems because they drain the most energy in residences statewide.

In Tennessee the rebates will range from $250 for central heating and cooling systems and air-source heat pumps to $40 for room air conditioners. The money could be enough for about 41,500 rebates in Tennessee, depending on the requests.

The rebates may be too late for some homes undergoing repairs after the flooding in May.

Joan Lange said she didn't know about the rebate for Energy Star equipment before she placed her order to have her heating and cooling system replaced after her condo flooded.

"I've already contracted for one, and I have no idea if this is a unit that qualifies for that," she said.

Tennessee announced last year it would roll out the rebate program on Earth Day on April 22, but missed that target.

Gooch said a request had to be put out for a third party to handle the rebates.

"We've completed that process, which is the good news, and now we're able to move forward. We will be releasing additional information on the exact process, probably next week or the week after," Gooch said.

Tennessee regularly ranks among the top states in the nation in residential electricity use, which generally means more pollution because coal is the main source of energy for the area served by the Tennessee Valley Authority.

"We see this program as a way to move that needle in a better direction," Gooch said.

Gooch's office estimates that the rebates could create $1.4 million in savings statewide and a drop in carbon dioxide emissions of about 32 million pounds.

Gooch also said the energy efficient systems put less strain on the electrical grid during peak power use times, such as summer afternoons.

Information from: The Tennessean, http://www.tennessean.com