Microturbines meet California's SGIP rules

Capstone Turbine Corporation says that microturbines are now eligible for California's Self Generation Incentive Program (SGIP), an incentive programme to promote the deployment of distributed generation technologies that reduce greenhouse gases.

Under the scheme, which was modified by a California Public Utilities Commission decision published on 16 September, microturbines used in renewable projects are eligible for up to $3000/kW.

Natural gas-fired microturbines used in combined heat and power (CHP) systems are eligible for up to $600/kW. Incentives will be paid 50% initially with the balance paid over a five-year period.

Natural gas-powered systems will need to demonstrate greenhouse gas reductions over a 10-year period. 

Additionally, waste heat generators are also eligible for incentives under the SGIP, qualifying for up to $1250/kW.

The SGIP will now require projects to have a 10-year factory warranty in place in order to be eligible for incentives.

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