Placer County Residents to Benefit as Board of Supervisors Passes $33-million Dollar Financing Program for Energy and Water Conservation Today

Solar Power, Inc. (“SPI”) ( OTCBB:SOPW) announced today that saving money on energy will get a lot easier in Placer County. The Placer County Board of Supervisors voted today to pass a unique program giving eligible Placer County property owners a no-money down way to finance energy and water conservation improvements. The program, Placer money for Property Owner Water & Energy Efficiency Retrofitting Program (Placer mPOWER) allows property owners to apply for loans to fully pay for allowed improvements and then pay the loans back with an attractive interest rate in twice yearly payments through their property tax payments.

“This is a great opportunity for Placer County property owners to install energy saving improvements that will significantly help an owner’s utility costs, the environment and the local economy, without having to pay out-of-pocket for the upfront costs. When combined with the 30% Federal Investment Tax Credit (FITC), California State and utility rebates, this program makes the move to solar extremely beneficial,” says Mike Anderson, Vice President of Marketing for Solar Power, Inc. of Roseville, a leading manufacturer of solar panels and residential solar systems based in Placer County.

The Placer Country program is a result of Assembly Bill 811 (AB-811) passed in July, 2008, by the California Legislature which gave local governments the authority to provide property owners financing for the installation of renewable energy sources - such as solar - and repay the costs back through a low-interest rate via a tax assessment added to their regular property tax payments. The program applies to both residential and commercial property owners and amounts to a very favorable, no money-down, long-term, low-interest finance program that stays with the property should the property be sold. In addition to receiving the benefits of the FITC, the property owner reaps the long-term benefits of significantly reduced or eliminated electricity costs when the program is used to finance a photovoltaic solar system to generate electricity. The Placer mPOWER funding will also be available for purchasers of new homes and businesses that wish to add energy efficiency, renewable energy, and water conservation improvements once they have purchased the property.

Other communities across California that have successfully implemented AB-811 for their property owners include Berkeley, Sonoma, Palm Desert and San Diego. Most recently, Sacramento and Yolo counties announced that they too will be implementing AB-811.

A website with information will be available soon and the program is estimated to be up and running in mid February. Solar Power, Inc., located in Placer County, through its Roseville residential store Yes ! Solar Solutions will also offer informational seminars on the program for Placer County Residents. “We think this is a great step forward for decreasing energy needs in Placer County and giving residents a way to make smart, wallet-friendly energy improvements. Our local Yes ! Solar Solutions store in Roseville is ready to help property owners in Placer County put this program into action,” says Solar Power Inc.’s, Anderson.

About Solar Power, Inc.:

Founded in 2005, Solar Power, Inc. is a vertically integrated solar energy solution provider offering the North American commercial and public sector building markets a complete solution through a single brand. Throughout Europe, Asia and Australia the Company sells its products direct to distributors and turnkey solutions providers. The Company’s Yes ! branded products provides the U.S. and European small- to mid-sized business and residential market segments with turnkey PV solar systems through a growing dealer network. Solar Power, Inc. operates from its Roseville, California headquarters.

Safe Harbor Statement:

This release contains certain “forward-looking statements” relating to the business of Solar Power, Inc., its subsidiaries and the solar industry, which can be identified by the use of forward looking terminology such as “believes, expects” or similar expressions. The forward looking statements contained in this press release include statements regarding the Company’s ability to execute its growth plan and meet revenue and sales estimates, enter into formal long-term supply agreements, and market acceptance of products and services. These statements involve known and unknown risks and uncertainties, including, but are not limited to, general business conditions, managing growth, and political and other business risk. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks and other factors detailed in the Company's reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities law.