Requirements & eligibility

Eligible renewable energy technologies

Renewable energy project types (those that generate grid-tied electricity) eligible to receive funding through the Blue Sky program must produce new sources of electricity generation fueled by:

• Wind
• Solar PV
• Geothermal
• Low-impact hydro - certified by the Low Impact Hydropower Institute (LIHI). Please visit their web site for information on pursuing LIHI certification for a hydro project.
• Pipeline or irrigation canal hydropower
• Wave energy or tidal action
• Low-emissions biomass based on digester methane gas from landfills, sewage treatment plants or animal waste and biomass energy based on solid organic fuels from wood, forest or field residues or dedicated crops that do not include wood pieces that have been treated with chemical preservatives such as creosote, pentachlorophenol or copper chrome arsenic. 

Project requirements

• New projects or additions to existing renewable energy projects
• Served by Pacific Power (located in Pacific Power's service area)
• Locally-owned, commercial-scale, with capacity less than 10 MW
• Completed by December 31, 2012.  If project is associated with the construction of a new building or structure, a one-year extension may be considered on a case-by-case basis.
• Equipped with electronic monitoring system to collect inverter energy production data for a period of five years. The monitoring system must consist of a production history electronic database, web-page component, and a public web link to be added to Pacific Power’s web page for educational purposes.

• Installations that provide direct financial benefit to a for-profit business may be considered, but only if the organization is a Blue Sky participant at the Visionary level.  All other organizations are expected to enroll as a Blue Sky business partner as of the date the funding award agreement is signed. Learn more »

  • Follow interconnection guidelines as established by Pacific Power (for small generation projects, typically smaller than 25 kW, a net meter is required)
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Funding is not available for:

• Off-grid projects
• Passive solar or thermal solar systems
• Geothermal heat pump systems
• Residential installations
• Projects that have received funding through the feed-in tariff program (projects awarded Blue Sky funds will not be permitted to enroll in the feed-in tariff program)
• Activities not directly related to the capital costs of new renewable energy systems, such as:
• Structural or other site improvements
• Fees incurred for project estimates or bids
• Costs associated with an initial site evaluation
• Landscaping
• Administrative or project management costs
• Maintenance costs

Preferred project characteristics

• Support communities through a strong education and public engagement component
• Are sponsored by a Blue Sky customer/community
• Provide strong environmental and economic benefit to local communities and Pacific Power customers
• Build regional capability
• Take advantage of other funding sources, incentives and tax credits available to support the project (we recommend using the Database of State Incentives for Renewable Energy (DSIRE) as a resource to identify other funding opportunities.

Level of funding available

Pacific Power is interested in providing enough funding to selected projects such that they will be economically feasible. All applicants are expected to pursue all other applicable forms of funding, which may include grants, incentives, and state and/or federal tax credits.  Efforts to secure additional sources of funding should be demonstrated in the application. Project sponsors that have not pursued additional known funding sources will not be considered under this program. Pacific Power will also demonstrate a preference for projects where applicants have pledged their own funds, secured in-kind donations, or demonstrated innovative fundraising efforts.  In rare cases projects may be funded at 100 percent of the project’s capital costs but only if it is demonstrated that other funding options have been exhausted.

Funding from the Blue Sky Block program is awarded considering the reasonableness of the budget and funding request, the technology, project location and the ability of the project sponsor to leverage other funding sources. Awards can range from a few thousand dollars to more significant investments and may differ from the amount requested. Funding will be distributed as a reimbursement for eligible expenses upon completion of the project and receipt of required reporting and documentation.

Pacific Power does not provide project development assistance and does not typically provide assistance in obtaining co-funding.

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