In October 2008 Xcel Energy lowered its rebate for customers who install grid-connected PV solar systems at their residences and businesses.  The rebate shrunk from $4.50/watt to $3.50/watt.  This change became effective at the end of October and was most likely in response to the substantial increase in Federal Tax Credit incentives implemented with the recent government “bailout” package passed on October 3, 2008.  However, any customer who submitted a rebate application prior to this change will receive the original rebate of $4.50/KW.  Despite the reduction the rebate still covers a large portion of the installation cost for Xcel customers; about 40% of the total system cost.  For more on Xcel’s rebate program go to their Solar*Rewards Program webpage.