Solar water heating systems can be a cost-effective way to generate hot water for a home or business. They can be used in any climate, and the fuel they use—sunshine—is free.

There are many options for customers interested in installing solar water heating systems that are expected to qualify for an incentive. These will include four basic components:

1. Solar Collector
   • The sun heats a fluid on the roof
2. Sensors, Controller
   • The controller turns on the pumps when it detects the solar-heated fluid
3. Pump (Active Systems)
   • The solar-heated fluid is pumped into a storage tank
4. Solar Storage Tank
   • The conventional water heater draws the hot water out of the solar storage tank when there is a demand for hot water. If needed, the conventional water heater may boost the temperature of the solar heated water before sending it through the home

Additionally, single family residential solar water heating systems must have a Solar Rating and Certification Corporation (SRCC) OG-300 System Certification. Solar collectors used in multifamily residential, commercial, or industrial water heating shall have SRCC OG-100 Collector Certification.