Austin Energy rebate program faces challenges : News : Abilene Reporter-News

King criticized rebates offered on solar panels because they have failed to attract solar panel manufacturers to Austin.

Jarman said Austin's solar panel program in the short term is chiefly driven by climate change concerns. In the long run, he said, regardless of whether solar power companies relocate to Austin, the rebates are designed to create a market for solar panels that ultimately cuts the costs of their manufacture.

Hefty rebates on solar panels, for example, are not obviously justified by energy savings, King said. "The solar guys sold the city on relatively expensive rebates. You have to be a bit careful about whose Kool-Aid you drink, but by and large, (rebates) are important to increasing the adoption rate of efficient equipment."