Federal Tax Credits for Energy Efficient New Homes Have Been Extended

The federal tax credits for energy efficiency have been extended by the Emergency Economic Stabilization Act. These tax credits can be used in addition to the financial incentives available from SCE's California New Homes Program (CANHP).

The $1,000 credit for homes 30% more efficient than 2004 IECC standards (or ENERGY STAR rated) is available only for manufactured homes, while the $2,000 credit for homes 50% more efficient than 2004 IECC standards is available for all residential new construction less than three stories.

The energy savings for both credits must come from the heating and cooling load. For the 50% credit, one fifth of the energy savings must come from building envelope improvements. For the 30% credit, one third of the energy savings must come from building envelope improvements.

The tax credits have been extended for one year and are now set to expire on December 31, 2009.

More information can be found on the Department of Energy's website: http://www.energy.gov/taxbreaks.htm

Please take note that these tax credits are available in addition to the financial incentives offered by SCE's California New Homes Program. To find out more about CANHP incentives, please visit: http://www.sce.com/builder