Progress Energy Inc. (PGN) said Wednesday that it has launched an expanded solar energy program in the Carolinas and Florida, offering incentives for customers to install solar photovoltaic panels and water heating systems.

The solar program, called SunSense, is expected to increase the use of solar energy in the Carolinas and Florida by over 100 megawatts over the next decade, Progress said. The cost of implementing the program will have "minimal impact" on customer bills, according to the company.

Progress, based in Raleigh, N.C., plans to offer rebates of $1.50 to $2 per watt for residential PV systems, about 25% of the installation cost. Incentives will also be offered for commercial PV installations and for residential and commercial solar water heating systems.

-By Christine Buurma, Dow Jones Newswires; 201-938-2061; christine.buurma@dowjones.com