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Pool Heating

Incentives for solar-powered pool heating.

UES offers incentive payments for commercial solar-powered pool heating systems to encourage solar installation. Taking advantage of Arizona's relatively high rate of sunshine can be very cost effective.

Renewable Energy Credit Purchase Program

Is solar pool heating right for me?

Depending on the availability of unshaded sunlight and the amount of water usage at your pool, solar pool heating can be a very efficient technology. The decision to install one of these systems should be made after you consider a variety of factors. Local building codes, availability of sunlight, maintenance requirements and the cost of other alternative energy options, should all enter into your decision to install a solar pool heating system. With Arizona's plentiful sunshine, current utility, state, and federal incentives make this a very economical choice.

Features and Benefits

    Sunlight is a clean renewable energy resource that has been used for many years. Some benefits of solar pool heating are:
  • Produces no emissions and is replenished naturally
  • Reduces greenhouse gases
  • Saves the release of 2 lbs. of carbon dioxide (CO2) for each kilowatt hour (kWh) produced
  • Saves the use of one-half gallon of water for each kWh of solar energy produced
  • Saves the release of other emissions that result from the burning of fossil fuels such as nitrogen oxides, sulfur dioxide or mercury
  • Makes use of one of Arizona's greatest natural resources - sunshine
  • Provides customers with options to reduce their electric bills

What incentives are available to UES customers?

UES offers 20-year up-front incentives (UFIs) for solar-powered pool heating systems (see table 1).

Table 1. Maximum incentives solar-powered pool heating systems.

UFI1 — 20-Year REC Agreement
$0.40 per kWh up to a maximum of $200,000
  1. An up-front incentive (UFI) provides customers a one-time payment based on their system size. In turn the customer signs a credit purchase agreement assigning UES the renewable energy credits for 20 years.
Note: Projects receiving a UFI can receive no more than 50% of the system cost in the total incentive payout. Also, UES incentives in combination with all federal and state credits can be no more than 85% of total project costs. A customer must cover at least 15% of total project costs.

Customers may qualify for federal and state tax credits to further reduce the cost of the system. Talk with a tax professional about current tax credits available to you for a renewable energy system. You can also view federal and state tax credits at

Who is eligible for the incentives?

  • You must be a UES customer.
  • The system must be installed at UES service address.
  • You must purchase and install a qualifying solar-powered pool heating system.
  • The system must be located within a UES-certified service territory.

Ready to get started?

Click the sign-up button for installer resources such as forms, applications, and agreements.


Equipment Qualifications

Applicants requesting incentives for solar pool heating will need to submit design and output documentation. Applicants installing these systems will, at a minimum, need to provide an energy savings and designed output report for the system.

The report must include either a testing certification for a substantially similar system prepared by a publicly funded laboratory or an engineering report stamped by a qualified registered professional engineer. The engineering report and/or testing certification shall provide a description of the system and major components, design criteria and performance expectations, applicable standards and/or codes, and a brief history of components in similar applications. Additional information may be required as part of the RECPP requirements.

Next Steps

  1. Contact a licensed solar installer for an estimate. Please refer to the AZROC website.
  2. Fill out and submit the appropriate application for your system.
  3. UES will review your application to ensure it conforms to program requirements.
  4. UES will rank the project based on lowest expected lifecycle credit purchase cost and respond with reservation conformation within 90 days of receipt of request.
  5. Within 120 days, submit to UES proof of advancement documentation, including:
    • Project agreement between customer and installer
    • Executed installation agreement to include all project participants
    • Building and/or construction permits and/or a full set of design development or construction drawings
      (80% or more complete)
    • Executed interconnection agreement (if applicable)
  6. Request and receive from UES an interconnection inspection
  7. Upon commissioning the system, provide a commissioning package to UES and request a conformance inspection.
  8. UES performs conformance inspection to verify system performance.
  9. For UFIs, customers will receive payment within 30 days of acceptance test. For PBIs, customer will receive quarterly payments in conjunction with quarterly meter reads.
  10. UES is assigned exclusive rights to all RECs associated with project for a period not less than 20 years.


Solar Pool Heating Application

Solar Pool Heating Agreement

Supplemental Program Information

Installer's Meeting

PV Angle Chart

Service Requirements

Building Inspection Form

Assignment of Payment

Installation Certification

W9 Form