Homeowners interested in installing a solar water heater are being offered a rebate from the Ministry of Energy.

Energy Minister Michael Scott announced yesterday that a "significant figure" had been set aside to allow rebates of up to $1,500. A residential solar water heating system typically costs between $6,000 and $12,000.

Mr. Scott told a press conference the idea was to reduce Bermuda's dependence on imported fossil fuels for electricity to heat water, saying that while some homeowners and businesses had installed solar panes, the "pace needs to pick up".

The average home here is estimated to spend between $400 and $1,000 a year on electricity to heat water; the Ministry of Energy says a solar water heater could cut that by more than 80 percent.

The rebate is for imported solar water heaters installed by a participating installer in residential properties only, with one application allowed per assessment number.

Rebates of up to $5,000 are already available for solar photovoltaic systems, which generate electricity for homes.

To apply for either rebate, visit www.energy.gov.bm.