Nov. 12--The solar-energy industry is turning into one of the bright spots in an otherwise gloomy central San Joaquin Valley economy.

Solar companies are expanding rapidly, adding jobs and creating opportunities for people laid off from construction and farm jobs.

Economic development officials think solar and other forms of alternative energy are well-suited for the central San Joaquin Valley, where unemployment tops 12%, summertime temperatures reach triple digits, power bills are high and fallow land can accommodate arrays of solar panels.

And a generous federal tax credit, new state regulations and innovative financing methods are spurring industry expansion.

How large the solar industry gets remains to be seen. State rebates, which were a catalyst for homeowners and businesses to install solar, are winding down as the industry grows. And there are concerns that acres of solar panels would destroy animal habitat.

Determining an exact tally of people working in the solar industry is difficult, but it is clear from interviews that companies are installing panels on more homes, schools and businesses, and constructing large-scale solar farms.

Fresno continues to add companies. One of the most recent was a nonprofit. Grid Alternatives opened an office in July with four paid employees and two volunteers from AmeriCorps VISTA, a nationwide community-service organization.

Grid Alternatives helps low-income families reduce energy bills with solar.

"People are more receptive to solar," said Tim Sears, co-founder of Grid Alternatives. "Prices are down significantly, cities are better equipped to deal with permitting, there are more suppliers and vendors, and it is an important part of the energy mix as we transition away from fossil fuels."

Other factors also are helping spur growth. Among them:

The federal government's stimulus program, which created a 30% federal tax credit for people who install solar systems, and earmarks $35 million -- up from zero last year -- into energy block grants throughout the eight-county San Joaquin Valley.

The state's desire to have 33% of its power needs coming from renewable sources by 2020.

New financing arrangements, such as as leasing and power-purchase agreements, in which homeowners pay for the power but not the solar panels.

As of Oct. 31 in Fresno County, 41 companies applied for state rebates available to solar-energy users. Not all have offices in the Valley, but that number is an increase from two years ago, when there were only about a dozen, said Gregg Fisher, central San Joaquin Valley sales manager for San Luis Obispo-based REC Solar Inc.