Commercializing Solar Heating: A National Strategy Needed

Solar heating systems warrant particular attention because of their advanced position of being economically and technically accepted relative to other solar technologies. Solar heating devices also have a large potential for use since more than 40 percent of the Nation's energy is used for heating purposes. Although the technical feasibility of using solar heating for a wide range of residential, commercial, and industrial applications is well established, many constraints tend to discourage consumers and businesses from investing in solar heating equipment. These constraints include economic, institutional, regulatory, and legal constraints, as well as a lack of consumer protection. The National Energy Act (NEA) contains provisions aimed at encouraging the use of solar heating systems. These include a non-refundable income tax credit for individuals who install solar equipment in their principal residence, business tax credits for investments in solar equipment, a $100-million program to provide support for loans to owners of family dwellings who install solar heating and cooling equipment in their residential units, and a $100-million program for demonstrating solar devices in Federal buildings.