Arizona does not tax energy efficiency building components, renewable energy equipment, and combined heat and power systems as property. Arizona Revised Statute 42-11054, which details this exemption, specifies that renewable energy equipment includes equipment used to produce energy primarily for on-site consumption from renewable resources,
Section 41-1514.02 of the Arizona Revised Statutes sets up an environmental technology assistance program under the state Arizona Commerce Authority to support the production of renewable energy products and expansion efforts. Environmental technology manufacturers, producers or processors that make capital investments in qualified facilities in
Arizona’s Renewable Energy Standard and Tariff requires that regulated electric utilities and electric power cooperatives serving retail customers in Arizona generate 15% of their energy from renewable resources, including several renewable thermal technologies, by 2025. This standard was adopted in 2006 and took effect in
Arizona requires that all new state buildings over 6,000 square feet, including state government buildings, school district buildings, and universities, shall consider and evaluate solar systems on the basis of life cycle costs.
Arizona offers a up to 100% sales tax exemption to solar retailers and contractors who are registered with the Department of Revenue prior to sale or installation of solar devices. Some cities also exempt these entities from city privilege tax on sales or installations of
